BAKU, Azerbaijan, May 14. ACWA Power has been
upgraded from ‘BBB’ to ‘A’ in the MSCI ESG Ratings, reflecting
significant progress in strengthening sustainability disclosures,
governance practices, and ESG reporting since 2023, Trend reports
vis the company.
MSCI ESG Ratings evaluate companies on a seven-point scale based
on exposure to industry-specific, financially material
environmental, social and governance risks, as well as how
effectively these risks are managed. The ‘A’ rating places ACWA
Power in the upper half of the scale, indicating improved ESG
performance and disclosure quality.
The upgrade follows a structured initiative launched in 2023 by
the company’s sustainability team in coordination with the Board,
aimed at improving MSCI assessment outcomes. The effort focused on
enhancing the scope, consistency, and depth of ESG disclosures in
line with investor and analyst expectations.
As part of the process, ACWA Power collected and validated 430
data points and more than 120 disclosure metrics across its
business units to ensure greater transparency and alignment with
reporting standards.
The improvement in MSCI scoring is part of a broader upward
trend in ACWA Power’s ESG profile. Over the same period, the
company improved its S&P Global ESG rating from below industry
average to above average and reduced its Sustainalytics risk rating
from high to medium risk. It is also aligned with the principles
and disclosure requirements of the UN Global Compact.
ACWA Power noted that stronger governance structures and deeper
integration of ESG considerations into decision-making processes
have been central to the improvement, supported by cross-functional
coordination across the organization.
