We have expanded the list of climate policies we assess company engagement with to incorporate land-use related policy, referring to legislative or regulatory measures to enhance and protect ecosystems and land where carbon is being stored. Assessments under this category are currently underweighted in terms of their contribution to the overall company metrics. This weighting will be progressively increased over the next 6 months.
We adjusted the terminology used to describe the queries running down the left-hand side of our scoring matrix and added additional explanatory text to the info-boxes. This has no impact on the scores and methodology. It has been done following user feedback to improve clarity.
Climate Lobbying Overview: The Corporate Leaders Group (CLG) appears to be actively engaging with EU and UK climate change policy with strongly supportive positions. The organization has also been strongly supportive of the energy transition, including the phase out of fossil fuels.
Top-line Messaging on Climate Policy: The Corporate Leaders Group’s has communicated strong support for climate policy ambition. In a May 2020 letter to the President of the EU Commission Ursula von der Leyen, CLG advocated support for the EU Climate Law, which sets a target of climate neutrality by 2050 in the EU. The organization also supported the UK’s 2050 net zero target in its March 2021 briefing paper on Brexit and UK climate leadership. Alongside this, in a briefing in October 2021, the association strongly supported the need for climate change regulation, arguing that the ambition of the EU ‘Fit for 55’ Package must be maintained throughout negotiations. CLG was supportive of the UK’s highly ambitious Nationally Determined Contribution (NDC) under the Paris Agreement in a 2021 briefing paper.
Engagement with Climate-Related Regulations: The Corporate Leaders Group’s engagement with climate-related regulations in the EU and UK appears to be strongly positive. CLG supported the EU’s 2030 55% GHG emissions reduction target in a 2020 EU consultation response and, in a 2021 briefing paper, the association advocated in favor of the UK’s 2030 68% GHG emissions reduction target. The organization also supported a 50% GHG emissions reduction target in the United States in an open letter to US President Biden in 2021.
CLG has advocated in favor of energy efficiency legislation in both the EU and UK. In a November 2021 letter to the EU Energy Commissioner, the organization strongly supported the EU’s Energy Performance of Buildings Directive, advocating for policymakers to introduce more ambitious energy efficiency standards for buildings. The association also strongly supported “concrete, long-term policy measures” for energy efficiency in the UK in a June 2021 position paper, highlighting the “need to significantly increase ambition in this key sector.”
CLG supported reforms to the EU Emissions Trading Scheme (EU ETS) to increase its effectiveness and the predictability of a carbon price in a March 2021 blog, welcoming “the aim to deliver increased carbon pricing signals and strengthen the ETS targets in line with the 2030 ambition”. The organization supported linking the EU ETS to a new UK ETS following Brexit, signing joint letters to EU and UK policymakers in 2021, although it voiced some concerns around carbon leakage due to a high carbon price in the UK in a March 2021 briefing paper. The association expressed concerns about the EU Carbon Border Adjustment Mechanism in an October 2021 briefing paper, highlighting potential negative economic and diplomatic impacts.
Positioning on Energy Transition: The Corporate Leaders Group (CLG) appears to strongly advocate for the transition of the energy mix, particularly supporting the phase out of fossil fuels and decarbonization of the transportation and industrial sectors. A joint letter to the European Commission and Council in June 2021 signed by organization’s Director Eliot Whittington supported phasing out subsidies for producing and consuming fossil fuels. In a 2020 briefing paper, CLG supported the phase out of internal combustion engines (ICE) in heavy vehicles in the UK by 2035, whilst also supporting the electrification of the transport sector. The association also supported the EU’s proposed zero emission vehicle CO2 standard by 2035 in an October 2021 briefing paper, coupled with “ambitious, short and mid-term interim targets”. CLG advocated in favor of the decarbonization of heavy industry, Politico reporting in January 2021 that the organization believed that the EU should “channel more investments in clean tech and industries such as green steel and cement.”