CDP's report, "The State of Play: 2023 Climate Transition Plan Disclosure," highlights the progress companies have made in developing climate transition plans. According to the report, creating a credible climate transition plan is becoming increasingly critical for accessing capital, enhancing business efficiency, and complying with regulatory and market demands.

 

As of 2023, nearly 6,000 companies reported having a climate transition plan aligned with the Paris Agreement's 1.5-degree target. Of these companies, 2,329 reported on more than two-thirds of the key indicators set by CDP for assessing credibility. Additionally, 140 companies provided sufficient information on all 21 key indicators.

The data in the report show that companies are making significant strides in their climate transition plans:

● 25% of companies reported having a climate transition plan aligned with the 1.5-degree target, a 44% increase from the previous year.

● 40% of these companies are reporting on most (at least two-thirds) of the indicators required to evaluate a credible plan.

● 36% of all reporting companies (over 8,200) stated that they plan to set up a transition plan within two years.

 

State of Türkiye

Climate transition plans showcase an organization's dedication to meeting the 1.5°C target for investors and stakeholders, ensuring the relevance of its business model in a net-zero carbon economy. These plans outline the necessary changes in the business model, growth strategy, and capital investments over time to effectively manage climate-related risks and seize opportunities.

This year, 63% of companies in Türkiye report having climate transition plans that align with the Paris Agreement's 1.5°C target, up from 48% last year. An additional 32% admit they currently lack a plan but acknowledge that climate-related risks and opportunities have influenced their strategy, and they are working on a transition plan within the next two years. Furthermore, 48% of companies have made their transition plans publicly accessible, an increase from 28% last year, and 29% of companies vote on these plans at Annual General Meetings (AGMs).

 

Click here to access the report.