Investors launch consultation on responsible climate change lobbying
The proposed corporate climate change lobbying framework aims to assist investors and other stakeholders in assessing whether and to what extent corporate lobbying is aligned with Paris Agreement climate change-related goals. It relies on 23 indicators designed around four areas, namely policy and commitments, governance, action and reporting. These indicators were drawn on previous research and consultation carried out last year as well as on insights from an advisory group that includes AIGCC, Ceres, IGCC, IIGCC, InfluenceMap, the London School of Economics, and the Principles for Responsible Investment.
The action and reporting parts of the questionnaire go beyond companies themselves as some indicators raise the sensitive topic of challenging third-parties and trade associations on their climate change lobbying. Trade associations, in particular in the investment sector, have been recently scolded on this matter. Some were accused of weakening EU green regulations in the interest of their corporations. Hence, one indicator among the 23 submitted in the framework clearly asks: “Has the company made clear and timely public statements challenging its trade associations and other alliances in situations where these organisations have made statements or taken positions that differ materially from the company’s commitments to the goals of the Paris Agreement, with the stated aim of restricting global temperature rise to 1.5⁰C?”
Other queries including “Has the company published an overall assessment of the influence that its lobbying and the lobbying of its trade associations has had on public climate change policy?” or “Has the company disclosed, for all geographies, how much it pays to trade associations and other third parties that publish research, take positions or lobby on climate-related issues?” can be found in the reporting part of the consultation.
“Following this second and final consultation, we will refine and finalise this framework. In addition to the framework, we will make recommendations to the Transition Pathway Initiative (TPI) and Climate Action 100+ (CA100+) on how a subset of these indicators might be integrated into their assessment and engagement processes,” said Chronos Sustainability.
The consultation is open until Friday 21 May.