Landcom recognises the systemic threat posed by climate change and the need for urgent mitigating action. Landcom also acknowledges that not only will climate change impact our operations, but that our operations in turn have an impact on the climate. In 2018 Landcom launched its Sustainable Places Strategy, directly aligned to the Sustainable Development Goals, Paris Agreement and 100 Resilient Cities Program (now Resilient Cities Network). Our Strategy includes a commitment to enabling carbon neutral, water positive, zero waste and net positive ecological outcomes at our new communities by 2028.
While we continue to deliver on these commitments at our assets, Landcom continues to mature our overall approach to mitigating the risks of climate change to our organisation. Landcom first adopted the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) in FY20 and began progressively disclosing each year and working towards full alignment.
In FY23, we began a process to mature our approach for climate risk assessment. We are moving towards a portfolio-based assessment and tracking platform to better identify standard risks and mitigation approaches. This platform will provide a mechanism for continual improvement and support progress tracking of adaptation actions throughout the entire lifecycle of a project. As part of this update, our projects will now consider transition risks alongside physical risks. It is expected that this new process will help Landcom better manage climate risks at both the organisational and project levels. All new projects from FY24 will use this platform.
We recognise that there will always be space for continuous improvement and maturity when responding to climate change risks and opportunities. We are aligning with the TCFDs as it is leading practice, and our disclosures are presented with consideration to the interests of our stakeholders.
Landcom further understand that the new sustainability standards issued by the International Sustainability Standards Board (ISSB) through the International Financial Reporting Standards (IFRS) Foundation have fully incorporated the recommendations of the TCFD. Our voluntary alignment with the TCFD places us well for both of the upcoming sustainability and climate-related disclosure standards.
Recommended Disclosure
Status of Disclosure
Landcom Response / Action
Future Priorities / Actions
Governance
Describe the board’s oversight of climate-related risks and opportunities.
Describe management’s role in assessing and managing climate-related risks and opportunities.
Established
Landcom has a robust and established governance structure for the corporation, Landcom Annual Report: Our Governance Structure. Climate-related risks and opportunities leverage this structure to facilitate a range of considerations and accountability at the highest levels of our corporation, Board of Directors and our management (Executive Committee).
This includes:
- Our Board consider climate risks disclosed as part of project acquisitions
- Our Board and Executive Committee approve Landcom’s Sustainability and Annual reports, including relevant climate-related performance and disclosures
- Twice annual Climate Risk Management Plan updates to the Audit and Risk Committee including a corporation-wide Strategic Risk around environmental sustainability. Monitoring of climate-related risks is undertaken through Landcom’s Strategic and Operational Risk registers, managed between the Executive Committee, Director – Audit and Risk and Director – Sustainability & Learning
- Executive Committee, and Senior Leadership Team all have Key Performance Indicators for climate risk management
- Our Executive General Manager (EGM) – Communications & Policy provides quarterly Board updates and monthly Executive Committee updates on climate-related issues and progress. The EGM approves our Climate Active Certification Public Disclosure Statement, monitors progress against our sustainability targets and provides executive sponsorship on our annual sustainability strategic milestones
- Director – Sustainability & Learning oversees assessment and management of climate-related issues including divisional milestones, GRESB reporting and Annual Sustainability Report assurance, reporting to the EGM – Communications & Policy.
Continue to update our Climate Risk Management Plan to incorporate maturation in climate risk management.
Cascade climate and resilience-related Key Performance Indicators to Senior Leaders.
Continue all existing governance protocols.
Strategy
Describe the climate-related risks and opportunities the organisation has identified over the short, medium and long term.
Established
Climate Resilient Places Pillar Overview, p. 10
Climate Resilient Places Management Approach, p. 11
Climate Change Risk and Community Resilience, p. 16
Urban Heat Island Reduction, p. 18
Disclose our leadership goal sustainability roadmap, targets and progress for our project portfolio.
Continue to identify, model and disclose key transition risks for the organisation.
Describe the impact of climate-related risks and opportunities on the organisation’s businesses, strategy, and financial planning.
