Sustainability

Sustained Focus on ESG

Our transformation path emphasizes strengthening our
environmental, social, and governance aspects in alignment with
SDGs to create meaningful and lasting impacts that address
marginalization, untapped potential, and irresponsible growth
OUR PROMISE

Reinventing businesses, Transforming communities

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JAZA
From our PresidentFZA
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Our Climate Ambition

At the recently concluded UN Climate Change Conference, almost 200 countries agreed to limit the rise in global temperatures to 1.5°C. This reiterated the need for mitigation, adaptation, climate financing, and collaboration to slow the effects of industry on climate change, with the intention of eventually reversing them.

The Philippines, through its own nationally determined contribution, laid out ways for the government to encourage investments in businesses, technologies, and infrastructure that reduce emissions or help make the economy more resilient to the effects of climate change. While the country has yet to set a net-zero target, it has committed to reducing emissions by 75 percent below business as usual by 2030.

Ayala’s Road to Net-Zero Greenhouse Gas Emissions by 2050

Last October 21, 2021, Ayala Corporation committed to achieve net-zero greenhouse gas (GHG) emissions by 2050. Ayala aligns its business strategy with the Paris Agreement’s goal of limiting global warming to 1.5°C compared to pre-industrial levels. As such, Ayala commits to set targets aligned with science that cover direct emissions from owned or controlled sources (Scope 1), indirect emissions from generation of purchased electricity (Scope 2), and relevant indirect emissions that occur in its value chain (Scope 3). We anticipate that Scope 3 emissions will make up a majority of Ayala’s GHG footprint. While Scope 3 emissions may be complex to address, Ayala adheres to net-zero best practice and focuses on understanding and addressing the relevant emissions in its value chain.

To develop a net-zero roadmap, Ayala partners with South Pole, a leading project developer and global climate solutions provider that works with private organizations and governments worldwide. Through the engagement with South Pole, Ayala Corporation and its core businesses, Ayala Land, BPI, Globe, and, ACEN, completed their individual climate action gap analysis in December 2021. The exercise highlighted strengths, identified areas for improvement, and surfaced possible quick wins in the near and medium-term for Ayala and its core businesses.

We are in the process of accounting for the full GHG emissions footprint for the four core business units. Once the full footprint is available, each of the core businesses will develop a roadmap with the appropriate emission reduction strategies to address their Scope 1, Scope 2, and material Scope 3 emissions. We shall then identify interim and long-term science-based targets for each of the core business units.

The rest of our portfolio is expected to follow the same process, beginning with a climate action gap analysis within 2022. We are looking forward to completing the full Ayala Group Climate Ambition Roadmap by the end of 2023.

One of the perils of climate change is rising sea levels. (Ayala Land’s Lio Estate in El Nido, Palawan)

Our ambition to achieve net-zero greenhouse gas emissions by 2050 follows the Ayala group’s commitment to adopt the Task Force on Climate-related Financial Disclosures (TCFD Recommendations). In 2019, Ayala Corporation and its core business units became signatories to the TCFD and are currently working to implement the framework’s 11 recommended disclosures. We have engaged Aon Risk Consultants to determine the actual and potential impacts of climate-related risk and opportunities on our businesses, strategy, and financial planning. The physical and transition-risk study will be completed in 2022. From there, we shall take concrete steps towards mitigating these risks, adapting our processes, and innovating the way we do business to ensure sustainability moving forward. The net-zero roadmap will enable Ayala to satisfy key TCFD disclosure requirements around the strategy and metrics and targets pillars.

Accelerating climate action through our commitment to net-zero greenhouse gas emissions by 2050 is a critical part of Ayala’s sustainability journey. As our concrete contribution to the well-being of future Filipinos, it positions Ayala as a leader, catalyst, and partner for net-zero transition in the Philippines.

Partnerships & Collaboration

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We are also the only Filipino corporation in WBCSD. The organization’s programs for business transformation helps us determine where we are in the journey towards integrating sustainability into our businesses and how we can lead the way for other organizations.

Business Commission to Tackle Inequality

To further promote Diversity and Equality, Ayala joined WBCSD’s Business Commission to Tackle Inequality (BCTI), where Ayala’s President and CEO, Fernando Zobel de Ayala, is a Commissioner. The commission aims to accelerate business action on the same level of climate and nature action

CFO Network Membership

Ayala Corporation’s Chief Finance, Risk, and Sustainability Officer Mr. Alberto M. de Larrazabal has officially become a member of the CFO Network of the World Business Council for Sustainable Development (WBCSD). The network composed of CFOs from companies around the globe aims to shape the financial dialogue, making it more inclusive and changing the system to put ESG at the core of businesses.

