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Decarbonization Basics - Establishing the Why

Video
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Abby Davidson Managing Director, Strategy & Implementation
Decarbonization Strategy
Climate Action
Corporate Decarbonization
September 1, 2023

Video Transcript

Transcript has been edited for clarity

Hi, I'm Abby Davidson Managing Director at ENGIE Impact. In this video of The Fundamentals of Corporate Decarbonization series, I'm going to cover the importance of establishing clear motivators for a decarbonization plan.

Corporate sustainability efforts are fundamentally about long-term value creation, and increasingly about short-term value creation. In our experience across Fortune 1000 companies, we have seen the following drivers: customer and consumer demand, investor demand, compliance with regulations increasingly focused on decarbonization, and talent attraction and retention. Other benefits starting with cost savings through energy efficiency measures, for example, can build the case through early wins for the business benefits of decarbonization. But ultimately, decarbonization is a change process. It is about defining the right value drivers to build a business case, and it's also about recognizing the individual and cultural motivators to drive change.

Of course, there are so many moral arguments supporting bold climate action. These include safeguarding our planet's future, minimizing environmental damage, and living up to the expectations of being responsible corporate citizens. According to ENGIE Impacts research, a staggering 40% to 50% of large companies have embraced these moral reasons as their primary drivers for decarbonization strategies and goals. So when establishing the why for your organization, consider what factors would be most impactful in driving your organization's decarbonization strategy. Validate which factors best align with the existing core strategy of your business to facilitate alignment and approvals. For any factors that don't, explore whether adjustments should be made to the factor or to the core business strategy.

Finding the why behind a corporate decarbonization program is complex, and it varies for each organization. But let me tell you what successful programs have in common. They rally corporate action through a shared vision and unwavering commitment from leadership. I genuinely hope that this discussion helps you understand the importance of establishing clear motivators for your decarbonization plan.

To delve deeper into the fundamentals of decarbonization please explore our other videos in this series. Thank you for watching.

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