CHECKLIST FOR ENTITY CERTIFICATION

The Checklist for Entity Certification outlines the requirements for non-financial entities to be certified under the Climate Bonds Standard v4.0. It details eligibility, the 90% certification threshold for economic activities, the components of a Transition Plan (including climate performance targets, delivery strategy, and finance plans), and governance requirements. It also specifies mandatory commitments for Parent Groups, such as no expansion of fossil fuel activities and net zero commitments, and explains the process for maintaining or losing certification.

• Entity Certification is currently restricted to non-financial entities or their segregated segments for which the Climate Bonds Initiative has established Sector Criteria.
• To obtain certification, at least 90% of a Certified Entity's total economic activities must comply with requirements regarding Climate Performance, Delivery Strategy, Governance, and Disclosure.
• Compliance with the 90% certification threshold is determined by disaggregating operations based on either historical turnover (revenue) or GHG emissions determined via the GHG Protocol.
• Two levels of certification are available: 'Aligned' for entities whose targets meet Sector Criteria at the time of certification, and 'Transition' for those that align by 2030.
• A required Transition Plan must include a Vision, a Strategic Narrative detailing decarbonisation levers, and specific Action Plans for Scope 1, 2, and 3 emissions.
• The Transition Plan must be supported by a Finance Plan that details capital expenditure (CapEx), operational expenditure (OpEx), and planned funding sources, including detailed budgets for the first two years.
• Governance requirements include a Board mandate to oversee and approve targets and strategies, and the appointment of a named board member or executive with explicit responsibility for the entity's climate response.
• Parent Groups must publicly commit to no expansion of fossil fuel exploration, extraction, or power generation after 1 January 2023.
• Parent Groups are required to have a public net zero emissions commitment covering at least 95% of group-wide scope 1 and 2 emissions, and 90% of scope 3 emissions if they constitute at least 40% of total emissions.
• Certification can be revoked if the entity no longer conforms to the Standard, breaches contractual obligations, or fails to re-apply within 12 months of starting new economic activities.

APA

Climate Bonds Initiative (2023). CHECKLIST FOR ENTITY CERTIFICATION. https://www.climatebonds.net/files/documents/Entity-Certification-Checklist.pdf

Chicago

Climate Bonds Initiative. CHECKLIST FOR ENTITY CERTIFICATION. 2023. https://www.climatebonds.net/files/documents/Entity-Certification-Checklist.pdf.

Wikipedia

{{cite report |author=Climate Bonds Initiative |title=CHECKLIST FOR ENTITY CERTIFICATION |date=April 2023 |url=https://www.climatebonds.net/files/documents/Entity-Certification-Checklist.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatebondsinitiative2023checklist, author = {{Climate Bonds Initiative}}, title = {{CHECKLIST FOR ENTITY CERTIFICATION}}, institution = {Climate Bonds Initiative}, year = {2023}, month = apr, url = {https://www.climatebonds.net/files/documents/Entity-Certification-Checklist.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }