Petia Dimitrova: The ESG Principles are Part of our Everyday Business Processes at Postbank

 

Environmental issues are undoubtedly among the most serious challenges humanity is facing, but they also open new opportunities for focused action.  Protection and sustainable management of the environment as well as saving and renewal of natural resources are the prerequisites for greater competitiveness of the economy, for job creation, for innovation and sustainable and balanced development of the regions.

 

Traditionally, the banking sector is committed to funding activities that are related – directly or indirectly, to the development of other areas of the economy. We, the banks, can contribute significantly to the efforts to protect the environment by extending ‘green’ mortgages, small businesses’ and energy efficiency loans, as well as by environmental risk management in our credit portfolios. At Postbank for instance, we introduced a special “Eco Auto Loan” for financing fully electric or plug-in hybrid cars under preferential terms for our customers, a green business loan, intended for environmentally targeted company projects or projects for improving the environment etc. And last, but not least, we, the banks, can set a good example for the community by demonstrating our pro-active care for effectively managing the impact our activity has on the environment.

 

Sustainable business development is much more valuable for Postbank than short-term yield. We believe that our duty to nature, which we are part of, is a key aspect of our care for the wellbeing of all stakeholders and the entire society.  That is why we are striving for reducing the negative impact of our activity on the environment and for using every opportunity to contribute to the preservation of nature.

 

Being one of the largest Bulgarian banks and a member of a strong international financial group, we realize that we have various options available to focus public attention on certain issues. At the same time, our responsibility to the public and the need to serve as an example for our peers, partners, customers and fellow fellow citizens, is growing.

 

Our Eurobank Group has some significant achievements in the area of environmental protection and we transfer and further enrich its good practices in Bulgaria. In this respect, we are committed to setting relevant goals and tasks; to constantly monitor, assess and improve our ecological performance; as well as strictly comply with all the provisions of the local, national and international law in the respective area.

 

Being a socially responsible institution, we are resolved to use our influence in order to work for the preservation of our planet. To this end, we not only adhere to an environmentally responsible policy in our everyday work, through our committed members of staff, but we gradually disseminate that policy to our suppliers, customers and our entire society, in order to establish environmentally friendly business practices and to achieve sustainable economic growth.

 

Adhering to the principles of good environmental, social and corporate governance becomes more and more crucial part of the business model of any large organization, and Postbank has a big portfolio of fully adapted processes in line with the principles mentioned. We have great responsibility for the issues related to environmental protection – for many years we have applied consequently our environmental policy. There are specialized structures within the organization of the bank that are directly responsible for the implementation of that policy: The Ecological and Social Committee and the Green Board.

 

At Postbank, we analyze the nature of our direct impact on climate change and the environment, and identify three areas where we focus our systematic efforts to manage impact – carbon emissions from electricity, paper and water use.

 

In this respect, I would like to point out that currently we are starting a large-scale photovoltaic project at Postbank Headquarters. The implementation thereof will bring about a number of technical, marketing and financial advantages and allow us to reduce our carbon imprint, and at the same time will improve the confidence of our members of staff, who will be aware that the company implements state-of-the-art technology for sustainability and avoiding climate change.

 

Introducing electric vehicles and their variations is a trend in Europe. This is no longer the future, in practice it is becoming more and more our present.  This is why very recently we launched a full-scale company car fleet renewal project of the bank by purchasing more than 50 hybrid cars that combine the power of the battery with the internal combustion engine.

 

Being a modern bank that works with special attention to the protection of the environment, we were among the first to introduce an innovative way for confirmation of payment documents with digital signature. Thanks to that, we reduced paper use by 43%.

 

Digital becomes more and more widely spread not only among our young customers. This is evident from the growth of over 150% of the services in our innovative digital zones, for instance. We issue an e-slip for banking transactions or transactions in our digital zones, thus making it easier for our customers but also saving paper and helping nature.

 

More than a year ago, we became one of the institutions that have signed the Principles for Responsible Banking within the UN Environmental Program Financial Initiative (UNEP FI). This significant step forward made our bank the only financial institution in Bulgaria that has chosen to be guided by the uniform framework for sustainable development in the banking sector in all aspects of its operations. It was devised through an innovative partnership between leading banking institutions globally and the UNEP FI. This is why we feel proud that the group we are part of is also member thereof.

 

In addition to the work in the immediate aspects and their impact on the society, Postbank closely monitors the impact of the indirect aspects of its activities, mostly in the area of company and corporate crediting. In this area, a detailed Procedure for environmental and social risk management in crediting is applied. In this way, we encourage green companies indirectly.

 

Today’s world is facing a number of problems related to environmental pollution, global warming and climate change and the time is running up for solving them. There is hardly a human being or an organization who have doubts about the importance of managing the consequences of these worrisome phenomena and the need to take urgent and concrete measures to tackle them.

 

We all should show responsibility in our actions – in every aspect, both personal and corporate. This is why when this topic is discussed, a quote from Albert Einstein comes to my mind: “Look deep into nature, and then you will understand everything better.”