Sustainability Governance
ESG & Sustainability, set up in order to monitor and coordinate the various issues relating to social and environmental responsibility, reports through the Chief Financial Officer to the Managing Director and CEO and Board of Directors. It collaborates with a network of Sustainability Managers.
The ESG responsibilities of Group Bodies and Structures
The main sustainability/ESG responsibilities of the Intesa Sanpaolo Bodies and Structures are indicated below.
The Board of Directors, with the support of the Risks and Sustainability Committee, approves the updates to the Code of Ethics, as well as the strategic guidelines and policies on sustainability (ESG), including the social and cultural responsibility model and the fight against climate change – taking into account the objectives of solid and sustainable value creation and distribution to all stakeholders; again with the support of the Risks and Sustainability Committee, it approves the CNFS and any other key reporting in this area, monitoring the Group’s sustainability performance, including in the fight against climate change, and ensuring that the CNFS is drawn up and published in compliance with the regulations currently in force.
The Risks and Sustainability Committee supports the Board of Directors in the assessment and investigation of the sustainability issues (ESG) associated with the performance of the Bank’s activities and in the approval of the strategic guidelines and policies on sustainability, including the social and cultural responsibility model and the fight against climate change, contributing to ensuring more efficient risk monitoring and taking into account the objectives of solid and sustainable creation and distribution of value for all stakeholders; in approving the list of ESG-sensitive sectors for the purposes of the Group’s loan activity; in approving the updates to the Code of Ethics and in examining the Annual Report on the Code of Ethics; in approving the CNFS, analysing, in particular, the potentially most relevant sustainability issues as well as any other report of particular importance in this area submitted to the Board of Directors; in verifying the Group’s positioning with respect to national and international best practices in sustainability, with particular reference to Intesa Sanpaolo’s participation in the main sustainability indices.
With the support of the functions responsible for sustainability (ESG) and internal auditing, the Management Control Committee monitors compliance with the principles and values contained in the Code of Ethics. With regard to the CNFS, it monitors compliance with the provisions set out in Italian Legislative Decree no. 254/2016 and reports on this in its annual report to the Shareholders’ Meeting.
The Managing Director and CEO governs the sustainability performances and has the power to submit proposals to the Board for the adoption of resolutions within its remit.
The Steering Committee is a management committee chaired by the Managing Director and CEO and includes his/her first reporting lines, i.e. the Heads of the Governance Areas and Divisions. The Committee collaborates in the identification of sustainability issues (ESG) that are potentially relevant for the definition and updating of the material issues. Taking into account the objectives of solid and sustainable creation and distribution of value for all Stakeholders, it collaborates in the definition of strategic guidelines and sustainability policies (ESG), including the model of social and cultural responsibility and the fight against climate change, which the Managing Director and CEO submits to the relevant Board Committees and the Board of Directors; it reviews the CNFS prior to submission to the Board. It also examines the CNFS prior to its presentation to the Board. In order to review these issues, the Committee meets at least quarterly as part of the Business Plan and Sustainability (ESG) session. It is also tasked with guiding the consistency of technological development, with specific reference to artificial intelligence/machine learning, with the Group’s ethical principles.
The ESG Control Room is overseen by the CFO Area and by the Strategic Support Department and relies on the Sustainability Managers, identified in each Governance Area and Division, who guarantee an overall and integrated supervision of ESG initiatives for the relevant scope and contribute to the Group’s strategic proposition on these issues. It was introduced as part of the ISP4ESG Programme and has been operational since October 2020. The ESG Control Room supports the Steering Committee - Business Plan and Sustainability (ESG) Session - in the strategic proposition relating to ESG issues; it takes care of the operational coordination for the implementation of the most relevant ESG initiatives and assesses the opportunity and solidity of any new initiatives in this area.
ESG & Sustainability, within the Financial Market Coverage Department of the Chief Financial Officer Governance Area, oversees the process related to the definition, approval and updating of the ESG and sustainability guidelines, in line with the corporate strategies and objectives and contributes, in coordination with the ESG Control Room, to supporting the Steering Committee in the preparation of proposals for strategic guidelines and sustainability policies (ESG); it oversees the promotion and implementation of ESG and sustainability aspects in the Group’s strategies and operations, including Climate Change issues, including in collaboration with the other structures; it updates the Code of Ethics and monitors its application with the support of the Chief Audit Officer functions; it is in charge of ESG and sustainability reporting (i.e. CNFS, TCFD Report); it oversees relations with the financial community in relation to ESG and sustainability issues; it oversees the stakeholder engagement process in relation to ESG and sustainability issues; it takes care of communication and disclosure activities, in coordination with the ESG Control Room, and is responsible for defining the Group’s training requirements on ESG and sustainability issues, including in collaboration with the other competent corporate functions.
The Sustainability Governance is also strengthened by the role of the 17 Sustainability Managers retained by the ESG Control Room, identified in each Area and Division, who are tasked with coordinating the numerous ESG initiatives undertaken by the Divisions and Governance Areas and assessing new opportunities and cross-cutting projects in the ESG sphere accordingly. Within the scope of the International Subsidiary Banks Division, the ESG governance model is consistent with the diversity and specificities of the reference territories and in line with the Parent Company’s approach. At Head Office level, a dedicated structure was created in 2022 to support the Sustainability Manager who will be reporting directly to the Head of Division as of 2023 and an ESG manager is present at the individual Bank level, who is usually identified in the deputy CEO, assisted by an ESG team reporting to him/her. In 2022, the implementation of an ESG Committee at the Division level (International Subsidiary Banks Division’s Sustainability Committee) and at the level of the individual Banks (Sustainability Committee) was planned, with advisory and decision-making functions and with the aim of coordinating and guiding ESG issues to ensure the correct implementation of the Parent Company’s strategies and guidelines.
The Code of Ethics, adopted in 2007, expresses the identity of the Bank, its mission and reference values, as well as the principles it adopts in relations with its stakeholders.
The ESG & Sustainability structure periodically presents a report to the Management Control Committee on the state of implementation of the Code of Ethics, on critical issues and reports from stakeholders as well as on the consequent expected corrective actions.
The assessment of critical issues takes place on the basis of what emerges from a periodic assessment carried out by a specialized and independent consultancy company to assess the consistency of the corporate management processes with the values of the Code of Ethics. The report to the Governing Bodies also includes the summary of reports by stakeholders of violations of company principles and values.
Sustainability in International Subsidiary Banks
Intesa Sanpaolo International Subsidiary Banks, operating in Central-Eastern Europe and in the Mediterranean basin (for further details), are engaged in projects and activities to realize the Group's commitment to sustainability.
Communication to stakeholders regarding the values and initiatives taken is one of the fundamental aspects of social responsibility strategy in all the countries where the Group operates.
All Banks contribute to the Group's annual Consolidated Non-financial Statement, have a section dedicated to Sustainability on their website and report on their CSR activities in a chapter of the Annual Report or in a separate sustainability report.
We have the goal to provide innovative financial and non-financial solutions that support integrated economic development, financial inclusion and environmental sustainability to contribute to the implementation of Egypt's COP27 'Vision 2030' and the UN Sustainable Development Goals
Last updated 24 July 2023 at 16:44:07
