This week:

– Recent extreme weather events in North America underscore the growing need for cities to adopt robust climate resilience strategies, including infrastructure upgrades and comprehensive climate risk assessments.

–Attribution science is increasingly vital in understanding how climate change amplifies the severity of weather events, guiding policymakers to implement more effective mitigation and adaptation measures.

This week:

– Shift in power dynamics: The Supreme Court's decision to overturn the Chevron Doctrine significantly alters the balance of power between federal agencies and the judiciary, granting courts more authority to interpret laws and potentially limiting the ability of agencies like the EPA and SEC to enact and enforce climate-related regulations without explicit congressional authorization.

– Impact on climate policy: This ruling presents challenges for federal agencies, as it may lead to regulatory rollbacks and increased legal battles over climate policies. The decision could slow progress on environmental regulations and require Congress to pass more explicit legislation to empower agencies to address complex issues like climate change.

Last year, the global average person experienced 26 more days of abnormally high heat due to climate change, significantly impacting vulnerable populations and prompting cities to adopt heat action plans despite the unreliable relief from natural climate patterns like La Niña. Additionally, increased flight turbulence incidents, rising 15% this year, are linked to climate change-altering jet streams. These challenges highlight the need for advanced prediction models, updated air travel safety policies, and better preparedness for evolving aviation risks.

California’s recent budget approval to fund the implementation of SB climate package bills signifies a monumental stride in climate accountability. With $22 million allocated, California must enforce legislation like SB 253 and SB 261, solidifying its position as a leader in environmental regulation. Spearheaded by organizations like Ceres, this funding ensures transparent climate disclosures, empowering companies and investors to navigate climate risks and opportunities with clarity and confidence.

This week:

We sat down with AArete, who supports higher education institutions in leveraging data to enhance sustainability and profitability. Universities face unique challenges due to their non-profit status, focusing on long-term impact rather than short-term financial returns.  Effective procurement strategies involve choosing suppliers committed to achieving net-zero emissions and implementing automated data collection, which is essential for simplifying reporting and implementing actionable climate strategies.  

This week:

– The interoperability guidance released by ESRS and ISSB standards, aiming to streamline reporting efforts across different sustainability reporting frameworks.

– The release of the new CDP's 2024 reporting questionnaire, highlighting its alignment with various reporting standards and frameworks such as TCFD, TNFD, SEC's climate disclosure rule, and EU's ESRS, along with the support provided by Sustained Life as an accredited solution provider.

The U.S. and E.U. are taking decisive regulatory steps towards decarbonization, emphasizing cleaner energy and tighter pollution controls. In the U.S., the EPA’s new power plant regulations prioritize environmental safeguards, while the E.U.’s Net Zero Industry Act promotes decarbonization technologies and competitiveness. Despite challenges, both regions showcase determination and innovation in driving global climate action.

A recent study predicts a $38 trillion annual loss by 2049 due to climate change, disproportionately affecting poorer nations and regions like the southeastern United States and southern Europe. Meanwhile, legal scholars are proposing to hold oil companies accountable for climate-related deaths, akin to past cases against tobacco companies. These discussions highlight the urgent need for collective action to address economic forecasts and legal accountability in combating climate change.

Today is Earth Day, and with this special episode, we sat down with Ali Cammisa, senior director of sustainability at CRG Restaurant Group. CRG’s commitment to integrating sustainable practices, like composting programs, reflects a broader movement within the restaurant industry. Through storytelling and accessible communication, CRG aims to engage both customers and executives in their journey towards environmental stewardship, exemplifying the evolving significance of Earth Day beyond an annual event.

The Week in Sustainability

April 8–12, 2024

This week:

Our team dived into three crucial sustainability topics:

–The influence of financed emissions on businesses

–The importance of external assurance in emissions reporting

–The grid challenges brought on by a recent solar eclipse

This eclipse resulted in a significant drop in solar energy generation, forcing grid operators to increase their reliance on fossil fuels to maintain energy balance.

In this episode of The Week in Sustainability, we chat with Gehry Oatey, manager of ESG data and analytics at leading plumbing manufacturer Oatey. We cover the often-daunting challenges surrounding scope 3 emissions—indirect emissions that occur across a company’s entire value chain, including its suppliers and customers.

The Oatey’s experience serves as a valuable roadmap, not just for the plumbing industry, but for any organization looking to navigate scope 3 complexities and create a more sustainable supply chain.

As we continue to unpack the U.S. Securities and Exchange Commission’s (SEC) final Climate Disclosure rule, we look to bring you interesting expert perspectives. This week, we’re joined by special guest Mallory Thomas, a risk advisory partner at Baker Tilly, a leading advisory CPA firm, who brings additional perspective for companies looking to get an overview of what it will take to comply with the SEC rules.

– Biden’s climate legacy: President Biden’s administration has invested $4.3 billion in EPA grants to combat climate change, reduce pollution, and promote environmental justice, alongside significant climate legislation like the Inflation Reduction Act. However, his policies, including the approval of the Willow oil drilling project, reflect a complex balance between advancing clean energy and making concessions to fossil fuel interests.

– Harris’s potential impact: Vice President Kamala Harris, with a strong history in climate action and environmental justice, is poised to build on Biden’s climate legacy if she becomes the Democratic nominee. Her challenge will be distinguishing herself from Biden, particularly on controversial issues like the Willow project, while accelerating the transition to clean energy.

–We discuss the release of the IEA 2023 report, highlighting the modest success in curbing CO2 emissions through clean energy growth despite challenges posed by weather patterns and the pandemic. The report emphasizes record emissions decline in advanced economies driven by clean energy technologies. Still, it warns of the persistent rise in global emissions, mainly from coal combustion in emerging economies. The report stresses the need for global proactive policy interventions and technological advancements to address the interconnected emissions issue and urges collective action to achieve sustainable goals.

As predicted, the U.S. Securities and Exchange Commission approved the long-awaited climate disclosure rule this week. The impact? Now, thousands of public companies will be required to disclose material scope 1 and 2 emissions. The disclosure law marks a significant milestone in corporate climate reporting, driving the imperative for strategic alignment and comprehensive risk management.

In this episode of The Week in Sustainability, we welcome Christopher McClure a partner and ESG services leader for Crowe LLP, a leading public accounting, consulting, and technology firm.

– Our team sat down with MERZ Aesthetics to discuss learnings from Global ESG Project Manager Molly Bonas, who spearheaded the company's Environmental, Social, and Governance (ESG) baseline inventory. During this discussion, she unveils challenges and insights crucial for a successful sustainability strategy, including stakeholder engagement, data collection, system integration, and collaborating with the right technology solution provider.

–After attending The Verdantix Climate Summit, our team reflects on dynamic conversations surrounding climate disclosure, pathways to net-zero, decarbonization challenges, emission boundary definitions, corporate incentives, and the strategic leverage of regulations for fostering sustainable business transformation.

This week:

– CDP's 2023 reporting cycle showcases global leaders in environmental transparency, with only 2% of respondents achieving the coveted 'A-list' status, underscoring the growing importance of comprehensive sustainability disclosure.

– China's new sustainability guidelines mandate reporting across governance, strategy, and emissions for listed companies, signaling a significant step towards integrating environmental considerations into corporate decision-making and fostering economic resilience.

