Climate change is one of the highest priority ESG issues for investors and an increasingly important business issue for companies. We are focused on understanding the challenges and opportunities for businesses posed by climate change in terms of both physical and transition risk.
CVC is committed to helping accelerate the energy transition and proactively managing the impacts of this on our portfolio. We believe that reducing our own GHG emissions footprint and engaging with the portfolio to do the same, is not only the right thing to do for society and the planet, but that it also creates long-term value for our companies and stakeholders.
Science Based Targets initiative (SBTi)
CVC has publicly set greenhouse gas (GHG) emissions reductions targets with the Science Based Targets initiative (SBTi). This target was approved by the Board of CVC and has been validated by the SBTi.
Scope 1 and 2: CVC commits to reduce absolute scope 1 and 2 GHG emissions by 73% by 2030 from a 2019 base year.
Scope 3 Portfolio Targets: CVC commits to 40% of its eligible private equity and listed equity investments by invested capital setting SBTi validated targets by 2027, and 100% of its eligible private equity and listed equity investments by invested capital setting SBTi validated targets by 2035.
Operational emissions
Our direct and indirect operational emissions (scope 1 and 2) are predominantly result of the running of our offices. We aim to reduce these emissions by:
- Purchasing renewable energy
- Electrifying our vehicle fleet
- Considering energy efficiency in new leases
By purchasing renewable electricity, we have significantly reduced our scope 2 emissions and plan to do the same in future years.
Portfolio emissions
Emissions from our investment portfolio (scope 3, category 15) account for the vast majority of our GHG emissions footprint. We are therefore prioritising the decarbonization of our portfolio, with a particular focus on our PE portfolio, where there is the largest exposure and we have the most influence. We have a structured engagement programme to support our portfolio companies to measure emissions, develop tangible action plans to reduce their emissions and set their own science-based targets.
CVC Planet and People Grants (formerly EcoGrants)
We award People and Planet Grants to CVC's portfolio companies to accelerate progress on projects that have positive social and environmental impacts.
During the programme, our portfolio companies gain insights that they can share across the network to widen the reach of the projects.