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For decades, Environmental, Social, and Governance (ESG) scoring of investments, and public reporting of those scores, has focused mainly on one side of a two-sided coin, namely, what a business or asset is doing to the planet — particularly, the “Carbon Footprint” of that company measured by CO2 greenhouse gas emissions. The other side of that coin is, of course, what the planet is doing to the same business or asset, or its physical climate risk or “Risk Footprint.”

This paper guides the individuals who are now completing due diligence on carbon pricing of behalf of their companies. It has been shaped by input from dozens of such companies, as well as other experts who are implementing carbon pricing programmes within companies and/or advocating for government policies in countries around the world. Experiences and insights from others will help more companies become Carbon Pricing Champions and align with the Business Leadership Criteria on Carbon Pricing set by Caring for Climate and partners.

This document hopes to stimulate further and more detailed discussions between policymakers and business leaders on how best to implement the carbon price so that it can incentivize low-carbon innovation and investment, create a global level playing field and support the attainment of the UNFCCC 2°C goal in a sustainable way.

Before using scenarios, it is essential to know how to correctly interpret them. This implies first navigating the complex ecosystem of climate-related scenarios and identifying those that can be used to explore issues linked to the low-carbon transition: transition scenarios. It also requires fully understanding the issues relating to these scenarios.

The goals of this publication are therefore:
– Explaining the key concepts underpinning climate-related scenarios, presenting the main families of scenarios and the questions these scenarios help to answer;
– Providing keys to reading transition scenarios in order to facilitate their interpretation and to avoid misunderstanding.

A framework for reading transition scenarios was developed to provide readers with a step-by-step guide to scenarios. It summarises the eight main steps to follow in order to interpret a transition scenario according to the explanations developed in this study, and is applied to 5 publicly-available scenarios.

The ClimateWise Transition Risk Framework helps investors and regulators manage risks and capture emerging opportunities from the low carbon transition. This unique framework was developed through the ClimateWise Insurance Advisory Council, and builds on the recommendations from the TCFD.

The framework is set out in three steps, which can be used independently or combined to explore transition risks and opportunities. Each of the three steps highlights practical actions investors might take in order to manage risks and capture opportunities. The framework applies this analysis to an array of global infrastructure asset types.

Industry is the basis for prospering societies and central to economic development. As the source of almost one-quarter of CO2 emissions, it must also be a central part of the clean energy transition. Emissions from industry can be among the hardest to abate in the energy system due to process emissions that result from chemical or physical reactions and the need for high-temperature heat. A portfolio of technologies and approaches is needed to address the decarbonisation challenge while supporting sustainable and competitive industries. Carbon capture, utilisation and storage (CCUS) can play a critical role in this sustainable transformation.

This report examines the systemic risk posed by a belated awareness about the importance of controlling emissions resulting in an abrupt implementation of quantity constraints on the use of carbon-intensive energy sources.

The Financial Reporting Council (FRC) has published the findings of its review of reporting on emissions, energy consumption and related matters under the new Streamlined Energy and Carbon Reporting (SECR) rules which came into effect from 1 April 2019.

The FRC’s review considered how a sample of companies and Limited Liability Partnerships (LLPs) had complied with the new SECR requirements, identified examples of emerging good practice and outlined its expectations for future reporting. While the sample of reports largely complied with the minimum statutory disclosure requirements for emissions and energy consumption, more needs to be done to make these disclosures understandable and relevant for users. In particular, entities need to explain more clearly how information is calculated, which operations and emissions are included in their reported numbers and the level of third-party assurance obtained over the information. They also need to consider how to integrate these disclosures with other narrative reporting on climate change, especially any emission-reduction targets.

This report is based on a detailed assessment of individual banks’ disclosures by our BCS Consulting. The ambition in undertaking this research is to create further transparency across the industry and objectively establish the progress that is being made towards a low-carbon economy. Furthermore, the report highlights the key areas where more work is still to be done and includes a view on how to approach this

The purpose of this report is to provide a progress assessment on banking sector disclosures specifically, considering the critical role that banks need to play as enablers of capital to fund the transition to a low-carbon economy.

This paper focuses on two technological developments which could reduce greenhouse gas emissions from shipping – slow steaming and wind propulsion.

This report is a guide for non-financial companies to carry out forward-looking analysis of the strategic issues of the low-carbon transition and to disclose information about their analysis through TCFD reporting.

It comprises a collection of resources that non-financial companies can use to build their strategic resilience through scenario analysis.

It also comprises guidance on how to communicate about this strategic and confidential exercise through TCFD reporting as well as clarifications on the type of information that is useful to financial stakeholders.