wtw-气候变迁高管薪酬指南（英）-2021.11-34正式版.docx

WjORlOECONOMICFQRUMHowtoSetUpEffectiveClimateGovernanceonCorporateBoardsGuidingprinciplesandquestionsExecutiveCompensationGuidebookforClimateTransitionIncollaborationwithWorldEconomicForum,sPrinciplesforEffectiveClimateGovernanceWiH2021WilteTOWef8Watson.A11QhtsreservedClimate<CGovernanceInitiativeWillislbwersWatsonllllll>lSupportingchaptersChapterZero Brussels , Drdors'Ornate ForwnChapterZero Canada Tb Dirwctoa Cimt FoornAustralianInstituteofCompanyDirectorsChapterZeroBrazilhIBGCClwnateForumChapterZero ChileThpDirKionrClmatFFanjmChapterZeroFrance1.eRxumCtorwtCJeSAdrWiiSIraleUrS©ClimateGovernanceInitiativeGermanyClimate Guviknknle malariaChapterZero Poland T>w Dmlcn'CimetsRvunriChapterZeroMdxicoIntcistivadaGoberwvaCimMca* CLIMATE GOVERNANCE INITIATIVE RUSSIANACDChapterZeroSwitzerlandTheDirectors,CfinateForumChapterZeroTnDiwctors'CHrrMFortIndustry deep-divesW<1 >Business,investorandIBestpracticesindrivingclimateMarketinsights:Climatemetricsinregulatorycontextobjectiveswithexecutivempensationexecutiveincentiveplans02021WillisTowersWatson.Allrightsreserved-ProprietaryandConfidential.ForWilfcSTowersWatscnandWiifcsTowersWatsonc*entuseonly.AboutthisguidebookAsorganizationsacknowledgetheneedtotransitiontoanetzerobusinessmodel,investorsexpectboardmembersnotonlytodrivetheadoptionofacredibleclimatetransitionstrategy,butalsotoprovideclearevidencethatitsexecutionhasbeenembeddedeffectivelyacrossallkeymanagementprocesses,includingenterpriseriskmanagement,strategicplanning,innovation,capitalinvestmentandhumancapital.Onecriticalleverisformanagementtobeheldaccountableforthedeliveryofthestrategyand,whereappropriate,thecapturingofopportunitiesinclimatetransition.WillisTowersWatson,partneringwiththeClimateGovernanceInitiative,hasdevelopedthisguidebooktoexplorehowtodrivetheclimatestrategybymeaningfullyembeddingitwithinexecutivecompensationframeworks.Ourworkisinformedbyfindingsofsurveysandinterviewswithinvestorsandboardmembersfromorganizationsacrosstheglobe.Executivesummary.compensation12Marketinsights:Climatemetricsinexecutiveincentiveplans23Industrydeep-divesEndnotesTableofcontentsBusiness,investorandregulatorycontextBestpracticesindrivingclimateobjectiveswithexecutiveThisguidebookissetupasaninteractivePDF.Eachofthesectionsmaybeaccessedbyclickingonthelinksbelow.Forexample,tojumptoourviewson“effectiveexecutivecompensationdesign；'simplyclickonthebanneratthebottomofthepage.DeepdivesonselectindustriescanbeaccessedattheendofuMarketinsights"section.Simplyclickontheindustryonpage29,andthiswilltakeyoutoindustry-specificobservationsonhowtheindustryrelatestoclimatechangeatahighlevel,wherecompanieswithintheindustryareiritermsofincorporatingclimateintotheirexecutiveincentiveframeworks,commonchallenges,aswellasleading-companyexamples.Business,investorandregulatorycontextBestpracticesindrivingclimateobjectiveswithexecutivecompensationMarketinsights:ClimatemetricsinexecutiveincentiveplansIndustrydeep-diveswiN心2OWillisTowersWats.Allnghtsreserved.ProprietaryandConfidential.ForWilbsToWerSWatsonandWilteTowersWatsonCfcentuseonly.TheWorldEconomicForumPrinciplesforEffectiveClimateGovernanceIn2019,theWorldEconomicForumunveiledthePrinciplesforEffectiveClimateGovernanceforo-executiveboarddirectors.Theseprinciplessetouthowwell-governedboardsshouldincorporateaclimatelensintoallrelevantaspectsoftheiroversightfunctions.Oftheeightprinciples,Principle6focusesonincentivization.1Withinthisarea,executivecompensationisidentifiedasoneofthekeymechanismsthatdrivetherightbehaviorsandenablethecompanytodeliveronitsclimatetransitionstrategy.CLIMATEACUNTABILYSUeJECTCOMMANDSTRATEGICINTEGRATION*ooIC0M>MC*QUMBOARDSTRUCTUREMaterimityASSESSMENTHowtoSetUpEffectiveClimateGovernanceonCorporateBoardsGuidingprinciplesandquestionsPrinciple6-IncentivizationTheboardshouldensurethatexecutiveincentivesarealignedtopromotethelong-termprosperityofthecompany.TheboardmaywanttoconsiderincludingClimate-relatedtargetsandindicatorsintheirexecutiveincentiveschemes,whereappropriate.Inmarketswhereitiscommonplacetoextendvariableincentivestonon-executivedirectors,asimilarapproachcanbeconsidered.Business,investorandregulatorycontextBestpracticesindrivingclimateobjectiveswithexecutivempensationMarketinsights:ClimatemetricsinexecutiveincentiveplansIndustrydeep-dives<3>wiH©2021WilllsTowersWatson.AJIghtsreserved.ProprietaryandConfidential.ForWdksTowersWatsonandVlksTowersWatsonckentuseonly.Don,tsManage annual reports, executive compensation disclosures and ESG/climate reporting in silosUse judgment-based or ambiguous climate metrics or goalsBlindly follow market practices and what uIeading companies" doSet annual goals with no tie-in to the overall net zero visionMarket insights: Climate metrics in executive incentive plansIndustry deep-divesContinuously monitor and evolve measurement of climate goals Consider company-specific climate transition strategy and metrics Measure short-, medium- and longterm progress towards net zero Select metrics and goals that are science-based, clear, ambitious, transparent and consistent Tell the story of how executive compensation drives climate transition with robust disclosuresAdd climate metrics to incentive plans as a ucheck-the-box exerciseBusiness, investor and regulatory contextExecutivesummaryThroughinterviewswithboardmembersaroundtheworld,reviewofpublicdisclosuresfrommorethan800companiesandWillisTowersWatson,sexpertiseinexecutivecompensationdesign,wedocumentourobservationsonthebestpracticesin_howexecutivecompensationcanbeapowerfultool'indrivingclimatetransitionandclimateriskmitigation.Themeritsoflinkingexecutivecompensationandclimateobjectivesarewellestablished.Emissionsreductionandrenewableenergyadoptionareincreasinglyprevalentmetricsinexecutiveincentiveplans,especiallyinEuropeandinhigh-emittingindustriessuchasoilandgas.Thereremainsmuchforthebusinesscommunitytolearnabouttheimplicationsofatransitiontonetzero.Settingconsistentandreliablegoalsandmilestoneswillbechallenging.Butcompaniesmustresistthetendencytowardinaction,asclimateiswidelyconsideredthesingle-mostsignificantrisktotheplanet,businessesandthestabilityoftheglobalfinancialsystem.BestpracticesindrivingclimateobjectiveswithexecutivecompensationwinistowerswaU©2021WillisTowersWatson.Allghtsreserved.ProprietaryandConfidential.ForWilksTowerSWatsonandWilfeTowersWatsonc*etuseody.Industrydeep-divesMarketinsights:ClimatemetricsinexecutiveincentiveplansBusiness,investorandregulatorycontextwillist©2021WilllsTowersWatson.AllQhtsreserved-PropfieiafyandConfidential.ForWUksTowersWatsonandWilksTowersWatsoncentuseody.The stark reality and business imperative to actBusiness, investor and regulatory contextBest practices in driving climate objectives with executive compensationwinistowerswaUO 2021 Willis TOWerS Watson. All rights reserved. Proprietary and Confidential. For Wills Towers Watson and Willis Towers Watson dient use only.Industry