What it is
The Transition Pathway Initiative (TPI) is an asset-owner led initiative that assesses companies on two dimensions: management quality (governance, strategy, targets) and carbon performance (whether a company's emissions trajectory aligns with Paris Agreement goals). Data is free and publicly available for over 600 companies across the most carbon-intensive sectors.
Why we picked this
TPI answers a specific question that other ESG tools do not: is this company's emissions trajectory consistent with a 2C or 1.5C world? The carbon performance assessment compares company trajectories against science-based benchmarks, making it the most rigorous free tool for evaluating transition readiness.
Key takeaways
- TPI assesses over 600 companies in the most carbon-intensive sectors, including oil and gas, utilities, mining, and aviation.
- The carbon performance tool plots company emissions trajectories against Paris-aligned benchmarks, showing visually whether a company is on track.
- TPI is backed by asset owners managing over $50 trillion, giving it institutional weight and ensuring ongoing data quality.