“We firmly advocate the sustainable production of palm oil and recognise the role that businesses, including micro, small and medium enterprises play in advancing sustainable palm oil production," said group CEO Abdul Rahman.
KUALA LUMPUR: CIMB Group
Holdings Bhd is formalising its 2030 climate target for its palm oil sector portfolio, focusing on sustainable palm oil production.
Concurrently, the group is also raising its commitment towards decarbonisation, establishing a target for its power portfolio, and emphasising a transition towards cleaner, renewable energy sources.
In a statement, CIMB group chief executive officer Datuk Abdul Rahman Ahmad said the bank is pleased to present a strategy on the sectors, the first in Malaysia, and thus solidify its commitment towards net-zero by 2050.
“We firmly advocate the sustainable production of palm oil and recognise the role that businesses, including micro, small and medium enterprises play in advancing sustainable palm oil production.
“We will continue to actively enable clients and small-scale growers to embrace as well as adopt certified sustainable palm oil standards,” he said.
He also said that CIMB is committed to supporting decarbonisation in the power sector, leveraging the rapid advancements in renewable energy technologies and supportive national schemes to accelerate the transition to a net-zero economy.
To encourage the growth of sustainable palm oil, CIMB has set a goal to reduce emissions intensity of its entire palm oil portfolio by 16% by 2030, equivalent to a 2% average annual reduction.
“CIMB will engage with clients to shift to certified sustainable palm oil production to minimise environmental impacts, adopt better agricultural practices to increase yields, reduce operational greenhouse gas emissions, and improve the quality and coverage of emissions reporting,” it said.
In line with the initiatives, it has also released a white paper on its decarbonisation plans outlining sector-specific pathways and plans for the key sectors. — Bernama