In the ongoing push for environmental accountability and transparency, state-level legislative efforts for climate disclosure are gaining traction across the United States. California, known for its leadership in environmental legislation, stands at the forefront with recent comprehensive corporate climate disclosure laws signed into effect by Governor Gavin Newsom.

These laws primarily target large corporations operating in California and those making net zero and carbon-neutral claims. One of the key laws, SB 253, the Climate Corporate Data Accountability Act, mandates emissions disclosure, including greenhouse gases across Scopes 1, 2, and 3. Companies doing business in California with annual revenues exceeding one billion dollars fall under its purview. The phased timeline for reporting begins in 2026, with third-party assurance requirements starting in 2030. Notably, penalties for Scope 3 misstatements are deferred until 2030 due to the inherent challenges in measuring these emissions accurately.

Another significant law, SB 261, the Climate-Related Financial Risk Act, requires companies with annual revenues exceeding 500 million to prepare annual climate-related financial risk disclosures aligned with the Task Force on Climate-Related Financial Disclosure (TCFD). Penalties for violations under this law can reach up to $50,000.

AB 1305, the Voluntary Carbon Market Disclosures Act, focuses on companies making net zero or carbon neutrality claims and those involved in voluntary carbon markets. It mandates public disclosure of carbon offset projects, including verification measures and calculation methods, aiming to bring accountability and transparency to these markets. Non-compliance with this law can result in civil penalties of up to $500,000.

While California leads the way, similar legislative efforts are emerging in other states like Washington and New York, with proposed corporate climate accountability acts mirroring California's laws. These laws often prescribe compliance with the Greenhouse Gas Protocols Corporate Accounting and Reporting Standard and the Scope 3 Corporate Value Chain Standard. As these standards undergo review and modernization, selecting a carbon management partner aligned with these standards becomes essential for mandated disclosure compliance.

Despite the importance of these laws in driving decarbonization and enhancing accountability, they are not without challenges. Legal opposition, such as lawsuits filed by business groups, may impede their implementation. However, many corporate actors recognize the inevitability of disclosure mandates and are proactively preparing for compliance, evidenced by the surge of corporate inventories and readiness checks for third-party assurance requirements.

While challenges and legal battles may arise, the momentum toward climate disclosure mandates remains strong. These laws represent a critical step towards fostering environmental responsibility, providing valuable information to financial and capital markets, and ultimately advancing global sustainability efforts.

In recent sustainability reporting updates, all eyes are on the Corporate Sustainable Reporting Directive (CSRD) issued by the European Union. This directive, evolving from the Non-Financial Reporting Directive (NFRD), has encountered a two-year delay, prompting organizations worldwide to reassess their reporting strategies.

CSRD unveiled: a significant expansion

For those unacquainted with CSRD, it signifies a substantial expansion of the NFRD, incorporating more companies and imposing extensive reporting requirements. The EU aims to guide investments towards sustainable initiatives, aligning with the EU Green New Deal principles. Initially adopted in November 2022, non-EU companies and those subject to sector-specific reporting now have an extended reporting deadline, moving from 2024 to 2026 for large public and private entities.

Navigating complexity: reporting challenges unveiled

Reflecting on these changes, sustainability experts emphasize the intricate nature of reporting due to the absence of standardized guidelines across sectors. The complexity extends to calculations, data representation, and the challenge of delivering high-quality reporting. The delay, particularly for sector-specific standards, underscores the prevailing uncertainties both public and private entities face. Organizations outside the EU and in specific sectors receive extra time to collect essential data and set up transparent reporting systems.

EU’s commitment to quality implementation

Experts underscore the EU’s unwavering commitment to achieving high-quality implementation of CSRD, ensuring that organizations meet the directive’s stringent standards. The delay, far from a setback, signifies the EU's dedication to discouraging subpar reporting and promoting transparency.

Strategic action in the face of postponement

During this postponement, organizations should strategically use the time– this involves planning sustainability initiatives, comprehending their impact, and building internal capacity, including training and essential systems. Procrastination is not an option; companies should focus on fostering transparency and engaging internal and external stakeholders.

Turning hurdles into opportunities: strengthening sustainability initiatives

While companies might perceive the delay as a hurdle, it allows them to strengthen their sustainability initiatives. Experts advocate for meaningful action, integrating sustainability goals into core business strategies, and continuously improving practices.

Global reflections on sustainability reporting

In a broader context, the CSRD delay prompts reflection on the ongoing discussions surrounding the SEC climate disclosure rule in the United States. Experts acknowledge the evolving nature of carbon accounting and ESG initiatives, urging organizations not to let uncertainties hinder their sustainability efforts.

Adapting to a dynamic landscape

Companies should take this time to reevaluate their sustainability strategies during this delay. Transparency remains paramount, and organizations are encouraged to leverage this time to strategically plan, engage stakeholders, and integrate sustainable practices into their core business strategies. Organizations must adapt and thrive in this dynamic environment as the corporate sustainability landscape continues to evolve.

In the aftermath of the prestigious World Economic Forum in Davos, Switzerland—a gathering that brings together global leaders, business executives, policymakers, and experts from various fields—numerous insights have surfaced, setting the stage for a transformative year in sustainability. Davos is renowned for providing a platform where influential figures engage in discussions and share perspectives on pressing global issues. Attended by key decision-makers, the forum serves as a melting pot of ideas, shaping the agenda for the year ahead. Here are the key takeaways steering the discourse on sustainability in 2024.

he NRF Big Show Conference 2024, a landmark event across the retail industry, concluded this week in New York City. This year, we decided to attend, and to our surprise, the conference took an unexpected yet critical turn towards sustainability, signaling a significant shift in the industry's priorities. As one of retail's most significant technology-focused events, we were pleased to see the sector locked in on emphasizing minimizing risk, enhancing resilience through ESG (Environmental, Social, and Governance) initiatives, and leveraging technology for operational efficiency. There was much to take in– we were able to take away some compelling insights from the show:

‍ESG and resilience in focus:

• The conference showcased a solid commitment to ESG principles, emphasizing building resilient supply chains. This shift reflects a growing awareness of the need for sustainable practices in retail.
• Retail leaders now prioritize sustainability, a notable change given the industry’s traditional focus on profit and growth.

Technological innovations in supply chain management:

• A key highlight was using AI and predictive modeling to minimize supply chain disruptions. This approach is not only innovative but also a critical step in ensuring smooth retail operations amidst increasing environmental uncertainties.
• Technology integration in supply chains paves the way for more efficient and reliable operations, crucial for the retail sector's success.

Walmart’s pioneering approach to sustainable supply chains:

• Walmart’s session, led by their EVP of Supply Chain Operations and SVP of Sustainability, stood out. They discussed creating value through sustainable supply chains, linking resilience, efficiency, product availability, risk mitigation, and worker opportunities.
• This session highlighted the practical benefits of sustainable practices regarding environmental impact and business efficiency.

Tech-driven solutions for supply chain weather-related disruptions

• Innovations by major players like IBM and smaller companies in AI-driven predictive modeling for weather-related supply chain disruptions were impressive.
• These technologies embody the idea of physical risk mitigation, which is crucial for maintaining steady and reliable supply chains in the face of increasing natural disasters and climate change impacts.

