To achieve net-zero, let’s agree on one definition of success

September 28, 2020 by  
Filed under Business, Green

Comments Off on To achieve net-zero, let’s agree on one definition of success

To achieve net-zero, let’s agree on one definition of success Peter Boyd Mon, 09/28/2020 – 01:30 Reaching the 2015 Paris Agreement goals requires bold action from all sectors and levels of our society. But any chief sustainability officer will fall short of their responsibility if they simply cite net-zero as a strategic goal. High ambition on its own may sound good. But without describing the emissions their organization is responsible for and the end-state they consider successful, an ambitious claim may be disingenuous. At the other extreme, a cautious, crystal-clear set of climate goals is too incremental in this time of emergency. So how to combine the necessary level of ambition with appropriate clarity to inspire potent action? We suggest leaders spell out an organizational definition of net-zero to enable the Paris Agreement’s aim of net-zero global emissions by mid-century. How should a software company or a city mayor think about its duty to reduce emissions and remove them from the atmosphere? The concept of “net-zero carbon emissions” may feel clear enough at a global scale: Carbon output at a level in balance with natural and engineered means of absorption. However, at the scale of countries, cities, institutions and companies, defining net-zero emissions is tricky. Why focus on the responsibilities of organizations and communities? After all, it is the world that needs to achieve net-zero emissions. If we are to maximize the probability of a just transition to a sustainable society, all actors should explain what they mean by net-zero before they describe their intended timeline and actions for achieving it. In that sense, no single organization’s emissions matter much. But if entities think their emissions do not matter, we are all in trouble. To reach and then surpass net-zero emissions globally, most entities need to be on a reduction and removal path that pulls down the trajectory of global emissions. It is a bit like voting: A single vote almost never sways an election; but the duty and mass activity of voting are vital to the health of a democracy. In this sense, each of our emissions is, in fact, important.  If climate actions were as easy to count as votes, this would be easy. Here we argue for a consistent definition of “net-zero” that enables organizations, companies, cities and countries to set transparent targets and track their progress. If we are to maximize the probability of a just transition to a sustainable society, all actors should explain what they mean by net-zero before they describe their intended timeline and actions for achieving it. In that spirit, we suggest four measurable criteria that, when applied together, elevate an undertaking of net-zero (lower case indicating general use of the term) to be worthy of capitalizing to “Net-Zero.” In this refreshed, robust definition, a strategy for “Net-Zero” greenhouse gas emissions can earn its capital letters if it is: Fully-scoped , Science-based , Paris Agreement-compliant and Cumulative. Each descriptive term imparts an important dimension of clarity, while reinforcing the ambition. Net-Zero can be a powerful goal at the sub-global level if entities embrace a concept that is: Fully-scoped: The goal articulates the entity’s scope of responsibility. This should include all greenhouse gas emissions from Scope 1 (owned and controlled sources); Scope 2 (indirect and purchased sources); and Scope 3 ( value chain emissions — both upstream and downstream) that the entity has the ability to influence. Science-based: It incorporates an absolute target for the entity’s own emissions reductions — assuming bold, appropriate responsibility for emissions reductions consistent with the Paris Agreement and at least proportional to its contribution to climate change. Paris Agreement-compliant: The entity specifies if and to what extent carbon credits and external investments in carbon reduction and removal factor into its strategy. Any offsetting investments should be linked to the global carbon budget as defined in the Paris Agreement. Cumulative: The target acknowledges the entity’s historical emissions of greenhouse gases, not just their current level. By analogy, if a customer ate at their favorite restaurant for years without paying, then started paying as they went, the establishment would reasonably expect the customer to settle their old tab at some point. Cumulative responsibility puts rational boundaries around a historical debt. Our hope is that ambitious, clear targets help entities not only achieve “Net-Zero” emissions but progress beyond that marker to a restorative role in society — ideally well before 2050. Together, it is possible to achieve “Net-Zero” emissions across the globe. To do that, it is crucial to rally around one definition of success. This definition should include bold and clear concepts of scope; assume proportional responsibility of definite, ambitious reductions trajectories; include only Paris Agreement-compliant carbon credits or investments; and assume historic responsibility When clearly defined, “Net-Zero” will be an increasingly powerful conceptual tool to focus the world’s response on the climate crisis. For our full paper, visit this link . To share your views and inform future work, please complete our survey and feel free to share with others: bit.ly/DefineNetZero . Pull Quote If we are to maximize the probability of a just transition to a sustainable society, all actors should explain what they mean by net-zero before they describe their intended timeline and actions for achieving it. Contributors Casey R. Pickett Topics Corporate Strategy Net-Zero Featured in featured block (1 article with image touted on the front page or elsewhere) Off Duration 0 Sponsored Article Off

