Making Sense Of The Corporate Net Zero Commitment Maze

Sustainability Making Sense Of The Corporate Net Zero Commitment Maze Jamie Hailstone Contributor Opinions expressed by Forbes Contributors are their own. I write about air quality and the environment. New! Follow this author to improve your content experience.

Got it! Aug 8, 2022, 04:23am EDT | New! Click on the conversation bubble to join the conversation Got it! Share to Facebook Share to Twitter Share to Linkedin LONDON, ENGLAND – MAY 02: A young girl navigates her way around Hampton Court maze in the spring . . .

[+] sunshine on May 2, 2009 in London, England. The Hampton Court maze is one of the most famous hedge mazes in the world and was planted between 1689 and 1695 by George London and Henry Wise. (Photo by Dan Kitwood/Getty Images) Getty Images While the pace of change might be too slow for some, there is no doubt that net-zero is more mainstream in the business world than it was, say a decade ago.

According to Net Zero Tracker, almost two thirds (683) of the 2,000 largest publicly traded companies in the world have now made corporate commitments. A recent white paper by the Finnish start-up Compensate – Getting the claims right – highlights many of the issues around net zero commitments. For example, it notes that some companies have set goals decades away, but have not set emission reduction targets over the next 10 years, or that some “routinely exaggerate or misreport” their progress towards their net zero targets.

Compensate’s chief impact officer, Niklas Kaskeala, who has more than 15 years’ experience in sustainability and climate change, said over half of the biggest companies in the world now have some sort of climate change, carbon neutrality or net zero target. But he added there is a lot of ambiguity in these targets, particularly around how net zero is defined or how it differs being carbon neutral. “It’s a good thing that these targets are being set,” he said.

“But what worries me is that they’re not often followed up with actions that would be in line with the original targets. ” MORE FOR YOU Is Carbon Capture Another Fossil Fuel Industry Con? Sustainable Fashion Wants Brands To Redefine Business Growth Trouble With Predicting Future Of Transportation Is That Today Gets In The Way Kaskeala said the main priority for these businesses should be reducing emissions and “doing everything possible” to establish an emission reduction trajectory, in line with the IPCC goal of limiting global warming to 1. 5 degrees .

He added for most companies this will involve cutting their own emissions by 50% by 2030. “If you set that trajectory, then you’re in a good place,” he explained. “But even that’s not enough.

You also need to take responsibility for the emissions that you’re causing today, tomorrow and five years from now. ” He said it is also important that any corporate commitments are based around science-based targets, like the Net Zero Standard , which states most companies will require deep decarbonization of 90-95% to reach net zero. “My argument is you should not wait until 2040 and then use the carbon market to achieve your net zero commitments, you should do it today,” said Kaskeala.

“The urgency of the climate crisis is so visible that we need to act now. ” And he said it is also important to think about the quality of any carbon offset scheme that a company uses and spread whatever money it has into several portfolio projects. “When first-time buyers come into the carbon market, they don’t really know what they’re buying, and it’s quite confusing.

You need to ‘look under the hood’ and see if a project actually delivers true climate impact. ” According to Norwegian tyre recycling company Wastefront’s chief strategy officer and co-founder Christian A. Hvamstad, companies that are serious about net-zero simply cannot rest on their laurels if they want to understand whether a green project can deliver true impact.

“Too often, companies with ambitious net zero objectives fail to live up to the targets they set themselves,” he said. “From board level to the factory floor, actions to follow through on well-intentioned promises can be sorely lacking. It’s crucial that companies put in place the support to drive a transition across all levels, and departments, of their business.

“By setting targets that are left to dwindle in the background, some companies are letting their partners, investors, and ultimately, our planet down. Instead, ESG goals must remain at the forefront of everything any environmentally-sound company does. ” The company recently announced a partnership with Newcastle University in the U.

K. to undertake a study over the next 18 months into the characterisation and enhancement of Wastefront’s recovered carbon black (rCB). “Our partnership with Newcastle University is a clear example of how companies can show that actions still speak louder than words.

By bringing in the best and brightest minds we can ensure our circular practices are at the forefront of industry innovation” said Hvamstad. “It’s a clear statement of intent, showing that we are serious about meeting our targets, going above and beyond to play our part in tackling climate change at scale. ” Follow me on Twitter or LinkedIn .

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