Momentum Metropolitan's approach to environmental sustainability is governed by our environmental and sustainability policies.
We recognise that responsible management of the environment and use of scarce natural resources is key to the sustainability and wellness of our business, clients, employees and communities. Although we have been classified as having a low environmental impact, we have adopted a precautionary approach to environmental management and comply with all applicable environmental legislation and regulations.
Momentum Metropolitan not only has a responsibility to reduce its own impact on the environment and to encourage its employees to reduce their impact on the environment. It also has a responsibility as an investor to apply responsible investment practices across all its savings and investment products. We are committed to investing responsibly. This includes being a signatory to the United Nations-supported Principles for Responsible Investing (UNPRI) and our membership of several international and South African codes and bodies.
Our Responsible Investment team has a proactive approach to environmental issues with the aim of, where possible, managing and mitigating events before they escalate. They engage with the management of listed companies in which they are invested throughout the year to raise and, where possible, resolve any concerns they may have with regard to environmental matters. Momentum Metropolitan was the first South African company to sign the Just Transition Global Investor Statement, which commits us to ensuring that as we transition to a low carbon economy there is also a just transition for workers and communities. In July 2021, we also became a formal supporter of the Taskforce on Climate Related Disclosure (TCFD)
Momentum Metropolitan has a sustainability framework which is available on request.
As leaders in the Insurance industry we are committed to doing our part to implement best practices and new technologies to reduce our environmental footprint.
For more detail on our commitment refer to our climate change positioning statement and our climate change investment policy.
Environmental responsibility is a concern that we are addressing as part of our sustainability efforts. We are making concerted efforts to enhance our sustainability efforts so that we can make our contribution to lower the risks posed by global climate change. We have invested in new technology and equipment in order to enhance our progress in reducing emissions, fuel consumption, water and energy usage and other metrics by which we measure our improvements.
Climate change risks and opportunities are integrated into the multi-disciplinary company-wide risk management processes. We include climate change risks and opportunities in the Momentum Metropolitan CDP submission. The following risk areas are assessed and included in the CDP submission (please refer to the CDP website for additional information):
For more information on the management of our natural environment during F2021, please refer to our Natural Capital extract which can be accessed here.
Momentum Metropolitan Holdings participates in the CDP process annually. CDP is the global disclosure system for companies to disclose their carbon emissions. In this we disclose the risks and opportunities we face in terms of climate change, as well as provide details on our carbon footprint and trend data relating to our carbon footprint, year-on-year. For full details please see the publicly available Momentum Metropolitan Holdings submission on the CDP website.
Momentum Metropolitan Holdings achieved a B rating in 2020 CDP results for environmental impact management.
Momentum Metropolitan was rated against the industry, the region and the CDP programme and scored highly against these benchmarks.
Click here to find out more about Momentum Metropolitan’s CDP submission.
Although classified by the JSE as having an overall low environmental impact, the group’s largest contributor to Momentum Metropolitan’s carbon footprint is electricity. The group had committed to a 12% usage reduction in carbon emissions by 2020. Momentum Metropolitan Holdings’ baseline year is the financial period 1 July 2013 to 30 June 2014. Momentum Metropolitan achieved this target during the period 1 January to 31 December 2017, thus Momentum Metropolitan have set a new target of 25% reduction by 2030. The reduction in emissions is monitored on an annual basis to ensure that we achieve our 25% target by 2030.
The Momentum Metropolitan Holdings carbon footprint is verified by an external carbon emissions verification agency on an annual basis.
During 2018, Momentum Metropolitan Holdings changed their carbon footprint reporting period from financial year July to June to align to the Department of Forestry, Fisheries and the Environment reporting period.
| Momentum Metropolitan Holdings Carbon footprint: | 1 January to 31 December 2020: Total metric tons CO2e |
FYE 2014: Total metric tons CO2e |
Change from FYE 2014 to 2020 |
|---|---|---|---|
| Scope 1 | 2 119 | 1 444 | 47% |
| Scope 2 | 41 906 | 58 209 | -28% |
| Intensity measures | |||
| Total number of employees included | 16 234 | 17 422 | -7% |
| Total emissions per employee | 2.71 | 3.42 | -21% |
Click here for further details on our carbon footprint verification statement.
Ultimate responsibility for environmental management lies with the Social, Ethics and Transformation Committee of the board (SETC). Quarterly reports are submitted to the SETC.
Climate related issues are overseen by the Board Risk and Compliance Committee; and Social, Ethics and Transformation Committee report to the Momentum Metropolitan Holdings Limited Board. The Momentum Metropolitan Holdings Ltd., Board is ultimately responsible for the end-to-end process of risk management, as well as for the assessment of its effectiveness.
No environmental-related fines were received in the period under review.
Learn more about our environmental policy.
In South Africa, renewable energy is not readily available - hence Momentum Metropolitan does not purchase any energy that is derived from renewable energy sources; however, energy efficiency initiatives are implemented in new and refurbished buildings.
In support of the South African Government’s Integrated Resource Plan and the country’s commitment to reducing carbon emissions, we have cumulatively invested over R2.1 billion from our shareholder portfolio in renewable energy projects, both onshore wind and solar photovoltaic. This investment will not only reduce South Africa’s carbon emissions, it will also generate sufficient electricity to power around 700 000 South African households. We are equity investors in the Umoya wind power independent power producer, which is the first renewable energy independent power producer to receive environmental authorisation in South Africa and was also the first to prove radar compliance with the South African Air Force. It was an early participant in the interactions with the grid operator to prove grid code compliance and gain support for embedded renewable energy generation.