TCFD and its practical implications:

• The conference illustrated the practical application of TCFD (Task Force on Climate-related Financial Disclosures) principles in retail. The focus was on building resilience and strategic value creation through climate risk assessment and management.
• TCFD's framework was implicitly present in the tools and technologies showcased, highlighting the industry’s move towards comprehensive climate risk management.

Sustainability as a cross-functional priority:

• The conference wasn't solely aimed at sustainability experts but attracted a diverse group of retail professionals. This diversity underscores the universal importance of sustainability across all retail sectors.
• Discussions on AI, technology, and supplier engagement in decarbonization indicate a holistic approach to sustainability, integrating it into every aspect of retail operations.

The NRF Big Show Conference 2024 marked a pivotal moment for the retail industry, with a clear shift towards sustainability and technological innovation. The conference highlighted the latest trends and solutions and underscored the industry's commitment to a more sustainable future. The insights gained from this event are vital for anyone involved in retail, showcasing how sustainability and technology are becoming integral to the sector's success and resilience. The energy and engagement at the conference promise an even more impactful event next year, driving the industry toward a more sustainable and technologically advanced future.

Australia is making significant strides in climate action, with the anticipated mandate for climate disclosure by 2024 marking a new era of environmental accountability. This legislative change is a global trend towards greater transparency and responsibility in addressing climate challenges.

Key to Australia’s evolving environmental strategy is its commitment to reducing emissions and transitioning away from coal dependency, as highlighted in the recent COP28. This shift is particularly significant for a traditionally coal-reliant nation, signaling a major transformation in its approach to sustainable energy.

Australia's proactive involvement in the Loss and Damage fund on the international stage demonstrates its commitment to global climate initiatives. Recent extreme weather events in South Australia, including bushfires and flooding, underscore the urgency of this commitment, bringing the realities of climate change into sharp focus.

In the corporate arena, Australian businesses are rapidly adapting to the changing energy landscape. A noticeable trend towards renewable energy reflects a broader transformation within the corporate sector. The move from voluntary to mandatory climate reporting brings new challenges and opportunities, emphasizing the need for robust governance, accurate data management, and high-quality data assurance.

The narrative around climate change in Australia is evolving from viewing it as a challenge to recognizing it as an opportunity for innovation and value creation. This positive shift drives forward-thinking strategies and solutions, underscoring Australia’s role as a dynamic player in the global effort towards a more sustainable future.

Significant impact: Scope 3 emissions in supply chains are 26 times higher than direct operational emissions, highlighting the need for companies to address upstream emissions alongside Scopes 1 and 2.

– Challenges and gaps: Only 15% of companies have set targets for upstream Scope 3 emissions due to complexities in data collection, lack of supply chain transparency, and prioritization of direct emissions.

– Key actions for improvement: The report suggests three critical factors for addressing Scope 3 emissions: having a climate-responsible board, engaging suppliers for transparency and emission reductions, and adopting internal carbon pricing to incentivize low-carbon practices.

s we leave an exciting 2023, it’s time to enter a new year. Without a doubt, the sustainability sector is witnessing transformative trends and predictions reshaping how businesses operate and consumers engage. This week, we discuss our thoughts as we enter 2024 and provide an in-depth look at these key trends and predictions our team has complied:

• Global supply chains under the microscope–The focus on transparency and public reporting within global supply chains has become more pronounced. This year, we’re seeing a significant shift towards improving data accessibility, with large corporations and smaller suppliers under increased scrutiny. The emphasis is on creating a transparent supply network where every participant is accountable for their sustainability practices.
• The rise of technological integration–Integrating digital tools is set to revolutionize sustainability practices in supply chains and beyond. Developers and industry leaders expect these technologies to streamline processes, enhance transparency, and deliver comprehensive insights into supply chain operations.
• Regulatory changes driving action–Anticipated regulatory changes, especially from bodies like the Securities and Exchange Commission (SEC), push organizations to rethink and readjust their sustainability strategies. Companies are gearing up for new requirements, like calculating scope three emissions and preparing for third-party audits, signaling a shift towards more rigorous sustainability compliance.
• Harmonization in reporting standards–Industry leaders are actively aligning various sustainability reporting standards, like the SBTI and CSRD, to simplify compliance processes. This harmonization effort targets making it easier for organizations, especially those with limited resources, to meet sustainability reporting requirements. This trend is driving a more unified and coherent approach to sustainability reporting.
• Private equity’s growing influence–The influence of private equity in shaping sustainability practices is becoming increasingly apparent–initiatives like the ESG Data Convergence guide firms towards more standardized reporting and actionable sustainability measures. This trend reflects the growing role of private equity in promoting sustainable practices among portfolio companies.
• Sustainability conversations in the boardroom–Environmental, Social, and Governance (ESG) topics are now taking center stage in corporate boardroom discussions. There is a heightened focus on genuine decarbonization efforts, avoiding greenwashing, and ensuring that concrete actions back public sustainability claims. This shift underscores the growing importance of sustainability in corporate governance and strategic decision-making.

It will be interesting to look back a year from now and see how this year’s predictions pan out. Many of these trends highlight a dynamic and evolving landscape in the sustainability sector for 2024, marked by increased accountability, technological advancement, regulatory alignment, and strategic corporate focus on genuine sustainability practices.

Every year, we like to pause to reflect on the progress made in the sustainability and ESG space. 2023 was no exception, emerging as a landmark period of transformation and growth. This year, there have been significant strides in regulations and the interoperability of sustainability reporting. It set new benchmarks for corporate accountability and climate action, impacting businesses globally. Below are some key highlights discussed in this week’s episode. 

Key developments:

1. International Sustainability Standards Board (ISSB) release: This year witnessed the highly anticipated release of the ISSB’s IFRS global reporting standards. These standards marked a pivotal moment in creating a unified framework for sustainability reporting, aiming to consolidate various reporting requirements under a cohesive global standard.
2. EU’s Corporate Sustainability Reporting Directive (CSRD): The formal adoption of the EU's CSRD represented a significant regulatory milestone. It emphasized the need for companies to disclose their environmental and social impacts, enhancing transparency and accountability in corporate governance.
3. Alignment and harmonization efforts: Despite delays in finalizing certain rules and details, the year saw efforts to align and harmonize the various ESG standards. This endeavor aimed to simplify the complex landscape of sustainability reporting, making it more accessible for stakeholders.
4. Private market initiatives: In response to regulatory developments, giant private market corporations announced ambitious climate plans focusing on supply chain decarbonization. This proactive stance demonstrated leadership and commitment to sustainability beyond regulatory requirements.
5. Focus on scope 3 emissions: The year cemented the consensus on the criticality of scope 3 emissions in climate accountability. There was a notable shift in efforts towards understanding and mitigating these indirect emissions, highlighting the need for comprehensive strategies in supply chain decarbonization.
6. Notable regulatory and reporting developments: The year also saw the official release of ISSB’s IFRS S1 Sustainability and S2 Climate disclosures, California’s Climate Package SB-253 and SB-261, and the formal adoption of ESRS reporting standards to facilitate the EU’s CSRD. 

This past year, regulatory frameworks, corporate initiatives, and a heightened focus on comprehensive climate accountability converged, creating a more unified and actionable approach to sustainability. With this shift, companies must adapt and prepare for an evolving landscape in 2024 and beyond, emphasizing strategic decision-making and long-term value creation in the face of climate challenges.

