Signals of Change – January 2025
We Mean Business Coalition
2025 began with news that 2024 was the first year to exceed 1.5C of warming, while wildfires devastate Los Angeles. As our CEO, María Mendiluce wrote last week, it is no mystery what is driving these rising temperatures and climate-related disasters: the burning of fossil fuels and destruction of nature. Rather than despair, we can look to the innovation and market developments that are bringing to scale the technologies needed to replace fossil fuels and restore nature. Amid turbulent times, this newsletter will continue to shine a light on stories of business action, policy progress and the latest research signaling the speed and scale of this transformation.
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A just transition from fossil fuels to clean solutions
First to the U.S., which last month updated its Nationally Determined Contribution (NDC) under the Paris Agreement, pledging to reduce net greenhouse gas emissions by 61–66% below 2005 levels by 2035. This announcement can now be taken as a benchmark for American companies and investors, as well as US states, to aim for and exceed. The announcement coincides with measures targeting fossil fuels, including New York’s law requiring major fossil fuel companies to pay $75 billion over 25 years for climate-related infrastructure projects, and President Biden’s ban on new offshore oil and gas drilling across 625 million acres of U.S. coastal waters, covering the Atlantic, Pacific, and eastern Gulf of Mexico.
Meanwhile, a new Havard study has found that 45% of U.S. publicly traded companies across major industries are actively developing or selling technologies to address climate change, with many being established firms in mature sectors like energy and agriculture.
Next to the UK, where in 2024 EV sales reached a record high, making up nearly 20% of sales, while electricity generation hit its cleanest mix ever, with 58% coming from renewables and nuclear as coal was fully phased out.
Staying with the UK, Amazon has announced plans to expand its zero-emission delivery efforts by adding over 140 electric trucks and will initiate its first rail deliveries to reduce environmental impact and enhance delivery efficiency.
India has unveiled one of Asia’s largest floating solar parks, with 278 MW commissioned and a 25-year energy output of 4.6 billion units. Elsewhere, India’s largest power group, NTPC, is starting construction on a $21bn green energy complex featuring 20GW of renewables and over 500,000 tonnes of green hydrogen annually.
In Sweden, Stegra has signed a 6 TWh power purchase agreement with Uniper to supply renewable energy for its Swedish green hydrogen-based steel plant, aiming to produce 2.5 million tonnes of green steel annually starting in 2026.
Meanwhile metals and mining firm Rio Tinto has partnership with Swedish investment firm Vargas and Mitsubishi Corporation to explore the development of Finland’s first low-carbon aluminum facility in Kokkola.
Lastly, on green cement, Ambuja Cements has partnered with Finland-based Coolbrook to implement zero-carbon heating technology in its cement manufacturing process, aiming to reduce fossil fuel dependence and carbon emissions.
Latest from the Coalition
- Our joint blog with CDP highlights how supplier engagement is driving climate action.
- Want to make your company’s reporting processes cheaper, easier, better, and faster? See our latest guidance written with IFAC and the Global Accounting Alliance, aimed at simplifying the implementation of internal controls.
- Co-written by SME Climate Hub India manager Swapna Patil, a new article shows how adopting energy-efficient practices can help Indian SMEs save ~136,581 tonnes of CO₂, reduce energy costs by ₹370 million annually, and enhance competitiveness in global markets.
- Read about real estate firm CBRE’s supplier engagement journey to engage thousands of suppliers in our latest case study
- Innovations in clean technology are scaling up, offering a pathway to replace fossil fuels and build more resilient supply chains. The transition to clean energy is an economic opportunity, and it’s accelerating despite geopolitical uncertainty, writes our CEO María Mendiluce in her latest piece for Forbes.
- The SME Climate Hub has partnered with Emitwise and Equipoise to launch the next generation of accessible carbon measurement tools designed to help small and medium businesses measure carbon emissions and drive real climate action.
Protecting and restoring nature
First to Europe, where both Mars and Nestlé’s Purina are partnering with European farmers on projects to advance regenerative agriculture, aiming to enhance soil health, biodiversity, and sustainability in their supply chains. In France, 250 farmers producing cereals for petcare brand Purina have signed up to a training and support program. Mars in working in collaboration with partners to transition thousands of hectares of farmland across the UK, Poland and Hungary.
Meanwhile, a new report by the ILO, IUCN, and UNEP highlights that investing in nature-based solutions could create up to 32 million jobs globally by 2030, emphasizing the need for skills development and policy support.
Lastly, Unilever has launched a campaign to educate and incentivize customers to make sustainable product purchases, contributing to the restoration of approximately 6,000 mangrove trees in the UAE as part of its climate mitigation efforts.
Finance: regulation and reporting
First to the EU, where EU standard-setter EFRAG has released its sustainability reporting standards for small companies.
Meanwhile, global regulators IOSCO have launched a network to support sustainability standards in emerging markets.
Next to Canada, whose reporting standards board has released its finalized Canadian Sustainability Disclosure Standards (CSDSs), aligning with the International Sustainability Standards Board (ISSB) guidelines.
Finally, with $9.5 trillion in assets under management, the Net-Zero Asset Owner Alliance is calling for mandatory Scope 3 emissions disclosures to enhance data credibility and tackle value chain carbon footprints.
Deep dive: Powering the future
Renewable energy deployment is booming. In the past two years alone, both installed capacity and investments in renewables have hit new records. However, infrastructure must catch up, and more must be done to make deployment truly global.
Companies taking action
Over 18,200 companies are taking action through Coalition partner initiatives. See all companies who committed in the past month on the We Mean Business Coalition website. Companies setting their ambition for net zero include:
- 9704 companies working to cut their emissions in line with science through SBTi
- 8875 small and medium-sized enterprises working to cut emissions with the SME Climate Hub
- 538 companies who have now signed the Climate Pledge, to reach net zero by 2040
Meanwhile, companies are driving down emissions through the following demand-side initiatives:
- 130 companies are accelerating the transition to electric vehicles with EV100, and 5 companies are kickstarting the transition to zero-emission medium- and heavy-duty vehicles with EV100+
- 129 companies are committed to improving their energy efficiency through EP100
- 438 companies have committed to 100% renewable energy with RE100
- 39 companies have joined ConcreteZero to create a market for net zero concrete
- 45 companies have committed to SteelZero to create a market for net zero steel
Events
Davos – 20 – 24 January
CERA Week – 10 – 14 March
COP30 – 10 – 21 November
G20 – 22 – 23 November
Careers
- Various posts at BSR
- Various posts at CDP
- Various posts at Ceres
- Various posts at CLG Europe (CISL)
- Various posts at Climate Group
- Various posts at WBCSD
- Various posts at SBTi