How Does ING Give Climate Scores to its Major Clients?

ING, a global pioneer in responsible banking, has revealed how it scores its major clients for what they disclose about their climate transition plans.
The Netherlands-based bank, which has 61,000 employees across the globe, is being more proactive and data-led in how it assesses and reports back.
And it hopes that other banks and financiers will follow its example.
Anne-Sophie Castelnau, Global Head of Sustainability, ING Group, said:
“By sharing our insights and learnings we hope to inspire others and increase the collaboration with our clients and peers.”
What is the ING approach?
Anne-Sophie said, for ING, client engagement is a “fundamental part” of its climate action approach.
She added: “In our recent Climate Progress Update we spotlighted how we work with our large clients to help them accelerate their transitions – especially clients in the most carbon-intensive sectors, where lowering emissions can make a big difference.
“We’ve taken steps to be more proactive and data-led, developing a methodology for assessing our clients on what they disclose about their climate transition plans.”
The information is compiled to generate a Client Transition Plan (CTP) score for each, with CTP scores feeding into client conversations and being embedded into the decision-making of the bank.
Why is ING doing this?
In a white paper about its CTPs, ING set out its intention to be at the heart of change and at the forefront of the transition to sustainable finance.
It says: “Our ambition is to help accelerate the transition – because it matters to us as a bank, to our clients and to society.
“We are a systemically important financial institution, so we have the opportunity to play a leading role in financing the change that is needed.”
It adds: “To help drive down emissions and align with global climate goals, we can make a significant contribution through engaging with our large clients to help them accelerate their transition - especially those in the most carbon-intensive sectors whose operations produce the most emissions and where their ability to shift can make the greatest difference.”
The Climate Transition Plan Score
ING’s move to CTP Scores took shape over a seven-year period. Milestones include:
- In 2018, ING launched its Terra approach by setting out pathways for key sectors to reach net-zero emissions by 2050, using the latest scientific guidance
- The sector scope has expanded to 12 today, including adding aluminium and dairy in the past year
- In 2021, ING joined the Net Zero Banking Alliance, committing to be net zero by 2050, which includes steering the most carbon intensive part of its loan book towards net zero by 2050 or sooner.
- Setting science-based targets for all the sectors in scope and reporting on the progress annually
- In 2023, ING decided to collect publicly available data on the climate disclosures and transition planning of around 2,000 clients. It said: “This will enhance our client-related decision-making process and improve how we engage with existing and prospective clients.
- This large-scale assessment resulted in a CTP score for each client. The scores are incorporated into transition risk assessment and transaction approval processes to support a more data rich and fact-based approach.
ING explained the balance between Terra and CTP, saying: “Whereas through our Terra approach we understand how our clients are developing against their sector specific decarbonisation trajectory at a portfolio level, the CTP scores enable us to get valuable insights at a client level on the actions they are taking in their decarbonisation journey.”
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