According to a statement from CDP, an international non-profit organisation aimed at environmental disclosure, 137 global financial institutions, including insurance companies AXA and Allianz, which together represent assets of US$20 billion, are calling on these more than 1,800 companies to meet gas emission reduction targets to curb global warming by 1.5ºC and achieve zero emissions by 2050 at the latest.
The appeal is being issued today by the CDP as part of a campaign to get involved in climate action and sent to thousands of companies on the list of the most polluting.
“Together they are responsible for 13.5 gigatonnes of emissions per year, equivalent to 25% of global emissions. Throughout their value chain, these companies have an influence on more than three times the volume of accumulated emissions”.
The call from financial institutions is for these most polluting companies to commit to science-based targets to ensure independent verification.
“This allows investors and companies to raise their climate ambition in a way that is assessed in a uniform and comparable way”.
More than a thousand companies around the world have already committed to science-based reduction targets, including 300 that have committed to the goal of reducing global warming by 1.5ºC by signing the commitment letter.
Reducing emissions from value chains together with climate science can increase business resilience and competitiveness, help innovation, respond to adjustments by regulators and increase investor confidence, the statement said.
CDP Europe’s director for capital markets, Laurent Babikian, said in the communiqué that the not-for-profit organisation is delighted that “so many major European investors recognise the importance for companies of setting science-based targets” to curb global warming and decarbonise the economy.