Read more:
To achieve net-zero, let’s agree on one definition of success

Seven ways to inform better decisions with TCFD reporting

September 28, 2020 by  
Filed under Business, Eco, Green

Comments Off on Seven ways to inform better decisions with TCFD reporting

Seven ways to inform better decisions with TCFD reporting Steven Bullock Mon, 09/28/2020 – 00:00 This article is sponsored by Trucost, part of S&P Global . The Task Force on Climate-related Financial Disclosures (TCFD) is helping to bring transparency to climate risk throughout capital markets, with the aim of making markets more efficient and economies more stable and resilient.  Many stakeholders are involved in the initiative, across corporations and financial institutions. Each can apply TCFD reporting intelligence to inform better decisions in different ways. Image of seven stakeholders; Source: Trucost, part of S&P Global. 1. Finance director: Developing a business case to increase capital expenditure on carbon-mitigation projects  A global manufacturing company wanted to undertake a carbon pricing risk assessment to understand the current and potential future financial implications of carbon regulation and related price increases on operating margins. The finance director felt the results could strengthen the business case for investment in low-carbon innovation at operational sites around the world. He used the carbon pricing risk assessment in Figure 1 to illustrate the differences the company might see in its operating margins under different climate change scenarios and highlight where investment in carbon-mitigation projects would matter most.  2. Purchasing manager: Minimizing supply chain disruption by identifying suppliers vulnerable to physical risks A global energy company wanted to undertake a physical risk assessment to understand the firm’s potential exposure to climate hazards, such as heatwaves, wildfires, droughts and sea-level rise that could lead to supply chain disruptions and increased operating costs for the business. The purchasing manager felt the results could help identify raw material suppliers that may be affected by these hazards and provide an opportunity to speak with them about steps they are taking to address these risks. As shown in Figure 2, a physical risk assessment can pinpoint vulnerable sites that could cause problems down the road.  3. Sustainability manager: Setting science-based targets for company greenhouse gas (GHG) emissions  A global beverage company wanted to quantify its carbon footprint for its own operations and global supply chain. The sustainability manager saw this as an excellent starting point to set science-based targets for a reduction in emissions, with the targets reflecting the Paris Agreement and carbon reduction plans for countries in which the company did business. As shown in Figure 3, targets could help the company understand the reduction in emissions needed to move to a low-carbon economy and enhance innovation. 4. Investor relations manager: Publishing a TCFD-aligned report  A large consumer goods company wanted to assess the firm’s climate-related risks and opportunities in accordance with the recommendations of the TCFD. Using four core elements — governance, strategy, risk management and metrics and targets — the TCFD assessment helps quantify the financial impacts of climate-related risks and opportunities. The investor relations team wanted to report these findings alongside traditional financial metrics to publicize that the company was taking steps to manage climate-related issues. To illustrate what could be done, the team pointed to the TCFD report shown in Figure 4 completed by S&P Global for its own operations.   5. Portfolio manager: Screening a portfolio for carbon earnings at risk using scenario analysis An asset management firm wanted to test its investment strategy by assessing the current ability of companies to absorb future carbon prices so its analysts could estimate potential earnings at risk. Integral to this analysis is the calculation of the Unpriced Carbon Cost (UCC), the difference between what a company pays for carbon today and what it may pay at a given future date based on its sector, operations and carbon price scenario. A portfolio manager wanted to use the findings, such as those shown in Figure 5, to report these estimates of financial risk to stakeholders and engage with portfolio constituents on their preparedness for policy changes and strategies for adaptation.  6. Chief investment officer (CIO): Using TCFD-aligned reporting as a way to engage asset managers on climate issues A large pension plan wanted to undertake a climate change alignment assessment of its global equity and bond portfolios to understand how in sync it was with the goals of the Paris Agreement, and where there could be potential future carbon risk exposure. The CIO wanted to publish the results and use the findings, such as those shown in Figure 6, to engage with the firm’s asset managers to determine how they were integrating climate risk into investment decisions. 7. Risk officer: Assessing exposure to climate-linked credit risk  A large commercial bank wanted to estimate the impact of a carbon tax on the credit risk of companies in their loan book. The Risk Officer felt this would add an important dimension to the assessment of creditworthiness. Figure 7 highlights the changes that might be seen in quantitatively derived credit scores for the materials sector under a fast-transition scenario. This shows a rapid increase in carbon tax, with companies reacting in various ways. Some invest in greener technology to meet the reduction targets in 2050 (green bars), while others do not invest and pay a high carbon tax or experience lost revenue resulting from bans on the use of certain materials (red bars). There are many more examples of how TCFD reporting is helping organizations inform better decision-making and capture new opportunities in the transition to a low-carbon economy.   Please visit spglobal.com/marketintelligence/tcfd or watch our on-demand webinar to learn more.   Topics Finance & Investing Risk & Resilience Sponsored Trucost, S&P Global Featured in featured block (1 article with image touted on the front page or elsewhere) Off Duration 0 Sponsored Article On Taking action to keep the world green; Source: Trucost, part of S&P Global.

