HDFC Bank Targets Carbon Neutrality by FY32
HDFC Bank has announced a target to achieve carbon neutrality for its operational emissions by the financial year 2031-32 as part of its environmental, social and governance strategy.
The bank reported a significant reduction in Scope 2 emissions during FY26. Emissions declined to 2,36,495.41 metric tonnes of carbon dioxide equivalent, compared with 2,84,877.91 metric tonnes in the previous financial year.
The reduction was supported by a sharp increase in renewable energy consumption. HDFC Bank’s renewable energy use rose from 66,436.61 gigajoules in FY25 to 3,45,972.88 gigajoules in FY26.
As of March 31, 2026, 233 bank locations were operating entirely on green power. The bank also commissioned 25 rooftop solar plants with a combined capacity of 754.39 kilowatt-peak. These initiatives helped reduce an estimated 516.94 tonnes of carbon dioxide equivalent during the year.
HDFC Bank has also expanded the use of electric vehicles in its operational fleet. The initiative is expected to prevent approximately 12.55 tonnes of carbon emissions annually.
However, the bank’s Scope 1 emissions increased to 91,849.51 metric tonnes of carbon dioxide equivalent, compared with 77,999.50 metric tonnes in the previous year. Total energy consumption also increased, highlighting the need for continued investment in efficiency and renewable energy.
The bank’s sustainability strategy also includes financing renewable energy, clean transportation and other environmentally responsible activities. Independent assurance of its core sustainability disclosures was conducted by SGS India.
HDFC Bank’s carbon-neutrality target reflects the growing importance of climate-risk management and sustainable operations within India’s banking sector.
