Half of Fortune 500 companies—48%—have at least one climate or clean energy target, according to a new report, Power Forward 3.0, from WWF, Calvert Investments, CDP and Ceres. This number is up 5% from an earlier 2014 report.
Smaller companies are also involved in the clean energy movement with 44% of the smallest 100 members of the Fortune 500 also having set goals, up from 25% in 2014.
And these goals are tied to savings. In fact the report found that nearly 80,000 emission-reducing projects by 190 Fortune 500 companies collectively reported about $3.7 billion savings in 2016.
Other key findings of the report include:
- The annual emission reductions from these efforts are equivalent to taking 45 coal-fired power plants offline for one year.
- There has been strong improvement among the smallest 100 companies in the Fortune 500, with 44% setting goals in one or more categories, up 19 percentage points from the 2014 report.
- A growing number of companies are setting 100% renewable energy goals and science-based greenhouse gas reduction targets that align with the global goal of limiting temperature rise to below two degrees Celsius.
The report documents how different sectors compare in setting targets and how Fortune 500 companies are doing in meeting the targets they’ve set. The report also includes key recommendations for companies, policymakers and investors to continue to scale clean energy efforts, such as:
- Companies should continue to set, implement and communicate clean energy targets, while supporting local, state and national policies that make it easier to achieve their climate and energy commitments.
- Federal and state policymakers should establish clear, long-term low-carbon polices that will help companies meet their clean energy targets while also helping the US meet its carbon-reducing commitments under the Paris Climate Agreement.
- Investors should consider allocating their investments to companies well-positioned for the low-carbon economy and continue to file shareholder resolutions and engage in dialogues with companies to encourage them position themselves for the coming low-carbon future.
- Utilities should provide renewable energy purchasing options in line with what their corporate customers want.