Public HTML RI reports - PRI reporting framework 2020

Stichting Pensioenfonds Zorg en Welzijn

PRI reporting framework 2020

Basic information [OO 01 - 09] Asset class implementation gateway indicators [OO 10 - 12] Peering questions [OO LE 01 - HF 01]

Strategy and Governance

Investment policy [SG 01 - 04] Objectives and strategies [SG 05 - 06] Governance and human resources [SG 07 - 08] Promoting responsible investment [SG 09 - 11] Outsourcing to fiduciary managers and investment consultants [SG 12] ESG issues in asset allocation [SG 13 - 15] Asset class implementation not reported in other modules [SG 16 - 17] Innovation [SG 18] Communication [SG 19]

Indirect – Manager Selection, Appointment and Monitoring

Listed Equity and Fixed Income Strategies [SAM 01] Selection [SAM 02 - 03] Appointment [SAM 04] Monitoring [SAM 05 - 07] Outputs and outcomes [SAM 08 - 09]

Direct - Listed Equity Incorporation

ESG incorporation in actively managed listed equities [LEI 01 - 10] Implementation processes [LEI 01 - 10] (A) Implementation: Screening [LEI 04 - 06] (B) Implementation: Thematic [LEI 07] (C) Implementation: Integration of ESG factors [LEI 08 - 10] Outputs and outcomes [LEI 12 - 13]

Direct - Listed Equity Active Ownership

Overview [LEA 01] Engagement [LEA 02 - 08] Outputs and outcomes [LEA 09 - 11] (Proxy) voting and shareholder resolutions [LEA 12 - 21]

Direct - Fixed Income

ESG incorporation in actively managed fixed income [FI 01 - 12] Implementation processes [FI 01 - 03] (A) Implementation: Screening [FI 04 - 06] (B) Implementation: Thematic [FI 07 - 09] (C) Implementation: Integration [FI 10 - 12] ESG incorporation in passively managed fixed income [FI 13] Fixed income - Engagement [FI 14 - 16] Outputs and outcomes [FI 17 - 18]

Direct - Property

Overview [PR 01] Pre-investment (selection) [PR 04 - 06] Post-investment (monitoring and active ownership) [PR 08 - 14] Overview [PR 08] Property monitoring and management [PR 09 - 10] Outputs and outcomes [PR 15 - 16]

Direct - Infrastructure

Overview [INF 01 - 02] Pre-Investment (Selection) [INF 05 - 09] Overview [INF 11] Infrastructure Monitoring and Operations [INF 12 - 14] Infrastructure Maintenance [INF 15] Stakeholder engagement [INF 16] Outputs and outcomes [INF 17 - 18]

Confidence building measures

Confidence building measures [CM1 01 - 07]

Export Public Responses

You are in Direct - Infrastructure » Post-investment (monitoring and active ownership)

Post-investment (monitoring and active ownership)

Overview

INF 11. ESG issues in post-investment activities

11.1. Indicate whether your organisation and/or operators consider ESG issues in post-investment activities relating to your infrastructure assets.

Yes

11.2. Indicate how your organisation, and/or operators, considers ESG issues in the following post-investment activities relating to your infrastructure assets.

We consider ESG issues in the monitoring and operation of infrastructure

We consider ESG issues in infrastructure maintenance

We consider ESG issues in stakeholder engagements related to our infrastructure

We consider ESG issues in other post-investment activities, specify

          good practices of corporate governance

11.3. Describe how your organisation, and/or operators, considers ESG issues in post-investment activities related to your infrastructure investments. [Optional]

Due to our long-term focus, improving the sustainability of business operations of our investments is essential and in line with our interests. Through our direct interest, we can influence corporate governance policy and organisation structure. Future trends, such as climate change and technological developments focused on limiting climate change, are an important part of the long-term business plans we discuss with management. The Infrastructure team makes the portfolio more sustainable and consequently more future-proof through direct investments in solutions for climate change and water scarcity and by making the existing broader infrastructure portfolio more sustainable.

We focus on ESG improvements within the existing infrastructure portfolio. This includes safety in the construction industry and in maintenance, reducing energy use and implementing CO2 reducing solutions, such as LED lighting, the use of residual heat and heat pumps. We specifically focus on projects that reduce CO2 emissions, initiatives that improve HS&E awareness and board & management team diversity.

ESG performance vs peers is measured through means of the GRESB Infrastructure. In 2018, the number of participating portfolio companies rose to 73%. The ESG performance of most portfolio companies increased as well. The 2018 GRESB performance of the fund compared to peers (globally diversified funds) was just below average. The PGGM Infrastructure Fund aims to achieve a top quartile GRESB performance rating in 2020.

Infrastructure Monitoring and Operations

INF 12. Proportion of assets with ESG performance targets

12.1. Indicate the proportion of infrastructure assets for which your organisation and/or operators included ESG performance in investment monitoring during the reporting year.

>90% of infrastructure assets

51-90% of infrastructure assets

10-50% of infrastructure assets

<10% of infrastructure assets

(in terms of number of infrastructure assets)

12.2. Indicate ESG issues for which your organisation, and/or operators, typically sets and monitors targets (KPIs or similar) and provide examples per issue.

Environmental

List up to three example targets per issue

          Environmental incidents

          Avoided CO2 emissions

          Reduction CO2 emissions

Social

List up to three example targets per issue

          Lost time incidents (LTI) and “near misses” reporting

          Accident data on our toll roads

          Stakeholder feedback

Governance

List up to three example targets per issue

          Management team remuneration vs benchmark

          Progress on ESG initiatives

We do not set and/or monitor against targets

12.3. Additional information. [Optional]

INF 13. Proportion of portfolio companies with ESG/sustainability policy

13.1. Indicate whether you track the proportion of your infrastructure investees that have an ESG/sustainability-related policy (or similar guidelines).

Yes

13.2. Indicate the proportion of your infrastructure investees that have an ESG/sustainability-related policy (or similar guidelines).

>90% of infrastructure investees

51-90% of infrastructure investees

10-50% of infrastructure investees

>0% and <10% of infrastructure investees

0% of infrastructure investees

(in terms of number of infrastructure investees)

13.3. Describe how your organisation, and/or your operators, contribute to the infrastructure investees’ management of ESG issues. [Optional]

PGGM advises and engages actively with its investees and with us (PFZW) to set mutual ESG objectives.

Best practices are shared and applied in terms of the management of ESG issues across the investment portfolio by PGGM. It relates for example to health and safety initiatives, creating awareness for ESG related topics and improving ESG reporting by portfolio companies that are invested in directly and from fund managers.

INF 14. Type and frequency of reports received from investees (Private)

Infrastructure Maintenance

INF 15. Proportion of maintenance projects where ESG issues were considered

15.1. Indicate the proportion of active infrastructure maintenance projects where ESG issues have been considered.

>90% of active maintenance projects

51-90% of active maintenance projects

10-50% of active maintenance projects

<10% of active maintenance projects

N/A, no maintenance projects of infrastructure assets are active

(in terms of number of active maintenance projects)

15.2. Describe your approach to ESG considerations for infrastructure maintenance projects. [Optional]

Stakeholder engagement

INF 16. Proportion of stakeholders that were engaged with on ESG issues (Private)

Previous Section Next Section