According to the Intergovernmental Panel on Climate Change (IPCC) we must halve global greenhouse gas (GHG) emissions by 2030 and be carbon neutral by 2050 in order to avoid the catastrophic effects of climate change. In order to reduce our GHG emissions, it makes sense to first measure them because what gets measured, gets managed. Once a company has measured their carbon footprint, they can better understand where their “hotspots” are so they can effectively reduce their emissions. But, what should a company measure?
What are Scopes 1, 2 & 3?
In an effort to standardize GHG reporting, the GHG Protocol Corporate Accounting Standard has classified GHG emissions in three scopes that include direct emissions from company owned or controlled buildings or vehicles, indirect emissions from purchased electricity and indirect emissions from upstream and downstream value chain. Below is an illustrations of Scope 1, 2 & 3 GHG emissions
Business Case for Measuring & Reducing your Carbon Footprint
The GHG Protocol Corporate Accounting Standard provides a framework of what to include in your carbon footprint. Measuring your company’s carbon footprint is a critical first step in solving the climate crisis, but you may be thinking, my company switched to LED lights so I know we are conserving energy and must also be reducing our carbon footprint? That is absolutely true, but that’s also a missed opportunity to demonstrate your commitment to protecting what you love by showing that your company has reduced its carbon footprint, which is a message that is increasingly important to the growing number of conscious consumers. So, what is the business case for measuring & reducing your carbon footprint?
Mitigate Risks
Climate change poses significant risks to businesses all over the world. Companies in the outdoor industry are at a significant risk due to the increases in extreme weather events around the world such as drought, sea level rise and flooding. Just consider what hurricanes and accompanying flooding alone have done to retailers and fishing guides from Florida to Texas over the last few years, and the impact it has on revenue for brands as dealers are forced to cancel their orders as they rebuild. Or consider the impact of stream closures all over the American West due to high water temperatures is having on fishing guides, fly shops and even brands selling their products in those fly shops? For example, there are Hoot Owl Restrictions in effect in Montana, so no fishing after 2 PM to midnight due to high water temperatures, and the famous Silver Creek in Idaho has closed fishing indefinitely for the same reason. Factor in all of the supply chain disruptions that could happen due to extreme weather, and its simply a bad business decision to not address climate change. Businesses that work to reduce their own greenhouse gas emissions, and even go carbon neutral will be saving their own livelihoods by not contributing to climate change.
Increase Competitive Advantage
My hope is that carbon neutrality becomes business as usual, but in the meantime, the companies that achieve carbon neutrality first will have a distinct competitive advantage. Especially when you consider the increasing number of new anglers who participated in the sport of fishing due to COVID, going carbon neutral now will capture those new anglers that support brands that align with their values over a competitor.
Drive Innovation
Measuring and reducing your carbon footprint will drive innovation. How? By looking for new ingredients that have a smaller carbon footprint and are better for the planet, you will inevitably drive innovation. Bioplastic instead of petroleum-based sunglasses, such as Bajio Sunglaess, or having a local supply chain, such as TS Designs “dirt to shirt” which is North Carolina grown, sewn and sold cotton t-shirts. The list goes on for ingredients and products that are better for the planet and help drive innovation.
Grow Customer Loyalty
Increasingly, consumers want to support companies, services and brands that align with their own values. There are a plethora of studies to support this, but I can take that a step further by having experienced this by working with my clients, who have seen a significant increase in customer loyalty, but I’ll go one step further and include a quote from someone who purchased two fly fishing rods from SaraBella Fishing because they were Fly Fishing Climate Alliance members committed to carbon neutrality: “As a research engineer who works in climate mitigation and a life-long fly fisher, I am ridiculously excited about what you all are doing! Just bought a new SaraBella rod to show my support for their going carbon neutral.” -Sherry S.
As a research engineer who works in climate mitigation and a life-long fly fisher, I am ridiculously excited about what you all are doing! Just bought a new SaraBella rod to show my support for their going carbon neutral.
Sherry S.
Attract & Retain Talent
Consumers aren’t just interested in buying products that align with their values, they also want to work for those companies. Patagonia is probably the best example out there. In Let My People Go Surfing, Yvon Chouinard says they receive thousands of applicants for every job they post because of their stance on the environment. I had an opportunity to meet Patagonia’s VP of Environmental Initiative, Rick Ridgeway and asked him, “aside from minimizing Patagonia’s impact on the environment, what would you say is the greatest business benefit of sustainability?” Ridgeway responded, ” I would say the number one value is recruitment and retention. Young people increasingly are only willing to work for companies committed transparently to shared value, and employees remain at companies longer when the companies are aligned with their personal values.” That pretty much sums it up, but I can also personally attest to the large volume of employment inquiries I receive from people who want to work for a company that is helping to save the planet and I have also witnessed this happen with my clients as new hires come to them because if their environmental stance.
Improve Financial Performance
There are many ways to reduce operational expenses by conserving energy through installing better insulation, LED’s or solar, and it just so happens energy efficiency and renewable energy reduce your greenhouse gas emissions. Another way to reduce greenhouse gas emissions and improve financial performance is to achieve zero waste by creating new revenue streams by finding buyers for their waste, which keeps those “squandered corporate assets” out of the landfill and makes them more profitable.
Protect What You Love
If all of these reasons weren’t enough, measuring and reducing your carbon footprint is a way to protect what you love.
As a father and an angler, surfer and general outdoor enthusiast, I am deeply concerned about the impact of climate change is having on our planet. I love fly fishing for tailing redfish and catching small waves here in the Lowcountry of South Carolina and I simply want to protect what I love. We are experiencing sea level rise here in Charleston already and after seeing the increasing number of rivers and streams being closed due to warmer water temperatures, such as Silver Creek in Idaho and Hoot Owl Restrictions in Montana, I am calling on all anglers who are in business want to protect what they love to:
1) Simply talk about climate change with your friends and family to help normalize the conversation.
2) Contact your elected officials and tell them to act on climate.
3) Reduce your company’s carbon footprint because according to IPCC we must halve global greenhouse gas emissions by 2030 and be carbon neutral by 2050.
Call me crazy, but I’d like to be able to teach my kids and grandkids how to fish and enjoy the wonders of nature. I hope you do too!
How Can We Help
Our mission is to solve the crisis by helping your business go carbon neutral and zero waste. If your business needs help developing a cohesive sustainability strategy, calculating & reducing your carbon footprint, achieving carbon neutrality and zero waste, or communicating your results with an Annual Sustainability Report, please check out our SUSTAINABILITY SERVICES & CONTACT US TODAY.
