After a partnership signed with ACT methodology co-developer ADEME in July, Codo Advisory is now entering into a memorandum of understanding with CDP, the other co-developer of ACT, for the collaborative promotion of the ACT framework in Japan.
ACT is the only international initiative providing a science-based accountability framework based on a 360° forward-looking approach to align companies’ strategies and actions with a well below 2°C compatible pathway. ACT includes two complementary approaches: ACT Step by Step, providing assistance to companies to establish their low-carbon transition plan, and ACT Assessment, to measure progress and consistency of climate actions of companies.
CDP’s standardized and globally recognized reporting system enables companies to understand best practice, benchmark against peers, and in turn, take meaningful steps to address climate change. Mapped against CDP’s climate change questionnaire, the ACT methodology complements this, and uses the Science Based Targets Initiative (SBTi)’s Sectoral Decarbonization Approach to allocate each company a decarbonisation pathway aligned with an emissions scenario.
The purpose of this memorandum of understanding is to facilitate coordination between CDP and Codo Advisory to support the deployment of the ACT initiative in Japan.
Demand for credible low-carbon corporate transition plans is raising globally, as well as in Japan. At COP27, HSBC CEO Noel Quinn declared it was time to focus on the “science-based underpinning” behind corporate decarbonization proposals. He talked of forcing firms to “make clear how they’re going to change their capital investment,” what that means for individual sectors, and how progress might be measured.
The ACT framework provides a methodology right for that. Codo Advisory is the first consultancy bringing this methodology to Japan, and teamed up recently with megabank MUFG and insurance giant Tokio Marine to bring its ACT expertise to their corporate clients.