Our Net-Zero Commitment
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These advancements are a global effort and we play a role.
We are investing in the transition
Invest in green and transition assets.
We are active owners and partners
Active ownership and decarbonization investment approach.
We are adapting too
Reducing emissions from our own operations
We are investing in the transition We invest in both green and transition assets.
We invest in industry leaders in sustainability - supporting these leaders while they support an economy-wide transition.
We are increasing our investments in green and transition assets – from $63 billion in FY2022 to at least $130 billion by 2030.
So, what are green and transition assets?
GREEN ASSETS
CPP Investments has a high threshold for green assets, they have to get at least
%
of their revenue from green sources.
Such as:
- Renewable energy
- Clean transportation
- Green certified buildings
TRANSITION ASSETS
They are companies that either
Don’t yet receive the majority of their revenue from green sources.
They fall short of the 95% threshold to be considered a green asset.
Are in high-emitting sectors with decarbonization plans.
Their plans must be validated by a credible third-party for target setting, such as the Science Based Targets initiative (SBTi) or disclose details of their decarbonization to show it is viable and profitable.
Transition assets have committed to reaching net zero with credible targets and transition plans in place.
These are more than just numbers on a page. Companies we invest in can have real world impact.
Learn about some of our green and transition companies:
Cordelio Power is an independent power producer that develops, owns and manages renewable power facilities. Cordelio manages an operating portfolio of over 1,200 megawatts of renewable assets across North America, including 396 megawatts of wind and solar projects in Ontario. CPP Investments supports Cordelio’s mission of becoming a leading North American developer, owner and operator of renewable power facilities.
Octopus Energy is a global energy and technology company headquartered in the U.K. It operates several businesses in 15 countries across four continents. Through its energy platform, Kraken, Octopus supports 32 million customers and is the largest renewables investor in Europe. CPP Investments is a long-term strategic partner of Octopus, supporting its mission to accelerate the transition of energy assets globally and to help expand green energy generation.
Ørsted is a Danish company that develops, constructs and operates offshore and onshore wind farms, solar farms, energy storage facilities, renewable hydrogen and green fuels facilities, and several biomass-fired combined heat and power plants. In 2021, Ørsted became the first energy company in the world with a science-based net-zero target and plans to be net zero by 2040.
We are active owners and partners We want to help our portfolio companies and partners adapt.
CPP Investments has many different types of companies in its portfolio.
Each one of them must embark on their own decarbonization pathways and we act as engaged owners along the way.
Our active engagement and proxy voting hold public companies accountable and can encourage them to consider climate-related risks and opportunities in new and innovative ways. This can lead to better returns and reduce risk when companies take a more proactive position on climate in their strategy.
But voting is not our only tool.
As owners, we:
We are adapting too We are reducing our own operational emissions.
We track our Scope 1, 2 and 3 (like business travel) emissions and are seeking to reduce them over time by changing our behaviours.
Scope 1
Direct GHG emissions from an organization’s owned and controlled sources.
Scope 2
Indirect emissions from the generation of purchased energy.
Scope 3 (category 6)
Emissions from the transportation of employees for business-related activities in vehicles owned or operated by third parties.
We purchase and retire carbon credits against any unabated emissions. We source high quality, verifiable carbon credits from Canada’s Darkwoods Forest Carbon Project.
Total GHG emissions (tonnes of CO2e)
Darkwoods spans 63,000 hectares of remote valleys, mountains and lakes, providing essential habitat for dozens of species at risk in British Columbia.
However, we still have more work to do, to lower our overall emissions footprint.
To move to net zero, we are lowering our operational emissions by modifying air travel, modernizing office spaces and changing behaviours.
