Climate Lobbying and Responsible Investments: Policy Requirements

Obligations that can be included in any corporate investment, finance, insurance or supply agreement, requiring counterparties to demonstrate responsible climate policy engagement and leadership. 

A due diligence questionnaire (DDQ) that asks potential suppliers to provide information regarding a wide range of climate change-related issues going beyond the standard questions.

This DDQ is for buyers to assess a target’s net zero transition readiness, resilience and ability to adapt to future climate risks.

Standard drafting for heads of terms that makes climate a key consideration for any deal team. These heads of terms are particularly relevant for parties with public decarbonisation or net-zero targets.

Contractual obligations in respect of the usage of materials and waste management to ensure consequential GHGs are minimised.

Embeds ‘Repair, Reuse and Recycle’ concepts in procurement / supply agreements for the benefit of the client, end consumer and environment.  

This clause places a 'light green' obligation on shareholders to work towards operating the company in a carbon neutral manner.

A clause containing mutual obligations to allow all parties to either perform their own obligations in a way that reduces their carbon footprint and/ or require other parties to do so.

A clause that sets climate and environmental performance metrics for suppliers, incentives for meeting supplier performance targets and consequences for breach.

A board paper for building net zero objectives and targets into corporate strategy. It also provides for ongoing monitoring and evaluation of a company’s progress against its net zero targets.

Introducing specific drafting into board minutes that encourages directors to consider their decarbonisation targets, organisational carbon footprint and climate risk as a routine part of their decision making.

A mechanism that benchmarks a contractor's carbon footprint against the market.