Transcript Namita Vikas

YES BANK – Financing the Future
Namita Vikas,
Senior President & Chief Sustainability Officer,
YES BANK
India Story!
• India ranked 13 on climate Vulnerability Index
• IPCC AR5 on India:
– Agricultural sector would be hit worst
– Rainfall puts millions of lives at stake
– Adaptation, Mitigation and Resilience key
• Currently India gearing up climate action:
– Commitments to achieve 175 GW Renewable Energy
by 2020
– Deployment of Green Climate Fund
Climate Finance - Advocacy
Renewable
Energy
ESG
Ministries
and multilaterals
Thought
Leadership
•
•
Separate Sectoral limits
Inclusion in Priority Sector
Lending
• Exclusion from Single/Group
borrower limits
• Voluntary Responsible Finance
• Guidelines
Establishment
of Indian
Sovereign
for the
Renewable
Energy funds
Banking
industry
Climate
Finance
Task force
•• India
Advisory
Council
of theto
increase
Renewable energy
UNEP
Inquiry
investments
• Low
carbon industry growth in
India
Advising
on INDCs for
‘COP21’
• • E-waste
management
in India
–
• The
UScorporate
India Clean
Energy Fund
imperative
India GHG
program
• • Enabling
finance
for scaling up
energy efficiency in MSMEs
• Increasing RE investments in
India
Climate Finance - Action
Renewable
Energy
ESG
Innovation
Internal
action
•INR 10 bn Green Bond
•Target 5 GW funding
•Environmental & Social
framework
•Sustainability Series
•Industry training
•Employee
trainingfund for
•Partial
risk guarantee
socially/environmentally
impactful enterprises
•Participation in Green Climate
fund
•Energy efficiency in MSMEs –
•Environmental
Management
Energy audits and
exploring
Policy
financing opportunities
•ISO
•YES 14001:2004
COMMUNITY
Responsible Banking: A differentiated
approach
Pure Profit
“Sustainability Zone”
Combined economic, social and
environmental benefits
Pure Philanthropy
Responsible Banking
Deliverables
Deliver internal and external positive socio-environmental impact
Enhance YES BANK’s influence in CSR and sustainability space
Mission
Vision
Link CSR and sustainable development with stakeholder value creation
through innovative solutions and services
Weave sustainability principles into YES BANK’s core business strategy
and processes
YES BANK - Be the benchmark financial institution for inclusivity
and sustainability”
Responsible Banking - Approach
Proactive investments for
environmental & social outcomes
Impacting environment & society
through innovative solutions
Internalizing sustainability in core
operations
Proactive investments for
environmental & social outcomes
Evolution of Renewable Energy
Financing at YES BANK
January 2015 - INR 10
bn Green bonds
September 2014 500MW annually
January 2015 - 5
GW over next 5
years
This financial year, we have
already achieved 1100 MW
exposure to Renewable energy
projects
Welspun Neemuch Largest solar PV Project 151 MW capacity
• First bank to sanction facilities
of $33 million(~24.8 million
Euros) to the project
• Electricity for 624,000
households
• Offset 216,372 tons of CO2
emissions annually
• Create livelihoods and
provide services to BoP
Impacting environment & society through
innovative solutions
• Approximately 1.28 mn
unique senders
• INR 32 bn worth
transactions in FY2013-14
YES MONEY
•Remittance service for unbanked &
under-banked population of India
YES SAHAJ
•Cost effective & scalable Mobile
transaction solution—Micro-ATM
model
YES LEAP
•Credit, saving & insurance facilities
to SHGs through NGOs acting as
Business Correspondents of Bank
Inclusive &
Social
Banking
YES KISAN DAIRY PLUS
•Instant payment services to milk
vendors through the dairy acting as a
BC
I
M
P
A
C
T
•Brought financial services to
rural households
• INR 2.96 bn worth
transactions in FY2013-14
•Extended Financial Inclusion
to over 0.53 mn households
• INR 270 mn in savings
linked SHGs & INR 650
crores in credit linked SHGs
•Immense scaling
opportunity as 60% of
farmers are using the instant
payment services
Internalizing sustainability in core
operations
Environmental & social policy
Project
2
Project
3
Project
1
Project 2
For all projects
Compliance to
Exclusion List
(Annexure I of
ESP) and Host
Country
Regulations
ISO 14001 certification
Challenges
Lack of
awareness
Opportunities
Regular communication
Awareness sessions
Lack of
ownership from Individual energy audits
branch staff
Huge branch
network
Training to branch staff
Projects exceeding
USD 5 million
Compliance to
Exclusion List, Host
Country Regulations
and applicable IFC
Performance
Standards
First Indian bank to get
ISO 14001:2004
certification
10 10
Encouragement for Climate action
to non-state players
World:
•Internalizing the externalities
•Positive incentivization through
Policy
•Monetization & Minimization
•Integrated reporting
India:
•Decipher climate action at local
level
•National Adaptation Fund
•Single window clearances – fast
track projects
•ESG risk guidelines
Thank You