Can we really meet our climate goals when every company plans to grow and there’s no real requirement to set emission targets?
IFRS S2 only requires companies to disclose a target if they have set one. Even in Europe, the rules stop short. Under ESRS (European Sustainability Reporting Standards), a company without an emission target only has to explain how it tracks progress without one.
The reality is that many companies haven’t set reduction targets yet, and those that have are often not on track to meet them. And I was asking myself: in what other part of the business would we try to achieve something without setting a target?
What needs to change?
In this paper, I share some thoughts on:
Where companies stand on emission targets today
The incentives of setting emission targets
How to set emission targets that are ambitious and achievable
How to connect emission targets with the financial forecast and the business reality
If you’re trying to make sense of sustainability accounting in your company, I hope this gives you a useful starting point!
Reach out if you’d like to talk about how to embed sustainability into your strategy!
When growth meets your emission targets: how to stay on track