Kommuninvest’s environmental work takes into account both the direct environmental impact of the office operations, purchases and services, as well as the indirect environmental impact of the financial operations.
Direct environmental impact
Kommuninvest’s direct environmental impact relates to the impact arising as a direct consequence of the Group’s operations, including energy consumption in its premises, purchases of office supplies and equipment, meetings and conferences, business travel, etc.
The environmental impact has been monitored annually since 2015 regarding the most significant areas. In 2018, a calculation was made, in cooperation with an external party, of Kommuninvest’s total carbon footprint for the 2017 financial year. The analysis showed a total climate impact of 383.1 tonnes of carbon dioxide equivalents (CO2e), or 4.1 tonnes of CO2e per employee. Business travel, in the form of air travel, hotel accommodation and car travel accounted for 89 percent of the Group’s climate impact, of which air travel accounted for 79 percent.
As such a large proportion of the Group’s climate impact relates to aircraft, this is a natural focus area for reducing the total carbon footprint. A fundamental principle is that it should be possible to reduce travel without compromising on business objectives.
Significant emission reductions was achieved in business travel. Total emissions from business travel have decreased from 801 to 338 tonnes of CO2 equivalents between 2014 and 2018. The main explanation is the reduced number of long-haul flights.
In our office operations, we work in various ways to reduce their environmental impact by means of environmentally labelled electricity, motion-controlled lighting and plumbing fixtures, micro-flush toilets, and a high level of recycling/sorting of waste. Towards the end of 2018, an analysis process was initiated to map the office property’s performance from an environmental perspective, aimed at identifying possible improvement measures.
During the year, Kommuninvest decided to compensate for the greenhouse gas emissions remaining following its own climate efforts. In accordance with the conditions that apply to municipalities and regions, we climate compensate internally, that is, for investments made locally/in Sweden. The funds allocated are calculated based on the estimated expense for external climate compensation, multiplied by a factor of two, and are used to finance initiatives that either support the sustainability efforts of the Society’s members or that help reduce Kommuninvest’s own impact.
Reducing the impact of office operations
Beyond business travel, the Group’s climate impact occurs mainly through the office operations, through consumption of energy and other resources, as well as purchases of office materials and supplies. The Company has modern office premises in which sustainability ambitions are expressed through eco-labelled electricity, motion-controlled lighting and plumbing fixtures, “print-on-demand” solutions, low-flush toilets, etc. However, total energy consumption is increasing and an analysis of potential energy efficiency measures is planned to be implemented in 2019.
Green Loans support the local government sector’s sustainability efforts
Green Loans were introduced in 2015 and allow financing of investment projects undertaken by Kommuninvest’s member municipalities and regions, including renewable energy, energy efficiency, green buildings, public transport and water management. Approved projects must promote the transition to a climate resilient society with low emissions and be part of the systematic environmental efforts of the borrower.
At the end of 2018, Kommuninvest had granted loans totalling SEK 39.5 (26.9) billion for 232 (149) green investment projects. Of the funds granted, SEK 26.2 (19.9) billion had been disbursed. The majority involved renewable energy and green buildings. The expected annual reduction of CO2 emissions from these projects is visible in Kommuninvest Green Bonds Impact Report, which is available on Kommuninvest’s website.
All projects are reviewed from an environmental perspective by Kommuninvest’s Environmental Committee for Green Bonds. The Committee is an advisory body composed of representatives from the environmental function in at least two member municipalities and regions, environmental experts from other relevant organisations in the public sector or academia, as well as from Kommuninvest’s Client Relationship Group.
Largest Swedish issuer of Green Bonds
Kommuninvest finances Green Loans by issuing Green Bonds. Five Green Bonds have been issued since March 2016, and a total of SEK 20.4 (14.4) billion was outstanding at the end of 2018. Investors are primarily institutional ones, both domestic and foreign, with a clear sustainability focus.
CO2 emissions from business travel, tonnes
|CO2 emissions from business travel, tonnes||tonnes|
Source: Big Travel, with processing by Kommuninvest (emission values have been multiplied by a so-called RFI factor of 2.7 for the aviation industry’s high altitude effects).
Distribution of total climate impact
|Business travel 89 %||89|
|Office (electricity, heating, cooling) 6 %||6|
|Office materials 5 %||5|
The analysis related to the 2017 financial year and comparative values are not available. Source: Tricorona Climate Partner
Environmental indicators – Kommuninvest Group
|Total energy consumption (in buildings)||kWh||620,068||585,678||463,034|
|– of which, electricity||kWh||365,237||333,210||295,084|
|– of which, heating||kWh||254,831||252,468||167,950|
|Proportion of renewable energy in energy consumption
|Change in electricity consumption compared to the
|Proportion of renewable energy in energy consumption
|Total office space||m2||2,217||2,217||2,217|
|Total energy consumption per square metre||kWh/m2||280||264||209|
|Total energy consumption per employee||kWh||6,392||6,436||5,447|
|Purchased office paper||Tonnes||0.5||0.5||0.8|
|–of which sustainability labelled paper (PEFC)||Tonnes||0.5||0.5||0.8|
|Proportion of sustainability labelled office paper,
of total purchases
|Total paper consumption per employee||Kg||10.3||11.0||11.8|
|Paper recycling, incl. purchased and delivered paper||Tonnes||2.0||3.0||2.4|
|Total business travel||Km||862,896||887,488||1,319,646|
|Total business travel per employee||Km||8,896||9,753||15,525|
|Total air travel||Km||515,965||591,480||992,144|
|Rail travel in Sweden||Km||311,037||291,456||327,162|
|Total CO2 emissions from business travel1||Tonnes||338.4||375.8||625.6|
|CO2 emissions from business travel, per employee1||Tonnes||3.5||4.1||7.3|
|1) Effective from 2018, Kommuninvest observes a so-called RFI factor of 2.7 in its emissions calculations, with regard to the aviation industry’s high altitude effects. Previously published emission values for 2017 and 2016 have been adjusted.|