2020 Half Year ESG Target Update

2020
HALF YEAR ESG
TARGET UPDATE
Approved for distribution by
ANZ’s Continuous Disclosure Committee
30 April 2020

1
Our COVID-19 response
As we continue to focus on our ESG priorities, our most immediate task is to support our stakeholders – customers, employees
and the wider community – through the COVID-19 pandemic. We have introduced a number of measures, including:
Customers
• six-month deferral on home and business loan repayments
and relief for personal loan and credit card customers
• widely publicised financial support to help businesses
using JobKeeper, including a dedicated ‘JobKeeper
Assistance Hotline’
• decreases in variable home and small business loan interest
rates in Australia and lowest fixed rate on record
Employees
• work-at-home arrangements – approximately 95% of our
non-branch staff are working from home
• 10 days’ paid coronavirus-related special leave
• protective equipment and social distancing introduced
in bank branches
Community
• more than $3.3 million donated to community partners
in Australia, New Zealand and the Pacific to assist the
most vulnerable.
We will continue to work closely with banking regulators,
and the Australian Financial Complaints Authority, to provide
support to our customers and to help manage the social
and economic impacts of the pandemic.
Further detail on these and other measures is available at
https://www.anz.com/shareholder/centre/investor-toolkit/
16%
Off track
84%
In progress, on track
We are making good progress against the majority
of our targets and are on track to achieve them. Unless
otherwise stated, performance is at 31 March 2020.
1

Note that targets relating to the gambling self-exclusion
capability, housing and financial wellbeing programs have
been impacted by the effects of COVID-19 on the business.
Each year we set public environmental, social and governance (ESG)
targets, many of which are aligned with the United Nations Sustainable
Development Goals. Our targets reflect our ESG priorities and our
purpose – to help shape a world in which people and communities
thrive – and support the delivery of our business strategy.
Progress against our targets is reviewed by the Ethics and Responsible Business Committee quarterly and twice a year by the
Board Ethics, Environment, Social and Governance Committee.
2020
HALF YEAR ESG
TARGET UPDATE
1. Unless otherwise stated, targets are at Group level and monetary amounts in this document are reported in Australian dollars. This information has
not been independently assured. KPMG will provide assurance over ANZ’s full-year performance against targets in its annual ESG reporting to be
released in November 2020.

2020 HALF YEAR ESG TARGET UPDATE
Fair and responsible banking
Keeping pace with the expectations of our customers, employees and the community, behaving fairly and
responsibly and maintaining high standards of conduct
TargetProgress
RepTrak® community sentiment indicator – lead
and improve relative to peers.
ANZ’s RepTrak® community sentiment indicator has
decreased to 58.0 (from 58.8 at 30 September 2019).
We are ranked 1st relative to peers.
Complete a review of ANZ’s customer complaints
policies and standards by end 2020 to validate
the improvement in our internal dispute
resolution processes with respect to:
We continue to review our customer complaints policies
and standards and have taken the actions outlined below
to improve our internal dispute resolution processes. Our
internal Assurance, Risk and Audit teams will validate the
improvements and ensure changes are operationally
effective and embedded in the business.
– recording, management and escalation
of complaints; and
We have:
– established a new Customer Resolution function
encompassing complaint resolution, the Customer
Advocate and systemic issues management;
– developed a Complaint Management Policy to be
released on anz.com by year end; and
– identified a new Complaint Recording and Management
system – the implementation date is pending regulatory
guidance and approval.
– systemic issue identification and management
(Australia).
We have commenced development of improved
procedures for the identification, investigation, escalation
and reporting of systemic issues.
Develop and implement a gambling
self-exclusion capability for consumer credit card
accounts by end 2020 (Australia).
We have commenced development of a gambling self-
exclusion tool for consumer credit and debit cards in ANZ's
mobile phone app. The targeted release date of September
2020 is currently under review.
Continue to allocate dedicated resources to
customer remediation to improve our processes
and ensure that by 2020 we have:
– decreased the time taken to reimburse
customers; and


Our Australia Retail and Commercial Responsible Banking
team has remediated over 1.5 million customer accounts
and issued refunds of around $134 million.
2
– delivered an education program to employees
to share ‘lessons learnt’ from customer
remediation and to prevent future remediation
from occurring (Australia).
We are delivering an ongoing education program to
share ‘lessons learnt’ and to highlight the impacts on
customers when we fail to get it right. In creating a
collective understanding of the root causes of our existing
remediations, we continue to build a shared accountability
for the prevention of future issues.
2. In certain instances we make:
– a community service payment in lieu of a payment to a customer account. At March 2020 charity payments were made for ~129,000 accounts
totaling ~$437,000.
– the customer payment via cheque. At March 2020 cheques were issued for ~260,000 accounts totaling ~$26,000,000. A proportion of these
cheques remain unpresented.
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2020 HALF YEAR ESG TARGET UPDATE
Environmental sustainability
Supporting household, business and financial practices that improve environmental sustainability
TargetProgress
Fund and facilitate at least $50 billion by
2025 towards sustainable solutions for our
customers, including initiatives that help improve
environmental sustainability, increase access
to affordable housing and promote
financial wellbeing.
Since 1 October 2019, we have funded and facilitated
$4.08 billion in sustainable finance transactions (including
green, social and sustainability bonds, sustainability linked
and green loans, renewable energy and low emissions
transport), $2.03 billion of which is on-balance sheet
Class 1 limits.
3
Encourage and support 100 of our largest
emitting customers in the energy, transport,
buildings and food, beverage and agricultural
sectors to establish, and where appropriate,
strengthen existing low carbon transition
plans, by 2021.
We have analysed the carbon disclosures of over 80 of our
largest emitting customers and engaged with 47 of these
to support them to establish, or strengthen, low carbon
transition plans.
We aim to engage with all 100 customers by September
2020. This will help us to establish a ‘baseline’ for how our
customers are responding to climate-risk and inform our
ongoing engagement with them.
Reduce the direct impact of our business activities
on the environment by:
4, 5
– reducing scope 1 and 2 emissions by 24% by
2025 and by 35% by 2030 (against a 2015
baseline);

