Towards a Net-Zero World – Collaborative Opportunities for a Sustainable Future

Reports from the World Meteorological Organization (WMO) and the Intergovernmental Panel on Climate Change (IPCC) confirm that in 2023 the annual average global temperature rose by 1.45º Celsius above the pre-industrial baseline. Moreover, scientists anticipate that without effective action to reduce greenhouse gas (GHG) emissions – levels of which were at a new high in 2023 – the end of the century will see this increase in temperature reach between 2.5ºC and 4.5ºC.

What do these figures mean for the world? The United Nations (UN) Food and Agriculture Organization reports that around 733 million people (9.2 percent of the global population) were undernourished in 2023, making prospects “increasingly grim” for achieving ‘Zero Hunger’ goals set for 2030. Such is its bearing on food production and supply, a failure to curb rising global temperatures will further exacerbate these already-appalling levels of hunger.  As Martina Igini has stated on Earth.org, “Food security and climate change are … deeply connected, with the latter being a threat multiplier for undernourished people and accounting for one of the biggest causes of food insecurity.” 

A subsequent rise in global temperatures will inevitably have a ruinous effect on many of the crops on which the global food supply is dependent. For example, a study by NASA predicts that a rise in temperature of 3.0ºC by 2070 will likely see corn (maize) yields decline by 24%. Furthermore, the combined effect on the world’s oceans of deoxygenation (resulting from warmer waters) and acidification (primarily caused by CO2 emissions) is expected to be catastrophic for marine animal populations, which are presently on course to decline by as much as 0.8%-15% before the end of the century. Such ramifications for staple crops and sources of vital animal protein would be liable to result in soaring levels of undernourishment, child wasting and infant mortality. 

This bleak outlook is also evident in the latest Sustainable Development Goals (SDG) Report, which provides an overview of progress made in 2024 towards realizing the 17 goals set by the UN for 2030 (of which climate change is a critical area, along with food security and economic growth). It reveals that only 17 percent of the assessable targets underpinning the SDGs are on track. Meanwhile, 18 percent have stagnated and most worryingly, progress towards 17 percent of the targets has regressed to below their 2015 baselines. 

The likely consequences of continued failure by the international community to take urgent action will be social, economic, and environmental catastrophes with repercussions passed down to multiple succeeding generations.

When it was signed by 196 states in 2016, the Paris Agreement was a landmark in international efforts to address global warming. It provided a clear and legally binding framework assigning responsibilities commensurate to each state’s varying capabilities. Every signatory was expected to declare the reduction of greenhouse gas emission a ‘national mission’ and to make Nationally Determined Contributions (NDCs) that would collectively achieve Net-Zero emissions by 2050. In turn this would limit the rise in global temperatures to within 1.5ºC. 

Additionally, the United Nations made climate action one of its five Forward Faster priorities, and it has been designated a key topic at next month’s World Economic Forum Annual Meeting in Davos. All such actions are indicative of an urgency and importance that marks this as not only a national-level issue but a critical global mission.  Here is an overview of the key challenges ahead of us and some proposed approaches to addressing them:

Decarbonization

The overriding challenge facing us presently is that limitations to current technology are restricting its capacity to reduce carbon emissions to just 66% of the extent necessary for achieving Net-Zero status. This means that decarbonization – the process of reducing or eliminating carbon dioxide (CO2) and other greenhouse gas emissions caused by human activity – has been elevated to paramount importance, not least for businesses with relevant resources, knowledge, and personnel.

Technological Solutions

Technology has a pivotal role to play in addressing this, and it is encouraging to see that in many sectors solutions to these challenges are beginning to emerge. There are five key technological areas that will prove crucial for effective decarbonization in the future:

1. Green Hydrogen: Hydrogen produced using clean energy, especially solar or wind power, with minimal or no greenhouse gas emissions.

2. Carbon Capture, Utilization, and Storage (CCUS): A process designed to reduce carbon dioxide emissions in human activity, such as burning fossil fuels in various industries.

