The CO-Firm and 2ii release “Transition-risk-o-meter”
An increasing number of actors demand (voluntary) disclosure of climate transition related risks. These comprise national governments, as in the case of France, and organizations such as the Task-force on Climate-related Financial Disclosures (TCFD).
Within the Energy Transition (ET) Risk project funded by the Horizon 2020 research and innovation programme The CO-Firm models financial climate transition-related risk for a number of selected sectors and companies, in a consortium with 2° investing initiative, Carbon Tracker, Kepler Chevreux, Institute for Climate Economics (I4CE), University of Oxford and S&P Global.
Building on the TCFD’s recommendations, The CO-Firm and 2° investing initiative developed a „Limited Climate Transition“- and a „Ambitious Climate Transition“-scenario. These scenarios complement and detail assumptions taken by IEA with additional parameters and country-level assumptions, so that the scenarios can lend themselves to climate risk analysis. Key risk drivers comprise production and technology, commodity and market prices, policies and cost incentives up to 2050.
You can read the report here.