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.

Beef | -100%

The impact comes mainly from deforestation (soybean production for livestock), methane production (enteric fermentation), fertilizer use and high water consumption.

Beef

Fuel for electricity production | -63%

The impact comes mainly from the combustion of fuel oil, which is a major emitter of CO2e. Fuel oil also generates soil pollution, which negatively impacts local biodiversity.

Fuel for electricity production

Cotton | -24%

The impact comes from the very high water consumption necessary for cotton production. Cotton is also one of the biggest consumers of pesticides, impacting biodiversity and polluting the soil.

Cotton

Aluminium | -40%

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.

Aluminium

Milk | +17%

The impact comes mainly from deforestation (soybean production for livestock), methane production (enteric fermentation), fertilizer use and high water consumption.

Milk

Wood structure | +43%

Wood, which is sustainably managed, is a renewable material with a lower carbon footprint than the main solutions for building load-bearing structures.

Wood structure

Electric train | +100%

The train is one of the most efficient solutions for moving large numbers of people or goods over long distances. GHG (Greenhouse Gas) emissions and associated air pollution are low compared to other alternatives.

Electric train

-100% -63% -24% -40% 0% +17% +43% +100%

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.