CBI @10am: Countdown to COP26: what can your business do?

Speakers:

• Rain Newton-Smith, Chief Economist, CBI
• Bridget Jackson, Business Engagement Lead, United Nations High Level Climate Action Champions
• Ian Clough, Managing Director, Transport, DHL Supplychain
• Ceri Thomas, Editor and Partner, Tortoise Media (Chair)

Overview:

Rain Newton-Smith:

• Rain kicked off with an update that those aged 45 and over are now being invited to have their vaccines. In parts of Wales and NI this is now over 40 in some areas, and the roll out is going faster than predicted. However, there are ongoing concerns regarding the new South African variant in some South London boroughs – which are currently carrying out surge testing (PCR) on everyone 11 and over living, working or travelling through Wandsworth and Lambeth
• It’s also really good to see hairdressers, pubs and hospitality open outdoors for many on Monday, alongside access to asymptomatic testing now widely available via community and employer testing schemes
• Rain highlighted that the UK has made a commitment to net zero by 2050, with some emissions offset by carbon capture and storage. She recognises that the sooner we act the easier the transition will be – and this isn’t just about climate change but also air quality. Exciting new technologies the UK is leading on include: carbon capture and storage, offshore wind and hydrogen
• The CBI have recently partnered with Deloitte and the Met Office to produce our Goal 13 Impact Platform, and we’re interviewing over 250 businesses who are at different stages along their journey.

Bridget Jackson:

• Bridget provided a summary of COP26 – In 2015, the UN brought states together with a landmark moment at the Paris summit, in which countries committed to achieving well below two degrees of global average warming. COP26 in Glasgow will be a five-year stocktake on progress, amid an optimistic picture of lots of counties making their targets more ambitions. COP26 will also look at Article 6 which includes carbon markets and carbon pricing – but this is a government matter
• Since 2015 there has been a UN programme to engage non-state actors, as government action alone won't do this. Legislation and framework is important but businesses will be pivotal. That is why they set up the Race to Zero campaign – asking businesses to commit to ambitious targets and decarbonising actions
• Bridget recognises that in certain sectors it is harder – with a longer-term transition for some industries e.g. manufacturing
• Race to Zero is a commitment with both short/long term greenhouse gas reductions. For big businesses – the United Nations ambition for 1.5 degrees is underpinned with a science-based target. But they also recognise that 50% of the economy are SMEs. These businesses are hugely important for revenue, employment and GDP, but they contribute over 50% of greenhouse gas emissions. For businesses with under 500 people – there’s a separate pathway without having to need as many resources
• They already have 2,200 businesses signed up and some household names – such as Sainsbury's, Diageo, and Innocent
• In terms of the benefits for business: businesses will save money on carbon, but also an employee and customer engagement opportunity. It should also unleash innovation. In addition, we’re likely to have regulation further down the line here and abroad so by acting now businesses can save money in the longer-term
• Overall, COP26 is a real opportunity for Britain to shine. We are the fastest de-carbonising economy in the world, and also the first to have a climate change act
• Key dates and milestones for businesses to take note of this year:
  • ‘Earth Day’ (April 22) summit with President Biden
  • Race to Zero one year anniversary (15 June)
  • London Climate Action Week (26 June – 4 July)
  • Countdown Summit in Glasgow (12 – 15 October)
  • Another UN initiative is ‘Count us In’ – corporates can run for employees.

Ian Clough:

• DHL Supplychain is part of DHL Group and one of the biggest logistics companies in the world. They’ve been working on decarbonisation going back to 2008. In 2017, they committed to aggressive targets to be net zero by 2050 – the first major logistics business to make that commitment
• It’s been a journey – with some significant opportunities. For example, fuel burn means cost, and they’ve already started to see savings here
• But they’re also starting to share agendas with their customers including large retailers
• They've noticed that 2050 is a long time away so have set some more aggressive goals around 2030 – so that it's tangible
• As a group they'll spend around €7bn by 2030.