Sustainability, Climate Change, and Carbon Capture: Three Must-Read Articles for Business Leaders

As the world continues to grapple with the urgent challenges of sustainability and climate change, business leaders must stay informed and take action to address these issues. Here are three must-read articles that provide valuable insights into these challenges and the latest developments in sustainability and carbon capture.

First, the ISSB's inaugural sustainability disclosure standards spotlight Scope 3 emissions, which are often overlooked but critical to addressing climate change.

Scope 3 emissions refer to the greenhouse gas emissions that result from a company's value chain, including its suppliers, customers, and other stakeholders. According to the ISSB, Scope 3 emissions account for the majority of a company's carbon footprint, and addressing them is crucial to achieving sustainability goals.

The new ISSB standards are designed to help companies disclose their Scope 3 emissions and set targets for reducing them. The standards also require companies to report on other sustainability factors, such as water use, waste, and biodiversity.

Key takeaway from the ISSB's sustainability disclosure standards is that companies cannot address sustainability and climate change on their own. Instead, they must work with their suppliers, customers, and other stakeholders to reduce their Scope 3 emissions and achieve their sustainability goals.

Second, new CDP data shows that while companies are recognizing the need for climate transition plans, they are not moving fast enough amidst incoming mandatory disclosure requirements.

The CDP is a global nonprofit that provides a platform for companies to report on their environmental impact, including their carbon emissions. The latest CDP data shows that more companies are recognizing the need for climate transition plans, which are strategies for reducing carbon emissions and transitioning to a low-carbon economy.

However, the data also reveals that many companies are not moving fast enough to implement these plans, even as mandatory disclosure requirements are on the horizon. The CDP data shows that only 28% of companies have set science-based targets for reducing their carbon emissions, while 61% have set targets that are not aligned with the Paris Agreement.

Key takeaway from this article is that while companies are making progress on sustainability and climate change, there is still a long way to go. Business leaders must be proactive in setting science-based targets and implementing climate transition plans, and they must be held accountable for their progress.

Finally, Germany is developing a strategy for carbon capture and storage to meet its 2045 net-zero target, highlighting the growing importance of this technology in the transition to a low-carbon economy.

Carbon capture and storage (CCS) is a technology that captures carbon dioxide emissions from power plants and other industrial facilities and stores them underground. CCS is considered a key technology in transitioning to a low-carbon economy, allowing companies to continue using fossil fuels while reducing their carbon emissions.

Germany's new CCS strategy aims to develop a regulatory framework for the technology and increase investment in CCS research and development. The strategy also includes plans for a CCS infrastructure network transporting captured carbon dioxide to storage sites.

Key takeaway from this article is that while CCS is not a silver bullet for addressing climate change, it is a critical tool in the transition to a low-carbon economy. Business leaders must recognize the importance of CCS and invest in research and development.