The CDP ranking is based on their level of transparency and performance on climate change and water security. Globally, only a few companies are named on CDP’s ‘A list, indicating that road ahead is still long.
Five Indian companies – Infosys, JSW Steel, Mahindra Life space Developers Limited, Tech Mahindra and Wipro are among the 330+ companies worldwide that have been highlighted for their environmental leadership in CDP rating. CDP in a statement said that they are part of a growing league of companies that are prioritizing transitioning to a low-carbon economy through ambition and action.
The yearly assessment is based on their level of transparency and performance on climate change, forests, and water security.
Four of the five ‘A’ listed companies have their targets approved by the Science-Based Target Initiative (SBTi) – which translates climate commitments into quantifiable targets to track progress – and two amongst them have their targets in line with the Paris Agreement goal of 1.5* C. Wipro is the only Indian company with a net-zero target of 2040 (validated by SBTi), and Mahindra Lifespace Developer Limited is the only company to have scored an ‘A’ rating in both climate change and water security.
These five leaders on CDP’s prestigious annual A-List, are among the nearly 15,000 globally ranked A to D- companies by CDP – the non-profit that runs the world’s environmental disclosure system for companies, cities, states, and regions. The full list of companies that made it to this year’s ‘A-List, as well as other publicly available scores are available on CDP’s website at: https://www.cdp.net/en/companies/companies-scores.
Prarthana Borah, Director of CDP India said: “In 2022, CDP India has seen a 40% increase of Indian companies disclosing to us their environmental data, the highest since CDP India’s inception. This is encouraging. Seventeen companies fall this year under CDP’s leadership band (A and A-) for climate change and water security, with five leading the way. More and more companies are holding themselves accountable to higher standards on climate action and incorporating climate-conscious business strategies. Climate action without corporate engagement has become a thing of the past. However, there is still a long way to go. As mandatory disclosure has come into place with the Business Responsibility and Sustainability Reporting (BRSR), we expect more Indian companies to act on climate and join this growing league of companies paving the path.”
READ EXCLUSIVE INTERVIEW WITH : Prarthana Borah, Director, CDP India
CDP in a statement said that it regularly raises the bar for environmental leadership. In 2022, this included more stringent scoring on, amongst other criteria, 1.5°C-aligned climate transition planning, verification of deforestation-free commodity volumes, and verification of water data. A List companies stand out for showing a thorough understanding of their environmental risks and impacts, having strong governance and transition strategies, and taking leading actions to reduce their impacts in line with science.
CDP will be celebrating the ‘A’ List achievement of Indian companies at the CDP India Annual Report Launch slated to be held in February 2023 in Mumbai – the first South Asian City to have made it to the ‘A’-list. Details are to be out soon.
CDP recorded over 18,700+ companies – including listed companies worth US$60.8 trillion (half of the global market capitalization) disclosed their environmental data through CDP in 2022, the global non-profit that runs the world’s environmental disclosure system for companies, cities, states, and regions.