deep-divesDrawingonthefindingsofmorethan14,000scientificstudies,theSixthAssessmentreport2fromtheIntergovernmentalPanelonClimateChange(IPCC)warnedthatunlesstheworldseesadrasticreductioningreenhousegas(GHG)emissionswellbeyondthetargetsalreadyadoptedworldwide,averageglobaltemperatureareexpectedtosurpassthe1.50Cthresholdwithinthenext20years,causingextremeandirreversibledamagetopeopleandtheplanet.TheIPCCreporthassharplyraisedthepressureonnationstomakefarmoreambitiouscommitmentsonclimatetransitioninadvanceoftheUNClimateChangemeetingheldinNovember2021,COP26.Assignatories(nowover190)oftheParisAgreementlayoutplanstoachievenetzeroby2050orearlier,attentionhasalsoturnedtotheprivatesector.AsofMarch2021,morethanone-fifthoftheworld,slargestcompanieshadcommittedtoanet-zerotarget3-afigurethatisexpectedtorise.1.eftunchecked,climatechangeposesthesingle-greatestrisktoglobalsystemicfinancialstability.Climateriskaffectsdifferentcompaniesindifferentways:Heavyemitters(businessesthateitherproduceorconsumelargeamountoffossilfuels)facethechallengeofcompletelyreshapingtheirbusinessmodels;andcompanieswithphysicalassetsinareaspronetoextremeweathereventsmustidentifystrategiestomitigateriskandincreaseresilience.Buttherearealsoaspectsofclimateriskthataresystemicandfromwhichnocompanyisimmune.Inparticular,therearedifferentlevelsofriskassociatedwithdifferenttypesoftransitionfromtherelativelysmoothtotheverydisorderlytransitionwhichwillresultfrominadequateactioninthenearterm.Climatetransitionandtheneweconomy,however,alsopresentopportunitiesformanybusinessestoinnovateandofferzero-carbonalternativestoconventionalhigh-carbonproducts,thuspotentiallydisplacingincumbentswithdisruptivebusinessmodels.Consumersareincreasinglydecidingwheretheybuy,andemployeesaredecidingwheretheyworkbasedoncompanies*commitmentstoclimatetransition.Forward-thinkingbusinessesseethesepressurepointsasopportunitiestogainacompetitiveedge.Marketinsights:ClimatemetricsinexecutiveincentiveplansRegulatoryactionsandnetzeroplansbygeographyWhileactionsvarybyregion,thedirectionoftravelisclearNorth AmericaIn June 2021, Canada enacted the Canadian Net-Zero Emissions Accountability Act, which lays out a clear path to net zero by 2050.4 The U.S. president released an executive order to set an interim carbon reduction goal by 2030.5 Some states have enacted net zero plans by 2050. The House and Senate each passed major legislation on clean energy innovation between 2020 and 2021, pending reconciliation.Latin America and the CaribbeanAll countries have rectified the Paris Agreement, and most have submitted their Nationally Determined Contributions (NDC), their post-2020 climate action plans. Some countries in the region, such as Chile, were among the first countries to submit NDCs.6T ；WesternEuropeandtheUnitedKingdomTheEUhascommittedtonetzeroby2050,withsomememberstatessettingearliertargets.TheEuropeanParliamentreachedaprovisionalagreementontheClimateLawRegulationinApril20217Inthesamemonth,theU.K.setanambitiouscarbonreductiongoal8andcontinuestobeagloballeaderinclimatetransition.MiddleEastandAfricaProgressvaries.WhileanumberofcountriesintheregionhavenotratifiedtheParisAgreement,some(e.g.,Nigeria,MoroccoandSouthAfrica)havetakenboldactionstowardnetzerothroughacarbontaxandsignificantrenewableenergyinvestments,9andSaudiArabiahaspledgedtoreachnetzeroby2060.10IAsiaPacificProgressvariesgiventhemixofdevelopedanddevelopingeconomies.Mostcountrieshavesubmittedplanstowardnetzeroby2050(China,SingaporeandAustraliainthesecondhalfofthecentury).Somecountrieshavealsoinstitutedacarbontaxandinvestedinrenewableenergy.Industry