Our strategy and day-to-day practices are improving energy efficiency across our portfolio. We are actively designing our new and redeveloped assets to be resilient against the impacts of climate change.
In 2018 we will be undertaking some work to appropriately consider the recommendation of the Financial Stability Board Taskforce on Climate-related Financial Disclosures (‘TCFD’) to address concerns of investors on the financial implications of climate change. Through this work we ensure Scentre Group provides adequate disclosures on risks and opportunities related to climate change to the market.
The risk assessment will consist of developing an understanding of how material the climate risks are for our business and work closely with our Finance and Risk teams to develop an appropriate action plan aligned with the risk exposure. We will commence exploration of critical uncertainties and opportunities related to climate with potential use of several scenarios as prescribed by TCFD and determine potential operational and financial impacts for Scentre Group over the short-, medium- and long-term horizon.
The solar initiative at Westfield Marion is an example of our efforts to create long-term, sustainable assets that create value for both the Group’s portfolio and the community. Our future solar plans will add 5MWh of added solar capacity by 2020.
In 2017 we continued our efforts to improve energy efficiency. Scentre Group’s operations reflected a year-on-year reduction in electricity consumption by 3% and a decrease in scope 1 & 2 greenhouse gas emissions by 2%. This continues the downward trend in reduction of both energy consumption and emissions generation that has been in place since 2014.
As a procurer of large amounts of building products and materials, we have significant influence on the sustainability of our supply chain. This represents a major opportunity for the Group’s Design & Construction, and Operations to continue reducing our impact on the environment.