Professional Documents
Culture Documents
Report 2022
BSI Net Zero Barometer Report 2022 2
Contents
Foreword by Chapter 1 Chapter 3
Scott Steedman, Raising the standard for Net Zero 7 The Standards Dividend 17
Director-General, Standards, BSI 3
The climate priorities gap 9 Standards as the engine of change 18
Executive Summary 4 The understanding gap 10 The bottom line benefit 19
Leading the way 20
Conclusion 23
Chapter 2
Appendix 28 Is your organization up to standard? 12
Foreword
As we approach the midpoint of 2022, In 2021, we launched our first ever Net We’re on the most important business journey
businesses find themselves at a pivotal Zero Barometer report. By surveying 1,000 for generations and the decisions we make
moment. Faced with ongoing and immediate senior decision-makers from businesses and today will shape the future of tomorrow. We
global disruption over the past two years, organizations of all sizes from all over the believe the data and insights contained in this
they must continue to understand and country, we wanted to take an annual reading report can help standards bodies, businesses
navigate these issues, while also ensuring on how the UK is faring in its progression to and all actors across the economy to transition.
they deliver on the long term sustainability net zero.
goals that promise a greener future for all.
The headlines from that initial survey made
As our report clearly demonstrates, the desire striking reading: just one in five small
to embrace net zero is absolutely heading in businesses had committed to a net zero target,
the right direction. COP26 turned the global 64% of those we surveyed weren’t confident
spotlight on our collective efforts to keep they understood the implications of net zero
temperatures from rising above 1.5 degrees, for their organization, and it was highly unlikely
and seven out of ten of respondents believe most would reach the government’s target
the conference made a difference to by 2050.
incorporating sustainability into corporate
thinking; 78% are more convinced that As well as offering fresh insights on these
reaching the country’s now more ambitious, metrics, our new report also reveals a
net zero targets is achievable. knowledge and business priorities gap that
is threatening to derail our climate change
Indeed, the resolve for net zero has grown in ambitions – this is a gap we need to bridge Scott Steedman,
spite of the significant challenges organizations quickly if we are to deliver on the pledges of Director-General, Standards, BSI
continue to face from the ongoing COVID-19 COP26, and reach net zero by 2050. With the
pandemic and the impacts of Brexit. In fact, UK government and devolved administrations
almost half (49%) of those we spoke to say bringing forward their net zero targets, it’s time
the pandemic has accelerated their efforts to for the private sector to step up the pace.
reach net zero – 16% say significantly so.
BSI Net Zero Barometer Report 2022 4
Executive Summary
government commitments
administrations raise the bar on Britain’s
national targets, announcing significant plans
to dramatically reduce emissions by 78% by
There is a will, a desire, However, there is a serious There also remains a gap in Cost is a significant barrier But there is a willingness
and an optimism that we gap between this ambition understanding around what for many organizations to collaborate and learn to
can and will achieve our and business priorities is needed to meaningfully meet targets
net zero goals set and reach net zero Almost half of decision makers
Almost half (49%) of senior targets (45%) cited cost as a barrier, Nearly three-quarters of those we
The majority of those we spoke decision makers were focused clearly making it the leading spoke to say their organization is
to (71%) had set targets to meet on growth in their organization challenge for organizations, getting guidance from external
Only 21% of those we spoke to
net zero, and 78% are more versus 20% concentrating on above supply chain (29%) sources, and 46% would like
were fully aware of the concept
convinced post-COP26 that reducing carbon. and regulation (25%). more. Rising energy prices are
of net zero targets and what
reaching our net zero targets set to shape the narrative around
it means in practice for their
is possible. This is a huge leap costs, efficiency, and sustainability
organization – a further 37%
forward from the 2021 report in all senses for businesses and
were beginning to explore what
where only 40% of organizations consumers alike in the year ahead.
this means. While both figures
had made a commitment and a As such, greater awareness offers
are up from 2021 (10% and 26%
further 31% were “considering it”. the potential for good guidance
respectively), this is still
and clear standards to support
a significant gap.
emissions reduction through
energy efficiency.
