Measuring the Value at Risk of Climate Change

Aim
  • To quantify the impact of climate change on the value of various FTSE 100 companies

Scope
  • Cairneagle developed a ground-breaking methodology for valuing the short term impact of carbon emissions, as well as the longer term impact of physical climate change
  • The framework was tested on 20 UK companies in 9 sectors

Outcome
You can view the report published by The Carbon Trust here.
  • The methodology, which was the first of its kind to attempt to quantify the impacts of climate change on shareholder value, has been used as a benchmark across the industry and been the catalyst for a number of other projects
  • Companies and investors can use the analysis to identify the potential carbon-related risk from within their operations, as well as from their suppliers and customers