Due to the ever-growing attention on the impacts of climate change and energy consumption, it is crucial to understand the broad environmental impacts of your business and have a plan for meeting global decarbonization targets and stakeholder expectations.
Meeting targets and stakeholder expectations will require economic transformation as we transition to a low carbon economy, led by fundamental business model change and a rethinking of what business as usual looks like. Our climate change series comprise the following four key topics:
- Pathways to net zero: Integrating a decarbonization strategy throughout your business will call for carbon baselining, asset vulnerability analysis, target-setting, and a roadmap on potential levers to operationalize your strategy, such as renewable power sourcing and effective energy management.
- Climate risk and resilience: The impacts of climate change are being felt today and there are a number of risks that affect nearly every industry. It’s time to build a strategy to not only mitigate climate risk but also adapt to the change. The first phase involves assessing the resilience of assets and overall business strategy; the second is to transform in preparation for climate risk and reporting.
- Energy transformation: The future of energy depends on how traditional energy companies pivot and transform to be the energy companies of the future. As this transformation occurs, a new operating and business model will emerge by leveraging historical strengths and expanding into new capabilities to compete in a low-carbon economy. The people factor will also need to be considered as energy equity and affordability become a component of social equity.
- Low carbon opportunities: The transition to a low carbon economy comes with capital investments and opportunities. Capital is being mobilized towards sustainable investment projects where there is a lower cost of capital in addition to tax incentives. Business models are changing to unlock value from low carbon opportunities.
