A survey covering 500+ organisations in the UK, Germany, and France, many governed by the EU & UK Emissions Trading Schemes, highlights varying approaches to decarbonisation and strategic planning from the industries responsible for the highest levels of carbon emissions on the continent.
The report ‘Decarbonising the Future: Navigating ETS Reforms and Net Zero Solutions’, commissioned by energy and environmental solutions provider CFP Energy, includes results gathered from CFOs and senior risk management professionals operating across the aviation, shipping & construction, data centre and manufacturing sectors.
The results show marked disparities between British, French and German businesses when it comes to their decarbonisation strategies and readiness for changes in carbon regulations
The findings represent a clear indication of how Europe’s private sectors, within its three largest economies, are approaching carbon markets and decarbonisation.
Tim Atkinson, Director for CFP Energy, said: “It’s encouraging to see many of the survey participants are planning for rises in future ETS carbon prices and taking advantage of the flexibility carbon markets offer to manage rising compliance costs, whilst technology challenges are addressed. It has never been more important for businesses to ensure they are prepared for the paradigm shift of tougher targets and higher carbon prices that is set to impact both the UK and EU Emissions Trading Schemes over the next 5-10 years.”
The findings show that:
- 68% of respondents said that the lack of available technology is hindering their decarbonisation efforts.
- 80% of UK respondents highlight a lack of technology as a barrier to decarbonisation.
- UK businesses see carbon capture as the least effective way to decarbonise compared to other technologies and products.
Catherine Newman, Chief Operating Officer at CFP Energy, continued:
“In the survey results, and within our own client-base, we see strong uptake of PPAs, Green Certificates, Voluntary Carbon Credits and biofuels across Europe, which is an encouraging sign but there are still significant gaps in knowledge across the industries that we have surveyed.”
“What is most interesting is the barriers that industry stakeholders attribute to holding their respective sectors back. Between funding issues, regulations, knowledge gaps and a lack of technology, large-scale organisations face a mountain of issues to overcome.”
“We hope this report provides business leaders with actionable solutions to tackle decarbonisation amidst volatile conditions. The solutions to decarbonise exist, we simply need to provide better access to them.”
The results have published during COP29, where the most recently agreed standards for carbon credit project creation and assessment, and greenhouse gas removal are being negotiated and announced.
The findings provide media attendees, industry stakeholders and policymakers with clear indications of where the priorities of the largest carbon emitters in Europe and the UK lie, when it comes to carbon markets, decarbonisation and net zero.
Access the full report here.
