Net zero refers to balancing the amount of emitted greenhouse gases with the equivalent emissions that are either offset or sequestered. Carbon neutrality means having a balance between emitting carbon and absorbing carbon from the atmosphere in carbon sinks.
The UK’s carbon reduction target has transitioned from a ‘nice thought’ to both a legal and social obligation. So, what is net zero and how could it impact your organisation?
In 2019, the UK Government declared a net zero carbon emissions goal with the aim of achieving this by 2050. This pledge is in line with the 2015 Paris Agreement, collaborating the global environmental effort. In the March 2021 budget, this net zero goal was added to the remit of the Bank of England. The goal is now formally part of the Government’s overall “economic policy objective”. This commitment has been a pivotal move in the global effort to prevent irreversible damage to the plant and stop temperatures rising above 2°C. The net zero commitment is now a legally binding legislative policy under The Climate Change Act of 2008, which means organisations – both public and private – have a lawful obligation to comply
“Legally binding” sounds daunting, but there are many different reasons why this is now an essential piece of British legislation. The average carbon footprint of an individual living in the UK is approx. 10 CO2 tonnes, compared to a figure of 12 CO2 tonnes in the US, 0.1 CO2 tonnes per capita figure in Rwanda and Tanzania or 2 CO2 tonnes per capita in Brazil.
Global average temperatures are now 1°C above the pre-industrial era. Interestingly, between 2016 and 2018 the World Meteorological Organisation recorded its four hottest years to date. Radical threats to the eco-system include a wide range of species extinction, extreme weather catastrophes and forest fires to name but a few.
Drastic alterations need to be made if the earth is to remain below the crucial 2°C threshold.
Declaring a Climate Emergency
Individual sectors have approached the commitment to net zero in different ways, some setting more ambitious targets than others. The NHS has committed to net zero carbon, and whilst each Trust has the freedom to apply individual strategies, the roadmap for all must lead to net zero by 2040 at the latest.
The Further Education sector has adopted different measures altogether, with some UK universities pledging for net zero carbon as early as 2030, and others setting a more conservative commitment of 2050.
Of course, some businesses will be in a more advantageous position than others, depending on the type of industry, as supply chain emissions are often one of the largest contributors to your overall carbon footprint. Other key factors that may impact the individual commitment include size, number of staff and geographical location.
More information on how to declare a climate emergency can be found at: https://www.climateemergency.uk/about-us/
How to Measure
Emissions are broken down into what is commonly referred to as Scope 1, 2 and 3.
Scope 1 refers to all emissions from owned or controlled sources, whereas Scope 2 relates to indirect emissions from the generation of purchased electricity or heating. Scope 3 includes indirect emissions often incurred through the wider supply chain. It includes aspects such as staff commute to work, for example, and is often the largest contributor to an organisation’s overall carbon footprint.
When converting the usage from electricity or gas bills, for example, the kWh can be easily converted into CO2 emissions by using the correct UK conversion factors located here: https://www.gov.uk/government/collections/government-conversion-factors-for-company-reporting Be sure to use the correct year when analysing current or previous usage.
Key Tips to help you get to net zero carbon
Developing a sustainable pathway doesn’t look the same for everyone. But there is no better time to start than now as, over time, you will be mandated by Government policy to take these steps to support the UK’s legally binding targets.
Lucy Finnie, Junior Consultant, LCMB
LCMB have been working with clients over the last decade to reduce energy use and carbon emissions. Our specialist services will help you to create a viable net zero carbon plan for your organisation, which could include investment in energy reduction schemes.
Let’s discuss your journey to become net zero carbon. Do get in touch by emailing John O’Brien, LCMB’s Founder and MD, at [email protected].
Useful Resources
https://www.salixfinance.co.uk/
https://ourworldindata.org/co2-emissions
https://www.gov.uk/government/collections/government-conversion-factors-for-company-reporting