Title page 1

Contents 5

Foreword 4

Executive summary 6

1. Introduction 8

1.1. Background 9

1.2. Scope and aim 10

1.3. Methodology 11

2. Managing social impacts of the transition: Challenges, opportunities and key actions for business 12

2.1. Taking an integrated approach to transition planning and implementation 13

2.1.1. Opportunities and challenges 13

2.1.2. Key actions for business 14

2.2. Applying a place-based dimension and considering cumulative impacts in identifying and prioritising impacts 18

2.2.1. Opportunities and challenges 18

2.2.2. Key actions for business 18

2.3. Engaging meaningfully with impacted stakeholders 20

2.3.1. Opportunities and challenges 20

2.3.2. Key actions for business 20

2.4. Using individual and collective action to address impacts 24

2.4.1. Opportunities and challenges 24

2.4.2. Key actions for business 25

2.5. Designing and implementing benefit sharing models 30

2.5.1. Opportunities and challenges 30

2.5.2. Key actions for business 31

2.6. Promoting continuous improvement and responsible disengagement 32

2.6.1. Opportunities and challenges 32

2.6.2. Key actions for business 34

References 40

Notes 48

Table 2.1. Varying terminologies across human rights and climate practitioners 17

Table 2.2. Contextual elements and related illustrative risk factors 19

Table 2.3. Illustrative examples of individual and collaborative approaches to responding to social impacts related to the transition 26

Boxes 13

Box 2.1. Key actions for managing social impacts of the transition 13

Box 2.2. Case study: SSE - an integrated approach to transition planning 16

Box 2.3. Case study: ENGIE - Global framework agreement 22

Box 2.4. Case study: Equinor - seeking to navigate divergent stakeholder interests 23

Box 2.5. The role of government in promoting a conducive policy environment for addressing social impacts associated with the transition 28

Box 2.6. Case study: Maritime Just Transition Task Force 29

Box 2.7. Case study: Henvey Inlet Wind - Co-ownership and shared prosperity with Indigenous Peoples 32

Box 2.8. Case Study: Walmart and HSBC - incentives and technical support for supply chain decarbonisation 36

Box 2.9. Case study: H&M Group - Setting targets and supplier decarbonisation 37

Box 2.10. Case study: Huntley Coal Plant - Mitigating broader community impacts 39