How we measure impact
GCPF systematically measures the climate impact of its investments by quantifying the difference they make compared to conventional alternatives. For each project, we estimate the greenhouse gas emissions that would have occurred without the investment and compare them to the emissions of the financed asset. The resulting difference represents the CO₂ emissions avoided, typically driven by energy efficiency improvements or renewable energy generation.
To translate energy savings into emissions reductions, we apply country-specific grid emission factors, which reflect the carbon intensity of electricity generation in a given market. These factors are regularly updated as more accurate data becomes available. However, long-term emissions reduction estimates are calculated without assuming future decarbonisation of the grid.
Our methodology combines standardized approaches for smaller investments with more detailed analyses for larger or complex projects, ensuring both scalability and accuracy. All data is validated through internal and independent review processes and captured using our proprietary reporting tool, CO2rA, which aligns with international standards such as the GHG Protocol. This enables GCPF to deliver consistent, transparent, and credible reporting on the climate impact of its portfolio.
Impact indicators
Annual CO2 emissions reductions: Total CO2 emission reductions achieved during the reporting year, measured in metric tonnes of CO2 (tCO2).
Annual CO2 emissions reductions since inception: average/cumulative CO2 emission reductions achieved annually during since the inception of the Fund, measured in metric tonnes of CO2 (tCO2).
CO2 emissions reductions until the end of the asset’s projected lifetime: Total CO2 emissions reductions over the entire period during which the asset will deliver CO2 emission reductions. This is related to the lifetime of the asset and is different from the maturity of the loan.
Lifetime energy savings: total energy savings delivered over entire lifetime of the asset, measured in Megawatt-hour (MWh)
Invested Portfolio: the at-cost value of investments at the time of disbursement in USD, excluding any subsequent changes in value due to foreign exchange movements. The indicator includes any investments that are non-accruing and / or provisioned.
Renewable energy, total installed capacity: total renewable energy generation capacity installed by portfolio companies during the reporting period, measured in Megawatts (MW)
CO2 emission reductions / Tonnes CO2 saved: the decrease in CO₂ emissions resulting from an asset’s operation, measured as the difference between the asset’s emissions and those of a defined baseline scenario.
