Transparent Climate Alliances: Principles for Greater Effectiveness and Legitimacy

Abstract

To meet the urgent and enormous task of addressing climate change will require considerable action by all sectors of society, including business. Beyond individual firm action, business climate alliances have been formed to achieve a variety of ends, including setting collective ambitions, sharing best practices, setting standards, and encouraging the establishment of nascent markets. These alliances that do important work need to be strengthened and legitimized. We recommend a set of practices and voluntary disclosures that we believe would help build trust and confidence in these alliances and in turn enable them to become more effective.

Keywords: Climate alliances, Climate change, Climate cooperation

JEL Classification: M10, Q50