Initiated
Climate Resilient Places Pillar Overview, p. 10
Climate Resilient Places Management Approach, p. 11
Climate & Resilience Performance Results: Climate Change Risk and Community Resilience, p. 16
Case Study: Transition Risk Priority Actions, p. 17
Case Study: Carbon in Construction, p. 22
Case Study: Working with BASIX p. 25
Case Study: Exploring the benefits and costs of deconstruction, p. 49
Landcom Climate Active Product Disclosure Statement
Describe the resilience of the organisation’s strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.
Established
Climate Resilient Places Management Approach: Climate & Resilience, p. 12
Risk Management
Describe the organisation’s process for identifying and assessing climate-related risks.
Established
Landcom has a robust risk management framework including an Enterprise Risk Management Framework within which climate risks are assessed to better integrate into whole-of-business decision-making. Climate risks are also considered through a separate category within our Risk Appetite Statement and included in all our relevant risk registers at both the corporate and project levels. Furthermore, Landcom has identified climate risk within one of our five new Strategic Priorities (Planet).
Landcom Annual Report: Risk management
Climate Resilient Places Management Approach: Climate & Resilience, p. 12
Climate & Resilience Performance Results: Climate Change Risk and Community Resilience, p. 16
Continue to advance understanding and disclosures of climate-related financial impacts to the organisation.
Describe the organisation’s process for managing climate-related risks.
Established
Landcom Annual Report: Risk management
Climate Resilient Places Management Approach: Climate & Resilience, p. 12
Climate & Resilience Performance Results: Climate Change Risk and Community Resilience, p. 16
Case Study: Transition Risk Priority Actions, p. 17
Case Study: Transition Risk Scenario Analysis
Describe how processes for identifying, assessing, and managing climate-related risks are integrated into the organisation’s overall risk management.
Established
Landcom Annual Report: Risk management
Climate Resilient Places Management Approach: Climate & Resilience, p. 12
Climate & Resilience Performance Results: Climate Change Risk and Community Resilience, p. 16
Case Study: Transition Risk Priority Actions, p. 17
Metrics and Targets
Disclose the metrics used by the organisation to assess climate-related risks and opportunities in line with its strategy and risk management process.
Established
Climate & Resilience Performance Results, p. 16
Energy & Emissions Performance Results, p. 20
Environmental Management Performance Results, p. 23
Waste & Materials Performance Results, p. 26
Investigate and adopt appropriate metrics for considering transition risks.
Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks.
Initiated
Energy & Emissions Performance Results, p. 20
Environmental Management Performance Results, p. 23
Case Study: Transition Risk Scenario Analysis
Case Study: Transition Risk Priority Actions, p. 17
Case Study: Carbon in Construction, p. 22
Case Study: Working with BASIX p. 25
Case Study: Exploring the benefits and costs of deconstruction, p. 49
Continue to drive down Scope 1, 2 and 3 organisational emissions.
Explore expanding our organisational emissions boundary to include Scope 3 emissions within our sphere of control.
Describe the targets used by the organisation to manage climate-related risks and opportunities and performance against targets.
Established
Climate & Resilience Performance Results: Climate Change Risk and Community Resilience, p. 16
Urban Heat Island Reduction, p. 18
Climate & Resilience Performance Results:
Biodiversity, p. 18
Energy & Emissions Performance Results:
Greenhouse Gas Emissions Reduction, p. 20
Energy & Emissions Performance Results:
Onsite Renewable Energy, p. 21
Environmental Management Performance Results: Green Star Certification, p. 24
Environmental Management Performance Results: NABERS Certification, p. 24
Environmental Management Performance Results: BASIX Certification, p. 24
Waste & Materials Performance Results: Waste, p. 27
Waste & Materials Performance Results: Materials, p. 27
Water Performance Results: Potable Water Reduction, p. 30
Innovation Performance Results: Research Investment, p. 48
Innovation Performance Results: Emerging Technologies, p. 49
Review our targets over FY23 to determine adequacy in meeting our leadership goal and opportunities to consider adding additional targets to support our response to climate-related risks.
Incorporate transition risks and opportunities into our project-level process of addressing climate-related risks including project business plans, community-specific climate and community resilience assessments and through risk specific information materials.