The 28th annual Conference of the Parties (COP28), hosted by the United Nations, wrapped this week. It marked a significant shift in the climate change dialogue. The event brought together over 100 country delegations, climate scientists, business leaders, activists, indigenous peoples, and journalists, fostering a platform for pivotal discussions and decisions. 

If you've followed news surrounding previous COPs, you’re no stranger to the rollercoaster ride they can become. The high- and low-lights:

Controversies and context

• Location and leadership: COP28 in Dubai, led by Sultan Al Jaber of the Abu Dhabi National Oil Company, sparked controversy due to the UAE's status as a major oil producer and potential conflicts of interest.
• Record attendance and lobbyist presence: COP28 attracted over 100,000 attendees despite the controversies, indicating a growing interest in climate discussions. However, the unprecedented presence of fossil fuel lobbyistsraised concerns about the event's alignment with oil and gas interests.

Key highlights

1. Loss and damage fund: A significant win was the establishment of a fund to support the Global South, which is significantly affected by climate crises. However, the pledged amount needs to catch up to the estimated need.
2. Methane and refrigerant regulations: Progress emerged in tackling harmful greenhouse gases, with new rules in the U.S. and EU targeting methane emissions reduction. Meanwhile, 63 countries committed to the Cooling Pledge, aiming to cut coolant emissions.
3. Renewable energy and agriculture initiatives: Governments pledged to triple renewable energy capacity by 2030 and address the climate impact of agriculture, mainly focusing on meat and dairy emissions.
4. Voluntary carbon market standards: The International Organization of Securities Commissions proposed measures to enhance the integrity of Voluntary Carbon Markets, indicating a move toward more rigorous standards.
5. Global stocktake – fossil fuel phase-out: The final COP agreement included language about transitioning away from fossil fuels but fell short of the strong commitment activists sought.

Looking ahead

• The next two COPs (COP29 will be in Azerbaijan) are crucial to establish new climate finance goals and updating nationally determined contributions.
• Our perspective: The agreements reached are a step forward, but practical implementation remains vital. We approach these developments with cautious optimism, recognizing the need for action that matches the urgency of the climate challenge.

COP28 brought to light the complexities and challenges in global climate negotiations. We recognize the importance of these discussions and remain committed to leading the way in sustainable practices and solutions. The journey toward a more sustainable future continues, and we're here to guide and support businesses and individuals in making impactful choices for the planet.

As the festive season approaches, our excitement to celebrate often matches a surge in shopping activities. However, understanding the impact of this increased consumerism on retailer emissions is vital. This week, we explored the significant effects of our holiday shopping habits on the emission profiles of retailers, focusing primarily on Scope 1, 2, and 3 emissions.

Understanding retailer emissions

• Scope 1 emissions: During the holiday season, retailers often extend their store hours, increasing natural gas use for heating and other direct emissions from the stores.
• Scope 2 emissions: The festive lighting and extended operating hours result in a spike in electricity consumption, contributing to a retailer's Scope 2 emissions.
• Scope 3 emissions: This category sees the most significant increase during the holidays. With more goods and services purchased, the entire value chain of retailers is affected, leading to higher emissions.

How consumers can make a difference

As consumers, our choices have a powerful impact on retailer emissions. Here are some ways we can help reduce their environmental footprint:

1. Conscious purchasing: Opting for eco-friendly and sustainably packaged products can significantly reduce retailers' Scope 3 emissions.
2. Reducing transportation emissions: In e-commerce, choosing consolidated shipping options can lower transportation and distribution emissions.
3. Longevity in products: By selecting products with a longer lifespan, we can decrease the frequency of purchases, thus impacting the use and emissions of sold products.

Embracing sustainability in our festive shopping

The holiday season is a period of increased consumption and an opportunity to be mindful of our environmental impact. By making informed and sustainable choices, we, as consumers, can play a crucial role in shaping the sustainability practices of retailers. This period gives us a unique chance to influence the Scope 1, 2, and 3 emissions of retailers and, by extension, contribute positively to the environment.

As we enter the holiday season, remember that our purchasing power extends beyond the products we buy; it's a tool for environmental advocacy.

Australia's ambitious climate goals: On the Vverge of COP28

As we gear up for COP28, Australia has made notable climate strides that can't go unnoticed. Under Prime Minister Anthony Albanese, the country has set ambitious goals to reduce emissions by 43% by 2030, a significant leap from the previous 28% target. At COP28, Energy Minister Chris Bowen will present a report indicating that Australia is on track for a 37% reduction with existing programs while aiming for 42%. Here are just a few bold steps Australia has taken on climate action:

1. Safeguard mechanism in heavy industry: A groundbreaking policy compels industrial facilities emitting over 100,000 metric tons of CO2e annually to cut emissions. This policy includes mining and oil and gas production facilities, marking a significant step towards reducing emissions.
2. Electric vehicle (EV) strategy: Despite the absence of a new fuel efficiency standard, Australia's EV strategy is promising, focusing on infrastructure and charging access. The federal push is encouraging more EV brands to enter the market, signifying a shift in the supply-demand balance.
3. Rapid adoption of rooftop solar: Australia is the fastest-growing rooftop solar market globally, reflecting the community's strong desire for an energy transition. Policies at federal, state, and council levels support renewable home energy, though affordability remains a challenge.

Community's role in climate action

The climate policy in Australia is not just top-down; community involvement is pivotal. This week, climate activists organized a protest in Newcastle, arresting 109 people for blocking coal shipping and emphasizing the public's demand for swifter climate action. The protest, including diverse participants like retired coal miners and high school students, underscores a collective push for a just and swift transition away from fossil fuels.

Australia's climate action, backed by government policies and community activism, is a beacon of hope. As we witness these developments, it's clear that a sustainable future is not just a vision but can be an achievable reality. 

The National Climate Assessment: risks, progress, and opportunities

This week, the National Climate Assessment was released, a pivotal report crafted every five years by major U.S. Federal agencies. This 2023 edition did not shy away from the stark climate risks looming over us. Yet, it's not all doom and gloom. The report underscores significant strides in climate action across the U.S. since 2018, with unexpected frontrunners like Virginia, Texas, and Florida making remarkable progress.

Even though these states are not known to implement climate mitigation efforts, these actions aren't just about environmental protection but have the potential to increase economic opportunities. Initiatives like grid expansion and energy efficiency are pivotal for a sustainable future and job creation engines in states like Nevada, Vermont, and Alaska.

A compelling takeaway from the report is the potential of a 100% renewable pathway. By 2050, this could result in a net creation of 6 million jobs, offsetting the decline in fossil fuel industry employment. It's a resounding affirmation that the clean energy economy isn't just beneficial for the environment but also for the job market.

International climate action: China and the U.S. unite

Switching to more of an international stage, the U.S. and China declared their commitment toward more renewable energy. China's pledge to set reduction targets for all greenhouse gases, not just CO2, is particularly notable.

While much of this remains symbolic, the symbolism carries weight. As the U.N.'s COP28 approaches, this collaboration between the world's largest current and historical climate polluters sends a powerful message of readiness to cooperate, potentially smoothing the path for future global climate negotiations.

