CDP: Carbon Disclosure Project Beginner’s Guide

CDP is a voluntary international disclosure system that gives customers, investors, and other stakeholders a path to request sustainability information from companies, cities, states, countries, and public authorities. Over the past two decades, the organization’s influence has grown steadily. More than 22,000 companies submitted disclosures to CDP in 2025. 

The organization uses companies’ self-reported data to assign a score and compile its “A List,” which highlights leaders in environmental transparency and action. High-profile organizations like AstraZeneca, L’Oréal, and Mitsubishi Electric are among the entities that’ve earned “A List” status for multiple years.

Below, we’ll cover how CDP’s framework works, how it aligns with other initiatives, and why organizations should disclose through CDP. For a detailed approach to CDP reporting, read our step-by-step guide.

How does CDP reporting work?

CDP assesses responses to questionnaires. 

When a company receives a request through CDP, it responds by filling out online questionnaires about climate, deforestation, biodiversity, plastics, oceans, and water. CDP reviews the completed questionnaires and assigns a score based on both the company’s impacts and the thoroughness and transparency of its responses. CDP then shares the evaluation with the stakeholder(s) who requested the disclosure, along with the reporting business, which has a chance to identify opportunities to improve its impact. 

CDP also has disclosure models that public authorities and cities, states, and regions can submit. CDP reporting is voluntary, and any organization is welcome to submit information without a disclosure request.

2026 Questionnaire Updates

CDP updated its questionnaire for 2026, as part of a push to streamline reporting and enhance global alignment. Key changes include:

• Refined structure, clearer guidance, and expanded digital capabilities. The system identifies the most relevant environmental issues and sector-specific content for each organization, and updated guidance improves readability. Work is underway to improve data ingestion and introduce an AI assistant. ‍
• Stronger alignment with global frameworks. The updated questionnaire aligns more closely with TNFD recommendations, GRI 303 Water & Effluents Standard, and the GHGP Land Sector and Removals Guidance.
• ‍Expanded boundaries of nature disclosure. To achieve a more complete picture of nature impacts, CDP has expanded the 2026 nature questionnaire to include oceans and enhance forests and water metrics.

CDP Disclosure Process

• Step 1: Investors or customers submit a disclosure request through CDP
• Step 2: Companies complete CDP’s online questionnaire
• Step 3: CDP scores the disclosure
• Step 4: Companies review their scores and identify opportunities for improvement 
• Step 5: CDP sends the disclosure to the requesting party 

CDP Scoring

CDP scoring methodologies and guidance vary depending on the type of reporting entity (e.g., corporate, SME, cities, states, and regions) and issue  (e.g., climate change, forests, water security). 

In 2026, CDP made minor changes to its scoring criteria. The organization will continue to score climate, forests, and water security for the full corporate questionnaire, but plastics, biodiversity, and ocean will not be scored. In addition to timber, palm oil, cattle, and soy, the CDP will also begin scoring impacts related to cocoa, coffee, and rubber.

CDP’s scoring methodology evaluates reporting organizations by the following categories. Each category represents the levels organizations move through as they work toward environmental stewardship.

1. The “disclosure” category focuses on the amount of data provided and its relevance to users.
2. The “awareness” category focuses on the thoroughness of an organization’s assessment of how its business converges with environmental challenges.
3. The “management” category focuses on evidence given for the way an organization manages its environmental impact.
4. The “leadership” category focuses on an organization’s performance in the previous three categories. It looks at the comprehensiveness of actions, risk assessment, and the implementation of strategies to improve environmental impact.

Reporting organizations must attain a minimum score and/or meet a minimum number of criteria at one level before CDP will score the next section. For example, if an organization fails to meet the minimum for the “disclosure” level, it will not get a score for any other levels.

There are customized calculation methodologies for each category:

• Disclosure and awareness points are divided by the maximum number of points possible, then multiplied by 100 and rounded to the nearest whole number to convert to a percentage.
• Management and leadership points are calculated based on the weighting for that category determined that year.

