Climate Risk

Data is the driver

ON Climate provides lenders with the ability to assess climate transition risk on their loan book, with climate and credit risk teams getting access to immediate and actionable intelligence on their C&I portfolio down to the individual borrower level. Our solution enables banks to calculate financed emissions across their entire commercial loan book without wasting time collecting emission data from their customers.

Transition risks

Transition risks can arise from the process of adjustment towards a low-carbon economy. A range of factors influence this adjustment, including climate-related developments in policy and regulation, the emergence of disruptive technology or business models, shifting sentiment and societal preferences, or evolving evidence, frameworks, and legal interpretations. The ON Climate solution helps banks create effective climate transition risk strategies and incorporate climate risk measurement into your regular portfolio management and underwriting process.

Financed emissions

ON Climate enables banks to calculate emissions at the portfolio, sector, industry and borrower level, while adhering to PCAF score 3 and 4 reporting. Banks are also able to analyze and report on Scope 1 and Scope 2 financed emissions across six NGFS climate scenarios and five-time horizons for strategic planning while keeping the cost of reporting low. Use climate models aligned with recognized industry and accounting standards such as NGFS, and PCAF to avoid future risk and create effective climate impact transition strategies.