Mitigating climate change and achieving net-zero emissions start with planning for the future by incorporating long-term goals instead of limiting strategies for the short term. As individuals across the globe are becoming increasingly exposed to the impacts of the climate crisis, entities with the most power to stop the crisis – corporations – have begun to realize the importance of implementing sustainable initiatives. Therefore, it is important to first understand the corporations’ effect on climate change, and more importantly, how corporations can reduce their emissions within a shorter time frame.
Several companies have set their greenhouse emission targets for contributing to global decarbonization targets. Some are unable to include the downstream and upstream emissions which are associated with the lifecycle of their products. If corporations fail to account for these emissions, that would mean the resultant greenhouse gas emissions are attributable to the corporations and their products. This is primarily because corporations have not developed decarbonization goals that align with corporate climate commitments. Further making it more challenging to achieve global decarbonization and meet carbon neutrality targets.
Corporations participating in climate change action need to take a smarter and more practical approach to lower their impact on the climate and achieve global decarbonization. Here, you will find a few pragmatic measures which corporations can undertake:
1. Treating Decarbonization As A Business Opportunity
Investing in decarbonization does not necessarily entail heavy capital expenditures any more. Instead, you can rethink your products by using lesser raw materials or using carbon as input for enabling product development. Businesses can even embrace the business opportunity of carbon credits and enhance their brand image in the process.
2. Understanding Your Corporation’s True Carbon Footprint
By realizing the carbon footprint of your entire business, you can gain insights into your corporation’s effect on climate change. You’ll be able to discover the largest sources of production intensity, energy usage, transportation needs and much more. This will help identify key opportunities for reducing carbon output and saving capital expenditures.
Corporations that are going beyond their operations to Scope 3 emissions across the supply chain will end up getting greater opportunities for cost and carbon reduction. In addition, corporations can escalate their efforts by setting performance benchmarks with open data sets, which would enable significant contributions to global decarbonization.
3. Driving Decarbonisation Across Your Whole Value Chain
It is important to work out how to incorporate carbon removal into product strategies as well as across the value chain while creating accountability, especially around sustainability targets and commitments on emissions.
This is exactly where corporations can reduce a significant proportion of carbon emissions by switching to electrifying systems, renewable energy and by making efficiency improvements.
4. Incorporating Technologies For Reducing Corporations’ Effect On Climate Change
After gaining a complete understanding of the corporation’s carbon footprint, it is vital to work out strategies to be deployed to achieve the set goals. With a plethora of digital and decarbonization technologies available, corporations can develop strategies that enable scalability, sustainability and operational excellence at a large scale to achieve maximum value.
While looking at transparency and accountability across the value chain, digital technologies such as artificial intelligence, machine learning, etc., can help fetch the required data, drive improvement over time and foster transparency.
5. Partnering And Collaborating
To contribute to global decarbonization, corporations are setting ambitious goals of achieving carbon neutrality or net-zero carbon emissions. In addition, cross-industry partnerships help accelerate innovation by borrowing or adapting the best practices from different verticals, while innovators bring novel solutions and technologies.
6. Measuring Your Progress
The implementation of even a few of these strategies would set corporations on the right path to achieve carbon reduction targets. So, now it’s time to dive deeper and measure overall progress with the right metrics.
While the race to carbon-neutrality seems daunting, it is crucial to remember that innovations, digitalization, technology advancements and electrification will play a crucial here and help corporations drive quick wins. With our future at stake, it is crucial for the world’s business leaders to realize that urgent action is required. Today is when it begins, and even small contributions are a great start to achieving global decarbonization.