Environmental Risk Assessment (ERA) is a pioneer mitigation tool to assess physical climate and environmental risk exposures, introduced by BPI to the Philippine banking industry, amidst the Philippines' location in the Typhoon Belt and the Pacific Ring of Fire. Through DOST-PHIVOLCS' HazardHunterPH system, the Bank was able to assess risk exposure of client addresses and collaterals, as well as employee residences, Bank branches, ATMs, and CAMs vis-a-vis environmental hazards:
- Climate Risks (such as flooding, typhoons/severe winds, storm surge, and rain-induced landslides)
- Other Environmental Risks (such as earthquakes and volcanic eruptions)
ERA aims to further detail, measure, and mitigate physical risks incurred by the Bank in its lending activities & risks incurred in the conduct of its daily operations. ERA’s integration into BPI’s processes allows the Bank to assess its specific or aggregate environmental risk exposures by industry, by city/barangay, or by type of asset which helps prevent potential losses not just in terms of income, but more importantly in terms of human lives.
BPI’s Environmental Risk Assessment utilizes the Hazard Hunter PH system of DOST-PHIVOLCS. Accessible for free via online platforms, Hazard Hunter PH is the Philippine government’s primary risk assessment tool for natural hazards.
Visit Access Hazard Hunter's website here.
Environmental Risk Assessment is a first in the Philippine banking industry, with a history dating back as early as 2010.