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Why Net-Zero Goal is important for Tech Companies

Importance of Net-zero for tech companies

What is Net-zero Goal?

Net- Zero Goal is the international agreement to prevent the worst climate damages and global net human-caused emissions of carbon dioxide. Global warming is proportional to cumulative carbon emission, which means that the planet will keep on heating for as long as global emission remains more than zero. It implies that climate damages caused by global heating will continue escalation for as long as emissions continue.   

Why are companies turning to Net- Zero Goal?

“The strongest net-zero targets, like the one set by Microsoft, go beyond a company’s operations and address its broader impacts on climate and society,” said a BNEF analyst who focuses on corporate sustainability, Kyle Harrison.   

When carbon refers to balancing out the total emission, net-zero carbon means no carbon was released from the get go, so no carbon needs to be capture. For example, a company’s building run entirely on solar and using zero fossil fuels can label its energy as “zero carbon.”    

Net Zero Goal will create millions of new jobs, lift the global economic growth GEG, and achieve access to electricity and clean cooking worldwide by the end of the decade. Most of the reductions in carbon emissions through 2030 come from technologies already in the market today. That is why lots of companies are turning to the net-zero goal.   

How does a company achieve net zero emissions?

Achieving the net-zero goal requires you to balance the number of greenhouse gases you release with the amount you remove. Net-zero does not mean you produce zero emissions, but it means you to lower your carbon emission enough that they are no longer contributing to climate change.     

More organizations are setting up climate goals, such as net-zero, carbon neutrality, or goals approved by the Science Based Targets initiative to address the climate crisis. But the commitment to reach net-zero emissions and executing climate goals are two very different things.    

  • Business Strategy Integration- Like any critical business initiative, an organization’s decarbonization efforts should be fully integrated into its existing business strategy.    
  • Operational reductions – Operational reduction is an organization’s action to address its emission from activities such as electricity purchased to operate office and manufacturing facilities and direct burning of fossil fuel.   
  • Value chain reductions – Value chain emissions derive from sources outside your organizations’ operational boundary but still within your scope of influence. More specifically, supply chain emissions within the value chain commonly represent the most significant share of a company’s emissions footprint.   

Big Tech Companies Look to Clean Energy

According to Lux Research, most prominent IT companies have set goals of becoming carbon neutral by 2030. To reach the goal, the sector will need to add a minimum of 40 gigawatts of renewable energy generation capacity, 20 GW of nuclear, or 30 GW of mixed, in the next nine years.   

Out of companies like Amazon, Google, Microsoft, Facebook, and Apple, only Microsoft wants to become carbon negative and even remove all its past carbon emissions from the atmosphere. It’s established a $1 billion investment fund to achieve this, but there are no substantial investments yet.  

We at iSmile Technologies also set the goal to improve environmental performance and pledged to reduce carbon footprints.  

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