The number of big polluters setting targets to reduce carbon emissions has reached “critical mass”, according to a UN-backed report.
But firms in Asia, Africa and Latin America are lagging behind Europe, the US and Japan, according to the Science-Based Targets Initiative.
Separately, a report cast doubt on whether all oil companies can deliver on the carbon savings they promise.
Big oil companies rely on unproven technology, a think tank has said.
The Science-Based Targets Initiative advises companies on setting emission reduction targets in line with climate science.
It says goals have now been adopted by more than 2,000 companies worth $38 trillion in 70 countries and 15 industries.
The authors say that in the most polluting sectors, a critical mass of companies (27%) have joined the initiative.
They believe this could be a game changer as the polluting giants influence actions throughout the supply chain.
More than half of the companies setting targets are from the wealthy G7 countries, but there are also participants from China, India, Brazil, South Korea and South Africa.
Canada and Italy are lagging behind, the report says. And Africa and Asia need more participants.
The document says:
- Around 80% of the targets approved by companies in 2021 were aligned with the benchmark of limiting global temperature rise to 1.5°C compared to pre-industrial times.
- Between 2015 and 2020, the majority of companies with 1.5°C targets will cut emissions twice as fast as needed.
A separate report today urged caution on oil companies’ targets.
Think tank Carbon Tracker said oil and gas companies base their emissions targets either on the sale of polluting assets or on unproven or controversial technologies.
This includes carbon capture and storage (CCS) – or carbon offsetting, which may include planting trees to offset industrial emissions.
According to Carbon Tracker, investors should ask themselves whether companies’ goals are not only ambitious, but also credible.
Author Mike Coffin said: “Emission abatement technologies pose a huge risk to investors and the climate as most, like CCS, are in the early stages of development and solutions involving tree planting require huge areas of land.
“The costs will be enormous and it is not clear whether they are technically feasible or economically viable.”
The report ranks oil and gas companies. It says:
- Eni has the strongest policy, promising a 35 percent reduction in emissions by 2030 from the production and use of its products. But his plans include CCS and nature-based solutions like planting trees.
- bp fourth, but its position is expected to improve once it officially ends its Rosneft gas stake. CCS will be a “lever” for emission reductions.
- sleeve in fifth place and only promises to reduce the carbon intensity of its operations and the products it sells.
- Nine North American companies all have weaker policies than Europeans and only commit to reducing emissions intensity – a measure of carbon emissions per dollar earned.
- ExxonMobil has the weakest policy, the report says. It set a net-zero goal last year but didn’t say how it will get there.
However, the oil giant said it “has long acknowledged the reality and risks of climate change and has devoted significant resources to addressing those risks.”
“We announced our goal to achieve net-zero greenhouse gas emissions from operating assets by 2050. As part of this, we are developing detailed emission reduction roadmaps for large plants and facilities,” it said.
A Met Office report this week said new record global temperatures are expected again in the next few years.
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