This agreement between China and the U.S. didn't materialize overnight. Months of negotiations have laid a foundation of trust and relationship-building, essential for future collaborative efforts. Thus, we view this as a step in the right direction, a glimmer of hope in the ongoing battle against climate change.

Navigating the complexities of the Inflation Reduction Act and highway infrastructure

The Inflation Reduction Act (IRA), with its substantial $369 billion funding package, stands at the forefront of America's push toward a greener future. Yet, its recent entanglement with Texas's highway infrastructure plans has raised eyebrows. The proposal to allocate $112 million of IRA funds to expand highways aims at reducing congestion and idling. 

However, this move has sparked debate due to its seemingly counterintuitive alignment with the bill's decarbonization goals. Critics argue that such an approach only scratches the surface of potential environmental benefits and bypasses more impactful opportunities to reduce fossil fuel dependence. Texas's transport sector, a significant emitter, could benefit more from investments in electric vehicle (EV) charging infrastructure, alternative fuels, and optimized freight logistics.

The GOP’s climate conundrum

The landscape of climate politics and policy reveals a complex interplay of economic interests, environmental imperatives, and ideological commitments. 

The Republican presidential candidates’ stances on climate change illuminate the intricate dance between acknowledging environmental issues and towing the party line. There is a consensus on the reality of climate change but a division on human responsibility. The GOP historically promotes energy independence and domestic production while pointing fingers at global emitters, overlooking the U.S.'s substantial historical emissions. Candidates predominantly support the expansion of domestic fossil fuels, with a notable divide over coal usage. Chris Christie singularly champions a comprehensive shift toward renewables, yet paradoxically stands alongside his peers in opposing the 2015 Paris Accord.

Furthermore, despite the advantages of the IRA for Republican districts, not one Republican candidate supports the Act's clean energy incentives. This contradiction underscores the intense politicization of climate issues. It also raises concerns about the economic wisdom of opposing measures that could foster the desired energy independence and economic growth.

The pressing question remains: Can political leaders transcend partisanship to forge a path toward a sustainable and economically robust future?

This week, we’ve witnessed several impactful developments across two high-contributing factors to climate change: mining and garbage. The UK has taken a firm stand against deep-sea mining, acknowledging its potential impact on our warming oceans. At the same time, U.S. state officials have called on the Environmental Protection Agency (EPA) to bolster waste management initiatives.

‍Navigating the deep sea dilemma

‍Due to the depths of our oceans, there is a delicate balance between extracting necessary minerals from the seabed and protecting an environment largely shrouded in mystery. While we've mapped 100% of the ocean floor, it still eludes our current climate knowledge and the impact of deep-sea mining. 

The UK recently joined 20 countries, including Germany, Brazil, and Canada, in calling for a moratorium on commercial deep-sea mining. Car manufacturers like BMW and Volvo have also voiced their opposition, pledging not to accept minerals like nickel and cobalt sourced from the deep sea.

However, the difficulty lies in the pivotal role these minerals play in our transition to renewable energy. With on-land mining supply lagging behind growing demand, the question becomes: How can we accelerate climate action without jeopardizing the marine ecosystem?

‍Addressing land-based issues: Methane from landfills

Shifting focus back to land, a letter penned by 56 city officials from 18 U.S. states to the EPA underscored the significant contribution landfills have on the nation's emissions, which are responsible for about 14% of U.S. methane emissions. Of note: The letter pointed out that methane is 28 times more potent than carbon dioxide.

The call to action has two main asks:

• A plan to phase out organic material in landfills by 2040.
• An update to landfill standards to incorporate advanced technologies for detecting and mitigating methane leaks.

While many local governments have made strides in reducing food waste through composting programs, the leaders urge the EPA to expand grant funding, making these initiatives more widespread and accessible to the public, thereby addressing a substantial contributor to climate change.

‍Striking the balance

‍From the ocean's depths to our backyards, pursuing sustainable solutions requires a delicate equilibrium. As nations and industries grapple with the urgency of climate action, the tug-of-war between traditional environmentalism and rapid renewable expansion becomes apparent.

In addressing these concerns, the UK's stance against deep sea mining emphasizes caution, while U.S. officials' appeal to the EPA underscores the necessity of immediate waste management action. 

The Week in Sustainability

October 23–27

This week:

– DOE’s new funding: The Department of Energy has committed a whopping $3.5B towards upgrading the electric grid. Stemming from the bipartisan infrastructure law of 2021, this move aims at enhancing the grid’s resiliency and capacity.

– GM’s unionization: GM (General Motors) is taking the lead amidst an ongoing auto worker strike by permitting its EV battery plant workers to unionize under the United Autoworkers Union.

About The Week in Sustainability

Each week, Sustain.Life’s sustainability team offers commentary about the week’s most pressing issues and stories in sustainability and ESG.

About Sustain.Life

Sustain.Life helps future-proof businesses by fighting climate change. ​

Learn more: www.sustain.life

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As climate change continues its relentless march, the call for more transparent, standardized, and actionable sustainability reporting grows louder. The UK's recently unveiled Transition Disclosure Framework (TDF), coined by the UK Transition Plan Taskforce (TPT), is the latest entrant into the world of ESG standards and metrics. But what does it mean for companies and investors alike?

About Sustain.Life Sustain.Life helps future-proof businesses by fighting climate change. ​

Learn more: www.sustain.life

This week:

–Kern County wildfires: Recent wildfires in Kern County caused major evacuations and extensive damage, highlighting the urgent need for climate action as extreme heat and dry conditions fuel more frequent and severe fires.

–Climate regulation landscape: The SEC’s new climate-risk disclosure rule aims to standardize ESG reporting despite legal challenges. Companies must proactively address regulations and prepare for complex reporting, including Scope 3 emissions.

New California laws to reshape climate reporting

The new climate legislation in the Golden State is, and has been, making big headlines. Governor Gavin Newsom has put his signature on SB 253 and SB 261. Starting in 2026, California will expect businesses generating more than $1 billion in revenue to publicly disclose their scope 1, 2, and 3 emissions. Furthermore, companies with revenue surpassing $500 million must highlight their climate-related financial risks, according to SB 261. While the SEC’s similar initiative focuses mainly on public companies, California’s legislation casts a considerably wider net.

Ember’s deep dive into 2023’s power trends

Independent energy think tank Ember’s recent analysis revealed some telling data on the global power sector. Its goal? Ascertain whether we’re on the right track to attain net-zero emissions by 2035. Results are mixed, which suggests we’re on the cusp of a monumental shift.

1. Renewable energy’s meteoric rise: Between January and June 2023, wind and solar generation globally increased by 12%. In comparison, fossil fuel generation barely budged, growing only by 0.1%. Notably, 50 countries set new records in solar energy production.
2. Hydropower’s unexpected dip: Despite being the oldest renewable source, hydropower faced challenges in 2023. As China grappled with heatwaves and droughts, its hydropower generation—the largest globally—decreased by 8.5%. Consequently, coal burning became a necessary evil to bridge the gap—a glaring reminder of the climate’s capriciousness and potential impact on the pace of energy transition.
3. Power sector emissions show new patterns: Since 2000, only twice have we seen a reduction in power sector emissions. After the 2009 financial crisis and during the 2019-2020 coronavirus pandemic. Though we witnessed only a minor increase this year, experts believe we would’ve seen a decrease without the unexpected hydropower shortfall.

