Getting to zero. To achieve net zero emissions, Asia must reduce annual CO2emissions by c17bn tonnes, half the global total. The companies in this report are onthe front line of the energy transition across the region that is being driven bycorporate strategies as well as government policy decisions (see Asia's energytransition: Part 1: Coal, gas, and a power crunch, 18 October 2021).

Diverging fortunes. We focus on eight big companies where we can identify specificESG impacts. All have navigated the COVID-19 pandemic disruptions, only to facean accelerated global push towards peak and net zero emissions. Both factors havecontributed to a divergence in business fundamentals, share price performance, andvaluations. Companies with energy transition strategies are being rewarded, but thisdoesn’t make them ESG darlings by default, as they still have to execute a complexset of strategies to offset or mitigate carbon emissions, manage stranded asset risks,and keep costs and capex in check.