The World Benchmarking Alliance just released our response to the public Glasgow Financial Alliance for Net Zero (GFANZ) consultation on Defining Transition Finance and Considerations for Decarbonization Contribution Methodologies.
WBA’s response welcomes the work underway by GFANZ and others to develop the tools, frameworks and standards for transition finance. These are needed for companies to access – and financial institutions to provide – the necessary capital to funds the transition to a net zero and more sustainable future.
WBA provides technical input to bolster the proposals set out in Part 1 of the consultation. We also highlight a range of issues relating to the concepts and methodologies set out in Part 2, and call for GFANZ to set out a clear timeframe and commitment to develop these ideas, after the initial framework if need be, and in doing so work more closely with a wider group of stakeholders, including civil society groups.
Our response draws upon WBA’s Financial System Benchmark, Climate and Energy Benchmarks, and the Assessing Low-Carbon Transition (ACT) methodologies. Through our benchmarks we track the sustainability impacts of the world’s most influential companies and financial institutions, in line with the UN Sustainable Development Goals (SDGs).Download the consultation response