HASI is an American investment firm based in Annapolis, Maryland. They joined the Net Zero Asset Managers Initiative in October 2022 and made their Initial Target Disclosure in November 2023.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
46% of total AUM (USD $4.5 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
Portfolio decarbonisation reference baseline
0 tCO2e/$1mn revenue. We calculated the baseline performance for our target metric by first accounting for the avoided emissions impact of the asset classes in which we invest. We perform a quantitative impact assessment for each investments’ carbon avoidance by integrating forward-looking project assumptions, emissions factors, and capital investment. The quantification of potential environmental impacts is one of the initial steps in our investment screening process. To meet our sustainability screen, a proposed investment must either reduce or be neutral on carbon emissions, or have some other tangible environmental benefit such as reducing water consumption. This methodology informed our baseline performance target metric.
Portfolio decarbonisation reference target
0 tCO2e/$1mn USD (or de minimis) revenue. We arrived at our quantified target to be achieved by our 2050 target year by pairing the avoided emissions methodology we use to assess the financed emissions impact of each investments with our financial forecast models to determine the revenue weighted average carbon intensity figure for our net zero target.
GHG scopes included:
This target covers our Scope 3, category 15 (financed) emissions.
Science Based Target initiative for Financial Institutions
We believe we are already aligned with the 1.5°C IPCC pathway.
Proportion of AUM committed:
HASI only invests in projects focused on reducing the impacts of, or increasing resiliency to, climate change. To meet our sustainability screen, a proposed investment must either reduce or be neutral on carbon emissions, or have some other tangible environmental benefit. As a result, we believe that 100% of our assets have zero or avoided emissions associated with them. However, we are still engaging with independent third party standard setters on a shared methodology to measure avoided emissions from certain of our asset classes. Of our $9.8b AUM, $4.5b comprises assets that do not have any emissions associated with their operation (according to the existing PCAF standards).
Policy on coal and other fossil fuel investments:
For more information, see our Sustainability Investment Policy
For each prospective climate solutions investment, we analyze project specific data (e.g. the expected reduction in annual energy consumption resulting from the installation of energy efficiency upgrades or the energy produced by a clean energy project), to determine each project’s expected environmental benefits. To measure the avoided carbon impact, we calculate the annual metric tons of carbon emissions offset by the project, considering fuel mix percentages and carbon intensities of fuel in the project’s regional location. Projects’ relative environmental impacts are then calculated using the metric tons of carbon (CO2) emissions reduced annually per $1,000 invested.
Emissions reduction target disclosures and details are located on page 44 of our 2022 Impact Report.