Climate transition plans set the course for creating real impact and long-term resilience of your business and the planet. For businesses, having a climate transition plan in place is becoming increasingly important. First and foremost, the state of our climate demands this type of action. The times of just setting lofty goals without a way to achieve them is over. In addition, there are various stakeholders who are increasingly asking for it: investors and shareholders, employees, NGO's, customers and last but not least regulators in the EU, UK and, to some extend, in the US.
A climate transition plan is a time-bound action plan that lays out how and by when an organization will pivot its business existing assets, operations, and business model toward keeping global temperatures to a 1.5°C scenario. In other words, it details how and by when a company will arrive at net-zero emissions. As defined by the Science Based Targets Initiative, 'net-zero' means reducing emissions by 90% and neutralizing the remaining 10% through permanent removal and storage.
There is no one single way in which a climate transition plan can be established. At a minimum though, it should include elements on governance, risk management, GHG emissions reductions strategy, targets and metrics. There are many great resources and templates available. This article by Trellis provides a helpful list in addition to other useful insights on climate transition plans.
An excellent example of a(n) (inaugural) climate transition plan was just published by Levis Strauss & Co.
Figure 1. High level overview of Levis Strauss & Co's climate transition plan.
Sources
Wenzel, E. (2024, November 11). Why businesses need climate transition plans more than ever — and how to get started. Trellis Group.
Levis Strauss & Co. (2024, October). A Strategy for Change. Levis Strauss & Co. Climate Transition Plan.
Picture: Dry Dead Trees, Wix
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