ACCELERATING
SUSTAINABLE GROWTH

As the global crisis is looming over the world, even developing countries are doing their share tocut down carbon emissions. At the 26th climate summit (COP-26) in Glasgow-UK, under the leadership of Prime Minister Narendra Modi, India announced that it will become a carbon-neutral nation by 2070.

Achieving net-zero will mean a balance between the greenhouse gases produced and eliminated from the atmosphere. Being the 3rd most carbon emitter in the world, it is the first time India has set targets and strategies on an international platform to counter the climate crisis.

Prime Minister Narendra Modi declared the following 5-point strategy that will ultimately make India Net Zero by 2070:

• India will get the non-fossil energy capacity to 500 gigawatts by 2030. Currently, the non-fossil energy capacity is 136 gigawatts.
• India’s 50% energy consumption will come from renewable energy.
• It has set to reduce 1 billion tonnes of carbon emission by 2030
• By 2030, India will reduce the carbon intensity by 45%
• And finally, by 2070, India will achieve its net-zero target.

India’s action to counter the global crisis

India is the third most emitter of greenhouse gases in the world. However, it is important to note that there's a stark difference between India’s emissions as compared to the other top polluters. India nearly emits 3 gigatonnes every year, while US and China emit 5 gigatonnes and 14 gigatonnes, respectively.

In addition, India has the lowest per capita emission of 1.9 metric tonnes and contributes to 7% of world pollution even when it makes up 17% of the world population. Realistically speaking, India has a higher chance of reaching the net-zero goal before the US, EU and China.

The progress in building renewable energy infrastructure looks promising. As per Invest India, over the past 5 years, solar capacity has increased from 6.7 GW to 40 GW in 2021. Wind capacity has also increased by 2.2 times since 2017.

India is all set to open the largest renewable energy park of 4750 MW in Gujarat. Besides, PM Narendra Modi’s upcoming plans to reduce India's coal dependency by not setting up any more coal energy plants and decarbonising Indian Railways by 2030 is a start in the right direction.

A challenge that lies ahead

The most obvious challenge for India is to secure climate finance. As a developing country, India depends on the developed countries to provide the finance for the formulation of new technologies and methods to reduce its coal dependency.

In the COP-26, PM Modi demanded the rich countries make 1 trillion USD available as soon as possible. Unfortunately, these countries already have many unmet promises regarding climate finance.

To conclude, the goal to become Net Zero will not be a cakewalk for any developing nation. However, it will become extremely challenging for developing countries to create groundbreaking technologies without the needed financial assistance.

Hence, the way forward to achieving the collective goal is for rich countries to take charge and lead the way. As they will be able to bear the heavy initial research & development costs, developed nations are more likely to create innovative decarbonisation technologies.

India will also have to change its energy infrastructure. Some strategies will even require lifestyle changes from its citizens. However, with strategizing and global support, India will surely complete its promises successfully.

Creating a climate strategy for your company has to make it to the top 10 list of priorities while devising a cost-revenue model. That’s right; the decision you make regarding your company’s climate strategy may directly affect your cost & revenue model as you might have to pay a surplus amount if the collective damage to the environment goes up the allowed.

The credit is only due if you fall short of the limit & can come up having an actual breathable margin. So, without explaining the obvious; let's dive into how to create a climate strategy for your company.

1. Bring down the carbon emissions

Keep in check the greenhouse gases and bring the carbon emissions of the entire company. This will go a long way in helping you with minimizing the climatic impact your company is making. Usually, the corporates hire professionals on advising them to create a compensation strategy; when all this while their first action should have been to bring down the levels to an optimal minimum and then instate a compensation strategy for the damage done.

2. Bring the Scope Assessments in force

Once you have exhausted the possibility of damage reduction; bring out the big guns! Scope assessments are these big guns which help corporates in digging deep into what is making their count shoot up high. Run your organization through the fine teeth comb with these assessments & then make a decision on what kind of a strategy you need.

3. Choose power over the volume

While causing the strategy to change the face of desired results altogether: try taking powerful actions which can trigger big changes. Choosing from the heap of moves, that one which can drastically bring down the carbon footprint of your company should be your first effective power move.

Choosing a power move over a handful of small changes can really cut through the mountain of damage that your company causes to the environment. At this point, you have to drive the analysis forward with the graphical presentation & make use of past present and future timelines to extract trends & build your strategy.

4. Quantify the goals

In search of the pain points don’t get lost in the details to completely lose the grip over what’s necessary & required of you. Keep your goals quantified & let them be the flag bearer of your research & strategy building. Make the best of everything else to achieve those goals because the number will always show you the mirror against your efforts.

