JSE-listed property developer Balwin Properties has had its greenhouse-gas (GHG) emissions reduction targets approved by global body the Science Based Targets initiative (SBTi) as being consistent with reductions required to keep global warming to 1.5 °C above preindustrial levels.
Balwin is one of only six South African companies that has an SBTi-approved near-term science-based emissions reduction target and is committed to setting long-term emissions reduction targets with the SBTi in line with reaching net zero by 2050.
It is the first South African company to have its near-term and long-term net-zero targets approved, it says.
In terms of the near-term target, Balwin commits to reducing Scope 1 and 2 GHG emissions by 38% by 2030 from a 2021 base year, and to measure and reduce its Scope 3 emissions. By 2050, the group commits to reducing Scope 1, 2 and 3 emissions by 90% from a 2018 base year.
Scope 1 and 2 emissions result directly from company operations. As Scope 3 emissions comprise the largest part of Balwin’s carbon footprint, the company is encouraging and supporting its suppliers and service providers to also take positive action based on the latest science, it says.
“Balwin is committed to reducing its environmental impact through innovation in design and building techniques. All apartments developed from 2021 were registered with the International Finance Corporation’s Excellence in Design for Greater Efficiency (EDGE).
“About 40 000 apartments from 19 developments were registered for EDGE, and around 12 000 of these apartments are registered as EDGE Advanced, which requires 40% or more in energy savings and 20% or more in water savings.”
Further, eight Balwin lifestyle centres were awarded a six-star green rating from the Green Building Council South Africa (GBCSA), as was the company’s new head office.
In addition, seven lifestyle centres received a net-zero carbon rating from GBCSA, as did Balwin's head office.
About 5 000 Balwin green bonds have been secured for clients, providing clients with total savings of about R325-million over bond terms.
Balwin’s target was approved using a streamlined target validation route exclusive to small and medium-sized enterprises (SMEs).
“Sustainable development is a key differentiator for us. We regard science-based targets as a business imperative that drives innovation in new technologies and operational practices. This saves money and increases competitiveness.
“Our mission is to continue to improve the growth of the low-carbon economy, differentiating Balwin as a responsible brand that cares about its homeowners, the environment and the planet,” says Balwin CEO Steve Brookes.
According to SBTi’s research, half of consumers worldwide believe climate change will have a negative effect on their own lives, and 65% of consumers agree that human activity is responsible for climate change.
Further, companies increasingly want to do business with suppliers that are taking climate change seriously so that they can reduce GHG exposure in their value chain, he highlights.
“In addition to ensuring that companies align their emission reduction plans with science, there is an urgent need to ensure this transformation is a just and inclusive one. As companies in all sectors work to halve global emissions by 2030, they will have to account for ensuring positive impacts on their employees and communities while preparing for net zero, a resilient future and a more equal society.
“Balwin Properties has joined 1 255 forward-thinking companies around the world that are leading the response to global warming and the risks it poses by taking urgent action based on the latest science to secure our future,” says Brookes.