How can businesses reduce their carbon footprint?

Our journey to net zero – part 6

Welcome back to our ongoing series where we explore how both individuals and businesses can contribute towards achieving the desperately needed 2050 carbon emissions targets. In our last post, we delved into how personal actions can make a difference. Now, let’s shift our focus to the corporate world and look at how businesses, such as ours, can play a crucial role in this global effort.

Understanding our carbon contribution

If left undisturbed, the natural carbon cycle maintains a balance of carbon dioxide in the atmosphere, which helps to stabilise global temperatures. However, since the Industrial Revolution, the human race has significantly disrupted this balance. About 90% of the carbon released by our activities comes from burning fossil fuels, which then reintroduces carbon into the atmosphere from the slow carbon cycle where it has been stored for millions of years. To make matters worse, massive-scale deforestation further diminishes natural carbon sinks while also leading to increased carbon dioxide levels when trees or whole forests are burnt or left to decompose. This disruption significantly enhances the greenhouse effect, contributing to global warming and the broader spectrum of climate change.

Identifying business carbon hotspots

For businesses aiming to reduce their carbon footprint, it’s crucial to identify the main sources of emissions. These typically include:

• Energy consumption – the energy used for heating, cooling and lighting, and also powering equipment and machinery
• Transportation – the emissions from employee commuting, product shipments and business-related travel
• Supply chain operations – the emissions generated from sourcing materials, manufacturing processes and distribution
• Waste management – improper disposal methods for solid, hazardous or electronic waste can be a significant source of emissions
• Facilities management – the construction, maintenance and operation of business facilities, especially those using non-sustainable materials or inefficient systems can all have a big impact

Working towards carbon reduction

Understanding your company’s carbon footprint is the first step to making meaningful changes. Here’s our five-point plan to help your business begin the journey towards net zero emissions:

1. Utilise tools – Employ tools like the Business Carbon Calculator to gauge your overall carbon footprint and identify immediate areas for emissions reduction.
2. Create a net-zero plan – After calculating your carbon output, develop a net-zero report complete with a carbon reduction strategy that aligns with your business pledges. This should be complemented by comprehensive sustainability and ethical policies and a supplier assessment questionnaire.
3. Budget for change – Allocate a realistic annual budget for carbon reduction initiatives, such as 1% of your turnover or 10% of your profits, to support these transitions.
4. Engage your team – Involving your employees is crucial. Ensure everyone understands the importance of their role and the broader environmental goals of the company.
5. Maintain transparency – Communicate openly with all stakeholders, including suppliers and customers, about your environmental strategies and progress. Regular updates, perhaps a monthly blog or social media posts, can help maintain momentum and transparency.

As we continue on our journey to net zero, it’s clear that we need to combine our efforts to tackle climate change – both as individuals and as businesses. Stay tuned for our next instalment on how we’ve established the baseline for our carbon accounting.