200 ‘commitment removed’ from SBTi list – scope 3 issues discussed

Net zero is an ideal but not likely for many companies right now, and is also a longer term plan. Unless you started a brand new company with net zero as number one goal, (even renewables companies still need to build infrastructure and more) it will mean retrofitting, not only the business, but the personnel’s thinking too!

Science Based Targets is a great initiative endorsed by the UN where over 4000 companies have signed up but there are approximately 334 million companies globally. This isn’t to diminish the efforts, it just to set the context and to discuss that we do need more effort, more sustainability solutions, clean energy, policies, businesses and most importantly governments on the road there. This is coming in the form of laws, divesting from fossil (see 350.org) and investment into ESG funds and renewables, so it is on it’s way but this is a big train we are trying to move out of the station so it won’t be solved within 2 years or 10.

200+ companies didn’t submit their plans within the allotted 24 month given by Science Based Targets and there are probably many reason for this:

• it often involves deals to make the work happen and sometimes deals take more than than 24 months to form and sign
• finding a solution might involve a big capex investments which a company has not budgeted enough for
• work sometimes relies on grants which take a long time to write, administrate, build a consortium for and win, especially EU grants which take large amounts of admin and effort, with a low likelihood of gaining them
• cost of living crisis – everything has gone up in cost, sometimes tripled and so reducing carbon is not affordable and energy bills are out the roof
• CFOs generally aren’t visionaries and they tend to be conservative in nature and risk adverse so won’t invest in anything with no immediate ROI
• those pioneering tech and sustainability also get fatigue and then work drops off and the motivation lulls for a while

There are endless reasons both internal, external, controllable and out of a company’s hands on these topics, and they are quite often geo-politics related – so we should take a good hard look at why companies didn’t achieve the targets, critique it fairly, before thinking they just don’t care.

We discuss the global carbon budgets in our documentary The Golden Bullet, where we talk about one scope 3 solution for travel: sustainable aviation fuel. However, there are many different parts to the puzzle and travel is just one in scope 3. We recommend watching our 14.5 minute short film explaining some of our thoughts on the plans for reaching net zero in travel and the level of investment needed.

In FGA Trends in 2023 we discussed some thoughts on net zero and carbon neutral. Trying to attain these is a risk to a company’s credibility, as it is probably unlikely to happen at this stage, but with roadmaps underway spread over 10 years you don’t need to declare your outcomes just yet. You have some time to get there, just not so long.

However, much more discussion on how difficult it is to get there is needed and the blockers found and unblocked, and that discussion is something we advocate for and create at FGA.

On 8th April we’ll discuss scope 1 and 3, data modelling within travel and aviation with Avinor, Norwegian Air, the Norwegian Armed Forces and and the Swedish Transport Department. Please join us to discuss approaches and difficulties within scope 3, stated as the hardest to achieve.

As we have now seen from the EU law it is also becoming illegal to say you are sustainable or carbon neutral if it not credible or certified as stated below, and 100% offsetting for net zero claims isn’t advised.

KLM has just lost their case in the Netherland for over stating and visually confusing consumers in their “Fly responsibly” campaign. It will guide the rest of the aviation industry on what to do and not to do but should not put off airlines or businesses trying, just stating it incorrectly. KLM should still be seen as a leader in the field of innovation in aviation and sustainable aviation fuel. They have done a lot of work in this area.

Do you need help on scope 3 or communication, want to join a group paving the way, challenging topics, unblocking topics, making new mechanisms and programs in travel and transport? Join Fly Green Alliance. For more information contact info@flygreenalliance.org to discuss.