Time to power up the renewables revolution

2023 has shown us the tangible impact of renewables in our energy mix. The shift is undeniable, but the rate of the shift must get more aggressive and keep pace. As the power landscape changes, so must our strategies. It’s high time we champion renewables more than ever and aim for a zero-emission power sector. 

Last week, New York City witnessed a brief bout of intense rain it hadn’t experienced in over seven decades. In just a day, New York received a month’s worth of rain. For a city revered for its resilience, the downpour exposed glaring infrastructure vulnerabilities.

When streets turned into streams

The city’s streets transformed into treacherous rivers, submerging vehicles mid-road and flooding basement apartments. The sight was eerily reminiscent of the devastating aftermath of Hurricane Ida in 2021. Such events are no longer anomalies—they’re the “new abnormal” as climate change rages on.

An ill-prepared infrastructure

So, why does New York City drown when the heavens open up? The root cause lies in NYC’s sewer system. Designed to process about 1.75 inches of rainfall per hour, it was overwhelmed by the rain, which came down at a rate of two inches per hour.

Furthermore, impermeable surfaces—pavement and rooftops—intensify the issue. These surfaces don’t allow rainwater to seep into the ground, increasing the runoff that sewer systems have to handle. This issue extends beyond dense urban centers and includes the runoff from highways and parking lots, which challenges sewer systems, often causing severe erosion. Recognizing this, NYC now mandates water catchment systems in new constructions and promotes the incorporation of green roofs.

The domino effect on sewer systems

When the sewer system is inundated, problems multiply. Normally, all sewer pipes channel water to wastewater treatment plants where rainwater and sewage undergo treatment before being released into local waterways. However, when overwhelmed, these plants dump untreated sewage and rainwater directly into waterways, known as combined sewer overflow. This is precisely why warnings against swimming in city rivers post-rainstorms exist.

Worse yet, excessive pressure can cause backflow, where sewage water reverses course into buildings. Not only is this nauseating, but it’s also a severe health hazard.

Silent city officials: Cause for concern

One can’t help but notice the lack of proactivity from New York City officials. Despite the evident chaos, the city’s response was noticeably muted. Residents were left uninformed, and it took a staggering 12 hours before the mayor finally addressed the issue.

Perhaps the most telling sign of the times is this: In past major flood events, a hurricane or tropical storm was often the culprit. But this time, the disaster was caused by a storm without a name, emphasizing the increasing unpredictability of our climate.

As thought leaders in the carbon accounting realm, we can’t stress enough the urgency of climate action. The waters of NYC are sending us a clear message: it’s time to pay attention, adapt, and take action.

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1. Net-zero commitments 

One of the central themes of Climate Week NYC 2023 was the widespread commitment to net-zero emissions goals. It demonstrates a growing acknowledgement among businesses: Addressing climate change is a moral imperative and essential for long-term economic resilience. While the tone remained hopeful, it was also realistic—we only have six years left to reduce global emissions by 50% to meet 2030 goals.    

2. Investments in renewable energy  

Renewable energy took center stage as companies unveiled significant investments in clean energy projects, including massive solar and wind farms. These T&D projects increase the capacity of the grid to move renewable power from the point of generation to the point of consumption, as well as investments in advanced energy storage technologies.  

3. Sustainable supply chains 

Supply chain sustainability emerged as a critical focus for businesses. Companies announced plans to reduce the carbon footprint of their supply chains by sourcing materials responsibly, optimizing logistics, and adopting circular economy principles. The shift reflects a growing demand from consumers for sustainable products and services and the regulatory landscape. 

4. Climate finance and green bonds 

Financial institutions and businesses showcased their commitment to climate finance. Green bonds, designed to fund environmentally beneficial projects, gained significant attention. It’s a trend that indicates a shift towards sustainable investments, with more capital flowing into projects that combat climate change and support sustainability initiatives. 

5. Carbon pricing and emissions reduction 

Many businesses pledged to adopt carbon pricing mechanisms within their operations. They also committed to substantial emissions reduction targets, aligning with the Paris Agreement’s goals. By putting a price on carbon and actively reducing emissions, these companies are positioning themselves as leaders in transitioning to a low-carbon economy. 

6. Technological innovation 

Innovations in clean technology were a hot topic at Climate Week. Companies showcased cutting-edge solutions, including carbon capture and utilization, sustainable agriculture techniques, and electric vehicle advancements. These innovations demonstrate that technology is an enabler of sustainability and can drive significant emissions reductions. 

7. Climate adaptation and resilience 

Climate adaptation and resilience to extreme weather events and rising sea levels were acknowledged as part of the inevitable impacts of climate change. Many announced initiatives to enhance their resilience and support vulnerable communities. 

8. Sustainable reporting and transparency 

Greater transparency and sustainability reporting were highlighted as essential for accountability. Businesses are committed to disclosing their environmental, social, and governance (ESG) metrics more comprehensively and providing investors and stakeholders with better insights into their sustainability efforts.  

Sustain.Life was proud to partner with UN Global Compact USA Network where the message rang clear on the power of data to enable sustainability reporting across the increasingly harmonized global reporting landscape. With recent announcements around CDP’s alignment with the ISSB, CSRD, and proposed SEC climate disclosure rules.  

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California’s challenges Big Oil

In yet another bold move to address climate change, California Governor Gavin Newsom and Attorney General Rob Bonta announced a lawsuit against five leading oil companies: BP, ExxonMobil, Chevron, Shell, and ConocoPhillips, along with their associated trade group, the American Petroleum Institute. 

The core of the lawsuit alleges that these energy giants were not only significantly responsible for exacerbating climate change but were fully aware of the potential risks for many decades. Rather than acting responsibly, these companies purportedly chose to conceal the damage, mislead consumers, and oppose renewable energy, all in the pursuit of increased profits. This lawsuit echoes similar legal actions taken by other jurisdictions like Rhode Island, Baltimore, and Honolulu. However, this legal challenge carries added weight given California’s vast economy. Evidence from the 1950s to the 1980s shows that these oil companies had multiple indications about the harmful effects of their products. Their denial and misinformation campaigns allegedly intensified following key global climate events in the early 1990s. 

California has expressed hopes that a jury trial might favor public health. If the companies decide to settle, California aims to establish an abatement fund to address the environmental damage the state has endured due to the changing climate.

New York’s Climate Week and worldwide protests 

Shifting focus to the East Coast, New York City recently initiated its 15th annual Climate Week. The event, however, wasn’t just limited to discussions and conferences. A massive wave of protesters, numbering between 50,000 and 75,000, took to the streets, demanding an end to the reliance on fossil fuels. Their message was potent and straightforward: discussions are valuable, but tangible action is overdue. 

This recent mobilization in New York is noteworthy, being the largest climate demonstration in the U.S. since the onset of the coronavirus pandemic. The momentum isn’t just national—global protests are anticipated across 54 countries, with an expected staggering 1 million individuals. 

This surge of activism coincides strategically with key global events, namely the UN General Assembly and the UN Climate Ambition Summit. The urgency behind these protests is palpable, especially given recent data indicating 2022 is the hottest year on record and the pressing concern of transgressing six of the nine planetary boundaries. Yet, amid the critical challenges, there’s a silver lining: The ozone layer’s recovery, thanks to informed policies and global cooperation, stands as a beacon of hope. Its repair underscores that concerted, coordinated efforts can usher in positive change.

