Climate Change Management
KBank recognizes its duty and responsibility in raising the awareness of all stakeholders on climate change risks, so that they can prepare themselves and seek new opportunities arising from climate change. As for KBank, we have drawn up the Transition Plan to Net Zero in accordance with our commitment and goals.
KBank’s commitment towards Net Zero
KBank aims to empower every customer’s life and business. We support our customers in the transition to a Net Zero
economy. Sustainability is deeply ingrained in how we serve our customers and manage our operations.
- We are committed to supporting Thailand and our clients in regional economies on their decarbonization journeys. We will contribute to the global effort in the transition to Net Zero by 2050* in alignment with the Paris Agreement goals.
- We are committed to be the leading sustainable bank in Thailand, allocating at least Baht 100 - 200 billion in sustainable financing and investment by 2030 and pioneering green banking products.
- We are committed to becoming Net Zero in our own operations (Scope 1 and 2)** by 2030 and achieving Net Zero in our financed portfolio in line with Thailand’s aspiration, accelerating this journey where possible. We will continually assess opportunities to take earlier actions as the technology, regulatory environment and external context evolves.
* The Net Zero goal by 2050 is the global effort that is in line with the Paris Agreement. As for KBank, our Net Zero goal has been established in accordance with Thailand’s target, and will accelerate the achievement where possible.
** Scope 1: Direct emissions from the activities of an organization including stationary combustion, fleet vehicles (organization-owned), chemical treatment of wastewater, as well as fugitive and process emissions. Scope 2: Energy-indirect emissions including an organization’s purchased energy such as electricity, heat and steam.
KBank has prepared a report to comply with the Task Force on Climate-related Financial Disclosures (TCFD), consisting of four aspects, as follows:
Governance
Governance and management of risks and opportunities related to climate conditions
KBank Board of Directors
- Risk Oversight Committee Governance Committee
- Corporate Governance Committee
- Credit Risk Management Sub-Committee
- Sustainable Development Sub-Committee
Strategy
Impacts of risks and opportunities related to climate conditions on business strategies and financial planning
Net Zero Strategy
- Climate-related Scenario Analysis
Risk Management
Process for risk assessment and identification, and management of risks related to climate conditions
Analysis process of climate-related risks and impacts, affecting KBank’s operations and portfolios
- Management of risks and impacts affecting KBank’s operations
Metrics and Targets
Metrics and targets for assessment and management risks and opportunities related to climate conditions
- 1. Net Zero Emissions Target
- 1.1 Net Zero Emissions from KBank’s operations by 2030 (Scope 1 and 2)
- 1.2 Net Zero emissions in KBank’s portfolio in line with Thailand’s target
- 2. At least Baht 100 - 200 billion in sustainable financing and investment by 2030
Read more in KBank's Sustainability Report 2024 Chapter Task Force on Climate-related Financial Disclosures (TCFD)
Internal Carbon Pricing (ICP)
We have adopted an Internal Carbon Pricing (ICP) strategy by applying a shadow price range between THB 500 to 2,000 per tCO₂e. ICP helps us prioritize our GHG Scope 1 and 2 decarbonization projects with more efficiency. Looking forward, The ICP strategy will support the company in identifying and seizing low-carbon opportunities, navigating future regulations, and incentivizing the integration of climate-related considerations into decision-making. By embedding ICP, we ensure that climate risks and opportunities are integrated in our strategic planning and all business decision-making processes.
Document
TCFD report 2024
TCFD report 2023
TCFD report 2022
TCFD report 2021
KBank Scenario Analysis 2021
KBank Scenario Analysis 2020
KBank Scenario Analysis 2018