Stakeholders from across the pensions industry and beyond have collaborated on a Guide to Net Zero Pathways for pension schemes seeking to reduce their carbon footprint in a sustainable manner, published this month by Corporate Adviser in association with Scottish Widows.
The 24-page guide includes infographics, charts and a step-by-step explanation of all aspects of the implementation of net zero pathways, examining transition strategies, trustee responsibilities, metrics and data quality, forward-looking approaches, challenges around greenwashing and carbon offsets.
It also includes stakeholder perspectives from Ben Caldecott and Kate Levick of the Transition Plan Taskforce Secretariat, Huw Davies from Make My Money Matter, Edwin Whitehead from Redington, Caroline Hopper from Quietroom, and Shipra Gupta and Dr Stephen Porter from Scottish Widows.
Corporate Adviser editor John Greenwood says: “The way the pensions industry looks at net zero and sustainability is rapidly evolving. While a ‘low carbon’ approach may superficially seem like the way forward, a more nuanced approach is required. It is easy to dump a few heavy carbon stocks and slash a scheme’s tonnes of carbon per pound invested ratio. But straightforward divestment does nothing for the just transition to a greener world. Planting windmills in the sea requires a lot of
concrete and steel, and is carbon intensive – a simplistic approach simply doesn’t work.
“Newer ways of looking at net zero pathways involve a forward-looking rather than backward-looking approach, understanding the part industries and the companies within them are playing in building the sustainable future we all need.
“This guide shares best thinking from across the sector and beyond, explaining and simplifying some of the very complex issues that pension schemes face in managing the transition to net zero.”