Read more here:
Seven ways to inform better decisions with TCFD reporting

Seven ways to inform better decisions with TCFD reporting

September 28, 2020 by  
Filed under Business, Eco, Green

Comments Off on Seven ways to inform better decisions with TCFD reporting

Seven ways to inform better decisions with TCFD reporting Steven Bullock Mon, 09/28/2020 – 00:00 This article is sponsored by Trucost, part of S&P Global . The Task Force on Climate-related Financial Disclosures (TCFD) is helping to bring transparency to climate risk throughout capital markets, with the aim of making markets more efficient and economies more stable and resilient.  Many stakeholders are involved in the initiative, across corporations and financial institutions. Each can apply TCFD reporting intelligence to inform better decisions in different ways. Image of seven stakeholders; Source: Trucost, part of S&P Global. 1. Finance director: Developing a business case to increase capital expenditure on carbon-mitigation projects  A global manufacturing company wanted to undertake a carbon pricing risk assessment to understand the current and potential future financial implications of carbon regulation and related price increases on operating margins. The finance director felt the results could strengthen the business case for investment in low-carbon innovation at operational sites around the world. He used the carbon pricing risk assessment in Figure 1 to illustrate the differences the company might see in its operating margins under different climate change scenarios and highlight where investment in carbon-mitigation projects would matter most.  2. Purchasing manager: Minimizing supply chain disruption by identifying suppliers vulnerable to physical risks A global energy company wanted to undertake a physical risk assessment to understand the firm’s potential exposure to climate hazards, such as heatwaves, wildfires, droughts and sea-level rise that could lead to supply chain disruptions and increased operating costs for the business. The purchasing manager felt the results could help identify raw material suppliers that may be affected by these hazards and provide an opportunity to speak with them about steps they are taking to address these risks. As shown in Figure 2, a physical risk assessment can pinpoint vulnerable sites that could cause problems down the road.  3. Sustainability manager: Setting science-based targets for company greenhouse gas (GHG) emissions  A global beverage company wanted to quantify its carbon footprint for its own operations and global supply chain. The sustainability manager saw this as an excellent starting point to set science-based targets for a reduction in emissions, with the targets reflecting the Paris Agreement and carbon reduction plans for countries in which the company did business. As shown in Figure 3, targets could help the company understand the reduction in emissions needed to move to a low-carbon economy and enhance innovation. 4. Investor relations manager: Publishing a TCFD-aligned report  A large consumer goods company wanted to assess the firm’s climate-related risks and opportunities in accordance with the recommendations of the TCFD. Using four core elements — governance, strategy, risk management and metrics and targets — the TCFD assessment helps quantify the financial impacts of climate-related risks and opportunities. The investor relations team wanted to report these findings alongside traditional financial metrics to publicize that the company was taking steps to manage climate-related issues. To illustrate what could be done, the team pointed to the TCFD report shown in Figure 4 completed by S&P Global for its own operations.   5. Portfolio manager: Screening a portfolio for carbon earnings at risk using scenario analysis An asset management firm wanted to test its investment strategy by assessing the current ability of companies to absorb future carbon prices so its analysts could estimate potential earnings at risk. Integral to this analysis is the calculation of the Unpriced Carbon Cost (UCC), the difference between what a company pays for carbon today and what it may pay at a given future date based on its sector, operations and carbon price scenario. A portfolio manager wanted to use the findings, such as those shown in Figure 5, to report these estimates of financial risk to stakeholders and engage with portfolio constituents on their preparedness for policy changes and strategies for adaptation.  6. Chief investment officer (CIO): Using TCFD-aligned reporting as a way to engage asset managers on climate issues A large pension plan wanted to undertake a climate change alignment assessment of its global equity and bond portfolios to understand how in sync it was with the goals of the Paris Agreement, and where there could be potential future carbon risk exposure. The CIO wanted to publish the results and use the findings, such as those shown in Figure 6, to engage with the firm’s asset managers to determine how they were integrating climate risk into investment decisions. 7. Risk officer: Assessing exposure to climate-linked credit risk  A large commercial bank wanted to estimate the impact of a carbon tax on the credit risk of companies in their loan book. The Risk Officer felt this would add an important dimension to the assessment of creditworthiness. Figure 7 highlights the changes that might be seen in quantitatively derived credit scores for the materials sector under a fast-transition scenario. This shows a rapid increase in carbon tax, with companies reacting in various ways. Some invest in greener technology to meet the reduction targets in 2050 (green bars), while others do not invest and pay a high carbon tax or experience lost revenue resulting from bans on the use of certain materials (red bars). There are many more examples of how TCFD reporting is helping organizations inform better decision-making and capture new opportunities in the transition to a low-carbon economy.   Please visit spglobal.com/marketintelligence/tcfd or watch our on-demand webinar to learn more.   Topics Finance & Investing Risk & Resilience Sponsored Trucost, S&P Global Featured in featured block (1 article with image touted on the front page or elsewhere) Off Duration 0 Sponsored Article On Taking action to keep the world green; Source: Trucost, part of S&P Global.

