Helping non-state actors set and implement climate change action strategies
Currently, non-state actors (NSAs), particularly companies and financial institutions, have limited ability to assess how their energy- and climate-related commitments will contribute to the goals of the Paris Agreement, and how to set targets that are aligned with these goals. For instance, companies frequently lack visibility on climate strategies and regulations at the sectoral level, which reduces their willingness to invest in low-carbon technologies. Meanwhile, institutional investors lack standard metrics to select companies whose technological mix/emission pathways are best aligned with a 2°C target.
To respond to these issues, 2°ii is developing the Investor Energy-Climate Action Toolkit (InvECAT) with support from the World Resources Institute (WRI), the World Wildlife Fund (WWF), the United Nations Framework Convention on Climate Change (UNFCCC) and the United Nations Environment Program Finance Initiative (UNEP FI). The InvECAT project aims to provide NSAs with a platform of tools to 1) set science-based targets; 2) help them understand their contribution to the Paris Agreement; and 3) implement their climate change action strategies.
Beginning in late 2019, the InvECAT platform will start to showcase a full suite of next-generation climate action tools:
- The World Capital Outlook module, sourced from physical asset databases;
- A capital flows tracker (divided by different sectors and regions with upcoming investment plans);
- A market analysis and scenario selector tool;
- Company Reports and target-setting modules, which will help corporates and financial institutions to devise climate action strategies by sector/region and will allow them to track their contributions to the Paris Agreement goals.
We will undertake a number of engagement activities to promote large-scale adoption in the finance sector, including establishing a presence in the top international financial hubs, participating in the COP25 in Santiago, and attending flagship events such as UN Climate Week.