Are companies developing credible climate transition plans?
CDP launched a report analyzing disclosure from 18,600+ companies across 13 industries in 135 countries. The report assesses climate transition plan disclosure against 21 key indicators within CDP’s climate change questionnaire and found that only 81 companies (0.4%) disclosed to all relevant. In the 2021 assessment 135 companies disclosed against all relevant indicators. The reduction seen this year is based on CDP raising the bar, in accordance with latest science, on what constitutes a credible climate transition plan. CDP’s report shows the majority of disclosing companies don’t have a credible plan to transition to net-zero. This adds more urgency to UN Secretary General António Guterres’ call at Davos for ‘full engagement of the private sector’ as the world heads to a level of global warming of 2.8-degrees, considerably higher than the 1.5-degree target.