Bain and Firm, one of many world’s largest consulting corporations, is the first firm to set a Carbon Integrity Platinum Declare, going past its present internet zero dedication.
The brand new Carbon Integrity Claims framework, established by the Voluntary Carbon Market Integrity Initiative (VCMI), goes past the Science Based mostly Targets initiative (SBTi) internet zero necessities to deal with mitigation of present-day emissions—a subject past the scope of the present SBTi commonplace.
In an organization’s decades-long journey to remove its provide chain emissions and obtain internet zero, it would proceed to emit local weather air pollution annually. Whereas the SBTi encourages corporations to mitigate these emissions, it doesn’t require them to take action. Firms can set and make progress towards SBTi targets — and keep their locations on the SBTi roster — with out addressing the affect of their ongoing emissions. In different phrases: mitigating unabated emissions on the trail to internet zero is “additional credit score” within the eyes of SBTi.
SBTi’s stance has left most corporations unsure about how (or whether or not) to deal with their unabated emissions whereas pursuing internet zero targets, and whether or not carbon credit may very well be a instrument for doing so. For a lot of corporations, that uncertainty has change into a barrier to motion.
A framework for utilizing carbon credit
VCMI’s Carbon Integrity Claims goals to fill this hole. Its function is to supply a step-by-step framework for utilizing carbon credit in live performance with science-aligned local weather targets, mentioned Lydia Sheldrake, director of coverage and partnerships at VCMI. After demonstrating progress towards internet zero, corporations with platinum-level claims may also buy and retire high-quality carbon credit equal to 100% or extra of their yet-unabated emissions. The target is to not offset the unabated emissions, however to speed up world internet zero progress.
Bain has lengthy championed an formidable local weather agenda: the Boston-based consulting agency grew to become carbon impartial in 2011, set a near-term SBTi emission discount goal in 2021, dedicated to being carbon internet unfavorable in 2022, and submitted a internet zero plan to SBTi in 2023. It’s now championing Carbon Integrity Claims as the subsequent step.
“We should not simply hold dumping carbon into the ambiance,” mentioned Sam Israelit, Bain’s chief sustainability officer. “What can we do now to ensure our affect now is not going to make the issue worse?”
What’s a VCMI Carbon Integrity Declare?
Established in 2021, the non-profit Voluntary Carbon Market Integrity Initiative supplies steerage on how organizations can use carbon credit to speed up world local weather motion in step with the Paris Settlement.
VCMI’s Claims Code of Follow units out the standards corporations should adhere to earlier than pursuing a Carbon Integrity Declare, together with annual public emission disclosures, setting and demonstrating progress towards science-aligned near-term and internet zero targets, allocation of economic and strategic sources towards emission mitigation, and coverage advocacy for Paris Settlement local weather objectives.
As soon as an organization verifies that it’s met these standards, it may well choose a VCMI Declare associated to mitigation of its ongoing emissions. Platinum-level claims require corporations to buy and retire carbon credit equal to 100% or extra of their unabated emissions. The opposite tiers — gold and silver — require buy and retirement of credit representing smaller fractions of ongoing firm emissions.
Why Bain is performing now
Bain has change into a champion for speedy motion to mitigate unabated emissions. The carbon credit score technique “must be final however not later,” mentioned Israelit. “It’s the very last thing you consider however we shouldn’t wait till 2049… to assist take carbon out of the ambiance.”
Whereas many corporations with SBTi targets buy some carbon credit, there’s not beforehand been a standardized framework for doing so in a fashion that accelerates world local weather progress.
Israelit outlined three advantages to Bain from its VCMI Platinum Declare: better confidence within the agency’s general local weather technique, surpassing shopper thresholds for local weather motion, and worker engagement.
1. A trusted framework for local weather technique
A core aim of the VCMI Claims Code is to supply corporations with readability on what attractiveness like with regards to carbon credit and the way they match inside a bigger company local weather technique, mentioned Sheldrake.
Going via the method of setting Bain’s Carbon Integrity Declare injected extra rigor into the corporate’s general local weather motion technique, mentioned Israelit. One of many “greatest advantages to us has been going via the method and constructing the arrogance that the initiatives we’re investing in are actual and have an effect,” he mentioned.
2. Surpassing shopper thresholds
Within the first six weeks of 2024, Bain acquired twice as many RFPs that included a requirement for a sustainability program because it did throughout the identical interval in 2023, Israleit mentioned. Bain’s local weather technique, together with the platinum declare, signifies that it’s staying forward of its shoppers’ rising local weather ambitions and demonstrating efficient sustainability measures in its personal work.
3. Participating workers
The opposite essential stakeholders in Bain’s local weather technique are its workers, a lot of whom prioritize working for a corporation aligned with their values, mentioned Israelit. Though VCMI Claims settle for carbon credit from initiatives that both cut back or take away greenhouse fuel emissions, Bain has dedicated to assembly its Platinum Declare solely by way of removals. That was motivated largely by workers’ need for a transparent and everlasting elimination of the corporate’s local weather air pollution.
What’s subsequent for VCMI
With Bain on board, VCMI’s group is partaking with quite a lot of different corporations engaged on setting their very own Carbon Integrity Claims, mentioned Sheldrake. It expects extra bulletins like Bain’s within the coming months.
For now, few corporations meet the foundational standards required to set Carbon Integrity Claims. But when they unfold broadly, they might present strong footing for corporations trying to take speedy motion on their emissions going into the ambiance at the moment whereas persevering with progress towards internet zero.