Carsten Stendevad’s Post

Great piece of work....Most Companies in High-Emitting Sectors Do Not Have Credible and Ambitious Plans to Reduce Their Emissions. Corporate emissions are highly concentrated among 11 high-emitting sectors: utilities, oil and gas, mining and metals, construction, chemicals, engines and machinery, airlines, transportation, auto and parts, food and agriculture, and forestry. By our estimates, the publicly traded firms in these key sectors, accounting for about 30% of public equity market capitalization, are responsible for about 90% of public company emissions and about 60% of all global emissions. In other words, they account for the bulk of the global climate change challenge, and global decarbonization goals cannot be met without reducing emissions in these sectors (or replacing these companies with cleaner competitors). These high-emitting sectors will face the most transition risk and thus have a greater need for improvement, as they are most vulnerable to—and sometimes have the most opportunities from—the transition to a low-carbon economy via aggressive policy moves (such as carbon taxes, product sales restrictions, or energy rations), competitive pressures from new disruptive and cleaner companies, or technological breakthroughs that undermine existing emissions-intensive business models.

Embarking on the journey towards net-zero emissions, companies are increasingly turning to carbon credits as a strategic tool. In our blog today, we delve into the intricacies of carbon credits, exploring their role in the pursuit of sustainability, the challenges they present, and the imperative for transparency and accountability in navigating this evolving landscape. https://lnkd.in/gHJj4kn5

Only a third of UK-based companies set emissions reduction targets in 2023. Companies are predominantly focused on near-term targets, with 5% disclosing both near-term and long-term targets, 20% only disclosing near-term goals, and 4% solely disclosing long-term goals. Find out more in our recent report with CDP.

Ensuring Your Path to Net Zero by 2040 with High-Quality Carbon Credits Companies that wait until the late 2030s to purchase carbon credits for mitigation are unlikely to reach net zero by 2040 due to supply constraints in high-quality segments of the voluntary carbon market. It's crucial to act now, with a focus on Carbon Dioxide Removal (CDR) and precision quantification for GHG accounting, ongoing monitoring, and stringent standards in alignment with the Core Carbon Principles of the ICVCM. Steps to Procure High-Quality Carbon Credits: 1️⃣ Understand Your Company’s Carbon Footprint and Glidepath   - Conduct a thorough assessment of your current emissions and establish a reduction trajectory.    2️⃣ Decide How to Procure Credits   - Explore various procurement strategies, considering both short-term and long-term needs.    3️⃣ Choose What Voluntary Carbon Market Segments to Prioritize   - Focus on segments that offer high integrity and robust CDR solutions. 4️⃣ Develop Mechanisms for Project Origination and Contracting   - Establish clear processes for sourcing and securing carbon credits, ensuring alignment with your sustainability goals. 5️⃣ Conduct Project-Level Due Diligence   - Perform rigorous evaluations of potential projects to verify their quality and impact. 6️⃣ Establish Use Cases and Guardrails   - Define clear use cases for your carbon credits and implement guardrails to ensure proper usage and compliance. 7️⃣ Receive and Retire Credits   - Follow best practices for credit acquisition, retirement, and documentation to maintain transparency and accountability. 8️⃣ Measure Progress   - Continuously monitor and report on the impact of your carbon credits to track progress towards your net-zero goals. 9️⃣ Learn and Improve   - Regularly review outcomes, learn from experiences, and refine strategies to enhance your carbon management efforts. By following these steps, your company can secure high-quality carbon credits now, ensuring a clear and accountable path to net zero. Don't wait – start your journey today with Trusted Carbon. #NetZero #CarbonCredits #Sustainability #CDR #GHGAccounting #CoreCarbonPrinciples #TrustedCarbon

At least 84% of listed companies did not commit to decarbonising in line with net-zero targets, regardless of their sector as of 24 June 2024 according to a periodic report issued by MSCI Inc. based on the findings of their Net-Zero Tracker. Read more: https://lnkd.in/gdqRHaht #Decarbonization #NetZero #CorporateResponsibility #SustainabilityNews

Only a third of UK-based companies set emissions reduction targets in 2023. Companies are predominantly focused on near-term targets, with 5% disclosing both near-term and long-term targets, 20% only disclosing near-term goals, and 4% solely disclosing long-term goals. Find out more in our recent report with CDP.

Asia’s companies are looking to rapidly translate decarbonization goals into action but are stymied by fractured carbon markets, low and unclear pricing levels, and the contentious future development of carbon prices. Oliver Wyman experts, Abhimanyu (Abhi) Bhuchar, Jerome Tan, and Yannick Spencer share why businesses need to shape an Internal Carbon Pricing scheme that meets their desired objectives and expedites the transition to a low-carbon model. Read more > https://owy.mn/4ahAT3I #CarbonPricing #CarbonEmissions #Decarbonization

Innovative solutions are often nuanced in their mix of incentive and progress but I believe this is the right decision. Companies that buy carbon credits, in most cases, decarbonise more than companies that don't, and buying carbon credits help democratise the action to decarbonise within an organisation. Therefore allowing the use in certain circumstances is likely the RIGHT approach https://lnkd.in/eBbXAFRh

84% of the world’s listed companies have not committed to #decarbonisation to reach #netzero, according to a report by MSCI Inc. It’s concerning that such a staggering number of publicly traded companies have remained uncommitted. Making a public commitment followed by a #transition plan should be the first credible steps by companies toward Net Zero

I am puzzled of all the fears that exist instead of embracing the opportunities this would create. What is so wrong to help companies take responsibility for the last tons they will not be able to mitigate and what is so wrong to help finance projects that capture carbon or even avoid emissions. And what is so wrong to help the global south to reduce emissions. Why do some groups think it is a big hoax. These are real and verified emissions reductions that are part of a bigger goal to NOT exceed 1,5 degrees.