RBC has announced a $35m initiative to retrofit its Canadian branch network with the goal of significantly reducing its carbon footprint.
This ambitious plan involves upgrading 1,200 branches with energy-efficient, low-carbon heating and cooling systems, such as electric heat pumps. These systems will replace outdated HVAC equipment, focusing initially on branches where RBC has direct control over HVAC operations—approximately 62% of its network.
The project, scheduled to start in spring 2025, is expected to reduce the bank’s onsite carbon emissions by 10,000 tonnes, contributing to a 70% reduction in total branch emissions. This initiative is a cornerstone of RBC’s operational strategy outlined in its Climate Report 2023, which supports the bank’s goal of sourcing electricity exclusively from renewable sources.
RBC’s vice president of Enterprise Climate Strategy, Jennifer Livingstone, emphasized the importance of this initiative, stating, “Progress is needed to reduce emissions that come from the buildings we work in, which largely stem from their heating source. Which is why we have made this ambitious commitment to our clients, colleagues, and other stakeholders including our investors. It is one of our largest opportunities for emissions reduction within RBC’s operations.”
Buildings are the third-largest source of greenhouse gases in Canada, making up about 14% of total annual emissions. With the country aiming for net zero emissions by 2050, initiatives like RBC’s are critical. The Canada Green Building Council’s president and CEO, Thomas Mueller, praised the banking sector’s efforts, highlighting that “Achieving Canada’s climate targets requires the building sector to prioritize energy efficiency and eliminate its reliance on combustion for heating, cooling, and hot water service for all new and existing buildings.”
RBC’s Director of Global Sustainability, Jon Douglas, discussed the bank’s strategy for engaging landlords to align on climate targets. With extensive real estate holdings, RBC is uniquely positioned to influence sustainable practices across its network, fostering broader climate action within the real estate sector.
This significant investment by RBC not only underscores its commitment to sustainability but also sets a precedent for other corporations to follow, as Canada strives to meet its environmental targets.
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