Dexus: Net Zero by 2022

Net Zero by 2022

Net zero emissions refers to achieving an overall balance between greenhouse gases emitted in operation and greenhouse gases removed from the atmosphere. Getting Dexus to net zero is an opportunity to align with changing consumer sentiment and meet the increasing investor appetite for low-carbon investments. Since we made our original commitment to achieve net zero emissions by 2030 back in 2018, we have made great progress on our goal, enabling us to revise our commitment to achieve net zero emissions across our managed portfolio by 30 June 2022. Accelerating our net zero ambition delivers strong climate action for our planet, enhances our vision and customer proposition for smart, sustainable workplaces, and ensures we will be ready for other opportunities - including supporting our customers on their own journey.

Our commitment to deliver net zero emissions by 30 June 2022 will be achieved by:

1. Our transition to 100% renewable electricity for base building operations from July 2021, purchasing renewable energy credits as required (Large Generation Certificates or accredited GreenPower)
2. Continuing to invest in certified offsets for our remaining emissions. We will purchase accredited nature-based offsets to account for emissions from natural gas, wastewater, refrigerants, and waste/recycling
3. Verifying we are net zero and maintaining this status through Climate Active

In parallel with this transition, our focus remains on improving energy efficiency and accelerating the deployment of on-site renewables.  

Increasing on-site solar installations

Dexus continued to roll out on-site solar photovoltaics (PV) across the property portfolio throughout FY21, with over 2.9 MW of new solar systems completed or underway. At Deepwater Plaza, Woy Woy, we added a 253 kW car park solar array to the existing 100 kW rooftop system, and an 80 kW solar array was installed on the rooftop of 1 Bligh Street, Sydney. This will reduce the demand from the grid electricity (as well as the associated costs) and enhance the shoppers’ experience through the increased amenity of shaded parking. We also engaged with our customers to accelerate the uptake of on-site solar energy. At Kings Square in Perth, we worked with Shell Australia on sourcing renewable energy for their premises. Through the collaboration, Shell Energy, a subsidiary of Shell Australia, installing a 100 kW rooftop solar array which will be connected to the embedded network and is estimated to save 160 MWh of electricity per annum. The project is expected to be complete by the end of the 2021 calendar year. This initiative enables Dexus to pilot its expanding solar installation capabilities. We also installed solar PV at multiple facilities at our new industrial estates under development in Truganina and Ravenhall, Victoria and at Richlands, Queensland. We delivered over 2.7MW of solar PV systems for customers including Amazon, Coles, HelloFresh, Opal, ASColour, and eStore. These completed systems form part of Dexus’s On-site Solar Renewables Program, a partnership between Dexus and our customers to unlock the ‘solar value’ of industrial roof space by installing rooftop solar PV systems. Recognising the potential across our existing industrial portfolio, together with increased customer demand we are observing for on-site renewable energy across our precincts such as Quarry at Greystanes, we have advanced discussions with potential partners to develop a portfolio-wide roll out program. This initiative would further de-risk the upfront investment in solar panels on industrial facilities being developed by Dexus, leveraging Dexus’s industrial scale by implementing a standard approach to drive time efficiencies and reduce our customers’ electricity costs. Workshops were held during the year with customers to determine the level of interest for this initiative and Dexus commenced evaluation of technical and commercial opportunities on a site-by-site basis. Dexus will seek to secure a tier one solar provider to accelerate this initiative in FY22.