Page 37 - Exim iar24_Ebook

EXIM BANK MALAYSIA ANNUAL REPORT 2024

4 ENSURING SUSTAINABILITY 35

b. Establishing Scope 1 and Scope 2 Baseline This decision was based on the GHG Protocol’s global
In 2024, EXIM Bank initiated the process of establishing recognition, robust framework, and alignment with
a baseline for Scope 1 and Scope 2 greenhouse gas international best practices. The selection was further
(GHG) emissions. This foundational step enables the supported by our external sustainability consultant,
Bank to measure, monitor, and systematically reduce KPMG Malaysia, ensuring credibility and accuracy in
enterprise-level carbon emissions, in line with our our baseline establishment process.
commitment to achieving carbon neutrality by 2030.
d. Selection of Baseline Year
i. Scope 1 and Scope 2 Emissions Defined After careful consideration, we have chosen 2019
1 Scope 1: Direct GHG Emissions as the Bank’s baseline year for Scope 1 and Scope 2
emissions. This decision is grounded in the following
rationale:
Scope 1 emissions refer to direct GHG emissions • Pre-pandemic normalcy: 2019 represents a period
from sources that are owned or controlled by the of “business as usual” operations, providing a
organisation. These emissions typically result reliable benchmark unaffected by the extraordinary
from:
circumstances of the COVID-19 pandemic.
• On-site combustion: Use of fuels such as • Data reliability: The data for 2019 is considered
petrol or diesel in vehicles, generators, or other robust and representative of typical operational
combustion equipment. emissions.
• Fugitive emissions: Unintentional releases • Future comparisons: By establishing a pre-
of GHGs, such as refrigerant leaks from air- pandemic baseline, the Bank can measure
conditioning or refrigeration systems. progress towards emissions reduction target and
• Process emissions: Emissions generated identify areas for improvement.
through industrial processes, such as chemical
reactions or solvent usage. By setting a clear baseline, it allows us to accurately
quantify our carbon footprint, developed targeted
At EXIM Bank, Scope 1 emissions are primarily emissions reduction strategies and monitor progress
derived from: towards sustainability goals.
• Three (3) company-owned petrol vehicles e. Overview of carbon emissions against baseline
• One (1) diesel-powered backup generator
Scope 1and Scope 2 Carbon baseline
2 Scope 2: Indirect GHG Emissions 1,655.18

Scope 2 emissions are indirect emissions 2024 12.62
associated with the consumption of purchased
electricity, steam, heating, or cooling. These 1,759.00
emissions occur at the facility where the energy is 2019
generated but are attributable to the consuming 56.30
organisation.
Carbon Emissions (tCO2e)
At EXIM Bank, Scope 2 emissions stem from:
Scope 2 Scope 1
• Electricity usage across four (4) offices and
three (3) data centres Diagram 3: EXIM Bank carbon emissions in 2024

c. Methodology Selection for Baseline Emissions
Calculation
To determine the most appropriate approach for
establishing our emissions baseline, the Bank explored
three (3) carbon emissions calculation methods
and reviewed five (5) internationally recognised
methodologies. After careful evaluation, the Bank
adopted the Greenhouse Gas (GHG) Protocol as the
preferred standard for calculating Scope 1 and Scope
2 emissions.