The international initiative ranking, formed in 2017, reflects a company's expected future carbon emissions and how they compare to local or international targets under the Paris Agreement, and is a benchmark of dedication to corporate climate action.
A few of the factors in the score include a company's set greenhouse gas (GHG) emission targets, if a company supports domestic and international efforts to mitigate climate change and if an organization discloses an internal price of carbon.
A high TPI ranking equates to a group's demonstration that is has actively worked to strategically mitigate climate change.
"In 2012, Exxaro joined the renewable energy space by winning an independent power producer contract in the wind sector. The business has adopted a proactive stance when it comes to climate change and broader environmental, social and corporate governance objectives," Exxaro said of its work to date.
"While coal is still the largest energy source worldwide, renewable energy needs to be prioritised to stop climate change and transition to a low-carbon economy possible. As part of Exxaro's response to climate change, the company aims to reduce its GHG emission by 2.5-5% annually and is committed to achieving a carbon-neutral footprint by 2050."
The company said that work and commitment are already being advanced, with it investigating ways of reducing its scope 1 and 2 emissions through self-generation opportunities and power wheeling from renewable energy.
CEO Mxolisi Mgojo said Exxaro has, company-wide, come together behind its goals for sustainability and climate change.
"This ranking is…a signal…that our company is participating in the transition to a low-carbon economy and that we will continue to thrive long after we stop needing coal," Mgojo added.
