Performance and Priorities

Carbon and energy

Direct emissions

No Scope 1 emissions are produced as the Group’s business activities do not directly release emissions into the atmosphere.

Upstream emissions

Taking into account green electricity usage and ACCUs surrendered during the period, the Group’s net Scope 2 emissions position for the year ended 30 June 2024 was zero tonnes CO2e. Indirect emissions from purchased electricity were 396¹ tonnes CO2e. When adjusted for the acquisition of properties and construction activity at one property², the Scope 2 emissions of the Group increased 7.1 per cent from
2023. This increase can be attributed to changes in the lighting practices at some properties, where adjustments were required to meet the changing safety requirements of tenants, and lighting practices at vacant properties. Changes in renewable energy procurement also contributed to the increase in emissions.

The Group is working to understand the energy requirements of new acquisitions and to identify emissions
reduction opportunities at these properties. The emissions intensity of these properties is expected to reduce with a focus on operational changes including lighting practices, and renewable energy procurement.

The Group completed its first Scope 3 inventory in 2023 and is focusing on working towards pre-assurance, and continuing to iterate and mature its approach to Scope 3 data. The most significant contributor to
Scope 3 emissions, other than those relating to assets leased by BWP to others, relate to the emissions
associated with the purchase of goods and services, and capital goods. 

The Responsible Entities of the Group are 100 per cent owned by Wesfarmers. Employees from Wesfarmers are seconded to the responsible entity and, as such, business-related travel and emissions relating to employee commuting incurred by the responsible entity are reported by Wesfarmers.

Downstream emissions

This is the most material category of emissions for the Group as it comprises Scope 1 and Scope 2 emissions of tenants.

The most significant contributor to this category of Scope 3 emissions is Bunnings, as it comprised approximately 80 per cent of the portfolio at 30 June 2024. Bunnings continues to progress towards its targets to achieve 100 per cent renewable electricity by 2025 and net-zero Scope 1 and 2 emissions by
2030³. The Group continues to expand its understanding of its Scope 3 inventory in order to support value chain engagement, with a focus on working towards pre-assurance and continuing to iterate and mature its approach to Scope 3 data.