Net Environmental Contribution: the holistic Nature metric

guiding environmental action of investors and corporations.

An environmental score to guide action

The NEC metric evaluates economic activities based on their impact on the environment. It is a relative measure that can be applied across sectors and has a high level of granularity. The NEC metric places companies on a scale from -100% to +100% which enables economic actors to identify companies that have a stronger impact on the environment, “destructors” which are between -100% and 0%, as well as companies that have less impact on the environment, “contributors” which are between 0% and +100%. This scale enables cross-sectoral comparison with a high level of granularity.

Source: NEC version 1.1 scores for financial years 2025 and 2024, calculated by NEC Initiative.

Yancoal Australia | -100%

Yancoal produces thermal coal, used for power generation. Coal power generation releases the most CO2 than any other fossil fuel which highly contributed to global warming and significantly deteriorates air quality.

Yancoal Australia

McDonald's | -69%

McDonald's menus mainly consist of meat, the production of which has a strong impact on the environment. The NEC metric captures these various environmental impacts, such as pollution of water, greenhouse gas emissions and land artificialization.

McDonald's

Kaiser Aluminum | -40%

Kaiser Aluminum focuses on the production of aluminum which has a strong impact on the environment. The production of aluminum requires large amounts of electricity and water. The extraction of bauxite in open-pit mines severely degrades local biodiversity and pollutes the soil.

Kaiser Aluminum

Inditex | -21%

Inditex owns poor quality fast fashion brands that overproduce clothing to frequently roll out collections each year. This generates significant amounts of waste that drives greenhouse gas emissions, soil and air pollution, amongst other impacts.

Inditex

LVMH | -13%

LVMH produces various luxury good items generating various levels of environmental impact: from average - cosmetics and some clothing - to strong - leather goods, mostly, and wines and spirits.

LVMH

Average impact | 0%

The NEC score of 0% represents the average impact of the global economy on the environment.

Average impact

Schneider Electric | +11%

Schneider Electric manufactures various equipment that optimizes energy usage in buildings, which enables the electrification of usages in the economy.

Schneider Electric

Endesa | +56%

Endesa produces electricity, historically from coal power plants but has shifted to focus on scaling its renewable electricity generation. The NEC metric reflects this shift as the company's NEC score evolved from +25% in 2012 to +56% in 2025.

Endesa

Organto Foods | + 47%

Organto Foods only sells fruits and vegetables, the production of which has a much lower environmental impact than other foods (meat, fish,…): it requires less land, water and chemical inputs, and emits significantly less GHGs. The NEC metric highlights this relatively lower impact.

Organto Foods

Alstom | +78%

Alstom mainly manufactures electric trains, which are one of the most environmentally high-performance modes of transport, both for passengers and freight, particularly in terms of GHG emissions and air pollution.

Alstom

Ørsted | +94%

Ørsted is a leader in offshore wind power, which is the “NEC ecosolution” for electricity generation. That does not, however, mean that this technology is neutral: it simply highlights that this is the technology with the lowest environmental impact per kWh of electricity generated.

Ørsted

-100% -69% -40% -21% -13% 0% +11% +56% + 47% +78% +94%

Unlike other environmental indicators, the NEC methodology adopts a holistic approach: it assesses the impacts on Nature by looking at climate, pollution and resources. It gives a relative measure which analyses the environmental impacts of a product or service throughout its life cycle.

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An environmental compass to guide all economic players

Investors

To guide sustainable investment strategies in the economy, the NEC initiative is a reliable compass for asset owners, asset managers, private equity funds, index providers, banks and more! Learn more

Companies

To guide companies’ environmental action, the NEC initiative is a reliable guide for all companies – small, mid or large, listed or not, from all economic sectors and all geographic areas. Learn more

A historically reliable metric

The NEC metric was developed from 2015 to 2018 by a group of leading financial and environmental experts. After 4 years of research and development and rigorous testing, the mission-driven NEC Initiative was created in 2021 to accelerate its use amongst economic actors. Our team works tirelessly to keep the metric aligned with today’s environmental realities.

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2015

Sycomore Asset Management launches a 4-year R&D process for the creation of the metric.

2019

Tested and validated on +1500 issuers, the NEC becomes open and transparent.

2021

NEC Initiative becomes a mission-led company and opens its capital to 4 shareholders.

2023

Release of the updgraded and enriched version of the methodology.

2025

NEC Initiative becomes data provider ; it covers a universe of 45,000 issuers.

Recognitions

The NEC methodology is recognized as a leading example of ‘best practice’ in sustainability assessments by key institutions.

We are purpose-driven

Leading the way to a more sustainable economy by equipping economic actors with a compass to reliably guide their environmental action.

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Our shareholders support us

The NEC initiative is surrounded by leading actors in finance who are recognised for their strong environmental commitment.