Climate risk, scenarios & resilience · Core

Transition risk

Also called: climate-transition risk

ELI5

Risk arising from policy, technology, market or social changes during the shift to a lower-carbon economy.

Used in conversation

“The control is not complete until we can evidence how transition risk is monitored.”

Pitch context

You will see “Transition risk” in sustainability reports, impact decks, climate plans and assurance materials when the discussion reaches climate risk, scenarios & resilience.

Why it matters: In climate risk, scenarios & resilience, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

Sources & evidence · 3

Direct term-level sources and supporting source families.