CDP sets preliminary benchmark scores that are subject to change if deemed necessary. It may adjust the thresholds to ensure scores accurately reflect the progress of reporting organizations.

CDP creates “A Lists” to highlight entities that are leading the way with “A” scores. If reporting organizations can meet the bare minimum for the first category, they can earn a “D-” at a minimum. “F” scores are reserved for organizations that fail to provide enough information for CDP to evaluate, including those that fail to respond at all.

CDP scoring methodology

The scoring system is also a straightforward method to improve investor relations by showcasing how a company is managing its environmental impacts.  CDP scores give reporting organizations a tangible resource they can provide to stakeholders who incorporate sustainability and social responsibility in their investing decisions.

How can organizations improve their CDP scores?

Transparent, comprehensive responses are key.

Companies can improve their scores by familiarizing themselves with CDP’s scoring methodology, using relevant data to inform their answers and actions, and leaning on external help when needed and accessible. 

Here are a few tips to follow when starting CDP disclosures:

• Understand CDP’s scoring methodology to see what information is needed and what categories you should focus on first for the biggest impact.
• If applicable, leverage scores and insights from previous CDP reports to inform changes and actions needed for future disclosures.
• Get buy-in from relevant staff, board members, and other stakeholders to ensure everyone understands the disclosure’s importance and their role in earning an improved score.
• Set science-based targets (SBTs) based on current data so your organization has measurable and realistic goals.
• Compare progress and goals to peers to see how similar organizations have worked through their CDP disclosure and how they’ve worked to reduce their negative environmental impact.
• Collect accurate scope 1, scope 2, and scope 3 information to provide a full set of data for the disclosure.
• Vet sustainability reporting solutions, prioritizing CDP-aligned carbon accounting platforms. 

What does CDP reporting require?

Questionnaires are tailored to industries and issues.

CDP asks reporting organizations to submit qualitative and quantitative data showing their current environmental impacts and plans to improve. Questionnaires differ based on company type and issue category (e.g., climate, forests, water security, biodiversity, plastics, oceans). CDP makes all questionnaires available through their website and will note any changes between reporting years.

Each year (typically in April), CDP provides updated questionnaire guides. Here are examples of past guidance:

• Questionnaire guidance for companies and public authorities
• Questionnaire guidance for small and medium-sized enterprises (SMEs)
• Questionnaire guidance for cities, states, and regions

What are examples of other resources CDP provides?

Research insights and engagement campaigns advance sustainability.

CDP provides access to research and engagement campaigns in addition to its scores and reporting platform. These resources support efforts to improve the quality and number of disclosures.

Research Hub

CDP’s research hub is home to robust datasets that illustrate how reporting organizations are taking action. Data is freely available to the public.

Access to this research lets customers and stakeholders see how companies, governments, and public authorities are making progress on their climate goals. Investors can use the data to better understand how companies are faring compared to their peers.  Reporting organizations can also use this information to guide their disclosures.

Non-Disclosure Campaign

CDP’s annual Non-Disclosure Campaign (NDC) targets companies that have previously failed to respond to CDP disclosure requests. The collaborative effort aims to spur dialogue between stakeholders and non-responding companies and allow financial institutions to encourage organizations to disclose. In 2025, a total of 223 signatories, representing nearly $23T USD in assets, participated in CDP’s Non-Disclosure Campaign.

What are the different types of CDP memberships?

CDP offers services for supply chains, reporters, and capital market signatories. 

CDP provides different membership options for supply chain monitoring, reporting, and investor engagement. All memberships require a fee, and some include different levels of benefits. We’ll break down the three primary membership types below.

Supply Chain

CDP Supply Chain membership is for companies that want support in assessing emissions in their value chains. CDP allows members to directly request disclosure from suppliers and supports both customers and suppliers throughout the process. They also provide resources and strategies for engaging suppliers. Members get: 

• Support understanding and collecting useful and applicable information from suppliers.
• Help making informed decisions and taking action with their suppliers’ data.
• Support and training to engage with suppliers.
• Communications guidance and support informing stakeholders about CDP Supply Chain membership and how they’re taking action.

