Shaken Not Burned

Highlighting changemakers and solutions

Glossary - Avoided deforestation

The term indicates that a forest has been protected, usually because of a change to policy, corporate strategies or, as it is seen most often in the carbon markets, funding to keep the trees standing. Offsets provide funds to landholders through crediting emissions reduction, because those forests still exist rather than being logged, or converted to cropland or grassland.

Under the Reducing Emissions from Deforestation and Degradation (REDD) methodology category in the Verified Carbon Standard, it should be provable/proven that such forested lands were legally authorised and documented to be converted.

Busting a myth - Recycling is the ultimate solution

While recycling is important, it is not the solution to every resource challenge. Some materials cannot be recycled indefinitely, and the recycling process itself consumes energy and resources. Reducing consumption and reusing products are often more effective strategies. Recycling plays a role in a wider systemic shift towards a circular economy, which is intended to redefine how we produce, consume, and dispose of goods.

What we’ve been reading this week

• The King’s Speech has laid out Labour’s political priorities for the new Parliament. There are undoubtedly some moves in the right direction but it's difficult to see any serious step change in the way the challenges we face are being addressed. While the National Wealth Fund, GB Energy, addressing the planning system, pension reform could also help the country towards net zero, we may need a rethink in how we tackle systemic problems.

• One of the biggest challenges we face is paying for the transformation to a net zero, nature-positive economy. The Ellen MacArthur Foundation has released a new report that says a circular transformation of Europe’s towns and cities could unlock €733 billion a year in opportunities for business and society – and that’s not in the distant future either, it's by 2035. That’s from cost savings on energy and water, conservation of resources from construction and significant reductions in emissions. It also could address the housing problem without building out cities into urban sprawl. Overall, it offers six circular strategies to transform the built environment – given that most of the buildings we’re going to have in Europe in 2050 (around 80%), it’s a significant opportunity.

• The growing demand for climate and ESG reporting by multinationals is creating a cascade effect across the supply chain. Even in the US, where the SEC climate rules are under attack, there is serious momentum for change. Sustainable Fitch sees state and federal regulations are going to see companies required to report on value chain emissions and climate risk. Major tech companies are calling for the adoption of Environmental Product Declarations in the management of data centres, a significant source of energy demand growth which, along with AI, are shredding corporate commitments on emissions reduction.

• A similar trend is happening in plastics, even though the global Plastics Treaty hasn’t yet been agreed. The OECD estimated that, in a business-as-usual scenario, plastic production could triple by 2060, nearly 90% of which would be virgin plastic. Planet Tracker has convened 70 investors with combined assets of $6.8 trillion calling on petrochemical companies to reduce their dependency on fossil fuels, and eliminate dangerous chemicals in plastics.

• What all new regulation demands is data, and when Scope 3 is involved many smaller suppliers are going to need to be able to provide their own ESG data to their clients. It’s a possible competitive edge to get ahead of wider regulation, but it takes time and effort to get it right and there’s a growing market for data management help. The real estate sector is in the bullseye at the moment, and Measurable has launched a new sustainability data management and reporting platform, while IBM has joined up with JLL to launch its own ESG data management and reporting solution for the commercial real estate sector, which is struggling in preparation for new information demands, new models of working and a sector that is clearly not ready to meet demands.