Wells Fargo Announces Interim Greenhouse Gas Reduction Targets for Oil & Gas and Power Sectors

Rhea-AI Summary

Wells Fargo has set interim targets to reduce greenhouse gas emissions from its financing activities in the Oil & Gas and Power sectors. By 2030, the company aims for a 26% reduction in absolute emissions for Oil & Gas and a 60% reduction in emissions intensity for the Power sector, using 2019 as the baseline. This initiative is part of Wells Fargo’s broader goal of achieving net-zero greenhouse gas emissions by 2050. The company will also report on progress towards these targets and plans to establish additional targets for other high-emission sectors.

Positive

• Sets a clear target to reduce emissions by 26% in Oil & Gas and 60% in Power by 2030.
• Aligns with the Paris Agreement, showcasing commitment to environmental sustainability.
• Plans to report progress on emission reduction targets, increasing transparency.

Negative

• None.

Targets align the company’s financial portfolios with the companywide goal of net-zero greenhouse gas emissions by 2050

SAN FRANCISCO--(BUSINESS WIRE)-- Wells Fargo today announced its interim targets for reducing greenhouse gas emissions attributable to its financing activities in the Oil & Gas and Power sectors. The 2030 reduction targets for these sectors, based on a 2019 baseline, are:

CO2eMission - Wells Fargo's net-zero alignment and target-setting methodology (Graphic: Wells Fargo)

• Oil & Gas sector: 26% reduction in absolute emissions
• Power sector: 60% reduction in portfolio emissions intensity

This is an important step in the company’s work to realize its goal of net-zero greenhouse gas emissions by 2050, including client emissions attributable to its financing. The company intends to reach this net-zero ambition by continuing to support and work with its clients and providing the capital needed to meet the demands of today while working to transition to a low carbon future.

The targets are detailed in CO2eMission^SM, Wells Fargo’s methodology for aligning its financial portfolios to the goals of the Paris Agreement and setting interim, emissions-based targets to guide that alignment. This methodology takes a sectoral approach, which recognizes that each sector of the economy is unique and will have its own decarbonization pathway. CO2eMission is available on this website. Wells Fargo’s approach is informed by the target-setting guidelines of the Net-Zero Banking Alliance (NZBA), which the company joined in 2021.

The company expects to publicly report on the progress made against the targets for Oil & Gas and Power and plans to set additional targets for other key emitting sectors.

About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a leading financial services company that has approximately $1.9 trillion in assets, proudly serves one in three U.S. households and more than 10% of small businesses in the U.S., and is a leading middle market banking provider in the U.S. We provide a diversified set of banking, investment and mortgage products and services, as well as consumer and commercial finance, through our four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo ranked No. 37 on Fortune’s 2021 rankings of America’s largest corporations. In the communities we serve, the company focuses its social impact on building a sustainable, inclusive future for all by supporting housing affordability, small business growth, financial health, and a low-carbon economy. News, insights, and perspectives from Wells Fargo are also available at Wells Fargo Stories.

Additional information may be found at www.wellsfargo.com | Twitter: @WellsFargo.

Cautionary Statement About Forward-Looking Statements
This news release contains forward-looking statements about our future financial performance and business. Because forward-looking statements are based on our current expectations and assumptions regarding the future, they are subject to inherent risks and uncertainties. Do not unduly rely on forward-looking statements as actual results could differ materially from expectations. Forward-looking statements speak only as of the date made, and we do not undertake to update them to reflect changes or events that occur after that date. For information about factors that could cause actual results to differ materially from our expectations, refer to our reports filed with the Securities and Exchange Commission, including the discussion under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2021, as filed with the Securities and Exchange Commission and available on its website at www.sec.gov.

News Release Category: WF-CF

View source version on businesswire.com: https://www.businesswire.com/news/home/20220504005374/en/

Media

Beth Richek, 704-374-2545

beth.richek@wellsfargo.com



Investor Relations

John Campbell, 415-396-0523

john.m.campbell@wellsfargo.com

Source: Wells Fargo & Company

FAQ

What are Wells Fargo's 2030 emission reduction targets?

Wells Fargo aims for a 26% reduction in absolute emissions in the Oil & Gas sector and a 60% reduction in portfolio emissions intensity in the Power sector by 2030.

How does Wells Fargo plan to achieve net-zero emissions by 2050?

Wells Fargo plans to continue supporting clients and providing capital to facilitate a transition to a low-carbon future, while aligning with its emissions reduction targets.

How will Wells Fargo report its progress on emission reduction?

Wells Fargo intends to publicly report on its progress against the targets for the Oil & Gas and Power sectors.

What is the baseline year for Wells Fargo's emission reduction targets?

The baseline year for Wells Fargo's emission reduction targets is 2019.

Is Wells Fargo a member of any environmental initiatives?

Yes, Wells Fargo is a member of the Net-Zero Banking Alliance, which it joined in 2021.