Global Pathways to Net Zero

This study evaluated corporate alignment with the 2050 Net Zero Emissions targets, a cornerstone of the global transition to a low-carbon economy as mandated by the Paris Agreement. Utilizing the Transition Pathway Initiative (TPI) framework, as endorsed by OECD reports, we analyzed the carbon performance of 2,028 firms across 24 sectors and 28 countries. Companies are scored on a 0–5 scale, with 5 indicating the highest alignment with net-zero goals. Through descriptive statistics, statistical analyses, and hierarchical clustering, we assessed performance variations by firm size, sector, and countries, comparing their alignment with Paris-Compliant Pathways. Results reveal that larger firms, sectors such as telecommunications and oil & gas, and European countries like Denmark and France exhibit superior carbon management, while smaller firms, carbon-intensive sectors like coal mining, and regions like China and the Middle East lag. These findings reveal sectoral and regional disparities, offering actionable insights to guide decarbonization efforts by policymakers and investors.