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Study: Only 25% of Businesses Ready for Impending Carbon Regulations

Study: Only 25% of Businesses Ready for Impending Carbon Regulations

The call to prepare for ESG and sustainability reporting is growing louder every day. Despite this call, many companies say they're not ready to meet compliance mandates. What does this mean for the future of reporting in your business operations?

Regulations Coming, but Companies Not Prepared

A recent study conducted by Bain & Company reports a concerning trend: just 24% of companies consider themselves equipped to comply with the impending regulations on decarbonization.

The study, which compiled responses from over 300 top-level executives, underscored digital technology's crucial role in moving toward and achieving decarbonization goals. 90% of executives recognized the strategic role of digital technology in decarbonization. Despite this, many companies have yet to put the required resources in place to begin pursuing these plans.

Governments Moving Fast in Adopting Mandates and Regulations

As governmental regulations worldwide are moving quickly to tighten emissions requirements, companies are expected to adjust accordingly.

For instance, the introduction of the EU's Corporate Decarbonization Reporting Directive expects corporate entities to report their greenhouse gas emissions by 2025. (It's important to note that 2025 is only eight months away at the time of this blog’s publication.)

Meanwhile in California, companies will be required to submit detailed emissions reports by multiple specified dates based on specifics. It is likely more regulatory restrictions and enforcement will come as well.

Technology as a Focal Point in Decarbonizing

The need for robust tech-based solutions is apparent, given that a considerable portion of a company's emissions can be linked to enterprise technology.

Adopting and implementing technology to decrease environmental footprints, such as minimizing water usage in data centers and managing e-waste from consumer devices, are integral steps. Companies must reconcile their ambitions for decarbonization with their existing tech strategies to keep up with rapid regulatory movements.

Despite this call for change, only about a third of executives who have already developed sustainability goals say they have the necessary technology infrastructure already in place. What does this mean for companies that are not even at this stage yet?

The answer to this question comes in identifying opportunities within a business's value chain. If technology is the solution, your business must identify areas where decarbonization is possible. It's the only path forward to ensure you remain in compliance for the future.

A Crash Course in Decarbonization Planning

As several deadlines for reporting carbon emissions quickly approach, businesses are scrambling to understand the impact of mandates requiring a carbon reduction. This leads firms of all types into the low-carbon fuels and feedstocks marketplace, where ResourceWise provides award-winning insights, data, and analytics.

We have multiple options to aid you in your organizational shift to net-zero emissions and ESG/sustainability reporting.

ESG Reporting Guide

For those seeking help in the ever-changing realm of ESG reporting requirements, our A-to-Z Guide: ESG Reporting Landscape can help. The guide offers an essential launching pad for enterprises seeking to grasp and implement ESG principles.

The comprehensive look into reporting enables businesses to conserve time and resources through a clear, straightforward look into ESG. It details critical ESG facets, including:

  • ESG Compliance Reporting
  • Financial Impact Materiality
  • Key Elements of Standards, Frameworks, and Principles, Investment and Performance
  • New ESG Trends
  • Strategies to Prepare Your Business for a Green Future

The guide gives you footing to orient your decarbonization planning. From there, you need the right data and ongoing insights to continue to move forward.

Read More: Getting to Know ResourceWise's New ESG A-Z Guide

Carbon Mitigator Report

Alongside our ESG Guide, ResourceWise’s Carbon Mitigator report equips companies with the tools to devise their personalized decarbonization strategies or evaluate investments into other companies’ low-carbon initiatives.

The report is a global pioneer in the data and insights it provides. Subscribers have access to renewable and synthetic low-carbon fuel insights and pricing data. This can help firms better understand two critical factors:

  1. How to identify and pursue decarbonization opportunities in the value chain.
  2. How to generate revenue within Europe and the US's road transport, marine, and aviation fuel markets.

The Carbon Mitigator evaluates the anticipated expense of producing innovative low-carbon fuels through avenues like HVO, municipal waste-to-fuel conversion, and hydrogen-centered e-fuels. It juxtaposes these costs against the incentives offered by major global market frameworks to boost such fuel production, simultaneously noting the ESG benefits and drawbacks of each method.

Simply stated, our pricing data on low-carbon fuels, feedstocks, and future fuels will help your business identify pathways for your carbon transition. Your business can use our insights to better understand current market movements. From there, you can make decisions on your own net-zero strategy with confidence.

Get ESG and Decarbonization Help with ResourceWise

If your business is behind on your decarbonization and ESG strategy, it's not too late. But it's paramount that you partner with an expert to move you in the right direction.

Join the rapidly expanding community of global subscribers leveraging the ESG A-to-Z Guide and Carbon Mitigator report to secure their footing in the energy transformation. As the ESG sphere changes in response to market realities, policy changes, and the influx of green investments, be a part of shaping this vital transition toward sustainability.

Learn more about the Carbon Mitigator and the ESG A-to-Z Guide, and download a preview by following the link below.