Navigator: Understanding Assets
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      Emissions Data: Create emissions estimate

      Paid-feature to generate a compliant emissions estimate using Pathzero's estimation module

      Pathzero's estimation modules generates a PCAF-aligned calculations, which use sector and region-based factors to estimate financed emissions.  

      This can be achieved with financial data that an investment manager typically has to hand. This means an initial estimate can be achieved immediately without having to engage the investee, provided the information is available. 

      Pathzero’s estimation module is:

      • Used by more than 250 fund managers to create emissions disclosures globally
      • PCAF-aligned, meeting stakeholder reporting requirements
      • Consistently updated ensuring the latest and most widely used EEIO research

      Find out more information about the emissions estimate.

      Initial Estimate

      A PCAF 5 estimation is calculated based on different required data fields, depending on the asset class selected:

      If project, private company or listed company is selected:

      The initial estimate will be displayed, generated based on the previously provided asset-level information:

        1. Type of Financing
        2. Currency
        3. Outstanding balance at fair value
        4. Primary country of operations
        5. Primary sector

      If commercial real estate is selected:

      1. Asset information
        1. Property value at origination: Enter the total value of the asset at the time of equity or loan origination. If property value at origination is not known or is not representative of activity, latest property value can be used instead. To do this, select ‘Input latest property value instead’.
      2. Building details
        1. Building type: Select the most accurate building type.
          Find out information on how to choose the correct building type  
        2. Number of buildings: Enter the number of buildings. The default selection here is 1.

      Improved Estimate

      A PCAF 4 estimation is calculated based on different required data fields, depending on the asset class selected:

      If project or private company is selected:

      1. Gross emissions estimation
        1. Total annual revenue: Enter the ‘Total annual revenue’ of the asset taken from its balance sheet. If revenue is not known or is not representative of activity, expenses can be used instead. To do this, select ‘Input expenses instead’.
      2. Calculate your proportion of financed emissions
        1. Ownership %: Enter the fully diluted holding as at reporting year end.
        2. Total equity: Enter total equity of the asset, taken from its balance sheet.
        3. Total debt: Enter total debt of the asset, taken from its balance sheet.

      If listed company is selected:

      1. Gross emissions estimation
        1. Total annual revenue: Enter the ‘Total annual revenue’ of the asset taken from its balance sheet. If revenue is not known or is not representative of activity, expenses can be used instead. To do this, select ‘Input expenses instead’.
      2. Calculate your proportion of financed emissions
        1. EVIC: Enter the total enterprise value including cash for the asset, taken from its balance sheet.

      If commercial real estate is selected:

      1. Building details
        1. Total floor area: Enter 'Total floor area' for the whole building (NOT apportioned to the % of ownership).
        2. Unit of floor area: Select the appropriate unit of measurement.

       

      Find more information on the methodologies behind Pathzero's models.