If the world's largest companies honour their commitments to mitigate climate change, they will work together to reduce emissions equivalent to that of Germany.
After an ominous report by the Intergovernmental Panel on Climate Change, businesses promised to get attention again this week. According to the report, government policies alone cannot ensure the "unprecedented" social changes needed to halt climate change in the next decade.
This makes it incumbent on the business sector to clean up the chaos it helps create.
To a greater extent than ever before, the best interests of many enterprises and global enterprises are the same.
Andrew Steer, chairman of the World Resources Institute, said: "We are no longer saying,'It's good, but it pays the price', but saying,'If we don't do it, we won't be able to grow and we won't have the economy of tomorrow'. "
"Business leaders, they realize that.
As Feike Sijbesma, chief executive of Royal DSM, put it, "We need to prove our future. "
The report says the global temperature rise will be kept at 1.
Above Pre 5 degrees Celsius-
Paris Climate Agreement-
This will require a new industry to eliminate carbon emissions in the air and major overhauls of the huge energy infrastructure that has been built for more than a century.
Historically, enterprises have been conspirators of the world's climate problems.
An analysis shows that half of global emissions since 1988 can be traced back to 25 private and state sources. -
Ownership of fossil fuel companies.
Many lobbied against policies to limit the greenhouse effect-gas emissions.
They do so both directly and through the support of groups that are sceptical of climate change.
However, the way business leaders talk about climate change has changed dramatically recently.
"Some of my investors and banks asked me what you wanted to do: improve the world or make money, and I said,'OK, both.
"With trillions of dollars in risk, companies have moved forward to create sustainable businesses.
They are taking steps to reduce their carbon footprint and overhaul supply chains in response to rising ocean and temperature competition.
Others are trying to come up with the ultimate goal: how to extract carbon dioxide from the air and use or store it.
From Apple to Wal-Mart, from IKEA to Google, dozens of companies have begun to accept renewable energy.
UPS is turning to electric vehicles.
Good City installs solar energy systems at the top of its at least 100 warehouses, and some use solar energy in parking lots.
In 2017, Google offset all electricity in its offices and data centers by adding renewable energy to the grid.
Some of the biggest changes come from things that companies don't do.
HSBC, Europe's largest bank, stopped funding new coal-fired power plants, oil sands development and Arctic drilling this year and joined a growing number of investors and lenders to avoid ambitious fossil fuel projects.
The real pace is expensive. The U. N.
Reported that hit 1.
The target of 5 degrees Celsius costs an average of $3.
By 2050, $5 trillion a year-
Nearly $1 trillion more per year than the Paris government's commitment in 2015.
Most of the money will come from the private sector.
Analysts at Bloomberg New Energy Finance estimate that global investment in "clean energy" amounts to $138.
The first six months of 2018 were 2 billion, down 1% from the same period in 2017.
This decline reflects the lower capital cost of photovoltaic projects and the lower installation cost per megawatt. and a cooling-
The company said it was in the boom of China's solar industry.
Consumer demand and employee expectations are driving some investments.
In many cases, companies find that their own customers and employees prefer to buy and work for companies dealing with climate problems.
Moreover, climate change may be cheaper as renewable energy prices continue to fall. -
For example, Wal-Mart has installed more than one.
5 million energy sources-
The company said that in more than 6,000 stores, parking lots, distribution centers and corporate offices in 10 countries, efficient LED lighting has reduced lighting costs by hundreds of millions of dollars over the past decade.
Wal-Mart has also surpassed its goal of doubling truck transport efficiency by 2015.
In partnership with equipment manufacturers and other companies, the retail giant saved nearly $1 billion in 2015 and avoided nearly 650,000 tons of carbon dioxide emissions compared with 2005.
Many of the country's largest utilities have found that they can earn more by reducing sales, especially when public service committees can guarantee their health returns. New Jersey-
PSEG, one of the largest utilities in the United States, released a 6-year plan last month. -year $4.
Billion Climate Program-
One third of the money is spent on improving energy efficiency.
