Suppose we have a FI that during the base year has provided loans to shipping companies. Given that the SDA-Transport tool does not cover shipping yet, how do we model these loans? By using non-SDA methods, e.g temperature scoring with default values?
Thanks for your question, and your patience as we follow up. For all companies in sectors without an SDA pathway, the other methods of portfolio coverage or temperature rating will have to be used for now. This means that a company in the shipping sector can be covered by engaging that company to set an ambitious GHG reduction target.
Once the shipping pathways are available, FIs can cover these sectors with an SDA pathway.