As both government regulations and voluntary emissions reductions programs are constantly in flux, it would be wise to stay ahead of the curve.
And according to the market-leader in climate risk, adaptation and energy management for business and government, Energetics, decarbonising Australia’s electricity sector alone won’t curb the country’s rising emissions.
Sectors such as transport, stationary energy (including domestic heating, manufacturing and construction) and agriculture need to keep up with emissions reductions, without relying purely on offsets.
Sally Cook, head of strategy, told The Green List that businesses need to have a solid plan in place to decarbonise their company operations, and only consider offsets as a last resort.
“We’re advising clients to expect volatility.”
Energetics is a climate and energy risk management consultancy that focuses on helping commercial clients move towards a net zero future. The consultancy helps companies improve their climate resilience, policy, strategy, adaptation, and energy transition.
Handling mostly large, global, AFX-listed organisations in the private sector, the consultancy has clients ranging from private equity firms, asset managers, big banks, and government.
“Large businesses have the challenge of having a larger emissions inventory to decarbonise.”
Sally says that with a recent change in government and commitment to stronger national emissions targets, companies in emissions intensive industries need to pay attention to the details.
In the past couple of years, Sally has seen demand for services significantly increase.
“We’re seeing a lot more companies interested in aspects of climate-related strategy in particular, responding to things like the Task Force on Climate-Related Financial Disclosures (TCFD) with greater sophistication. There is more interest in the way clients are thinking about these issues, and more sensitivity to the need to invest in this area than previous years. There’s been a turning point in the Australian business conscience on the way we consider and plan for climate impacts.”
“There’s been a turning point in the Australian business conscience on the way we consider and plan for climate impacts.”
“Five to 10 years ago, the focus was heavily on compliance, efficiency, and energy. It was data driven, and client driven. But sophistication has increased now with companies’ strategic response and business strategy going forward. There is more maturity in the way people think about climate as being business critical.
“Our clients are not doing it as a box-ticking exercise. They are genuinely invested in decarbonising and ensuring resilience to climate impacts. I think the pressure that investor groups are putting on companies in general means those who consider it as a box ticking exercise, won’t be able to for much longer. There’s a greater focus on how these companies respond to these risks. The time frame for them is shrinking.
“Our clients are not doing it as a box-ticking exercise. They are genuinely invested in decarbonising and ensuring resilience to climate impacts.”
“In the near future, we don’t see any of these issues going away. Demand for sustainability services will continue to increase. Greater attention on emissions and climate resilience means greater investment needs to be made by businesses doing this work.”
Demand for sustainability services will continue to increase. Greater attention on emissions and climate resilience means greater investment needs to be made by businesses doing this work.”
Thankfully there are now more consultants available to help them.
“In the past decade or so, the pool has been small – but now the pool of these professionals is growing a lot.”
Energetics is helping companies keep up with the fast-moving world of emissions reductions and climate resilience.