Climate Transition Action Plans from a leading NGO coalition
With businesses at various stages of starting, reviewing, enhancing and testing their transition plans, there’s a need for guidance and a shared framework to make more progress more quickly. The UK Transition Plan Taskforce’s proposed framework is a huge step forward and is open for consultation until the end of February 2023. This framework will inform regulatory disclosures.
Other key stakeholders, including the investor community and civil society, are now represented in the definition of a comprehensive transition plan published by a leading NGO coalition. We Mean Business Coalition, CDP, Ceres, and Environmental Defense Fund (EDF) have consulted with Ramboll Consulting to develop a consensus-driven definition of a comprehensive Climate Transition Action Plan (CTAP). They have reviewed 31 transition plan guidance documents from 17 organisations to identify best-in-class practices and common core transition plan elements. The project also surveyed over 100 companies, investors, and other stakeholders on their needs.
The journey to corporate climate credibility is outlined in three steps:
- Set science-based goals
- Develop a Climate Transition Action Plan (CTAP) with four components
- Emissions Reduction Strategy
- Governance and Business Strategy Integration
- Public Policy
- Just Transition
- Establish accounting and reporting
Their definition of a comprehensive CTAP is:
- a forward-looking list of actions
- taken in the near term
- to align internal strategies
- and external climate and energy policy advocacy
- to reduce GHG emissions in line with a 1.5°C pathway
- and achieve a just transition.
Climate Transition Action Plans: Activate your journey to climate leadership
We recommend you familiarise yourself with this report to build your own climate literacy and ability to guide boardroom conversations on transition planning.
Report date: October 2022
Read the CTAP report hereRelated Content
Getting Started: Setting your strategic ambition
In collaboration with BCG, the third module in our Transition Planning series equips non-executive directors with practical tips on how to fully integrate climate transition planning into business strategy.
Getting Started: Navigating the regulatory landscape
In collaboration with EY, the second module in our Transition Planning series equips non-executive directors (NEDs) to navigate the rapidly evolving regulatory landscape in which climate transition planning sits and understand the implications for businesses.
Getting Started: Assessing your climate-related risks, opportunities and current position
In collaboration with the Carbon Trust, the first module in our Transition Planning series explores the role of the non-executive director (NED) in ensuring organisations follow best practices in assessing climate-related risks and opportunities, the scenario analysis methodology to support such assessment, and practical insights of key levers for organisations to develop a transition plan.