Depending on the level of membership (standard, lead, premium), businesses can also get support with more complex issues, like net-zero targets, summaries of each supplier’s performance, and multi-region support. Once information is collected, CDP will evaluate and provide suppliers’ data with its insights each year.

CDP’s Supply Chain program now helps more than 330 companies manage upstream sustainability impacts. In 2025, approximately 45,000 suppliers received disclosure requests from CDP Supply Chain members, and engagement from Supply Chain Members drove 43Mt of emission reduction initiatives in 2023 alone.

Reporter Services

CDP’s Reporter Services program is a fee-based membership offering companies support in reporting and managing environmental impacts and risks. Reporting companies receive: 

• Help with plans for mitigating their negative environmental impact. Resources include one-to-one account management, review of the first disclosure draft, and step-by-step guidance for first-timers.
• Data and analytics support, best practices, and benchmarking. Resources include unlimited downloads of responses from companies, access to an interactive analytics tool, and customized data cuts upon request.
• Events and insights to help get ahead of environmental news and trends while also highlighting leadership. Resources include knowledge-sharing and networking events, along with member-exclusive educational webinars.

Capital Markets Signatories

CDP aids investors with policy setting, engagement, research, and other services to ensure that environmental data is integrated into the whole investment process. In 2025, CDP worked with more than 640 Capital Markets Signatories, representing over a quarter of all institutional assets. Through the program, signatories requested disclosure from thousands of companies around the world. Program members receive: 

• Access to CDP disclosure data, including current and historical company responses and scores
• Tools for data extraction, analysis, and identification of key engagement areas

• Option to participate in the Non-Disclosure Campaign and the Science-Based Targets 
• Disclosure progress updates throughout the open disclosure period so companies can know how companies of interest are moving through the process.
• Public acknowledgment for their commitment to engaging companies regarding their environmental-related challenges, so investors can highlight their leadership.
• Modeled scope 1, 2, and 3 datasets for more than 5,500 companies 

Types of CDP memberships include supply chain, reporter services and investors

Is CDP disclosure mandatory?

CDP Disclosure is voluntary, and increasingly becoming the norm.

CDP disclosure isn’t mandatory, but as the world moves toward regulated reporting through frameworks like California’s SB 253 and SB 261 and Europe’s CSRD, environmental transparency is becoming a norm. More than 22,000 companies disclosed through CDP in 2025. Since CDP is aligned with other initiatives, like the TCFD and GHG Protocol, preparing for a CDP disclosure request can also help companies align with other frameworks. Responding thoroughly and transparently to a CDP disclosure request is in a company’s best interest. Carbon data is the cornerstone of CDP climate reporting, so calculating emissions is an important first step. 

Can private companies report to CDP?

CDP offers a private markets reporting platform. 

Private companies can use CDP’s private markets platform to report and disclose to the CDP. The program enables financial institutions to use standardized data for baselining and monitoring of investments and lending portfolios. It supports asset owners in engaging with fund managers, and fund managers in engaging with portfolio companies. Private markets have historically lagged behind public markets in sustainability disclosure, but are quickly catching up, thanks to pressures from private equity investors and their LPs.

How does CDP make money and who funds CDP?

The nonprofit is funded by grants and fees. 

CDP is primarily funded by government and philanthropic grants, along with administrative and other fees. For example, organizations must pay an administrative fee to submit a disclosure or to become a member of one of CDP’s programs. Fees collected for datasets and other resources also go toward pushing forward CDP’s mission.

How much does it cost to report with CDP?

Fees vary based on region and service tiers.

As CDP grew to serve organizations on a global scale, it began asking reporting organizations for these contributions to help fund its operations. Fees for CDP reporting vary based on region and reporting tier. In 2025, fees for reporting in North America range from $3,100 USD to $7,300 USD. 