View post:
Seven ways to inform better decisions with TCFD reporting

One-quarter of UK mammals face threat of extinction

July 31, 2020 by  
Filed under Eco, Green

Comments Off on One-quarter of UK mammals face threat of extinction

While tigers and elephants regally pose for endangered animal posters, many smaller creatures are fading away unnoticed. Now scientists are bringing attention to the dire outlook for less glamorous native U.K. mammals, claiming that one-quarter of them are at imminent risk of extinction. The scientists put 11 mammals on the U.K.’s first official Red List of endangered species . This list categorizes species according to their conservation status, using internationally agreed upon criteria. Related: Right Whales now ranked as critically endangered species “When we draw all the evidence together — about population size and how isolated and fragmented those populations are — we come up with this list of 11 of our 47 native species being threatened imminently,” Fiona Mathews of the Mammal Society told BBC News. “And there are more species that are categorized as ‘near threatened’.” The study concluded that the Scottish wildcat and the greater mouse-eared bat are the U.K.’s most critically endangered mammals. Beaver, red squirrel, water vole and grey long-eared bats ranked as endangered. The vulnerable category included the hedgehog, hazel dormouse, Orkney vole, Serotine bat and Barbastelle bat . “The three categories of threat — critically endangered, endangered and vulnerable — tell you about the probability of the animal becoming extinct within this imminent timeframe,” Mathews said. The U.K. Red List was produced for official nature agencies of England, Wales and Scotland and has been approved by the International Union for the Conservation of Nature ( IUCN ). The biggest reason for plummeting populations is habitat loss. A 2019 report on U.K. wildlife called the country among the most nature-depleted in the world. Many animal species in the U.K. have decreased by an average of 60% since 1970. Invasive species are another factor. Disease-ridden grey squirrels moved in and killed off endangered red squirrels, who lost more than 60% of their range just in the last 13 years. American mink that escaped from fur farms — and who can blame them — ate many native water voles. Scientists lacked enough information to assess the status of some mammals, including the wild boar and whiskered bat. They assigned five animals into the “near threatened” category, meaning they’re slightly too populous to make the Red List: the mountain hare, harvest mouse, lesser white-toothed shrew, Leisler’s bat and Nathusius’ pipistrelle. Via The Guardian and BBC Image via Peter Trimming

Read the original post: 
One-quarter of UK mammals face threat of extinction

MIT engineers devise algorithm to identify warning signs of extreme weather events

September 25, 2017 by  
Filed under Eco, Green

Comments Off on MIT engineers devise algorithm to identify warning signs of extreme weather events

Extreme events – like a rogue wave, hurricane , or sudden extinction – often seem to strike with few hints beforehand. But what if we could predict these events before they even form? Two Massachusetts Institute of Technology (MIT) engineers came up with a framework, a computer algorithm , to spot patterns that come before such an event. According to MIT , their method may help anticipate “hotspots of instability affecting climate , aircraft performance, and ocean circulation.” It can be incredibly difficult to foresee extreme events, since many systems are complex, with many players or factors. The new MIT algorithm can be applied to a large range of systems to search for warning signs. In the past, researchers have tried to predict extreme events by solving mathematical models. But often scientists don’t fully understand the mechanisms shaping complex systems, which can lead to model errors. Related: INFOGRAPHIC: Countries where you are most likely to die from extreme climate events The new algorithm blends equations with available data . Sapsis said, “We are looking at the equations for possible states that have very high growth rates and become extreme events, but they are also consistent with data, telling us whether this state has any likelihood of occurring, or if it’s something so exotic that, yes, it will lead to an extreme event, but the probability of it occurring is basically zero.” MIT explained their algorithm acts as a sieve to catch precursors, or warning signs, that would be seen in the real world. To test their framework, they simulated a turbulent fluid flow and searched for precursors their framework predicted. Those precursors turned into extreme events, according to MIT, between 75 and 99 percent of the time. Sapsis said in a statement, “If you can predict where these things occur, maybe you can develop some control techniques to suppress them.” The journal Science Advances published the research late last week. Via MIT News and Inverse Images via Wikimedia Commons and Jose-Luis Olivares/MIT

Originally posted here: 
MIT engineers devise algorithm to identify warning signs of extreme weather events

Bad Behavior has blocked 8454 access attempts in the last 7 days.