Transition to a Low-Carbon Economy

Public Goals and Corporate Practices

image of Transition to a Low-Carbon Economy
Companies are increasingly aware of the need to address climate change. However, while many companies are taking action to address climate change, many others are still lagging behind.  This report surveys responsible business practices addressing climate change and driving the shift to a low-carbon economy. It summarises policies, regulations and other instruments in support of a low carbon economy in OECD countries and emerging economies, and analyses corporate responses to these drivers.

Using the principles of responsible business conduct identified in the OECD Guidelines for Multinational Enterprises, this report reviews three key areas of corporate action: accounting for greenhouse gas emissions; achieving emissions reductions; and engaging suppliers, consumers and other stakeholders.

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Annex A2 OECD Guidelines for Multinational Enterprises and Climate Change

The Guidelines for Multinational Enterprises are recommendations from governments to business on responsible business conduct. Though the Guidelines do not specifically address climate change, many of their recommendations reflect governments and societies’ expectations on what constitutes responsible business conduct in addressing climate change. The Guidelines thus have an important role to play in helping build international consensus and spread knowledge about advanced management practices in support of a low-carbon economy. This overview highlights recommendations which are relevant to business action to address climate change.

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