Apple continues to trailblaze on the sustainability front. On the legislative front, California’s new bills might set a precedent for broader global actions, which make one thing clear: meticulous carbon accounting is no longer a choice; it’s a necessity.

Paving the way: California’s climate bills

California is once again at the forefront of climate legislation. The state has passed two promising bills: SB 253, aka the Climate Corporate Data Accountability Act, and SB 261, the Climate-related Risk Disclosure Act. Both bills remain unsigned, but their momentum is undeniable. What sets them apart?

• SB 253 will require companies boasting revenues over $1B (regardless of being public or private) to verify and disclose their emissions across all scopes.
• SB 261 demands businesses with a revenue threshold above $500M to report climate-associated risks in harmony with the TCFD.

Interestingly, these bills not only align with proposed SEC rules, but notably encompass private entities, hinting at broader, rippling effects through supply chains.

Apple’s ongoing green evolution

Lovable tech titan, Apple, publicly endorsed the California bills, likely due to its preparedness signaled by their latest product launches, which focused heavily on sustainability.

Key highlights from the September 12 Apple event:

• Freight emissions cut: Apple is largely transitioning from air to ocean freight, which has a 95% smaller carbon footprint.
• Carbon neutral product debut: The launch of new Apple Watch models have been designed to be carbon neutral—a big step for the company in its quest to become net-zero by 2030 (more on that in a sec).
• A farewell to leather: Vegan enthusiasts rejoice! Apple is transitioning away from leather, which might redefine leather’s luxury status.
• Recycled minerals: Apple has taken a significant step by using 100% recycled cobalt in their batteries, addressing both environmental and ethical concerns in the supply chain.

While Apple’s initiatives are commendable, it’s essential to gauge their progress against their broader carbon reduction goals. The company aims for net-zero by 2030 and has already slashed emissions by 45% since 2015. Individual announcements might dazzle, but the journey to their ultimate goal remains paramount.

And there’s still the curious case of a move to titanium. Apple’s choice to introduce a titanium frame in their new iPhone Pro models has raised eyebrows. With a carbon footprint significantly larger than aluminum, it begs the question: Do we really need such high-end materials in everyday tech?

We dive into the Burning Man festival’s environmental challenges, namely how its principles are at odds with its practices.

Background on Burning Man 

Originating from a small group of artists in San Francisco, Burning Man now attracts around 70,000 attendees annually in the Nevada desert. Attendees would argue it’s not just a festival—it’s a temporary city with guiding principles that resonate closely with sustainability, like radical inclusion, civic responsibility, and environmental protection.

Environmental concerns around Burning Man 

As the event’s popularity has surged, so have environmental criticisms. Noteworthy issues include:

• Carbon footprint – Recent reports suggest that the festival generates an eyebrow-raising 100,000 tons of CO2 annually, equivalent to burning 100 million pounds of coal. It’s a statistic at odds with the festival’s ambition to achieve carbon neutrality by 2030.
• Transportation – The festival’s predominant emissions culprit? Air travel, especially as the wealthy and elite increasingly frequent the event from far-off locations.
• On-site emissions – The evolution from rustic camping to diesel-powered installations and air-conditioned RVs significantly contributes to the festival’s carbon footprint.
• Weather: Emblematic of the climate crisis, this year’s event faced torrential rains, which left attendees stranded and forced to ration resources due to the desert’s impassability.

More context

• Physical climate risks – Burning Man underscores the real physical risks businesses and events face due to climate change, especially as weather patterns shift.
• Not In My Backyard (NIMBY) – An environmental justice principle, NIMBY, highlights the challenges faced when socially privileged groups resist sustainable projects in their vicinity. A case in point is Burning Man’s opposition to a geothermal exploration project in the Black Rock National Conservation Area, raising questions about potential hypocrisy given the event’s own environmental impact.

Despite its foundational ideals, Burning Man is grappling with environmental challenges that force questions of its alignment with sustainable practices.

Global warming’s ripple effects can be seen everywhere month-by-month and minute-by-minute—from July heatwaves to altered coastal ecosystems. And that’s just this summer alone. But the challenge also brings forth innovation—and this week, we’re focusing on a couple of stoires about promising innovations in marine cargo shipping and aviation. 

Marvel in marine shipping

Traditionally derived from natural gas, methanol is emerging as a potential alternative to heavy fuel oil in marine cargo shipping. The advantages? Methanol emits 80% less nitrogen oxide and 99% less sulfur oxide. But, the carbon emissions from conventional methanol remain a concern. Enter biomass-based methanol, a greener variant that emits 60–90% less carbon than its conventional counterpart. 

While challenges loom in the form of higher costs and availability (unsurprisingly, ships tailored for this unique fuel also come with a heftier price tag), there’s good news, too. Maersk, the world’s largest shipping company, is eyeing ambitious carbon targets, signaling a potentially burgeoning demand for biomass-based methanol.

But marine cargo shipping isn’t just eyeing the future—it’s also looking to the past for sustainable inspiration. Sails are back in vogue! The Pyxis Ocean, the first wind-powered commercial cargo ship, is a testament to this resurgence. These modern sails, reminiscent of wind turbines, can help ships save nearly three tons of fuel daily. Even more promising, existing ships can be retrofitted with these sails, which paves the way for a future where cargo ships harness both wind power and bio-based methanol, heralding a massive reduction in shipping emissions.

Clearing the skies: AI in aviation

Now let’s shift gears to aviation. Beyond sustainable aviation fuel lies another promising avenue—the use of Artificial Intelligence (AI). 

Google and American Airlines are collaborating to harness AI-based predictions to minimize contrail formation—the cloud-like trails left behind by planes that trap heat and account for a whopping 30% of aviation’s contribution to global warming.

So where does AI come in? By leveraging vast amounts of weather data, flight paths, and satellite imagery, Google’s Climate and Energy team can predict contrail formations. Pilots can then adjust altitudes, similar to how they evade turbulence, to bypass humid layers, thus reducing contrails. Initial tests cut expected contrails by 50%.

While sustainable transportation alternatives aren’t without their challenges, the combined might of innovation, determination, and technological advances like AI paints a hopeful picture for a greener future. 

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In recent days, two major environmental events have captured our attention. On the one hand, we have the devastating wildfires that ravaged a community in Hawaii, and on the other, we witnessed a landmark ruling in a climate case from Montana, which could potentially pave the way for future climate-related lawsuits.

Hawaii’s heartbreaking wildfire disaster

The alarming news of wildfires in Hawaii has been distressing to say the least. The fact that the fires claimed over 100 lives (a number that’s sure to climb) is deeply saddening, and our hearts go out to everyone affected. For many, it’s hard to fathom how a vibrant island like Hawaii, surrounded by water, could fall victim to such a disaster.

So, what’s causing these infernos in the middle of the Pacific Ocean? The current state of affairs has been years in the making. Over the past three decades, Hawaii has seen declining rainfall, reduced cloud cover due to soaring temperatures, and changing storm patterns. Sadly, all these shifts are linked to climate change, which resulted in the arid conditions that fuel wildfires. The region’s drought conditions cause temperatures to rise, and with less moisture to absorb the heat, it further dries out the landscape, and creates a vicious cycle. And while Hurricane Dora may not have directly hit Hawaii, its strong gusts exacerbated the wildfire situation.

