Glossary
Financed emissions (PCAF)
Financed emissions (PCAF)
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CONTENTS
Financed emissions are the greenhouse gas emissions attributable to a financial institution's loans and investments, measured and reported using the PCAF standard.
Example in context
You're at a bank setting climate targets. Measuring financed emissions shows that two sectors drive most of the loan book's carbon emissions — and therefore most of its transition risk — telling you where engagement matters.
Why it matters
Financed emissions quantify transition risk and decarbonisation targets across a portfolio and increasingly feature in disclosures. EarthScan focuses on the complementary physical-risk view that sits alongside this transition picture.
Add the physical-risk view
FAQ
What are financed emissions?
The share of a borrower's or investee's emissions attributable to a lender's or investor's financing, according to the PCAF standard.
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