There are three fee tiers with varying benefits:

1. Enhanced Fee Benefits

• Report through the CDP Portal
• Use CDP's suite of tools, including disclosure frameworks and guidance
• Enjoy communications opportunities resulting from disclosing through CDP
• Receive a CDP Supporter badge to use in your organization’s external communications
• Get your organization’s name listed as a CDP Supporter on CDP’s website
• Receive a pre-paid/priority registration for two people and organization recognition at regional CDP events, where applicable
• Receive a quote from a CDP Director to use in your sustainability communications
• Get increased access to 100 company responses of your choice
• Receive a detailed Comparative Analysis Report to compare your company with 10 peer companies of your choice
• Receive a tailored introduction to a CDP Accredited Solutions Provider
• Get a screening of your top 50 suppliers to understand environmental action in your supply chain

2. Foundation Fee Benefits:

• Report through the CDP Portal
• Use CDP's suite of tools, including disclosure frameworks and guidance
• Enjoy communications opportunities resulting from disclosing through CDP
• Receive pre-paid entry/priority registration to one regional CDP event, where applicable

3. Essential Fee Benefits:

• Report through CDP's Portal
• Use CDP's suite of tools, including reporting frameworks and guidance
• Enjoy communications opportunities resulting from disclosing through CDP

How does CDP use admin fees?

Fees maintain and improve the disclosure system. 

CDP uses fees to maintain its online disclosure system, resources, and support. They also use funding to support annual updates to their questionnaire and improve compatibility with other reporting platforms.

How do companies benefit from funding CDP?

Benchmarking, communications, and improved strategies. 

Funding CDP gives companies access to many services for disclosing environmental information. These are a few benefits companies receive through CDP:

• Benchmark performance against peers
• Highlight sustainability progress through CDP’s globally known platform
• Learn about best practices through stakeholder communities
• Identify strategies to address climate risks and improve overall understanding through disclosure
• Disclose to multiple stakeholders at once
• Take advantage of CDP’s expert staff and resources

How can companies get a fee exemption?

Certain disclosure requests and geographies are exempt.

Companies are exempt from fees if they fall under one of the following categories:

1. They have been requested to disclose by: 

• a Supply Chain member
• a Banks Program member
• a Private Markets member
• the RE100 initiative 

If an organization has been requested to disclose by one of these and CDP’s Capital Markets Signatories, they will need to pay the fee.

2. Organizations based in Ukraine are currently exempt from paying the admin fee, and the CDP is not accepting the fee from companies based in Russia and Belarus. 

How does CDP align with other initiatives and organizations?

Alignment with frameworks like ISSB streamlines reporting. 

CDP aligns with leading global frameworks, like the International Sustainability Standards Board (ISSB). Staying aligned with globally accepted recommendations helps streamline reporting for organizations and cuts down on the time and money needed to assemble reports. It also ensures that reporting organizations are submitting high-quality, comparable, and standardized information.

How is CDP aligned with the TCFD?

TCFD pillars inform CDP’s questionnaires.

CDP used the TCFD’s recommendations and pillars to inform their disclosure questionnaires. By disclosing through CDP, reporting organizations can actively apply the TCFD’s recommendations when reporting on their climate-related financial data.

Due to this integration,  CDP has the largest TCFD-aligned collection of environmental data worldwide. This helps further global alignment, since CDP data is used by many entities for decision-making and modeling. Oversight of TCFD has now transitioned to ISSB; you can read more about the transition here. 

What is the difference between the Global Reporting Initiative (GRI) and CDP?

CDP’s reporting system aligns with GRI standards.

The Global Reporting Initiative develops reporting standards, while CDP manages the global environmental reporting system. CDP is also collaborating with the GRI to standardize disclosures and environmental information. For example, CDP climate change and water questionnaires align with the GRI’s standards.

Leading With Transparency

As environmental disclosure becomes a global business expectation—and in many regions, a regulatory requirement — CDP remains a cornerstone of voluntary transparency and accountability. Its alignment with leading standards like TCFD, ISSB, and GRI makes it a strategic starting point for companies navigating the broader landscape of climate and sustainability reporting. Whether you're preparing for investor scrutiny, aiming to strengthen your environmental strategy, or responding to disclosure requests, engaging with CDP can deliver long-term value. By disclosing through CDP, organizations not only build trust with stakeholders — they also take a meaningful step toward climate action.