In an era where banks reaching their net-zero targets is not just an environmental imperative but also a key competitive advantage, Asset Impact is delighted to announce the expansion of its asset-based products to include the aluminium sector.
Aluminium is the second most widely used metal in the world, accounting for about 3% of the world's direct industrial CO2 emissions. Dubbed the miracle metal given its recyclability, strength to weight ratio and resistance to corrosion, aluminium is set to play a crucial role in the net zero transition, notably in solar power generation and decarbonising the automotive sector by reducing the weight of vehicles. This is driving demand, which is predicted to rise almost 40% by 2030. As a result, the sector needs to grow and decarbonize in parallel to meet the needs of a 1.5°C world.
Asset Impact equips banks with the necessary insights to ensure they are helping to fund low-carbon growth by offering a range of climate and production indicators for over 190 primary smelters and 260 companies. In total, they account for more than 98 percent of the world's primary aluminium production.
Asset Impact’s aluminium indicators align with the Net-Zero Banking Alliance (NZBA) requirements for disclosing emissions, emissions intensities and target setting. Asset Impact's aluminium data includes detailed breakdowns of electricity and non-electricity related emissions across emissions scopes, technologies, and geographies at the physical asset and company-level. Asset Impact will also be engaging with RMI's Sustainable Aluminium Finance Framework, with the aim of becoming a recommended data provider.
Unlike other data solutions, Asset Impact’s unique bottom-up approach ensures comprehensive coverage of both listed and unlisted companies in a consistent and comparable format. Our aluminium indicators are sourced from Skarn Associates, a leading provider of mining and heavy-industry sustainability and climate data. We ensure our indicators seamlessly integrate into clients’ systems through standardized company identifiers and automated delivery solutions.
“Asset Impact is proud to be powering the net-zero transition by financial institutions with precise sectoral, asset-based data. Expanding our offering to the aluminium sector means we now cover seven out of the nine priority sectors required by the NZBA. Our insights enable strategic, sustainable investments that align with global standards and a 1.5°C scenario, supporting our partners to demonstrate leadership, consistency and credibility."
Vincent Jerosch-Herold, CPO, Asset Impact
The new aluminium indicators expand Asset Impact’s existing offering, which provides financial institutions and asset owners with transparent climate and finance indicators of the roughly 66,000 listed equities and private companies and quarter-million physical assets in the most carbon-intensive sectors. Taken together, these companies and their assets account for over 76 percent of global emissions.
Insights to impact
The map and chart below show global emissions hotspots in terms of intensity and absolute emissions across scope 1 and 2 emissions for the aluminium sector by aggregating Asset Impact’s data. This demonstrates at a high-level how banks can use our data to identify trends and insights relating to the net-zero transition as well as drilling down their own activities.
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Get in touch to dive into these insights
Asset Impact’s entire data offering now covers seven out of the nine priority sectors required by the NZBA. With metrics at both asset and company levels, our products are game changers for financial institutions, enabling them to set targets and steer financial portfolios with precise insights.
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