Understanding Carbon Risk Dynamics
The Carbon – Own Operations Material ESG Issue (MEI) examines how companies handle their Scope 1 and 2 greenhouse gas emissions, with consideration for parts of Scope 3 emissions like transport and logistics.
Unchecked greenhouse gas emissions, particularly carbon dioxide, drive climate change, posing systemic risks to the economy and society. Managing carbon risk amid transitioning business models is essential.
Morningstar Sustainalytics' Carbon Own Operations MEI assesses a company's exposure and management of transition risks through tailored policies and programs.
Navigating Regulatory Landscapes for Decarbonization
As global carbon budgets tighten, companies failing to manage carbon risk face increased exposure to regulatory frameworks and operational costs. Effectively addressing carbon issues is critical for future resilience.