Business call to action for ambitious and investible NDCs
To protect our communities, our economies, and our future, we need to address the primary causes of dangerous global heating: the relentless burning of fossil fuels and continued degradation of nature. The new national climate plans and strategies governments have agreed to deliver by early 2025 must accelerate each country’s transition from fossil to clean and close the gap to limiting global heating to 1.5°C.
Leading businesses are calling on governments, led by the G20 countries, to create ambitious nationally-determined contributions (NDCs) backed by clear targets, policies, and timelines. This can create a virtuous circle of fast-flowing investment, accelerated action, and ratcheted ambition.
Business call to action for ambitious and investible NDCs
Combined with strong NDCs, a robust agreement on climate finance at COP29 will help derisk and drive private sector investment into the transition.
Ambitious and investible NDCs unlock revenue by enabling businesses - empowered by ERP solutions - to drive sustainable growth, attract eco-conscious customers, and meet demand for greener products
Sophia Mendelsohn, Chief Sustainability and Commercial Officer, SAP
Corporates expect Governments to give strong market signals by committing to ambitious economy-wide targets in a path away from fossil fuels that promotes an accelerated uptake of renewables.
Miguel Stilwell d’Andrade, CEO of EDP and EDPR
Increased NDC ambition aligned with a 1.5C scenario, and stronger links between NDC targets and robust enabling policies are essential to harness the key role of private sector in investing and deploying climate solutions across all sectors (renewables, networks, heat pumps, electric vehicles…)
Gonzalo Sáenz de Miera, Global Director of Climate Change and Alliances, Iberdrola
To decarbonize the global economy, dialogue across the value chain is essential. For Signify, energy efficiency is the "first fuel'' in the transition to net zero and requires collective alignment between the private and public sectors, which NDCs encourage.
Mario Giordano, Global Head of Public & Government, Signify
Strong and specific NDCs send important business investment signals, driving global ambition.
Fleming Voetmann, Vice President of External Relations & Sustainability, VELUX Group
Bold and ambitious Nationally Determined Contributions (NDCs) lay the foundation for a flourishing net-zero economy, fostering innovation and unlocking unparalleled investment potential in renewable energy.
Deepak Thakur, Managing Director & CEO, Mahindra Susten
With five years to go for us to limit global warming to below 1.5° C we are optimistic that we can deliver to the Paris Agreement. We are making progress and to speed up we need to urgently scale climate actions with impact. Governments need to speed up and drive the renewable energy transition, setting clear objectives in their climate plans to enable businesses to accelerate action and transition away from fossil fuels.
Jesper Brodin, CEO, Ingka Group I IKEA
Turning promises into progress
Faced with resounding demands for action across the globe, world leaders made a historic commitment at COP28 to accelerate the transition from fossil fuels to clean energy solutions. People are now calling on them to make good on that commitment and get down to business.
NDCs matter for businesses because they signal the opportunities, risks, and direction of travel of the policy environment in which companies operate. These signals are valuable for businesses planning their investment decisions over the next decade.
Business matters for NDCs because they are the engines driving the net-zero transition. Their choices of where and how to invest matter. Through the Fossil to Clean campaign, over 260 companies with a combined revenue of >$1.6 trillion are working toward phasing out their use of unabated fossil fuels. These companies are ready to seize the benefits of the clean energy transition, including a stronger workforce, more resilient supply chains and increased competitiveness.
Yet while the costs of transition technologies such as solar panels and electric vehicles continue to fall, policies and incentives often still favor polluting fossil fuels.
Turning promises into progress
Responsible businesses are calling for ambitious NDCs backed by clear targets, policies, and timelines, that create a virtuous circle of fast-flowing investment, accelerated action, and ratcheted ambition.
Ambitious NDCs will be easier to achieve if businesses, governments and other stakeholders co-create them. Co-creating solutions requires ongoing dialogue throughout the NDC development cycle to drive the systemic change required.
Download the report (pdf)
The Call to Action from Businesses
Businesses are calling on governments – led by the G20 countries – to act across three pillars.
Putting forward ambitious 1.5°C-aligned NDCs containing economy-wide and sector-specific targets, as well as clear commitments to translate targets into concrete policies.
Translating NDCs into clear and consistent policy frameworks that unlock the full potential of the private sector.
Undertaking transparent and inclusive dialogue with businesses, creating an integral role for business and other affected stakeholders at all stages of the NDC cycle.
Read more about our three pillars of action in our two-page summary (pdf, 199 KB)
It’s time to meet the moment. The new national climate plans and strategies governments have agreed to deliver by early 2025 must accelerate each country’s transition from fossil to clean and close the gap to limiting global heating to 1.5°C.
See our full list of cross-sectoral policy asks here.