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Scoring details from the CPPIB’s climate report card:
- C for committing to net-zero emissions by 2050 (including scope 3 emissions), but without short or mid-term targets.
- F for not yet having set interim emissions reduction targets to measure progress toward net-zero. CPPIB’s target to invest $130 billion in climate solutions by 2030 lumps together “green and transition assets.”
- B for acknowledging the financial risks of climate change and the role of investors in addressing the climate crisis.
- C+ for using climate-related engagement tools and setting expectations for portfolio companies, but CPPIB does not require companies to have credible decarbonization strategies.
- C+ for above-average disclosure and significant analysis of climate risks, but one-third of the CPPIB Board of Directors is entangled with the fossil fuel industry.
- F for a lack of exclusions on investments in oil, gas, coal and pipelines.
- CPPIB has no Indigenous rights policy.
- CPPIB also won the gold star for greenwashing for its alarming and ongoing pattern of communications, investment decisions and stewardship approaches that misrepresent the potential for the oil and gas industry to align with CPPIB’s stated climate obligations. This includes the obfuscation of its investments in fossil fuels and climate solutions, the actions of its privately-owned companies to greenwash their operations and prolong the use of fossil fuels, and an overreliance on unrealistic assumptions for carbon capture utilization and storage and offsets in achieving climate objectives.
The CPPIB could improve its score by setting Paris-aligned interim emissions reduction targets, using timebound engagement criteria that escalates to divestment to ensure companies rapidly develop credible net-zero pathways, tying staff compensation to the achievement of climate targets, and ending investments in fossil fuels, among other recommendations.
Dive into the data by reading our detailed analysis of the CPPIB.
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