Carbon Intensity Ranking

Carbon intensity is measured as the amount of Scope 1-2 GHG Emissions (expressed in metric tons of CO2 equivalent) per Million of Revenue (in USD)

Most carbon-intensive companies (all sectors)


Company Year CO2e (S1+S2) Revenue (USD) Intensity
picture_2 Southern Company 2021 82.6 million 23.2 billion 3,557
picture_2 Duke Energy 2021 78.1 million 24.6 billion 3,172
picture_2 Nextera Energy Inc. 2021 43.0 million 21.3 billion 2,023
picture_2 ArcelorMittal 2021 138.6 million 76.6 billion 1,808
picture_2 Linde plc 2021 39.9 million 30.8 billion 1,295
picture_2 Air liquide 2022 39.3 million 31.5 billion 1,246
picture_2 Veolia 2021 30.5 million 33.7 billion 904
picture_2 Dow Inc. 2021 32.2 million 55.0 billion 586
picture_2 Union Pacific Corp 2021 9.5 million 21.8 billion 434
picture_2 Exxon Mobil 2021 117.0 million 280.5 billion 417

Most carbon-intensive companies by sector


Company Sector Year CO2e (S1+S2) Revenue (USD) Intensity
picture_2 Southern Company Utilities 2021 82.6 million 23.2 billion 3,557
picture_2 ArcelorMittal Materials 2021 138.6 million 76.6 billion 1,808
picture_2 Union Pacific Corp Industrials 2021 9.5 million 21.8 billion 434
picture_2 Exxon Mobil Energy 2021 117.0 million 280.5 billion 417
picture_2 American Tower Real Estate 2021 1.1 million 9.4 billion 119
picture_2 Texas Instruments Information Technology 2021 2.1 million 18.3 billion 113
picture_2 Michelin Consumer Discretionary 2022 2.3 million 30.1 billion 76
picture_2 PepsiCo Inc. Consumer Staples 2021 4.3 million 79.5 billion 53
picture_2 AT&T Inc. Communication Services 2021 5.5 million 134.0 billion 41
picture_2 Eurofins Scientific Health Care 2022 180,779 7.1 billion 25
picture_2 US Bancorp Financials 2021 138,873 21.8 billion 6


Is ESG Rating consistent with Climate Performance?

Analysis based on the Top 100 largest US companies (S&P 100)

ESG Ratings

In the analysis below, we'll use MSCI ESG ratings

  • LAGGARD (CCC/B): A company lagging its industry based on its high exposure and failure to manage significant ESG risks
  • AVERAGE (BB/BBB/A) A company with a mixed or unexceptional track record of managing the most significant ESG risks and opportunities relative to industry peers
  • LEADER (AA/AAA) A company leading its industry in managing the most significant ESG risks and opportunities

Climate Alignment Ratings

We'll use the Implied Temperature Rise (ITR) from MSCI to measure the temperarure alignment of companies with global temperature goals. It is a forward-looking metric, expressed in degrees Celsius.

By computing the ESG rating and ITR score for each company, we can classify companies into 4 groups:
  • True Leaders: Companies are combining strong ESG rating and climate-aligned goals.
  • Climate/ESG Leader: Companies are leaders either in ESG or climate.
  • Average: Companies have average ESG and climate scores.
  • Laggards: Companies are laggards in either ESG or climate scores.

These charts were inspired by a conversation with Christine Uri on LinkedIn(LinkedIn) about the possibility of achieving ESG without sustainability and vice-versa. She was absolutely right.
Many thanks to MSCI ESG Ratings & Climate Search Tool for providing free access to this data. Here's the Oct-22 MSCI Net Zero Tracker report with additional insights.



Net0Tracker Scores are Getting Better



Still A long Way to Go to Reach Net Zero by 2050

Current Methodology:

  • For each S&P 100 company, a GHG emission trajectory from 2019 to 2050 is calculated
  • Historical GHG emissions (usually 2019-2021) are either based on self-reported data or an estimate when GHG reporting is either incomplete or absent.
  • Future GHG emissions are calculated based on reduction targets that are publicly committed
  • Two types of targets are considered: gross absolute emissions reduction and net zero targets.
  • Net Zero targets are converted in gross emission reduction assuming a 90% decrease vs. 2020 (See Net Zero Standard by SBTi)
  • Targets including incomplete scope 3 categories are excluded.



Stock vs. Climate Performance

Top / Bottom YTD S&P100 Stock Performance


Company Stock (YTD) Net0 Ranking
picture_2 Nvidia 229.7% #85
picture_2 Tesla 100.4% #98
picture_2 Advanced Micro Devices 91.1% #27
picture_2 Bristol Myers Squibb -32.4% #68
picture_2 Pfizer Inc. -41.4% #16
picture_2 Walgreens Boots Alliance -46.7% #57

Updated as of 2023-11-29

Note: Based on S&P 100 companies



Surprising insights in 2022 CDP Scores

Note: Based on S&P 100 companies

Best 3 Upgrades


Company 2021 2022
picture_2 Meta Platforms, Inc No Score B
picture_2 Booking Holdings Inc. No Score C
picture_2 Broadcom F C

The following companies reported to CDP for the first time in 2022:
Amazon.com Inc. Broadcom

Worst 3 Downgrades


Company 2021 2022
picture_2 ConocoPhillips B D
picture_2 BlackRock Inc. A- C
picture_2 Walmart A- C

The following companies stoppped reporting to CDP in 2022:
Netflix Inc. Charter Communications Inc.



Still Low Transparency in Carbon Reporting

Note: Based on S&P 100 companies



Net Zero is Becoming Mainstream

Top 10 Revenue without Net Zero Target


Company Revenue (USD) Ranking
picture_2 Berkshire Hathaway Inc. 350.4 billion #100
picture_2 Home Depot 151.2 billion #60
picture_2 Walgreens Boots Alliance 132.5 billion #57
picture_2 AbbVie Inc. 56.2 billion #76
picture_2 Caterpillar Inc. 51.0 billion #95
picture_2 Abbott Laboratories 43.1 billion #75
picture_2 Altria Group Inc 21.1 billion #17
picture_2 Charles Schwab Corp 19.0 billion #97
picture_2 Advanced Micro Devices 16.4 billion #27
picture_2 American Tower 9.4 billion #69

Note: Based on S&P 100 companies



Science-Based Targets: The Gold Standard

63.2%

SBTi

% companies that committed or set science-based targets as validated by SBTi.

Note: Based on global companies tracked by Net0Tracker and SBTi latest report



© Vincent Manier - September 2021 About us . Keep in touch . Blog