Air Liquide is expected to align with a 1.5°C warming scenario by 2030.

Air Liquide’s climate transition strategy reveals both commendable efforts and some areas for improvement.

According to an analysis by Planet Tracker, from 2019 to 2021 Air Liquide experienced a weighted absolute increase of 16% in total Scope 1, 2 and 3 emissions.

Without further mitigation, Air Liquide will overshoot SBTs by a significant 243%, failing to align with a 1.5°C pathway by 2030 or a well-below 2°C warming scenario by 2035.

However, Planet Tracker does not anticipate that this will happen if the company follows through with its forward-looking disclosed initiatives.

Their ambitious EUR 16 billion investment over the next four years, with 50% dedicated to energy transition, shows the company’s ambition to change its historic trend of emissions and to achieve Carbon Neutrality by 2050.

Sustainability KPIs and their implied indirect effect on executive compensation align management’s commitment with a 1.5°C pathway.

Air Liquide’s risk management strategy includes initiatives that not only mitigate emissions but also align with sustainable business offerings, marking prudent transition investments. As a result, the company can capitalise on opportunities arising from sustainable products and services, although there is room for improvement by connecting transition investments with expected emission reductions.

While Air Liquide seems poised for a 1.5°C pathway, Planet Tracker recommends a close monitoring of the company’s climate transition investments outcomes, to ensure its progress toward the intended target.

Air Liquide engages its suppliers and customers by championing transparency and fostering innovative solutions aimed at reducing its carbon footprint; nonetheless, sustaining relationships with entities conflicting with climate policy could be seen as a potential inconsistency with the Paris Agreement’s objectives.

Planet Tracker believes that the sustainability Key Performance Indicators (KPIs) in Air Liquide’s executive compensation packages are meaningful, and they could be material in a Climate Transition scenario as they indirectly affect sales growth and ROCE compensation KPIs. Thus, for better clarity, Planet Tracker recommends the disclosure of the estimated impact of climate transition initiatives on sales growth and ROCE.

This report is one of a series examining the climate transition plans of companies in the Climate Action 100+ list. This project is separate from, and not affiliated with, Climate Action 100+.

Read the Full Report here

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For more information please contact:

Dominic Lyle, Planet Tracker| t: +44 7484 654941 |


Planet Tracker is a non-profit financial think tank producing analytics and reports to align capital markets with planetary boundaries. Our mission is to create significant and irreversible transformation of global financial activities by 2030. By informing, enabling and mobilising the transformative power of capital markets we aim to deliver a financial system that is fully aligned with a net-zero, nature-positive economy. Planet Tracker proactively engages with financial institutions to drive change in their investment strategies. We ensure they know exactly what risk is built into their investments and identify opportunities from funding the systems transformations we advocate.


As part of its material system transition programme, Planet Tracker is examining the transition plans of the chemical companies covered by the Climate Action 100+ list   ( Our goal is to provide investors with the key information and analysis they need to be able to hold chemical companies to account for the quality of their climate transition plans and their execution against those plans, and to encourage them to use this information to engage effectively with these companies with the ultimate aim of driving the sustainable transformation of the chemical sector.