Glossary entry

Climate Change Mitigation [Measures]

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Definitions

Option 1

Climate Change Mitigation Measures means the measures taken [or that could be taken] by the [Company/ Parties] [and [name of supply chain partner]] to reduce or remove their GHG Emissions to meet the Net Zero Target [in the environmental policy].

Option 2

Climate Change Mitigation Measures means technologies, processes or practices that contribute to Climate Change Mitigation, including but not limited to renewable energy (RE) technologies, waste minimisation processes, public transport commuting practices, Greenhouse Gas Emissions removal options, energy efficiency measures, dietary change, reforestation and afforestation, and other measures that serve to avoid an increase in or reduce either [Party’s] Scope 1, 2 or 3 Greenhouse Gas Emissions.

Option 3 (model laws)

Climate Change Mitigation means human intervention or efforts to reduce the sources of, enhance the sinks of, or remove Greenhouse Gas Emissions.

Related Term (Climate Change Mitigation Policies)

Climate Change Mitigation Policies means measures taken and/or mandated by a government, often in conjunction with business and industry, either within a single country or collectively with other countries, to accelerate climate change mitigation.

Drafting notes

Examples of mitigation measures:

  • Designing buildings to use less fuel or electricity
  • Making plans for new cities
  • Improvements to a cook stove design
  • Low-carbon transport such as creating high-tech subway systems or creating cycle paths and walkways
  • Carbon capture and storage (CCS) technologies

Examples of mitigation policies:

  • Support mechanisms for renewable energy supplies
  • Carbon or energy taxes
  • Fuel efficiency standards for vehicles automobiles

Application

Supply chain clauses, national climate laws, organisation climate change policies, international agreements, finance documentation.

Climate Change Mitigation Measures is used in the following TCLP clauses:

[Anna’s Clause] Climate Related Disclosure in Loans; 

[Archie’s Clause] Insurance Premium Adjustment for D&O Climate-related Financial Disclosures; 

[Kaia’s Clause] Climate Purposed NDA Terms (Confidentiality Agreement); 

[Scarlett’s Performance Conditions] Environmental, Social and Governance (ESG) Based Performance Conditions for Employee Incentive Awards; and 

[Toby’s Clause] Avoidance of excessive paperwork in Dispute Resolution.