Net zero, a concept first popularised by the Paris Agreement in 2015, is now front and centre in the minds of policymakers, investors and business leaders.

In a global sense, net zero means balancing the amount of human-caused (or ‘anthropogenic’, to use the proper lingo) greenhouse gas emissions produced, and the amount removed from the atmosphere. This is central to preventing the worst effects of climate breakdown, by limiting global temperature rise to well below 2°C, and preferably to 1.5°C, above pre-industrial levels, as outlined in the Paris Agreement.

The Intergovernmental Panel on Climate Change (IPCC) has developed a number of decarbonisation scenarios as detailed in its Special Report on Global Warming of 1.5°C. To achieve net zero by 2050, a substantial reduction in emissions is required across all sectors including energy, transportation, industry and agriculture, as well as investment in carbon removal technologies and natural solutions that will enable the neutralisation of residual emissions.

The significant global actions required are:

• 45% reduction in global CO2 emissions by 2030 compared to 2010 levels, and net zero by 2050.
• 70-85% of electricity supplied by renewable sources by 2050.
• Halt deforestation by 2025.
• 35% reduction in emissions from methane by 2050 compared to 2010.
• 65% to 90% reduction in CO2 from industry by 2050 compared to 2010.

What does net zero mean for my business?

Put simply, net zero means balancing the amount of greenhouse gas produced by your business, with the amount removed from the atmosphere. It’s about achieving a state where your organisation has no overall impact on the climate. While this might seem like a daunting challenge, it’s also a significant opportunity.

For businesses, net zero was often tricky to define, until the Science Based Targets initiative published the new net-zero standard in 2021 – check out our explainer blog here, and how we can support you with setting science-based targets and your SBTi submission.

Why should business leaders care about net zero?

The climate crisis is an existential issue, with far-reaching implications for businesses. Extreme weather events, supply chain disruptions, and regulatory changes are just some of the risks associated with climate breakdown. By committing to net zero, your company can mitigate these risks while building a strong reputation as a responsible and forward-thinking organisation.

There's a growing consumer demand for sustainable products and services. By demonstrating your commitment to net zero, you can protect and enhance your reputation, and attract environmentally conscious customers and investors.

What does net zero involve?

Achieving net zero is a complex process that requires a holistic approach (and luckily for you, we’re here to help.)

It involves:

Wait, what about carbon offsetting?

You’re right - at this point, most consultancies will probably advise you to remove your remaining emissions through offsetting – paying into carbon removal projects, such as reforestation.

This is where we’re different - we steer you towards insetting instead. Check out our explainer blog to discover why we believe carbon insetting is the better option when it comes to financing the net-zero transition.

We have over 15 years of experience in supporting businesses on their net zero journeys – having worked with SMEs through to multinationals such as Kingfisher group (B&Q. Screwfix, Tradepoint).

As a charity, we’re different – we reinvest our profits to create real change. Get in touch to find out how our purpose-led consultancy can support you.