Corporate Climate Action Accelerates in 2022 with Sharp Increase in Companies Adopting Science-Based Targets
Corporate climate action has gained significant momentum in 2022, with a remarkable 87% increase in companies adopting science-based targets, according to the Supplier LOCT Impact Report by Guidehouse. The report highlights that a total of 850 supplier companies have actively participated in climate action efforts, with 150 of them committing to or already setting science-based targets.
The Supplier LOCT initiative, which fosters a pre-competitive alliance spanning across various sectors, has played a pivotal role in driving industry-wide sustainability initiatives. This collaborative effort is vital as companies aim to mitigate climate risks and position themselves favorably in a decarbonized future, as stated by Laura Draucker, Director of Climate and Energy at Ceres.
The Supplier LOCT program, designed to leverage the influence of brands, acts as an educational and support platform for suppliers in managing climate-related challenges. Guidehouse, a leading consultancy firm, has reported impressive progress achieved by over 850 supplier companies through Supplier LOCT. This partnership extends an invitation to suppliers to participate in an online climate learning journey, facilitating knowledge sharing and capacity building.
Over the years, Guidehouse has successfully guided more than 3,000 supply chain professionals through informative seminars and workshops. These sessions cover crucial topics such as measuring and reducing greenhouse gas emissions, developing robust GHG programs, setting science-based targets, and creating comprehensive abatement plans. Additionally, the program provides guidance on disclosure to CDP (formerly Carbon Disclosure Project) and future curriculum related to clean energy and land use target requirements from SBTi (Science Based Targets initiative).
Supplier LOCT is playing a transformative role in translating climate action promises into tangible results, effectively uniting diverse sectors including consumer-packaged goods, fashion, hospitality, and entertainment. With the active involvement of globally renowned nonprofit leaders, the initiative is becoming a prominent driving force behind sustained climate action efforts.
As the world grapples with the urgency to address climate change, the rise in corporate adoption of science-based targets is an encouraging sign. The partnership between Guidehouse and Supplier LOCT demonstrates that collaborative action, fueled by education and support, can accelerate progress and pave the way toward a sustainable future.
Analyst comment
Positive news: Corporate Climate Action Accelerates in 2022 with Sharp Increase in Companies Adopting Science-Based Targets.
As an analyst, I predict that the market will see a growing demand for sustainable and climate-friendly products/services. Companies adopting science-based targets will likely attract more consumers, investors, and government support, leading to potential market growth and opportunities.