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We are a founding member of the Global Compact Network Philippines and more recently, Ayala Corporation has been elected as the Chairperson for 2022 and 2023.

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The Vatican recently formed the Council for Inclusive Capitalism, an initiative that aims to help economies become more inclusive and purposeful. Chairman Jaime Augusto Zobel de Ayala became one of the Stewards at the council.

2021 INTEGRATED REPORT

Building businesses for the greater good

Our 2021 Ayala Integrated Report (IR) highlights our strengthened commitment to ESG, SDGs, and overall Sustainability performance. It further showcases our undertaking on Net Zero: GHG Emissions by 2050 and our progress in our TCFD Journey. Ayala continues to create value for its stakeholders and remain true to its promise of reinventing businesses, transforming communities.

Download the Report

Press Releases

4 August 2022

WeAreAyala Business Club Iloilo commits to do more for the greater good

ILOILO CITY — The Ayala group continues to launch WeAreAyala Business Club (WAABC) chapters across key cities in the country, with an aim to re-energize business units, establish synergy and communication, and fellowship among Ayala group employees, and boost engagement with local communities. Following WAABC Cebu’s launch in April, the Ayala group launched the WAABC… Read more »

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Badges

Awards

Reuters Events Responsible Business Awards are the world’s leading Awards celebrating leadership in sustainable business. The Responsible Business Awards recognise those that are truly having an impact on business, society and the environment—delivering a new blueprint for business in the 21st Century.

We won SILVER in the following categories:

  • Asia’s Best Integrated Report – Large Company (biggest category of the Awards)
  • Asia’s Best Integrated Report – Governance
  • Asia’s Best Integrated Report – Design

We won SILVER in the following categories:

  • Asia’s Best Integrated Report – Large Company (biggest category of the Awards)
  • Asia’s Best Integrated Report – Governance
  • Asia’s Best Integrated Report – Design

We won SILVER in the following categories:

  • Asia’s Best Integrated Report – Large Company (biggest category of the Awards)
  • Asia’s Best Integrated Report – Governance
  • Asia’s Best Integrated Report – Design

25th Asia Insurance Industry Awards, 
Risk Manager of the Year for Ma. Victoria Tan

The Asia Insurance Industry Awards is fully transparent with the judging process independently audited. The Panel of Judges is made up of the leading lights in the industry representing a cross section of individuals including regional and international market leaders, association heads, and regulators.

Risk Management Institute of Australasia,
Risk Leader of the Year, Asian Region 2021 for Ma. Victoria Tan

The largest and most respected professional association for risk management practice in the Australasia region recognizes outstanding leadership in risk management for both the public and private sector.

FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) confirms that Ayala Corporation has been independently assessed according to the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the FTSE4Good Index Series. Created by the global index provider FTSE Russell, the FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market participants to create and assess responsible investment funds and other products.

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Ayala Corporation bagged the Silver Award as Asia’s Best Integrated Report and was a finalist in five other categories at the 6th Asia Sustainability Reporting Awards (ASRA), the most prestigious international awards for corporate reporting.

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Recognized among Top Sustainability Advocates

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Ayala Corporation won a Silver in the Best Sustainable Development Goal (SDG) Reporting 2019 category at the 5th Asia Sustainability Reporting Awards (ASRA) on April 29, 2020. It was also a finalist for Best Integrated Report 2019.

Ayala Corporation Head of Group Risk Management and Sustainability, Ma. Victoria Tan, was included among Asia’s Top Sustainability Superwomen, CSR Works’ annual listing of exceptional female sustainability leaders in the region. Only 27 women from 11 countries were chosen out of 126 nominations from 20 countries across Asia.

Ayala Corporation won Asia’s Best Integrated Report (Highly Commended) at Asia’s Best Integrated Reporting Awards 2018

Ayala Corporation won Asia-Pacific Risk Management Team of the Year.

Ayala won Enterprise Risk Program of the Year at the StrategicRISK Awards

Chairman and CEO Jaime Augusto Zobel de Ayala named a UN SDG Pioneer for his leadership of Ayala’s sustainable business strategy and operations

1st runner-up on Employee Engagement and Development

Among the three Top CSR Advocates in Asia