Climate transition plan
Definition
A climate transition plan sets out how a company will cut its greenhouse gas emissions in line with its climate targets: the targets, the decarbonization levers, the investments, the timeline and who is accountable.
ESRS E1 (climate change) asks companies subject to the CSRD to disclose their transition plan for climate change mitigation, if they have one, including its compatibility with limiting warming to 1.5°C. CDP asks similar questions.
A credible plan starts from the carbon footprint, names the few levers that carry most of the reduction (energy, purchases, logistics, product design), puts a budget against them, and tracks progress every year.
Go further
- A carbon footprint without an action plan is a diagnosis without a treatment
- Carbon neutrality, net zero and offsetting: avoiding greenwashing