His Excellency Prime Minister Abe Shinzo
Government of Japan
Cabinet Public Relations Office,Cabinet Secretariat, 1-6-1 Nagata-cho,Chiyoda-ku, Tokyo 100 - 8968, Japan

17 February 2020

Dear Prime Minister,
Last year a record number of investors signed the ​Global Investor Statement to Governments on Climate
1Change i​ n which investors declared their strong support for the Paris Agreement and the implementation ofits goals. The statement is now signed b​y 631 investors representing over US $37 trillion in assets –2
approximately half ​the world’s assets under management.
On 24 June 2019, CEOs of international investor groups ​wrote to you as the host of the G20 in Osaka, noting
Japan’s vital role in calling for global government leadership on climate change. Investors strongly
supported this call for greater action on climate change and we looked forward to seeing the Governmentof Japan demonstrate its leadership by strengthening its Nationally Determined Contribution (NDC) by
2020 to be in line with the objectives of the Paris Agreement.
This year, as we approach COP26 in Glasgow, accelerated climate-related risks and impacts, such as therecent devastating forest fires in Australia, highlight the urgency of concrete measures to accelerate thetransition to a zero carbon and climate-resilient global economy.
In response to this accelerating climate threat however, a large gap remains between the 45% emissions
reductions needed by 2030 to limit global warming to 1.5 degrees celsius, and current NDC pledges by world
governments.
We welcome Japan’s recent efforts to increase research into zero carbon technologies and we note Japan’scurrent goals of reducing emissions is 26% by 2030 and reaching net-zero emissions “as early as possible
during the second half of the 21st century”. However, ​we would emphasise the urgent need for increased
ambition and clarity on short-term targets by 2030, and would support greater guidance on the transition
to net-zero emissions by 2050 to send a strong and positive signal to investors. These measures, alongside
those listed in the Global Investor Statement, will be a key milestone to unlock private sector capital neededto achieve the transition to a zero-carbon economy in line with Paris Agreement goals.
We continue to support the pledges of Japanese companies to embrace renewable energy as a major powersource and set science-based targets, the commitments to reduce thermal coal financing and project
development, as well as the leading efforts of the Japanese business community to embrace theimplementation of the Taskforce for Climate-related Financial Disclosures (TCFD) recommendations toreport on climate change-related risks and opportunities. In the finance sector, we welcome the inclusion ofESG factors as part of Japan’s draft revision of the Stewardship Code and efforts by the Financial Services12​https://theinvestoragenda.org/wp-content/uploads/2019/12/191201-GISGCC-FINAL-for-COP25.pdf​https://www.bcg.com/ja-jp/publications/2019/global-asset-management-will-these-20s-roar.aspx

Agency to conduct an impact evaluation of climate-related risks to Japan’s financial stability. We hope these
positive trends can be accelerated with enhanced policy measures that further promote investor certainty.
We would welcome further engagement with your staff to discuss the policy asks presented in this letter andthe attached statement. We believe institutional investors, given their universal ownership, long-termhorizon and ability to engage with corporations globally, represent a unique political ally on decarbonisationand the implementation of the Paris Agreement. We therefore remain at your disposal for furtherpartnership and support.
Kind regards,
On behalf of six international investor organisations,Rebecca Mikula-Wright
Director, Asia Investor Group on Climate Change

Stephanie Pfeifer
CEO, Institutional Investors Group on ClimateChangePaul Simpson
CEO, CDP
Fiona Reynolds
CEO, Principles for Responsible Investment

Mindy S. Lubber
CEO and President, Ceres

Emma HerdCEO, Investor Group on Climate Change