Another $300 million will be spent on 40,000 electric vehicle charging stations.
At the end of 2017, there were only 517 public charging stations in New Jersey.
Ralph Izzo, chief executive of PSEG, said: "I really believe that although we have paid due attention to solar and wind energy, we should pay more attention to energy efficiency. "
Izo, a well-trained physicist, said it was time for action because the carbon dioxide already in the atmosphere would not dissipate for centuries.
"We need to step up the game," he said. "That's what we're going to do.
"Major Oil Companies in the World-
Including BP, Shell and Daudal-
They each raised $100 million to set up a fund called the Petroleum and Gas Climate Initiative, which invests in small companies committed to cutting emissions dramatically.
ExxonMobil and Chevron recently joined the group.
This figure dwarfs the commitment of large oil companies to oil and gas: for example, less than $100 million in capital expenditure by Royal Dutch Shell for less than two days.
"We can't continue this capitalist. -
Erich Pica, head of Friends of the Earth, said: "Push forward the carbon boom and hope that voluntary action can solve the climate crisis. "
"The fossil fuel industry cannot get out of this predicament. -
This problem was created by throwing coins at small projects to save their public image.
Nevertheless, Pratima Rangarajan, CEO of the Oil and Gas Climate Initiative, said the money was the start and way for big companies to find useful technologies.
The fund has been invested in Clark Valve, Inc. -
Founder Kyle Daniels said that if his company's valves were installed in natural gas wells, they could intercept 50% of the leaked methane, a strong greenhouse gas.
Larry Fromm, executive vice president of Achates Power, said his company had solved how to increase the efficiency of internal combustion engines by 30% to 50%.
He said Achates put one of its engines on a Ford 150 pickup truck, which was the best in the country. -
Selling cars, it has the same fuel efficiency as Honda Accord.
Fromm says Aht has licensed its technology to the United States. S.
The army and ten car manufacturers.
It's not easy to figure out what all this adds up to.
But researchers are looking for some answers.
According to Angel Hsu of the guidance data, the current commitment of power production and use companies could lead to a reduction of carbon dioxide equivalent emissions by 570 million tons to 935 million tons by 2030. -Driven Yale.
By contrast, Germany, Europe's largest emitter, emitted 935 million tons in 2016.
But the potential is much greater.
The HSU estimates that if major business initiatives to reduce emissions continue to recruit major businesses, there could be more than 1 billion tons of additional revenue by 2030.
Not every company can go straight ahead.
Chocolate giant Mars said it would reduce emissions by 27% by 2025 compared with 2015 and 67% by 2050.
But last year the company's greenhouse gas emissions increased slightly, as a result of growth in some business sectors.
Even in companies that recognize climate change, uncertainty is the basis for many major issues: how bad is the insurance industry built on?
However, Hurricane Katrina caused $125 billion in economic losses in 2005, and three major hurricanes last year caused $213 billion in economic losses.
Ernst Rauch, chief climate scientist at Munich Re, an insurance giant, said: "Usually insurance companies refer to historical data and assume that the recent situation is the same or similar as in the past. "
"This is not the case with regard to climate change.
"In some cases, insurance becomes more expensive for businesses and homeowners close to the coastline or floodplains.
But big insurance companies also have new opportunities to provide insurance for real estate that suddenly responds to growing climate risks.
The founder of Kepos Capital, a hedge fund, has been calculating odds and building complex models for investors throughout his career.
In the fund world, he is known as a "quantitative investor".
But recently, Littman was forced to leave his comfort zone.
Investors have been asking about climate change.
"Many investors want to understand the impact of a low-carbon economy," he said.
It's hard to quantify.
They fear, he adds, that major climate change "may be much faster than expected.
"If you look at it from a risk perspective-
From the management's point of view, you see the worst-
The plot of the case, "Littman said. "And the worst-
The plot of the case is really terrible.
To avoid this outcome, WRI's Steeler says, corporate and government resources need to be mobilized.
"What's great? [companies]
"But we also need government.
It can be said that they are two blades of a pair of scissors.
Only one is meaningless.