EDP recognised for leadership in performance on climate change
The environmental organisation CDP has once again included EDP in a select group of global companies that stand out for their climate change strategy and water security
EDP has been recognized for its leadership role and performance in the fight against climate change by CDP, a global non-profit environmental organization. The company has been included on its annual 'A List' based on the data reported through the organization's Climate Change 2023 questionnaire. EDP is one of the few global companies, out of over 21,000 companies scored, to receive the maximum 'A' rating. In addition, EDP Brazil has also received the highest rating for transparency and performance on climate change.
The company also stood out for its high performance in water management (‘water security’) and reduction of risks associated with it, being one of the world leaders that have best managed this resource.
This is the seventh year that EDP has been honoured by CDP in this area, thus strengthening its commitment to sustainability and the energy transition. This is reflected in the group's Climate Transition Plan, which outlines the company's main goals, including becoming coal-free by 2025, being all green by 2030 and reaching net-zero by 2040. EDP is committed to meeting high standards of environmental action, social impact, and governance.
CDP, which is fully aligned with the TCFD (Task Force on Climate-Related Disclosures), holds the world's largest environmental database. Its ratings are widely used as a benchmark for investment and purchasing decisions aimed at fostering a sustainable and carbon-neutral economy. In the past year, more than 740 financial institutions with more than $136 trillion in assets requested companies to disclose data on environmental impacts, risks, and opportunities through the CDP platform. A record of 23,000 companies responded to this call for disclosure.
The organization follows a rigorous and impartial process to evaluate businesses across different industries and regions. They assign a score ranging from A to D-, depending on how comprehensive the disclosure is, how much attention is given to environmental risks, and how well best practices are demonstrated in regard to environmental leadership, such as setting ambitious and relevant targets. Companies that fail to disclose information or provide inadequate information are given an F grade.
Upon the announcement of the results, Sherry Madera, president of CDP, congratulated all the companies on the ‘A List’ and those that have started or accelerated their journey towards more robust climate action and greater transparency in its implementation and dissemination. "Winning a place on the ‘A List’ is more than a score. It's an indication of high quality, comprehensive data that equips companies with a holistic view of their environmental impact, which serves as a baseline for transition plans and allows them to pursue their ambitions," she commented.
The full list of companies on this year's CDP 'A List' is available here.