Scope 3 pressure, net-zero deadlines

Norway’s sovereign wealth fund said it will intensify pressure on portfolio companies to cut emissions to net zero by 2050, with a focus on high “Scope 3” emitters. As one of the world’s largest investors, the fund’s updated expectations increase the risk of voting against boards that lag climate plans, and it could divest from chronic laggards. The move highlights the divergence between European investor activism and U.S. policy shifts that have rolled back some climate-friendly programs this year. The fund cast climate risk as financial risk, signaling it will tie governance scrutiny more tightly to decarbonization progress.

Signals to markets and boards

For energy, mining, autos and consumer giants with sprawling supply chains, Scope 3 targets are often the hardest lift. Norway’s stance may accelerate vendor audits, low-carbon product pivots and M&A around clean technologies. Companies that already publish science-based targets could benefit from a lower cost of capital; those that don’t may face proxy fights and exit risk from large asset owners. With the fund’s size and global footprint, the policy adds momentum to investor-led enforcement even as political winds vary across regions.