Climate Action 100+ engagement focuses on 170 companies that are critical to the net-zero emissions transition. Investors are responsible for engagement and developing and implementing company–specific engagement strategies. They are supported in the process by five investor networks, who co-founded the initiative, and by technical experts.
Investor engagement through Climate Action 100+ focuses on companies who have a major role to play in the transition to a net-zero emissions economy. The initiative updates the focus list as required, removing or adding companies to take account of factors such as changes in ownership, and always guided by investor input.
Phase 1 (2017-2023)
At the outset of the initiative, 100 companies with some of the highest combined direct and indirect (i.e., scopes 1, 2 and 3) greenhouse gas (GHG) emissions globally were identified using MSCI All Country World Index data and CDP modelled and reported data. According to CDP, these initial 100 focus companies were responsible for up to two-thirds of annual industrial carbon dioxide emissions when the initiative launched in 2017.
In July 2018, what became known as the ‘plus (+)’ list was formed. An additional 61 companies were added to the focus list based on an investor survey. Investors were invited to nominate additional focus companies that were deemed material to their investment portfolios, critical to the transition to a net-zero emissions economy, or that may be exposed to climate-related financial risks not captured by emissions data.
In November 2020, nine additional companies were added to the focus list as part of a limited top up, while two others were removed. Throughout this time, the company focus list was adjusted to reflect corporate actions at focus companies. By the end of the initiative’s first phase, 167 companies were engaged via Climate Action 100+.
PHASE 2 (2023 – 2030)
As part of a focus list refresh for Phase 2 of the initiative, thirteen companies were added to the focus list, while ten companies were removed. This update followed the Phase 2 signatory consultation, where it was agreed that the list of companies would remain broadly the same, with only marginal changes to ensure engagement continuity.
A review of emissions profiles, primarily referencing the latest CDP GHG emissions dataset (scopes 1, 2 and 3), and investor perspectives, among other factors, were taken into consideration to support changes to the company focus list. In addition to reviewing emissions profiles, other key criteria included: sector expertise, investor interest in engaging the company, and potential for engagement impact.
Phase 2 Additions
The new focus companies are in industries already being engaged through Climate Action 100+, allowing the initiative to build on the sectoral expertise that it has developed to date. The companies added to the focus list in 2023 will not be assessed against the Net Zero Company Benchmark until 2024.
|Company||Country||Sector||Rationale for Addition|
|Ameren||United States||Electric Utilities||Systemically important electric power company with one of the largest coal fleets in the United States.|
|Baoshan Iron & Steel||China||Steel||Systemically important in steel production and its value chain in China and globally as a major subsidiary under the world’s largest steel producer, Baowu Group.|
|Carrefour||France||Consumer Goods & Services||Multinational retailer (one of the largest by revenue globally). Contributor to deforestation through its supply chain. Top emitter as per CDP data.|
|EOG Resources||United States||Oil & Gas||Oil & gas company with a focus on oil & gas exploration. Top emitter as per CDP data.|
|EQT Corporation||United States||Oil & Gas||Oil & gas company with a focus on oil & gas exploration. Top emitter as per CDP data.|
|Honeywell International||United States||Other Industrials||Multinational diversified industrials company. Top emitter as per CDP data.|
|JBS||Brazil||Consumer Goods & Services||World’s largest meat supplier. Systemically important due to its impacts on global carbon sinks such as the Amazon|
|Mitsubishi Heavy Industries||Japan||Other Industrials||Engineering, electrical equipment, and electronics corporation, and important supplier of power generation in Japan. Top emitter as per CDP data.|
|PBF Energy||United States||Oil & Gas||Oil & gas refiner. Top emitter as per CDP data.|
|SABIC||Saudi Arabia||Chemicals||Chemical manufacturing company majority-owned by Saudi Aramco (existing focus company). Top emitter as per CDP data.|
|Samsung Electronics||Republic of Korea||Other Industrials||Multinational appliance and consumer electronics company. Strong impact on the global supply chain for electronics. Top emitter as per CDP data.|
|Tata Steel||India||Steel||Largest steel company in India and the second-largest crude steel producer in Europe.Systemically important in steel production. Top emitter as per CDP data|
The Home Depot
|United States||Consumer Goods & Services||World’s largest home improvement retailer. Impacts on climate through its supply chain. Top emitter as per CDP data.|
Phase 2 Removals
Companies were removed from the Climate Action 100+ focus list so that resources and capacity could be re-prioritised and higher emitting companies could be added. Companies that have been removed from the list have not ‘graduated’ from Climate Action 100+ engagement. Their removal should not be viewed as endorsement or recognition of progress. Engagement with these companies is still required to deliver on the global goals set out in the Paris Agreement. Ten companies were removed from the focus list as part of Phase 2, inclusive of two routine corporate actions.
|Company||Market||Sector||Rationale for Removal|
|Devon Energy||United States||Oil & Gas||Oil & gas company with a focus on oil & gas exploration. Originally a ‘plus list’ company added in 2018.|
|Enbridge||Canada||Oil & Gas||Oil & gas midstream company. Originally a ‘plus list’ company added in 2018.|
|Kinder Morgan||United States||Oil & Gas||Oil & gas midstream company. Originally a ‘plus list’ company added in 2018.|
|Koninklijke Philips N.V.||Netherlands||Other Industrials||Dutch electronics company. In initial 100 focus companies.|
|PepsiCo||United States||Consumer Goods & Services||American food and beverage company. In initial 100 focus companies.|
|TC Energy||Canada||Oil & Gas||Oil & gas midstream company. Originally a ‘plus list’ company added in 2018.|
|The Coca-Cola Company||United States||Consumer Goods & Services||American beverage company. Originally a ‘plus list’ company added in 2018.|
|Weyerhaeuser Co.||United States||Consumer Goods & Services (Forestry)||American timber company. Originally a ‘plus list’ company added in 2018.|
|Oil Search||Australia||Oil & Gas||Corporate action (merger with Santos)|
|Uniper SE||Germany||Electric Utilities||Corporate action (nationalised by German government)|
Removal of Midstream Oil & Gas Companies
Climate Action 100+ and signatory investors continue to view the midstream oil & gas sub-sector as a strategic and critical group to engage, recognizing that midstream companies hold an important role in the overall oil and gas value chain. We recognize that the unique position of midstream companies in this value chain recommends a unique set of strategies. For this reason, although the companies (Enbridge, Kinder Morgan, and TC Energy) will no longer be listed as focus companies, signatory investors can continue to engage midstream companies as part of the Climate Action 100+ global sector strategy workstream. In addition, Enbridge and TC Energy are now on Climate Engagement Canada’s focus list.