1 2 3 4 5
BSI Net Zero Barometer Report 2022 Executive Summary 6
6 7
For the detailed findings of the report,
just read on.
BSI Net Zero Barometer Report 2022 Chapter 1: Raising the standard for Net Zero 7
Chapter 1
Raising the standard
for Net Zero
BSI Net Zero Barometer Report 2022 Chapter 1: Raising the standard for Net Zero 8
1
www.gov.uk/government/news/uks-path-to-net-zero-set-out-in-landmark-strategy
BSI Net Zero Barometer Report 2022 Chapter 1: Raising the standard for Net Zero 9
The climate priorities gaps This was particularly true for smaller
businesses. Our survey found that the larger “As you progress on your net
the organization, the less likely revenue
While one in five senior decision-makers
generation was to appear as a priority,
zero pathway, the landscape will
identified reducing carbon as one of the top
three priorities for their organization, they are highlighting the hit SMEs have taken to their inevitably shift as new technology,
massively outstripped by those who are ongoing resilience over a turbulent two years. regulations, guidance, knowledge
Understandably, a quarter of decision-makers
focused on growing their business (49%),
described increasing business resilience as
and practices emerge. Your
generating revenue (36%) and continuing
to respond to COVID-19 (35%). a key priority. organization must be alert to
these changes. Net Zero will
While the responses to the survey are perhaps
Over half (58%) of those with a commitment or
inevitable given the long tail effect of the
require investment, dedication,
a plan to achieve net zero told us their priorities
had changed because of the pandemic. pandemic, sustainability will have benefits upskilling, persuasion, innovation,
Another third (34%) told us Brexit had shifted for the bottom line. The gap here is a short-term transparency and (perhaps most
focus and in recognizing that net zero
their focus.
objectives, such as reducing energy usage
importantly) collaboration, but the
Priorities for organizations and increasing resource efficiency, can power reward is a more resilient world
commercial and revenue growth for in which your organization can
Focused on growing their business 49% organizations and deliver more resilient
businesses.
thrive. Standards are developed
Generating revenue 36% by those who have the deepest
Contining to respond to COVID-19 35% It needn’t be an either/or choice between understanding of the challenges
growth and sustainability; it can be both/and,
with net zero goals also leading to new markets,
you face and what it will
staff retention, and reduced costs. take to help you succeed.”
David Fatscher, Head of Environment,
Social and Governance standards, BSI
BSI Net Zero Barometer Report 2022 Chapter 1: Raising the standard for Net Zero 10
The understanding gap There was also a lack of clarity about what
reaching net zero meant in practice for
The second gap this year’s Barometer organizations. Over a third (37%) believe
highlighted was in an understanding of the reaching net zero would mean reducing the
concept of net zero. amount of carbon emissions they release into
the atmosphere down to zero for their
Understanding has grown since last year’s organization. Another third (33%) believe they
report, when only 36% of senior decision- need to balance their remaining carbon
makers were confident that they fully emissions, and 12% understood it to mean their
understood the implications for their organization needed to take steps to capture
organization, it is still relatively low. Just over the carbon they emit. Of course, all three of
one in five (21%) are fully aware of the concept these elements are relevant, and encouragingly,
of the net zero target and what it means for a large group are recognizing that achieving net
their organization, with a further 37% beginning zero is first and foremost about transitions and
to explore what it means. significantly reducing carbon emissions.
BSI Net Zero Barometer Report 2022 Chapter 1: Raising the standard for Net Zero 11
Looking further into the understanding senior Given that 71% of organizations we surveyed
Scope 1, 2 and 3 emissions decision-makers have around the categorization have set specific targets to reach net zero,
of greenhouse gas emissions – the difference there is clearly a gap between the goodwill
between direct (Scope 1) and indirect (Scope 2 and efforts of many businesses to ‘do the
and 3) emissions – almost half (46%) are right thing’ and a comprehension of how that
monitoring their Scope 1 emissions, and a third might look for their organization, specifically
(33%) are monitoring both Scopes 2 and 3. with recognizable and standardized goals.