It’s a chilling reminder that multiple climate events can, and often do, impact one another, leading to catastrophic outcomes.

The landmark Montana climate case

Shifting our focus to Montana, a significant legal development promises to be a beacon of hope for the climate movement. In the lawsuit, “Held v. State of Montana,” young plaintiffs have achieved a monumental win.

For those unfamiliar, the case revolved around young activists challenging the state. They asserted that by overlooking climate change in their fossil fuel projects, Montana infringed upon their constitutional right to a clean and healthful environment. The verdict? The judge ruled in favor of the plaintiffs, deeming Montana’s approval of such projects without climate change considerations unconstitutional.

This groundbreaking decision isn’t just a victory for Montana. It establishes a powerful precedent for similar cases nationwide. The ruling solidifies the long-held understanding that climate change is a manufactured, human-created issue, and its repercussions directly influence individual lives. Importantly, it fortifies the legal framework for citizens, especially younger generations, to champion their rights and the future of our planet.

– Federal rule to protect workers from extreme heat: President Biden announced a rule to protect 36 million outdoor and partially indoor workers. The rule requires employers to implement Heat Injury and Illness Prevention Plans with measures like water provision, rest breaks, and shaded areas. Implementation faces delays and legal challenges, especially in Texas and Florida.

–Impact of Hurricane Beryl: Hurricane Beryl, which hit Texas as a Category 1 storm after devastating Jamaica and Mexico, set records for rapid intensification and highlighted climate risks– underscoring the need for businesses to invest in resilience and prepare for disruptions from extreme weather events.

A permitting predicament

States like California and New York, heralded for their ambitious climate policies, might not meet their 2030 climate targets. Why? It’s not a lack of planning or policies but rather the tortuous pace of state permitting. 

Ambitious goals, bureaucratic hurdles

Both states have set ambitious targets, including plans to ban new natural gas lines and end the sale of combustion engine cars by 2030. But one question begs to be asked: How can states with such robust environmental intentions fall short in streamlining bureaucratic processes?

But the fact remains: Permitting is essential. It serves as a protective measure, ensuring that projects undergo environmental impact assessments, adhere to existing regulations, and factor in community concerns. In permitting, you can’t differentiate renewable energy projects from conventional fossil fuel-based ones. The challenge is balancing swift renewable energy development without compromising environmental standards.

A path forward?

Addressing the bottleneck of permit approval without neglecting environmental diligence is indeed challenging. Could specialized permitting teams be trained in renewable energy projects to ensure speed and compliance? Maybe. On the state level, there are initiatives aiming to reform this process. Governor Newsom’s proposed bill seeks to reduce litigation delays, streamline review processes, and make considerations for projects in areas with endangered species.

Striking the right balance

What about environmental justice and equity? It’s crucial that permitting reforms don’t disproportionately impact vulnerable communities. History has shown us the detrimental impacts of situating power plants and waste processing factories in low-income areas, so it’s critical to ensure that localities not only bear the burden but also reap the benefits of these projects.

The under appreciated aspect of the energy transition

While technology and R&D often get the majority of the limelight when it comes to the energy transition, practical implementation is just as important. Permitting might not be the most exciting topic, but it’s critical to achieving our decarbonization goals.

In a world racing against time to mitigate climate change impacts, these types of discussions shed light on the intricacies of the journey. As we strive for a more sustainable future, these tedious details could make all the difference.

Impact of climate change and the role of El Niño

The globe is currently experiencing the ramifications of climate change as we endure soaring temperatures and severe weather patterns during the summer of 2023. Torrential rains have triggered floods and landslides in Korea, Japan, and the northeastern United States. Meanwhile, heatwaves have swept through the Mediterranean, Mexico, China, and the Southern United States. July has been logged as the most sweltering month on record, shaped by anthropogenic climate change and the influence of El Niño, which is predicted to carry over into the winter, indicating another scorching summer for the subsequent year. This climate shift has also damaged marine ecosystems, with considerable bleaching events noted in coral reefs due to increased sea surface temperatures.

Impact on the oil and gas industry

Rising global temperatures have unexpectedly led to the shutdown of oil refineries in oil-rich regions like Texas and Louisiana. The infrastructure, built under normal climatic conditions, struggles to withstand the current heat extremes. The irony lies in fossil fuel production equipment's inability to endure the warming temperatures they have helped cause. The aging and deteriorating oil and gas infrastructure has accentuated the need for renewable energy technologies. These newer systems, designed with a warming climate in mind, seem to be a more sensible investment for the future. A broader solution to combat climate change is seen in transformative decarbonization efforts.

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There’s been a new surge of ambitious supply chain decarbonization efforts led by heavyweight companies like Amazon, SAP, and others. The reason? It’s likely that the looming SEC climate disclosure rule, now expected in October, has catalyzed action. Businesses are looking to stay ahead of the—again, potential—regulatory mandates and tackle the thorny issue of scope 3 emissions—those tied to supply chains, typically representing 80-90% of a company’s carbon footprint. Large-scale firms are setting the stage, choosing to tackle greenwashing head-on and truly drive climate action with stringent sustainability requirements for their suppliers.

Amazon’s recent sustainability report notably expands its decarbonization ambitions into the supplier realm. By 2024, Amazon suppliers must disclose their carbon emissions and reduction goals—an unequivocal push toward its 2040 net-zero goal. Seeing initiatives leap out of the retail sector into fresh terrains—such as software and tech, with SAP’s supply chain engagement program—means companies across sectors are finally doing something. 

The newfound bid for ESG excellence includes greenhouse gas reductions from critical suppliers. What’s intriguing here are the market forces driving significant changes across the value chain. Transparency and detailed emissions reportingare rapidly becoming the norm, as retailers expect suppliers to align their efforts with customer expectations and goals. It’s a wave of change that’s set to ripple through the business ecosystem, influencing carbon reporting and ultimately driving a more sustainable future.

The summer in the Northern Hemisphere has seen record-breaking heat waves. The stifling heat has served as a reminder of the harsh realities of the effects of climate change. The first week of July was the hottest ever recorded, with temperatures surpassing 110°F in Europe, while Phoenix, Arizona experienced its twentieth day of temperatures above 110°F. As the heat wave persists, concerns about health impacts and strains on the power grid continue to grow, exemplified by a recent study that examines the potential effects of a power outage during a five-day heat wave in Phoenix. 

The mechanisms behind heat waves start with a high-pressure system that forces air to sink and heat up, which then gets trapped. Climate change enhances this effect by increasing overall heat in the atmosphere and reducing moisture on the ground that would typically absorb some of the heat. The current El Niño cycle’s impact—warmer Pacific Ocean surface water—has also contributed to the ongoing heatwave as the warmer ocean decreases heat absorption.

The worrying forecasts so far in 2023 show that we’re poised to break the heat records of 2016, and there’s a strong possibility of 2024 surpassing this year’s records as the El Niño cycle plays out. However, amidst the dire circumstances, we’re still optimistic about the promising potential that lies in mitigation strategies. For example, we’re bullish on more urban trees and increasing solar energy utilization to help bring down temperatures in the long term—especially in places like Arizona, where there’s massive potential to maximize the use of solar power year-round.