Canada’s Largest Pension Plan Quietly Abandons Net Zero Target

Canada Pension Plan Investment Board dropped its commitment to achieve net zero emissions by 2050 just three years after establishing the target.

The pension plan, which has about C$714 billion ($515 billion) in assets, cited recent legal developments that have changed how such commitments are interpreted. CPPIB’s investment portfolio is too complex for standardized emissions metrics and interim targets, according to the firm.

“Forcing alignment with rigid milestones could lead to investment decisions that are misaligned with our investment strategy,” reads a segment of CPPIB’s sustainability website.

A representative for CPPIB declined to comment.

Toronto-based CPPIB is one of ...