Supporting the green transition

Banco Santander is deeply concerned with the climate emergency. Our ambition is to achieve net-zero CO2 emissions group-wide by 2050 in support of the climate change objectives of the Paris Agreement. This applies to the group’s own operations, which have been net zero since 2020, and to all emissions from customers of our lending, advisory and investment services.

Main lines of action

Aligning our portfolio with the Paris agreement goals

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We are committed to aligning our power generation portfolio with the Paris Agreement goals by 2030 and aiding the transition to a low-carbon economy. In our finance operations, our two initial decarbonization targets concerning industries that release CO2 are: 

  • to end financial services by 2030 to power generation customers who rely on thermal coal for over 10% of their revenues; and
  • to cut our exposure to thermal coal mining to zero by 2030.

We are integrating climate within our governance, strategy and risk management, defining courses of action and assessing procedures to transition portfolios and industries with the biggest impact on climate towards our net zero target by 2050. We’re also working alongside international financial institutions and industry associations, implementing the PACTA 2 Degrees Investing Initiative, and reporting on our progress on the UNEP FI Collective Commitment to Climate Action.

Supporting our customers in the green transition

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We’re supporting the transition of our corporate and investment banking, commercial banking and wealth management, private banking and insurance customers to a low-carbon economy. We also intend to continue fighting deforestation and its damage to the climate and biodiversity, especially in the Amazon.

Banco Santander finances more renewable energy projects than any other bank, according to the Dealogic League Tables. We are also a leader in advisory services and are actively financing projects that help the environment. We’re intent on becoming an international mainstay in sustainable finance through stronger ESG products and solutions that suit corporate banking and investment clients’ strategies for sustainable models.

Our internal green book, which classifies retail products under environmental criteria, contains mortgages, energy efficiency loans, leasing to install renewable energy, loans for clean modes of transport and low-carbon agriculture, and other green products we offer for retail customers, SMEs and companies. We also have lines of credit for energy efficiency and renewable energy projects with such multilateral bodies as the European Investment Bank (EIB), the CAF – Development Bank of Latin America and the European Bank for Reconstruction and Development (EBRD).

We promote socially responsible investment, and our asset manager is the only one in Spain to have an ESG team. We assign an ESG rating to most funds and offer a wide range of ESG products to all wealth management clients. Our private banking advisory service is adopting ESG criteria to complement its assortment of sustainable funds, green bonds and alternative products. We also manage the environmental and social risks of our customers' activities.

Reducing our environmental footprint

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We are cutting down and offsetting the CO2 we release while cutting and managing our waste responsibly to reduce our own carbon footprint. We spread awareness of environmental issues among our stakeholders. Because of our efforts, Banco Santander’s operations are carbon neutral, relying on renewable energy sources and promoting carbon offset initiatives and projects. In reducing single-use plastics in our buildings and offices and installing LED lighting, we continue to make progress on our objective of reducing our environmental footprint.

Independent limited assurance report on greenhouse gas statement 2020 (227 KB)

Grupo Santander 2020 carbon footprint procedure and report (1.59 MB)

Our progress

SINCE 2019
65.7 bn €

in green finance

In 2021
€ 27 bn

in sustainable AuM sostenibles

SINCE 2019
3 green bonds

issued of € 1bn each

IN 2021
100 %

Reduction of unnecesarry single-use plastics in corporate buildings and branches

IN 2021
75 %

of our electricity from renewable sources

SINCE 2019
65.7 bn €

in green finance

In 2021
€ 27 bn

in sustainable AuM sostenibles

SINCE 2019
3 green bonds

issued of € 1bn each

IN 2021
100 %

Reduction of unnecesarry single-use plastics in corporate buildings and branches

IN 2021
75 %

of our electricity from renewable sources

Santander Sustainable Bond issuances

Through Santander´s Sustainable Global Funding Framework, which draws on the Green Bond Principles and Social Bond Principles, we issue green, social and sustainable bonds to increase capital for sustainable projects aligned with our Responsible Banking Strategy and ambition. 

This framework has been update in 2022 and supersede the 2020 Global Sustainable Bond Framework. Sustainalitycs provided a Second Party Opinion.

Previous Frameworks

The Santander Global Sustainable Bond Framework provides a special explanation of each bond’s characteristics.

Issuance frameworks:

Green Bond Framework

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We finance renewable energy projects that help the transition to a low-carbon economy.

Net proceeds from green bonds issued under the Green Bond Framework will finance and refinance renewable energy loans.

Vigeo Eiris provided a second party opinion on the Green Bond Framework.

Santander Green Bond Framework June 2020 (666 Kb)

Vigeo Eiris - Second Party Opinion - Santander Green Bond (473 Kb)



Banco Santander Green Bond Reports

Banco Santander Green Bond Report 2019 (534 Kb)

Banco Santander Green Bond Report 2020 (1.963 kb)

 

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