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Framework and Methodologies | Climate Action 100+
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FRAMEWORK AND METHODOLOGIES

Details on the framework, indicators, data and assessment methodologies used in
the Climate Action 100+ Net-Zero Company Benchmark


IN THIS SECTION

 * Net-Zero Company Benchmark
   * Background and Future Development
   * Framework and Methodologies
   * Frequently Asked Questions
 * Progress report
 * Successes

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The Benchmark draws on two distinct analytical methodologies and data-sets, both
designed to evaluate focus company performance and provide greater insight for
investors and companies. Please also refer to the data usage terms and
conditions and company review and redress process.


DISCLOSURE ASSESSMENT INDICATORS

ASSESSED BY TRANSITION PATHWAY INITIATIVE

The Disclosure Assessment Indicators draw on public and self-disclosed data from
companies. These are collected from sources such as company annual reports,
sustainability reports, press releases, and CDP disclosures. The Benchmark is
not a disclosure mechanism or database itself, rather an assessment tool.
Companies are assessed against ten indicators:

(1) Net-zero GHG Emissions by 2050 (or sooner) ambition
(2) Long-term (2036-2050) GHG reduction target(s)
(3) Medium-term (2026-2035) GHG reduction target(s)
(4) Short-term (up to 2025) GHG reduction target(s)
(5) Decarbonisation strategy
(6) Capital allocation alignment
(7) Climate policy engagement*
(8) Climate Governance
(9) Just Transition (not assessed for 2021)
(10) TCFD disclosure

Each indicator comprises 1-3 sub-indicators; sub-indicators are comprised of 1-2
metrics. Each metric is assessed on a Yes/No basis from information and evidence
published by the company. Sub-indicators and indicators are also assessed on a
Yes/No/Partial basis (or Not Applicable/Not Assessed). The assessments do not
present an overall (or aggregate) score or ranking for the company.

For more detail on the framework, indicators, data sources and assessment
methodologies, please refer to the documents below.

 

Disclosure Assessment ResourcesDescriptionSelect your language below to download
the Climate Action 100+ Net-Zero Company Benchmark Framework.



 * English
 * Japanese
 * Chinese
 * Korean

Summary of the indicators, sub-indicators and metrics that comprise the
framework.Select your language below to download the Climate Action 100+
Disclosure Indicators: assessment methodology and indicator guide:



 * English
 * Japanese
 * Traditional Chinese
 * Simplified Chinese
 * Korean

Detailed indicator-by-indicator guidance used to collect company data and assess
disclosures. It also contains a summary of how assessments are presented
(‘traffic light system’), as well as contingencies between indicators.Transition
Pathway Initiative Carbon Performance methodologyHow TPI assess emissions
targets/intensities’ alignment against reference climate scenarios (Benchmark
indicators 2.3, 3.3 and 4.3). Relevant sector-specific methodological notes can
also be found on their publications page.Select your language below to download
the Investor Guide to support Climate Action 100+ engagement in Asia:



 * English
 * Traditional Chinese
 * Simplified Chinese

Investor guide on how the Benchmark and TPI tools can be used together. Although
the guide has a focus on supporting engagement in Asia, it is generally
applicable across regions.

*In addition to the Benchmark, InfluenceMap provides detailed Paris-aligned
analyses of corporate climate lobbying. These are referenced in the Benchmark
company assessments.


CAPITAL ALLOCATION ASSESSMENT INDICATORS

ASSESSED BY CARBON TRACKER INITIATIVE AND 2° INVESTING INITIATIVE

Carbon Tracker Initiative (CTI) and 2° Investing Initiative (2DII) also analyse
companies’ capital expenditures (CapEx) and output relative to a range of future
climate change scenarios to provide additional insights on the relative adequacy
and alignment of company actions with the Paris Agreement goals. Both
organisations use independent methodologies and asset-level inventory data
sources which vary depending on the sector. These additional assessments are
included for upstream oil & gas companies, electric utilities (coal and gas
generation assets) and automotive companies.

More information on the metrics and analysis provided by CTI can be found
here. This includes company profiles relevant to the Climate Action 100+ focus
list.

More information on the metrics and other tools on offer by 2DII can be found
here.


EXPLORE THE COMPANY ASSESSMENTS

The first iteration of the Net-Zero Company Benchmark assesses 159 of the
Climate Action 100+ focus companies. The Benchmark resets and clarifies investor
expectations of what the focus companies must do to align with the goals of the
initiative, while providing a mechanism for tracking progress.

See the assessments
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Climate Action 100+ is an investor initiative to ensure the world’s largest
corporate greenhouse gas emitters take necessary action on climate change.

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