Are net zero emissions a priority for able CEOs?

It is vital for society to understand the climate ambitions of corporate leaders, as the commitments and actions they promote to address global warming can help create a more sustainable future for all. Furthermore, the endeavour to attain net zero will engender an irrevocable transformation of business as we know it. In this paper, we assess how companies respond to climate change, using a score that measures their strategic and operational efforts to achieve net zero emissions. For a balanced data panel of 5047 international companies in the period 2015–2022, our evidence shows that firms led by able CEOs present an upper level of implementation and progress with their climate action plan, better anticipating global challenges. In the case of less able CEOs, their interest arises as a response to solutions proposed for economic recovery or new needs in terms of energy management, derived from the disruptive events in the period 2020–2022, or appears in a company with stronger governance mechanisms that limit the CEO’s discretion.