The Institutional Investors Group on Climate Change (IIGCC) has collaborated with the Transition Pathway Initiative (TPI) to launch an investor-led framework of pilot indicators to assess banks on the transition to net zero. The framework was developed to aid efforts by investors to manage their own net zero alignment and stewardship of portfolio companies, which often includes banks, IIGCC and TPI said. Using the new pilot indicators – which span six key areas, including climate governance and decarbonisation strategies – 27 banks were assessed, performing best on climate governance and worst on climate policy engagement. Stephanie Pfeifer, IIGCC’s CEO, said: “For investors considering their own net zero alignment and stewardship of portfolio companies, it is critical that they have sufficient information on companies’ transition planning, including banks. The final framework – which we look forward to publishing later this year – will provide investors with a comprehensive picture of banks’ net zero transition plans and can be used to support engagements with the banks in their portfolios.”
NEWS: IIGCC and @tp_initiative publish framework to assess #netzero transition of banking sector. Pilot assessment of 27 banks finds while the sector has started its transition towards net zero, it still has a long way to go to align with a 1.5°C pathway. https://t.co/QKzSwip9WT pic.twitter.com/0gBMpwkOu8
— IIGCC (@IIGCCnews) July 28, 2022