5. Make it large

It’s not something you should do in a private safe space & don’t let anyone know. Go all out with it & make it an initiative of the masses. Not literally, but the idea is to involve as many entities which are directly and indirectly related to the company as you can; i.e. all kinds of stakeholders. Make them an important part of your initiative as you move forward to make an impact. When they can be the part of the problems the organization causes; they will happily be the part of the solution as the organization goes on to make a huge impact through heavy CSR activities & Strategic Corporate Climatic Strategies.

We have seen a structured approach towards how to approach the agenda of making a climate strategy for an organization all the way to making it a motive to do good involving everyone directly or indirectly in question. These steps; when followed in this exact same order, will show you the ripple impact of a structured approach towards an initiative this sensitive. Apply these in order and consult us if you get stuck while dealing with it.

All the best!

Corporate Sustainability Reporting or CSR refers to a regulation and management system employed by companies to keep check of their environmental and social impact on the world. It is a yearly report made by companies to self-regulate their brand reputation through charitable, philanthropic and social activities. Although CSR is usually done by companies as an initiative of their own, many nations and organizations have made it mandatory for large scale companies to have a CSR model. It is also a way to make the stakeholders of the company and the general public aware of their yearly working system.

What are the benefits of CSR?

To have a long-term customer or client, a brand doesn’t need just a good product. It needs to show what it stands for, what values it represents. Here are some benefits to incorporating CSR into your company:

It helps the company to be more conscious of its social, economical and moral responsibility It improves a company’s reputation for its employees and potential recruits CSR limits the risk of scandals and mishaps in the environment. It enhances the perception of the general public, as people prefer to use products and services of a company which is environment conscious.

How to write a CSR report?

Without careful efforts, a CSR report can appear extremely dull and difficult to read. A well written CSR attracts investors, customers as well as potential employees. So here’s how to write an attractive CSR report:

• The report will be online, so use a directory or table of contents in the beginning for all subjects mentioned in the report
• Give an overview of your business, its operations and recent dealings
• An optimistic and warm letter from the CEO that adds a human element to the report
• Mention your goals for environmental sustainability
• Mention your progress towards said goals (use measurable numbers and percentages for more clarity)
• Add real life incidents, narratives or interviews to make the report more readable
• Mention what your priorities will be for the next term in regards to corporate social responsibility, how the company will tackle major issues
• Use detailed and easy to understand infographics and charts.
• If the report is large, make sure to add the sources from which the report is compiled.
• Add the contact details of every major person involved in the handling of mentioned issues.
• Have your report audited by a third party for better validation

What are some good examples of CSR?

Writing a CSR report can be daunting and exhausting, especially without inspiration. Here some excellent examples of CSR done flawlessly by corporate companies that we can learn from. (THIS PARANTHESIS IS NOT TO BE INCLUDED IN FINAL BLOG- THE LINKS ARE TO THE RESPECTIVE COMPANIES’ CSR REPORTS)

• Google: https://sustainability.google/in 2019, Google celebrated 13 years of Carbon neutrality. It is also the world’s largest annual corporate purchaser of renewable energy.
• Ford Motor Company: https://www.india.ford.com/about-ford/community/csr/#:~:text=Ford%20India%20lays%20particular%20importance,and%20pollution%20of%20water%20bodies the firm took a Sustainable Workforce initiative under which they improved employees’ health, efficiency and productivity. Its global safety standards have reduced workplace accidents by 90%.
• Bosch: https://www.bosch.in/our-company/our-responsibility/corporate-social-responsibility/during the early Covid-19 outbreak, Bosch India pledged more than 50 crore rupees for pandemic relief efforts. 9 lakh masks were donated to second level Covid-19 warriors.
• Lego: https://www.lego.com/en-us/sustainability the firm has pledged to go completely carbon neutral by 2022. The toy company has also announced that they will replace from plastic packaging their toys to paper packaging.
• Ben & Jerry’s: https://www.benjerry.com/whats-new/2014/corporate-social-responsibility-history the ice-cream company donates 7.5% of their pretax earnings to social causes since 1985. It has remained one of the few brands that have consistently spoken out and taken action against acts of injustice around the world.

While CSR report can look different for every company, its objective is the same throughout- to be more sustainable, ethical and responsible. To do well not just for the brand, but also the environment. Companies that stick with yearly CSR reports usually tend to see profits in all areas. Socially responsible companies tend to focus on the approach called Triple Bottom Line. Here, three areas are taken into consideration- Profit, People and Planet. ‘Do well by doing good’ is their motto.

So if your company is not legally required to do CSR, it is still wise not to wait. CSR sets a standard for your company among your competitors. Committing to CSR is a step in the right direction, not just for your brand, but for everyone involved.