CDP S&P 500 Report 2011

CDP responses from S&P 500 companies for 2011 show a significant shift in the way large US companies view and manage climate change. For the first time in CDP's 10-year history, a majority of S&P 500 responding companies report they now integrate climate change into core business strategy.

Despite the absence of a comprehensive regulatory framework in the US, market forces are driving increased corporate action on climate change. Revenue and new product opportunities, uncertain fuel prices, extreme weather events, and increasing investor pressure are influencing companies to raise the profile of the importance of climate change action throughout the business.

 
 

Some of the key findings from this year's report are highlighted below:

  • 87% (292) of S&P 500 respondents reported board or senior executive oversight of their company�s climate change programs, up from 68% (226) in 2010. With 68% (339)�over two-thirds�of the S&P 500 index participating in this year�s questionnaire, this translates to at least 58% of the index viewing climate change as a mission-critical issue.

  • 65% (219) of respondents reported that climate change issues are integrated into their overall business strategy, up from 35% (116) in 2010.

  • 54% (183) of respondents provided monetary incentives for managing climate change issues, up from 35% (116) in 2010.

  • 91% (306) of 2011 S&P 500 respondents disclosed GHG emissions, up from 88% (294) in 2010

  • 64% (214) of 2011 respondents disclosed emissions reduction targets, up from 51% (170) in 2010.

  • 72% (242) of the 2011 S&P 500 respondents identified risks and 69% (233) identified opportunities that have the potential to substantively impact business operations. Responses indicate that a growing number of S&P 500 companies see a path forward from risk management and operational effectiveness to significant business opportunities and actionable, long-term strategic advantage.

  • Over 60% (667) of emissions reduction projects reported by the 2011 S&P 500 respondents have a payback period of three years or less. Companies reported a higher number of opportunities to reduce emissions and those reflect increasingly innovative and creative approaches to GHG emissions reductions.