3. Artificial Intelligence: AI has many valuable applications in this context, such as smart grids, route optimization for transportation, and precision farming.

4. Nuclear Energy: Distinct from other fossil fuels as a means of power generation due to being free from greenhouse gas emission, its capability to meet electricity demand during the period of transition towards clean, renewable energy will provide vital stability.

5. Gene Modification: Developing crops that absorb carbon and nitrogen from the air, reducing fertilizer and chemical usage, minimizing cultivation areas, creating bioenergy, and enhancing nutritional value.

Of the five, nuclear energy and green hydrogen represent solutions that are particularly promising. While historically stigmatized due to its association with warfare, nuclear energy is viewed today as an energy source crucial for achieving Net Zero. It is a technology worthy of further study and development.

The Science Based Targets initiative (SBTi) provides organizations with mechanisms for setting goals for greenhouse gas reduction that are grounded in climate science. This includes consideration of prerequisites for achieving Net-Zero status including tripled usage of clean energy and a doubling of energy efficiency.

Global Corporate Efforts

Many leading global businesses have set corporate Net-Zero targets. For example:

•    Alphabet Google plans to be Net Zero by 2030.

•    Amazon and Walmart have targeted this for 2040.

•    Bayer and Nestlé aim to achieve this by 2050.

Various approaches are being deployed by companies towards meeting their sustainability targets, such as purchasing nuclear-generated electricity, requiring suppliers to use clean energy, and the adoption of packaging made from 100% recycled materials.

CP Group’s Commitment

Charoen Pokphand Group (CP) aims to be Net Zero by 2050. The Group reduced its CO2 emissions by 0.6 million tons in 2023, marking a significant achievement. CP continues to reduce its direct (Scope 1) and indirect (Scope 2) greenhouse gas emissions, with annual reduction targets over the next three years set as follows:

•    2025: 4.02m tons

•    2026: 3.41m tons

•    2027: 2.81m tons

The ultimate goal is to reduce emissions to 1.0m tons by 2030.

CP Group has increased its usage of renewable energy to 50% of total energy consumption and it has improved its energy efficiency by 20%. Supporting initiatives include the following reforestation and marine sustainability projects:

•    Ping-Wang-Yom-Nan Watershed Reforestation Project: Launched in 2016, this project restored 11,988 rai (1,918 hectares) of forest, benefiting 3,648 farmers and supporting to turn forests into digital assets that generate income for conservation efforts.

•    SEACOSYSTEM Project: Initiated in 2017, this marine conservation project has released 9.12 billion juvenile marine animals into the seas, increasing local fishermen’s catches by 125% and ensuring the sustainability of marine and coastal ecosystems.

Further Challenges and Goals

To achieve sustainability by 2030, CP Group faces significant challenges, particularly in reducing Scope 3 emissions (indirect emissions from the value chain). Key goals include:

•    25% Reduction of Carbon Emissions by Partners: Installing solar power systems for suppliers through Power Purchase Agreements and reducing product carbon footprints with clear labeling.

•    30% Reduction of Agricultural Emissions: Encouraging farmers to adopt water-efficient practices, such as alternate wetting and drying for rice cultivation, and reducing emissions from 3.5 million rai (560,000 hectares) of crops.

•    25% Reduction of Transport Emissions: Transitioning to electric or hydrogen-powered trucks and enhancing logistics management systems.

CP Group also aims to develop future technologies such as Small Modular Reactors (SMRs), green hydrogen, and CCUS systems.

There remains much to be done if Net Zero is to be achieved, but collective action – through a wide range of collaborative relationships, from corporate and public-private partnerships to international treaties – will produce a new economy that spans all sectors while staying grounded in the adoption of sustainable practice. 

Economic, social, and environmental considerations are inseparable, and businesses need to lead by example, inspiring governments, partners, competitors, employees, customers, and all stakeholders alike to embrace sustainable ways of living. By integrating economic growth with environmental responsibility, it remains possible we will be in a position to pass down to future generations the legacy of a prosperous and sustainable future.