Punjab National Bank (PNB), India’s second-largest public sector bank, has become a signatory of the Partnership for Carbon Accounting Financials (PCAF), marking a major step in its climate action journey. This decision aligns with global standards for greenhouse gas (GHG) emissions accounting and the Reserve Bank of India’s (RBI) draft framework on climate-related financial risk disclosures, showcasing PNB’s dedication to sustainability and climate transparency.
Past Milestones and Current Actions
- BRSR Implementation: In FY 2023-24, PNB disclosed its financed emissions in its Business Responsibility and Sustainability Report (BRSR) using the globally recognized PCAF Standard.
- RBI Alignment: This move aligns with RBI’s draft guidelines requiring banks to disclose climate-related financial risks in governance, strategy, and risk management from FY 2025-26 and metrics and targets from FY 2027-28.
Global Collaboration and Benefits
- International Network: By joining PCAF, PNB becomes part of a global network of financial institutions committed to robust GHG accounting practices.
- Technical Advantages: The partnership offers access to cutting-edge training, country-specific emissions data, and global insights tailored for India.
- Knowledge Sharing: PNB will participate in global working groups, workshops, and webinars to refine GHG standards and foster peer-to-peer learning.
Vision for the Future
PNB’s association with PCAF reflects its commitment to adopting global best practices in sustainability. This initiative strengthens its role as a responsible financial institution, contributing significantly to climate action and aligning with evolving global and domestic environmental standards.