The stocktake shows that there is not yet any common definition of what a transition plan should actually entail. Should it outline a strategic roadmap or consistently provide the emission-relevant data? As we all know, good data are key – yet they are far too often lacking.
There is also the need to distinguish between the internal process of transition planning and a concrete transition plan – which should target a public audience and include credible interim targets. Finally, who will check these transition plans and against which standards? Going forward, supervisors might look into net-zero transition plans for information on whether or not financial institutions are addressing risks correctly.