Home Global warming The 10 greenest large companies of 2022, according to Just Capital

The 10 greenest large companies of 2022, according to Just Capital


VMware at NYSE, December 14, 2021.

Source: NYSE

By force or by will, large companies are increasingly attentive to their environmental footprints and risks. Some, however, are moving faster towards the goal of limiting global warming than others.

New rules were recently proposed by the United States Securities and Exchange Commission to make reporting of greenhouse gas emissions and climate risks mandatory. Additionally, climate-related proposals now make up the majority of the record number of global ESG shareholder resolutions.

While some companies announce commitments but make little progress on them, others follow the chops. A new report from Just Capital, which has measured corporate climate commitments in the past, lists corporate climate leaders in the Russell 1000 for 2022. This year it includes a new metric incorporating commitments to the science goal of limit total global warming to 1.5. degrees Celsius, the standard set by the Paris Agreement.

Currently, only 7% of companies have committed to trying to achieve this goal.

Companies on Just’s list emit on average 47 times less greenhouse gas emissions than their Russell 1000 counterparts and use 3.7 times more renewable energy. Mastercard and Microsoft are the only companies to return to the top 10 last year, due to the new Science Based Target metric.

In addition to energy criteria, these companies also link ESG performance to company compensation. Since last year alone, the share of companies doing this has increased from 13% to around 27%.

“I think it builds trust. One of the things that has changed this year is that people are just more skeptical of company claims, greenwashing, etc. So consumers, and Investors, too, want to be sure companies are walking the talk,” said Martin Whittaker, CEO of Just Capital.

At the top of Just Capital’s “Top 10 for the Environment” list is VMWare. The software company aims to achieve net zero emissions by 2030 across all of its operations and supply chains. Around 80% of its energy consumption is currently classified as renewable.

Microsoft, which was one of only two companies also on the list last year, came in second. It has not only been a leader in the corporate response to climate change with its negative carbon and zero waste goals, but also focuses on community engagement and has recently invested in agreements that allocate profits for development. renewable energy sources in underserved communities.

Intuit rounds out the top three, thanks to its new goal of reducing global emissions by 50 times from its 2018 operational footprint over the next decade. It also supports renewable energy options for its employees and collaborates on projects to innovate and fund high-impact climate solutions such as regenerative agriculture and refrigerant management.

Apple also made the list, not only because of its verified 1.5 degree goal, but also because of its attention to the role of suppliers in its environmental goals. It has pledged to make its supply chain carbon neutral by 2030.

Mastercard also returned to the list for a second year, pledging to achieve net zero by 2050 and linking it to its executive compensation, as well as other ESG goals. The company has received high marks for its commitment to developing sustainable products, as evidenced by its partnership with Conservation International to create the Wildlife Impact Card program.

Others in the top 10 were Moody’s, PayPal, Etsy, HP and PVH Corp., all of which committed to a science-verified target of 1.5 degrees.

“It’s a level of seriousness about a company’s intent and willingness to put its money where it’s at. It builds trust,” Whittaker added.