John Laing launches new sustainability strategy

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John Laing Group (“John Laing”), a leading international investor and active manager of core infrastructure assets, has launched a new sustainability strategy in its latest sustainability report. The new strategy is based on six pillars: Climate Change, Resource Use, Biodiversity, Communities, Diversity, Equity and Inclusion, and Responsible Business. These pillars shape John Laing’s organisation and investment approach.

Sustainability Report 2022 Highlights

Through its investments, John Laing has helped deliver:

- 2,361GWh+ of renewable electricity – enough to power over 370,000 homes

- 3,500 people provided with water filters

- 730 units of elderly housing

- 270 hospital beds

- 37 per cent of our portfolio (by value) provides access to healthcare services, housing and telecommunication

- 36 per cent of our portfolio (by value) is in low-carbon investments

John Laing helps its assets to develop decarbonisation plans and the development and implementation of such plans is key to the company’s asset management and investment philosophy. John Laing is aligning to the goal of net zero by 2050, with an interim target for 70 per cent of assets under management to align with net zero by 2030.

John Laing sees the management of its sustainability impact as critical to fulfil its fiduciary duty to create and protect long-term business value. Ambitious sustainability goals can only be achieved through close collaboration with clients, business partners and management teams.

To reduce the sustainability impact of our assets, John Laing has improved transparency across its portfolio. The company, now in its second year of comprehensive ESG data collection, saw a step-change in the measurement of its carbon footprint over the past year, with 90 per cent of its portfolio (by value) calculating direct (Scope 1 and 2) emissions and 100 per cent estimating material indirect (Scope 3) emissions as well. This marks an increase of 60 per cent and 40 per cent respectively on the previous year.

Over the last year, John Laing conducted an assessment of physical climate risks and undertook biodiversity screening for the first time. Thirty-four per cent of our assets are located near biodiversity sensitive areas and none has reported a net impact on the ecosystem.

Key priorities for the remainder of 2023 include developing best practice ESG action plans, supporting assets with the development of decarbonisation plans and further embedding ESG into portfolio processes with the help of a new portfolio reporting platform.

ESG considerations are integrated at all stages of the investment life cycle, from due diligence to asset management, and John Laing aims for all new assets to set an ESG action plan focused on sustainability outcomes within a year of acquisition.

Andrew Truscott, Chief Executive of John Laing, said: “Infrastructure has a critical role to play in decarbonising the world economy and achieving the transition to net zero. To help ensure that our business and assets are fit for the future, we have sought to refine what sustainability means to John Laing. Our sustainability strategy has become integral to our business strategy, with our commitment to ESG being reflected in objectives across the organisation.”

Sandrine Lalmant, Head of Sustainability at John Laing, said: “We aim to be a leader in responsible investment in private markets, and our new sustainability strategy follows extensive consultation with partners along with a detailed review of sustainability issues in the sectors we invest in. Across the business, we are aligning to the goal of net zero by 2050, with an interim target for 70 per cent of our assets under management to align with net zero by 2030.”

You can read the full report by clicking on the following text: John Laing sustainability report 2022