Scope 1 Scope 2 Scope 3 But target setting was low: just under one in
five (19%) of organizations had set targets that
lay within Scope 2 boundaries only, followed
by 18% addressing only Scope 1 emissions –
14% had targets to reduce both.
Chapter 2
Is your organization
up to standard?
BSI Net Zero Barometer Report 2022 Chapter 2: Is your organization up to standard? 13
2
Science Based Targets
3
Race To Zero Campaign
4
Greenhouse Gas Protocol
BSI Net Zero Barometer Report 2022 Chapter 2: Is your organization up to standard? 16
Sergio Mujica, ISO Secretary-General; Eddy Njoroge, ISO President (in 2021); Scott Steedman, Director-General, Standards, BSI.
BSI Net Zero Barometer Report 2022 Chapter 3: The Standards Dividend 17
Chapter 3
The Standards Dividend
BSI Net Zero Barometer Report 2022 Chapter 3: The Standards Dividend 18
Leading the way As consumers feel the squeeze of rising The choices organizations make towards net
energy prices, there is a clear role for industry zero are good for business, making them more
Prioritizing net zero targets will also set in explaining the benefits of net zero for resilient for the future. Good for revenue,
organizations apart in the minds of consumers. end-users. New technologies and exciting growth, and efficiency, net zero targets
They are more than a set of new rules to be innovations that lead to greener and cleaner are implicitly beneficial for the long-term
followed – reaching net zero is critical to our energy aren’t going to be available to sustainability of business as well as the planet.
future wellbeing. consumers or businesses overnight.
Still, net zero-inclusive technical standards But these choices go even further, beyond
will act as a catalyst for decarbonization, the bottom line. Prioritizing net zero transitions
allowing innovations to scale more rapidly and embedding the expectation of carbon
by de-risking investment, and providing neutrality into every aspect of business
consumers with greater confidence. significantly shifts the baseline of what is
Industry needs to embrace the challenge normal. Ultimately, this is the net zero ambition:
of leading the culture change so that the to reach a point when rapidly phasing down
transition to net zero is just, with the burden and then balancing residual emissions isn’t just
of costs falling equitably on those most able the right, or legal, or necessary thing to do –
to shoulder it. it’s accepted business practice.
Conclusion
BSI Net Zero Barometer Report 2022 Conclusion 24
For a long time, reaching net zero has too The data is clear that the majority of senior
often been considered ‘impossible to achieve’, decision-makers recognize this. Nevertheless,
‘at odds with business’ or a ‘nice to have’ – a lack of understanding about how building
a good piece of PR or kudos for organizations greater sustainability into the fabric of an
and businesses. organization will implicitly be good for revenue,
growth and efficiency, and the lack of clarity
2021 changed that. Emerging out of one of about how to meaningfully achieve net zero
the most turbulent periods in a generation, is putting the brakes on what should be
organizations, industry and governments collectively our most urgent task.
are facing up to the demands of the future.
Net zero is a non-negotiable, an essential This year’s report highlights the need for some
factor for the ongoing resilience of any key actions for the coming twelve months.
business.
Appendix
BSI Net Zero Barometer Report 2022 Appendix 29
References
Publications Standards that can help businesses achieve PAS 2050 Specification for the assessment
net zero: of the life cycle greenhouse gas emissions
1) IEMA Net Zero Explained – 2021 of goods and services
BS EN ISO 14064-1 Greenhouse gases.
2) Pathways to net zero – using the IEMA Specification with guidance at the PAS 2070+A1 Specification for the
GHG Management Hierarchy – 2020 organization level for quantification and assessment of greenhouse gas emissions
reporting of greenhouse gas emissions of a city. Direct plus supply chain and
and removals consumption-based methodologies