deep-divesBusiness,investorandIBestpracticesindrivingclimateIMarketinsights:ClimatemetricsinregulatorycontextobjectiveswithexecutivempensationexecutiveincentiveplansWiNistowerswatso.com©2021WillisTowersWatson.Allnghtsreserved.ProprietaryandConfidential.ForWilteTowersWatsoaandWilksTowersWatsonCfcentuseonly.TCFD5SrecommendationsencouragecompaniestodisclosehowmetricsandtargetsaretiedtoremunerationTheTaskForceonClimate-relatedFinancialDisclosures(TCFD)setoutafoundationalframeworkforcorporatedisclosureconsistingofgovernance,strategy,riskmanagement,andtargetsandmetrics.Inparticular,TCFDcallsonorganizationstodisclosethemetricstheyusetoassessclimate-relatedrisksandopportunities,aswellastheirperformanceagainstsuchmetrics.Recommendeddisclosuresalsoincludescope1(direct),2(purchasedenergy)and3(suppliersandcustomers)GHGemissions,aswellashowclimateriskisembeddedintheorganization'senterpriseriskmanagementprocess.TCFD,s core elements of recommended climate-related financial disclosuresGovernanceStrategyRisk managementMetrics and targetsDisclose the organization's governance around climate- related risks and opportunitiesDisclose the actual and potential impacts of climate- related risks and opportunities on the organization's businesses, strategy, and financial planning where such information is materialDisclose how the organization identifies, assesses, and manages climate-related risksDisclose the metrics and targets used to assess and manage relevant climate- related risks and opportunities where such information is materialWell-measuredanddisclosedclimatemetricsandtargetsarecriticaltodrivingclimatetransitionwithincentivizationandremuneration.BroaderadoptionofTCFD,srecommendationswillsupportthiscause.Business, investor and regulatory contextIndustry deep-divesBestpracticesindrivingclimateobjectiveswithexecutivempensationMarketinsights:ClimatemetricsinexecutiveincentiveplansWiNistower$wat$©2021WillisTowersWatson.AJIrightsreserved.ProprieiaryandConfidential.ForWilksTOWerSWatsonandWilksTovsWatsonCtentuseonly.InvestorsjperspectivesTheinvestorcommunityseesclimatetransitionasaninvestmentriskandanopportunity.Institutionalinvestorswanttoensurethatthecompaniestheyinvestinhaveviablebusinessmodelsinalow-carboneconomy,sothattheirlong-terminvestmentscreatesustainablevalueandgreaterrisk-adjustedinvestmentreturns.InstitutionalinvestorsarealsoattractedbytheapparentuSustainabiIitypremiumnonESGassets.GlobalESGassetsexceed$40trillionin2020andareexpectedtoriseabove$50trillionin2021.11SomeinvestorsbelievethatbecauseESGandclimatecommitmentsultimatelydrivelong-termvaluecreation,conventionalfinancialandtotalshareholderreturnmeasuresmightbesufficienttodrivethedesiredattentionfrommanagement.Theybelievethattheremightnotbeaneedforanalignmenttoincentives.However,mostinstitutionalinvestorsconsiderincentivecompensationtobeapowerfultoolinacceleratinganorganization'sclimatetransition.Byelevatingtheimportanceofthetopicintheboardroomandbyholdingexecutivesaccountableforthecompany,slong-termclimatetransitiontargets,investorsarepushingtoseedisclosureofmeaningfulclimate-relatedtargetsandhowtheyareincorporatedintoincentiveplans.Business,investorandIBestpracticesindrivingclimateIMarketinsights:ClimatemetricsinregulatorycontextobjectiveswithexecutivempensationexecutiveincentiveplanswiNi$tower$wat$©2021WillisTowersWatson.AJIrightsreserved.ProprieiaryandConfidential.ForWilksTOWerSWatsonandWilksTowersWatsoncetuseonly.WestronglyquestionthenotionthatcClimatestrategyisbakedintoourremunerationplan,ifwedonotseedisclosureofmeaningfultargets/1Ifdisclosuresarenotforthcoming,oriftargetsarenotmeaningfulenough,theninvestorswillbeonit,andmayvoteagainstExecutivePayresolutions,orevenreelectionofRemunerationCommitteemembers.nitIndustry deep-divesIfyouhavea2030or