ACT initiative:
Connecting the dots between
targets and transition plans of companies
Romain POIVETClimate & Energy Engagement LeadWorld Benchmarking Alliance
M: +336 66 37 32 17
www.worldbenchmarkingalliance.org

Convenor of ISO TC207/SC7/WG4Chair of the French mirror committee of ISO TC207/SC7
Convenor of CEN CENELEC TC476/WG1

What is World Benchmarking Alliance
The World Benchmarking Alliance is a non-profit organisation that assesses and ranks the world's most influential companies
on their contribution to the Sustainable Development Goals

WBA: Transformational change• Urgent action is needed to put the world on a more sustainable
and resilient path.
• SDGs can only be achieved through transformational change.
• Recognises the interconnected and interdependent nature of
the SDGs and requires active involvement of all stakeholders.
• In 2023 we will have published a series of benchmarks assessing
2,000 of the most influential companies across all areas oftransformation.
• We are committed to continuing to work with our Allies acrossthe ecosystem to ensure standards improve over time, alignwith the SDGs – and that corporate sustainability data remains apublic good.

Transition plan : the new buzzword
Transition plan in 2015

Transition plan in 2022 (non exhaustive list)3What should be a transition plan ?
A transition plan is an aspect of anorganization’s overall business strategy thatlays out a set of targets and actions supporting
its transition toward a low-carbon economy ,including actions such as reducing its GHGemissions.

A climate transition plan is a time-bound action
plan that clearly outlines how an organization
will pivot its existing assets, operations, andentire business model towards a trajectory thataligns with the latest and most ambitious climatescience
recommendations .
i.e.,halvinggreenhouse gas (GHG) emissions by 2030 andreaching net-zero by 2050 at the latest , thereby
limiting global warming to 1.5°C .

A transition plan should be a part of, and aligned
with, an organization’s broader activities foraddressing
climate-relatedrisks
andopportunities , which in turn should be a part of,and aligned with, the organization’s overallbusiness strategy . (TCFD, Guidance on Metrics,
Targets, and Transition Plans, Oct 2021)

A transition plan sets out how an organisation
will adapt as the world transitions towards a
low carbon economy . It should set out a)high-level targets the organisation is using to
mitigate climate risk, including greenhouse gas
reduction targets (e.g. a net zerocommitment), b) interim milestones , and c)actionable steps the organisation plans to taketo hit those targets.

Aspect of an undertaking’s overall strategy thatlays out a set of targets and actions supporting its
transition toward limiting climate change to 1.5°C.
(EFRAG ESRS E1)

A net-zero transition plan is a set of goals, actions,and accountability mechanisms to align anorganization’s business activities with a pathway fornet-zero GHG emissions that delivers real-economy
emissions reductions in line with achieving global netzero.
(Recommendations-and-Guidance-on-Net-zero-Transition-Plans-for-the-Financial-Sector_June2022)

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In the jungle of transition plan initiatives

Source : figue 2 Transition plan initiatives classification. introductory note on expectations for real-economy transitions plans (GFANZ june2022).

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UN SG High level Expert group on Net Zero6

ACT Initiative
Provide credibility for companies’ climatetransition plans and their potential to reach theirscience-based targets. Avoid greenwashing.

ACT is a forward-looking, holistic and operational
approach to corporate climate accountability
developed through multi-stakeholders technicalworking groups and public consultations.

Emissions quantification

Guidance
ACT Step by Step

Assessment
ACT

Funded byStrategic partnerships
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The ACT framework

Score ACT

Performance

Narrative

Trend

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ACT Sectoral coverage
Road testing

Available

Oct 2021 – April 2022
Cleaning stage before publishing

AUTO
MANUFACTURERS

IRON & STEELOIL & GASGLASSELECTRIC UTILITIESALUMINIUM

TRANSPORTCHEMICALSRETAILPULP & PAPERCEMENTAGRIFOOD &AGRICULTURE

BUILDING
GENERICNEW 2022

REAL-ESTATENEW

Score ACT
Adaptation

ACT ADAPTATION
0 to 20

Road-test June - Nov 2022

ACT FOR FINANCE
April 2022 –September 2023
Public consultation in January 2023
9ACT for WBA’s benchmarks

https://www.worldbenchmarkingalliance.org/publication/oil-and-gas/

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ACT for WBA’s benchmarks
Transport sector 2022

Electric utilities sector 2021

2022 WBA Transport Benchmark

https://www.worldbenchmarkingalliance.org/publication/transport/

5 Key findings
1.
Even though over half of the assessed transport companies have
set long-term net-zero targets, their low-carbon transition
plans lack detail, depth and intermediate targets. This limits
sufficient tracking of their progress towards the Paris goals.
2.
Transport companies are not using enough of their expertiseand industry platform
to drive key stakeholders to transition inoline with the 1.5 C goal. They need to take decisive leadershiptowards reaching the climate goals, instead of relying on otherstakeholders for solutions.
3.
Current research and development investments in emerging,
unproven technologies and new business models in thetransport sector will not close the emissions reduction gap intime.
4.
The vast majority of transport companies must acceleratenecessary action immediately to make the low-carbon
transition just and equitable, to prevent placing a workforce of
millions at risk.
5.
Only a minority of transport companies demonstrate effective
human rights due diligence – without adequate priority forhuman rights and decent work practices, a just transition will
not be possible.
122022 Transport Benchmark

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THANK YOU

Vicky Sins: v.sins@worldbenchmarkingalliance.org
Romain Poivet : r.poivet@worldbenchmarkingalliance.org
Engage with WBA : info.climate@worldbenchmarkingalliance.org
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