The TPT was initially launched at COP26 in Glasgow in 2021, with an goal to implement new net-zero disclosure necessities for big companies in high-emission sectors.
Members of the Taskforce embrace Aviva, Authorized & Normal Funding Administration, the London Inventory Change Group (LSEG), NatWest and Unilever.
The Taskforce has right now (9 April) unveiled its final set of assets, together with its extensively recognised disclosure framework for transition planslaunched final 12 months, recommending how firms ought to develop plans and the important thing components they need to embrace.
The framework is complemented by a complete set of assets collaboratively developed with greater than 600 organisations worldwide, aimed toward serving to firms safe transition finance.
The supplies printed by the TPT embrace sector-specific steering for industries equivalent to asset house owners, banks, electrical utilities and energy turbines.
Analysis signifies that there’s an $18trn investment shortfall required to finance the transition to net-zero energy globally. (IMPORTANT TO NOTE THIS AS THE TPT IS FOR THE UK).
Moreover, the assets present high-level steering for 30 sectors of the worldwide economic system, in addition to recommendation on conducting a transition planning cycle.
Moreover, the TPT has addressed the alternatives and challenges referring to creating transition plans in rising markets and creating economies by way of a devoted paper. Impartial advisory items from the TPT Working Teams have explored subjects equivalent to adaptation, nature, simply transition and SMEs, inspecting how transition planning can transcend reaching net-zero.
The TPT’s secretariat co-head Dr Ben Caldecott mentioned: “We have to again up net-zero targets with agency plans.
“Local weather transition plans, if suitably formidable and delivered with acceptable actions and with correct accountability, will help society allocate capital to firms and belongings which are really contributing to assembly the goals of the Paris Settlement, and away from those who aren’t.
“The Transition Plan Taskforce has made available a globally applicable set of resources to help companies to build their transition plan and successfully raise transition finance.”
The outputs from TPT goal to streamline the reporting course of for firms, lowering complexity and enabling extra simple disclosures.
Worldwide synergy
The Taskforce notes that its work has garnered curiosity from different worldwide jurisdictions equivalent to Australia, Brazil, the EU, Japan and the US.
The TPT’s secretariat co-head Kate Levick mentioned: “There may be worldwide momentum for transition finance and transition plans are more and more seen as a key device.
“The G7, G20 and UN Secretary-General, regulators in other jurisdictions, and users of market information support the development of consistent transition plans to inform decision making and investment. Companies should make a start now rather than risk being left behind.”
Earlier this 12 months in an interview, Levick told edie: “Fundamentally, we are moving towards convergence on sustainability disclosures internationally.”
“We see the Worldwide Sustainability Requirements Board (ISSB) as the worldwide baseline, with many international locations anticipated to undertake that. So, we’ve constructed on that very strongly.
“The goal in the end is to support the creation of consistent, comparable company reports and to reduce the level of complexity faced by firms. All of these different expectations should start to become very compatible.”
The UK has pledged to embed the ISSB’s first two requirements, launched final summer season, in its personal nationwide company sustainability disclosure laws.