Scope 1 and 2 emissions have decreased by
29%, tracking ahead of the required reduction
to meet our 2025 and 2030 targets.
– increasing renewable energy use in our
Australian operations by 13% by 2020 (against
a 2017 baseline);
The four wind turbines at Murra Warra Windfarm
(associated with our Power Purchase Agreement) have
generated 22,734 renewable energy certificates
6
since
July 2019. Combined with onsite solar at our Melbourne
headquarters, we have increased renewable energy use
in our Australian operations by 19%.
– reducing paper consumption in Australia and
New Zealand (office and customer paper use
only) by 40% by 2020 (against 2015 baseline);
Paper consumption has reduced by 45%.
– increasing recycling rates in our Australian
commercial offices (> 20,000m
2
) by 12%
by 2020 (against a 2017 baseline); and
Our recycling rate has decreased by 2% to 65%. Actions
underway to improve this include: consideration of additional
waste streams (ie. soft plastics and glass); installation of
new waste signage; and employee education campaigns.
– reducing water consumption in
our Australian commercial offices
(> 10,000m
2
) by 15% by 2020 (against
a 2015 baseline).
Water consumption has decreased by 17%. A significant
reduction of approximately 20% in water consumption
has been achieved with the consolidation of office space
in Melbourne.
3. Limits which result in direct credit risk exposure to a customer.
4. Environmental reporting year is 1 July – 30 June, in line with the Australian regulatory reporting year. Half-year performance
is at 31 December 2019.
5. These targets expire on 30 June 2020. We have already publicly announced a new target to achieve 100% renewable energy
for ANZ’s global operations by 2025. Additional new targets have been developed and will be published in November 2020.
6. Large-scale generation certificates.
3

2020 HALF YEAR ESG TARGET UPDATE
Housing
Improving the availability of suitable and affordable housing options for all Australians and New Zealanders
TargetProgress
Fund and facilitate $1 billion of investment
by 2023 to deliver around 3,200 more affordable,
secure and sustainable homes to buy and
rent (Australia).
We continue to develop a housing supply pipeline through
direct engagement with our clients (new and existing),
supporting innovative models to finance new supply. This
includes jointly leading the first and second bond issuances
of $315 million for the Commonwealth’s National Housing
Finance and Investment Corporation (NHFIC) (Australia).
Provide NZ$100 million of interest free loans
to insulate homes for ANZ mortgage holders
(New Zealand).
We continue to promote our interest-free loans to insulate
homes for ANZ mortgage holders in New Zealand. As at
31 December 2019, 2,160 interest-free home loans (to the
value of NZ$7.45 million) have been drawn down.
7
Expand the availability of financial coaching
support to ANZ first home buyers (Australia
and New Zealand).
We are improving the skills of our frontline staff to enable
them to provide tailored guidance and support to first
home buyers. More than 5,000 frontline staff across Australia
and New Zealand have received home loan coach training.
7. We are unable to report results as at 31 March due to the impacts on our business operations of COVID-19.
4

2020 HALF YEAR ESG TARGET UPDATE
Financial wellbeing
Improving the financial wellbeing of our customers, employees and the community by helping them make the most
of their money throughout their lives
TargetProgress
Help enable social and economic participation
of 1 million people by 2020 through our
targeted initiatives to support financial wellbeing
(including financial inclusion, employment and
community programs) and banking products and
services for small business and retail customers.
– In response to COVID-19 restrictions, MoneyMinded
trainers and facilitators are exploring digital alternatives
to face-to-face delivery.
– 1,832 participants have been recruited to
Saver Plus since October 2019.
– The number of people assisted through MoneyMinded
and our other programs – including community
programs and targeted banking products and
services – will be available in November 2020.
Build an engaged, diverse and inclusive
workforce by:
– increasing the representation of Women in
Leadership to 34.1% by 2020; and
Group-wide representation of Women in Leadership
is 33.1% (from 32.5% as at September 2019).
– recruiting >1, 000 people from under-represented
groups including Indigenous Australians, people
with disability and refugees, by 2020.
We have recruited 95 people from under-represented
groups since 1 October 2019:
– 54 Aboriginal and Torres Strait Islander people through
direct employment, our School Based Traineeship and
full-time traineeship;
– 30 people with disability; and
– 11 refugees through our Given the Chance program.
Since 2016, we have have recruited 829 people from
under-represented groups.
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FEEDBACK
To provide feedback on ANZ’s half year ESG target
performance or for any queries about our ESG reporting,
please email corporate.sustainability@anz.com
For 2020 Half Year Results visit anz.com/results
anz.com
Australia and New Zealand Banking Group Limited
ABN 11 005 357 522
ANZ Centre, 833 Collins Street,
Docklands Victoria 3008, Australia