Go to search feature Go to content

You need to use a different browser. To be able to use our internet services, you can instead use one of these browsers: Apple Safari, Google Chrome, Microsoft Edge or Mozilla Firefox.

Read more about recommended browsers

SEB sets net-zero aligned 2030 target for heavy vehicle manufacturing

In October 2022, SEB set net-zero aligned 2030 interim targets for five sectors in its credit portfolio in line with its sustainability strategy and commitment to the Net Zero Banking Alliance (NZBA). The targets cover SEB’s lending commitments to the oil & gas, power generation, steel, car manufacturing, and Swedish household mortgage sectors. In conjunction with SEB’s annual sustainability event on 15 November 2023, SEB also sets a target for the heavy vehicle manufacturing sector, meaning 77 per cent of its proforma financed emissions for 2020 are now covered by such targets.

“Our aim is to be a leading catalyst in the sustainability transition by partnering with our customers on their transition journeys, and the 2030 sector targets are an important part of our effort towards reaching a net-zero credit portfolio by 2050 or sooner,” says Hans Beyer, Chief Sustainability Officer at SEB. “We are making good and stable progress and have, with the new target for heavy vehicle manufacturing, so far covered three quarters of the financed emissions in our credit portfolio.”

The 2030 sector targets are part of SEB’s commitment to NZBA, which SEB formed in 2021 together with 42 other banks to accelerate the transition of the global economy to net-zero emissions by 2050 at the latest. As part of the initiative, SEB has undertaken to align its credit portfolio with 1.5°C pathways to net-zero by 2050 or sooner and set interim sector targets for 2030.

The new sector target covers SEB’s lending commitments to the heavy vehicle manufacturing sector and is set against a 2022 baseline. The target is to increase the share of Zero Emission Vehicles in new sales from 0.5 per cent in 2022 to 35 per cent by 2030, in line with the assumptions of the International Energy Agency’s updated “Net Zero Roadmap: A Global Pathway to Keep the 1.5°C Goal in Reach”.

SEB has also revised its target for the oil & gas sector and now targets a reduction in absolute financed emissions of 70 per cent by 2030, compared with 55 per cent previously. 

Below is an update on the progress on the five targets set in 2022, compared with the 2020 baselines1:

  • For oil & gas (exploration, production and refining), the revised target is to reduce absolute financed emissions to 5.6 million tonnes CO2e by 2030 (a 70 per cent reduction compared with a 2020 baseline). As per year-end 2022, the absolute financed emissions were 7.3 million tonnes CO2e (a reduction of 61 per cent compared with a 2020 baseline).
  • For power generation, the target is to reduce the financed emission intensity to 70 g CO2e/kWh by 2030 (a reduction of 44 per cent). As per year-end 2022, the financed emission intensity was 95 g CO2e/kWh (a reduction of 24 per cent).
  • For steel, the target is to reduce the financed emission intensity to 0.98 tonne CO2e/tonne steel by 2030 (a reduction of 29 per cent). As per year-end 2022, the financed emission intensity was 1.47 tonne CO2e/tonne steel (an increase of 6 per cent).
  • For car manufacturing, the target is to reduce the financed emission intensity to 61 g CO2e/km/vehicle by 2030 (a reduction of 62 per cent). As per year-end 2022, the financed emission intensity was 143 g CO2e/km/vehicle (a reduction of 10 per cent).
  • For Swedish household mortgages, the target is to reduce the financed emission intensity to 2.18 kg CO2e/m2 by 2030 (a reduction of 32 per cent). As per year-end 2022, the financed emission intensity was 3.12 kg CO2e/m2 (a reduction of 2 per cent).

Climate ambitions and goals
The new sector target will be communicated at SEB’s annual sustainability event – Transition in Numbers: Towards Net Zero – which is held in Stockholm on 15 November 2023. At the event, SEB’s President and CEO Johan Torgeby will also provide an update on the ambitions and goals SEB set within the climate area in 2021: the Carbon Exposure Index and the Sustainability Activity Index. SEB’s progress as of the end of September 2023 is in line with the 2030 trajectory on both metrics.

The Carbon Exposure Index2, or The Brown, is a goal to reduce the fossil fuel credit exposure within the bank’s energy portfolio by 45-60 per cent by 2030. As of the end of September 2023, SEB’s fossil fuel credit exposure has declined by 34 per cent since the end of 2019. As a share of the total credit portfolio, SEB’s fossil fuel exposure now accounts for 2.8 per cent, down from 4.8 per cent at the end of 2019. 

The Sustainability Activity Index, or The Green, is an ambition to increase activity within sustainability-related lending, sustainable finance advisory, sustainable investment products and venture capital investments within Greentech by 6-8 times by 2030. As of the end of September 2023, it has increased by 113 per cent compared with the end of 2021. As a share of the total credit portfolio, sustainability-related financing now accounts for 7.8 per cent, up from 4.0 per cent at the end of 2021. 

More information
For more information about SEB’s sector targets and ambitions and goals within the climate area, please visit sebgroup.com/sustainability/our-strategy/ambitions-and-goals.

To watch the Transition in Numbers: Towards Net Zero event, please visit sebgroup.com/sustainability/netzerotransition.

1. 2020 baselines have been restated for all sectors to reflect updated emissions data from our customers within the corporate sectors and updated selected emission factors for the Swedish household mortgage sector.
2. The Carbon Exposure Index methodology has been modified during 2023. The reporting currency has been changed from SEK to EUR to better capture the currency mix of the credit exposure. In addition, the power transmission sector has been excluded from the scope to reflect the limited ability of grid owners to directly influence the fossil content in national electricity mixes. All historic numbers have been restated for the changes in the methodology. 
The Carbon Exposure Index corridor has been adjusted during 2023. The upper limit of the corridor in 2025 has been lowered to the average of the IEA and NGFS benchmark scenarios and the benchmark scenarios have been updated with the latest 1.5
°C aligned assumptions. 
The goal to reduce the fossil credit exposure within the energy portfolio by 45-60 per cent by 2030 remains unchanged.

For further information, contact:
Pawel Wyszynski, Head of Investor Relations
+46 70 462 2111

Press contact:
Niklas Magnusson, Head of Media Relations & External Communication
+46 70 763 8243

SEB is a leading northern European financial services group with international reach. We exist to positively shape the future with responsible advice and capital, today and for generations to come. By partnering with our customers, we want to be a leading catalyst in the transition to a more sustainable world. In Sweden and the Baltic countries, SEB offers financial advice and a wide range of financial services. In Denmark, Finland, Norway, Germany and the United Kingdom, we have a strong focus on corporate and investment banking based on a full-service offering to corporate and institutional clients. The international nature of SEB's business is reflected in our presence in more than 20 countries worldwide, with around 17,500 employees. At 30 September 2023, the Group's total assets amounted to SEK 4,134 bn while assets under management totalled SEK 2,194bn. Read more about SEB at sebgroup.com.