Emissions trading forms an important part of a systematic carbon-neutral strategy implemented through the following stepped process
- Assess your position: determine types and amounts of emissions being created
- Create a carbon footprint of your organisation (Data collection, consolidation, inventory analysis and emissions reporting)
- Understand risks and opportunities: determine the risks associated with emissions produced by the company, and the opportunities available to achieve competitive advantage through emissions reduction
- Evaluate options: what are the options for reducing greenhouse emissions and how do we prioritise them?
- Undertake a facilitated risk assessment and management process tailored to your organisation (risk identification, assessment, management and treatment)
- Establish business case for reducing emissions (e.g. responding to future emissions trading schemes, improving branding, employee retention)
- Set goals and targets: determine what kinds of targets should be set in place, and decide how these targets fit back into business strategy
- Set reduction goals and targets based on the strategy
- Develop action plans and programs for implementation (focus on the immediate efficiency gains first)
- Use financial mechanisms: determine the financial mechanisms the organisation should implement and in which they should participate e.g. carbon pricing, emissions trading
- Determine feasibility of internal and external emissions trading mechanisms
- Investigate potential impact of a future carbon tax
- Engage the organisation: Get buy-in from across the company; engage senior-level leadership.
- Educational briefings (senior level) and workshops (middle-management) on the risks and opportunities, emissions reduction options, carbon neutral strategy, goals and targets
- Devise policy strategy: determine how climate change-related policy will affect the company now and in the future; investigate how the company can inform policy
- Manage external relations: Communicate to and engage with key stakeholders (e.g. Carbon Disclosure Report)
- Develop and implement stakeholder engagement strategy
- Develop and implement communications, marketing and engagement strategy around carbon neutral strategy
For more information on Sustainable Business Practices’ integrated suite of corporate climate change risk management services, click here .
Links of Interest
