Energy productivity and efficiency have traditionally been low visibility issues for investors. But a world-first global energy productivity benchmark for listed companies developed by ClimateWorks could change this.
As part of an ‘Energy Productivity Index for Companies’ project, ClimateWorks has developed a Guide for Investors, analysing the energy productivity of 70 global listed industrial companies across six sectors - airlines, automobiles, chemicals, construction, paper and steel.
Analysis primarily draws on reporting data from the Carbon Disclosure Project (CDP) building on previous research undertaken for Australian companies including the ‘Energy Management and Company Competitiveness’ project.
Visit ClimateWorks’ Energy Productivity Index for Companies website for full project details or to download the Guide for Investors.
Investors previously lacked information around companies’ energy productivity and efficiency due to a lack of established methods to measure, report on and monetise improvements. However information developed by the project could be vital in unlocking greater returns.
The guide found that for over 70% of companies assessed, opportunity to improve energy productivity was significant. As part of the project, ClimateWorks has delivered a guide for institutional investors, which presents:
Detailed energy productivity and energy efficiency findings by industrial sector and by company
Results identifying companies already taking a leadership stance in maximising their energy productivity potential along with companies rating lower than their peers on one or more energy performance metric
Steps investors can take to identify and engage with companies that could benefit from improved energy efficiency
Download the Guide for Investors on ClimateWorks’ Energy Productivity Index for Companies website.
In addition to providing a tool for investors, this guide, along with other report findings, can be used by industrial companies to self-assess current energy productivity and potential for savings through energy efficiency improvements.
With energy costs often a heavy burden on industrial companies, the possibility of improved energy productivity offers parallel benefits of a more sustainable business model as well as monetary savings.
Are you an investor or company interested in improving energy productivity and efficiency? Visit ClimateWorks’ Energy Productivity Index website to find out more.
The Energy Productivity Index for Companies project is a collaboration between ClimateWorks Australia, US-based ClimateWorks Foundation and project partners including CERES, the Institutional Investors Group on Climate Change, the Investor Group on Climate Change and Principles for Responsible Investment. The project’s lead investor was the California State Teacher’s Retirement System.