Carbon accounting standard and data

Harmonized carbon accounting enables transparency and accountability. Since comparability and transparency of financed emissions requires uniform disclosure, following the same guidelines and ideally using the same metrics, PCAF will create an open-source global carbon accounting standard covering various asset classes.

Since 2015, fourteen financial institutions from the Netherlands, under the leadership of ASN Bank, have worked together to harmonize, develop and implement carbon accounting methodologies for eight asset classes.

Building on the carbon accounting methodologies developed in the Netherlands and North America, a global carbon accounting standard for financial institutions will be developed.  The global carbon accounting standard builds upon the GHG Protocol’s technical guidance for calculating GHG emissions financed by loans and investments.

The global carbon accounting standard will cover all major asset classes (e.g. mortgages, commercial real estate, listed equity, business loans, project finance) by providing detailed methodological guidance for each asset class.

"Follow the money" is a key principle of the global standard, i.e. the money should be followed as far as possible to understand and account for the carbon impact in the real economy. It includes scope 1, 2 and relevant categories of scope 3 of the investee.

Global core team

A global core team of 10 to 15 leading financial institutions will develop the global carbon accounting standard and will present the first version in mid-2020. This version will be updated based on the lessons learned through its implementation at the regional level. The second version of the standard will be ready by mid-2022.

These are the participants of the core team. If your financial institution would like to join the core team, please contact us.

  • Banco Pichincha
  • Vision
  • AmalgatedBank
  • KCB
  • FirstRand
  • Crédit Coopératif
  • Landsbankinn
  • FMO
  • ABN-AMRO
  • Triodos
  • Produbanco
  • logos/boston-common-asset-manager
  • Robeco

Regional implementation

Regional implementation teams feed the development of the global carbon accounting standard

PCAF methodologies are being implemented in five regions: Africa, Asia-Pacific, Europe, Latin America and North America. Each region has regional implementation teams with a clear governance structure.

Each team is receiving technical assistance in implementing the PCAF methodologies (at no cost). The lessons learned through the regional implementation feed into the refinement of the global carbon accounting standard.

[...] In order for banks to reduce their impact on global warming, we need to be able to measure what that impact actually is. We recognize the Dutch  founders for initiating the open-sourced methodology that PCAF provides as a major step forward. Amalgamated Bank is proud to be a part of this first-of-its-kind partnership and we hope to be joined by many more banks in this endeavor.

Keith Mestrich, CEO Amalgamated Bank

Teams

Via the pages below you can access downloads and other resources made available by the the regional implementation teams.