Transition Risk Priority Actions

In 2021 we sought to better understand our climate related transition risks. We modelled our risks across the TCFD recommended risk categories, analysed our exposure to risks, and identified opportunities to be harnessed.

Based on the findings from our transition risk analysis 12 key risks were identified and four opportunities were prioritised for short term action. These four opportunities were prioritised as they each address multiple key transitions risks.

Improving climate resilience due diligence process

Landcom has a robust physical climate risk assessment process, and we aim to continue enhancing this. We have started development of a new climate risk portfolio digital tool. This will house our project climate risk assessments and allow us to see them all in one place. Advantages include easier identification of trends that may culminate into transition risks for the business. Plus, we will have better visibility of the portfolio as a whole and therefore the ability to suggest portfolio wide adaptation or mitigation solutions.

Maturing our approach to carbon offsets

This year, in response to our transition risk actions, we published our Carbon Offsets Statement. This shares our approach to procuring NSW nature‑based carbon offsets. While we were already doing this, the increased scrutiny of offsets drove our interest in making our approach clear to any interested stakeholders.

Organisational capability building in sustainability

We’re working hard to ensure that all our staff have a good baseline knowledge of sustainability. The more champions we have pushing towards a low carbon future, the more resilient our organisation and communities will be. Some ways we do this are internal news and education articles and internal training. We also encourage industry engagement and are regular contributors to the GBCA TRANSFORM Conference and Green Building Day.

Incentivise and mature action in our supply chain

We have a mature process for addressing our organisational emissions, which is evidenced in our Climate Active Carbon Neutral Organisation certification. However, our greatest material impact is Scope 3 emissions at our development projects. While this is addressed in our goal to enable carbon neutral communities by 2028, there is still a lot of work to be done, much of which we have limited control or influence over as the emissions sources are deep within our supply chain.

We’re doubling our efforts to drive demand for greener materials and low carbon alternatives at Landcom projects. We’re also adopting new targets that address upfront carbon and materials, focused on concrete, asphalt and steel, to help provide greater transparency of the relationship between emissions and materials.