Finnish pension fund Varma announced on Friday that it is committing to fossil-free energy consumption in the properties it owns by 2030. In doing so, the company joins a global real estate and construction industry initiative that advocates for carbon-neutral buildings.
The global Net Zero Carbon Buildings Commitment of real estate investors challenges construction and real estate companies as well as cities to set the target of carbon-neutral buildings in operation by 2030. A total of 96 entities worldwide have committed to the green target.
‘Varma wants to be a forerunner in reducing the energy consumption of the properties it owns and in calling attention to building-related emissions, which play a significant role in climate change.
'As a major Finnish real estate investor, we have an obligation to focus efforts on reducing emissions and aiming for carbon neutrality. Achieving buildings that are zero carbon in operation calls for actions, and the goals of the commitment are in line with our own climate objectives,’ says Varma’s investment manager, real estate, Johanna Haikala.
Varma’s climate goal is for the electricity and heating in its properties to be fossil-free by 2025 and 2030, respectively.
Seven of Varma’s properties have already been equipped with solar panels. In 2020, Varma began installing heat pumps in some of its residential properties, with the goal of cutting the emissions from its housing stock in half by 2023.
Nearly all of Varma’s residential properties are currently using emission-free electricity.
Varma Mutual Pension Insurance Company is one of Finland’s largest real estate investors, with a real estate investment portfolio valued at €4.6 bn at the end of March 2020.
