Month: May 2024

Originally published on about.bnef.com

• The study details how the world can still meet the goals of the Paris Agreement, and achieve net zero by mid-century
• BNEF’s updated Net Zero Scenario traces the route to keeping the world on track for well below two degrees of warming and net zero by 2050, but time is running out to pursue this path
• The report shows nine keystone technologies that will make or break the net-zero transition and whose rapid deployment can help stall emissions
• The report’s base case, the Economic Transition Scenario, shows that mature, cost-competitive technologies can halve global emissions by 2050 compared with not taking further action
• The global analysis includes detailed modeling for 12 major economies and nine regions, and shows which countries’ climate commitments are aligned to net zero
• Investments required for BNEF’s Net Zero Scenario are only 19% more than the baseline Economic Transition Scenario

LONDON, May 28, 2024 /3BL/ – Although time is running out, BloombergNEF’s New Energy Outlook 2024 shows how the world could still achieve the major goal of the Paris Agreement – holding global warming to well below two degrees Celsius and avoiding the worst impacts of climate change – and what it would take to get there. The new report indicates that the speed with which clean technologies and decarbonization of the power sector are scaled up is crucial.

The New Energy Outlook 2024, the report published today by research provider BloombergNEF, presents two updated climate scenarios, the Net Zero Scenario (NZS) and a base case Economic Transition Scenario (ETS), designed to inform public policymaking, country climate ambition and low-carbon transition strategies of corporations and financial institutions.

The report’s NZS, which is consistent with a 67% chance of holding global warming to 1.75 degrees Celsius, sees demand for oil, gas and coal reach an immediate peak and fall into a steep decline starting from the year 2025. The power, transport, industry and buildings sectors transition at different speeds based on the technologies available for them to decarbonize, but all see emissions start to fall immediately. These short-term changes only come to pass thanks to a rapid scale-up of clean energy technologies, in particular a tripling of global renewable-energy capacity by 2030, rapid uptake of electric vehicles (EVs) leading to a full global phase-out of combustion engine vehicle sales by 2034, and a major scale-up of carbon capture technology, alongside energy storage and nuclear power, before 2030.

“The path to staying well below two degrees is narrowing,” said David Hostert, head of economics and modeling at BNEF and the lead author of the report. “In the 18 months since we last updated our global scenarios, the energy transition has certainly accelerated – but not nearly enough. This report should serve as a wake-up call: we need a rapid decline in emissions starting from now – not in five years’ time – if net zero by mid-century is to remain a possibility.”

Cleaning up the power sector accounts for almost half of emissions avoided between today and 2050, compared with a no-transition scenario where there is no further action on decarbonization. Electrification of end-use sectors, including road transport, buildings and industry, accounts for the next quarter of emissions. The solutions needed to abate the remaining quarter of emissions are among the most challenging to scale: biofuels in shipping and aviation; hydrogen in industry and transport; and carbon capture and storage in industry and power.

The New Energy Outlook also details a base case ETS, in which clean-energy technologies are only deployed where they are economically cost-competitive or adopted by consumer choice, with no further policy support for clean technologies. The affordability of renewable energy, especially solar and wind, means that they grow rapidly in this scenario, to 51% of global power generation by 2030, and 70% by 2050. The global power system is transformed and becomes much more flexible in order to accommodate high penetrations of wind and solar.

“Our hourly modeling shows that power systems can accommodate very high penetrations of wind and solar without incurring higher costs,” said Ian Berryman, lead energy systems modeler at BNEF. “With the aid of smart electric vehicle charging, battery storage and flexible generators, the most affordable power system of the future will be one based on a foundation of inexpensive renewables.”

The ETS also sees significant EV uptake, thanks to their increasing cost-competitiveness compared to conventional vehicles. Thanks to the combined impacts of clean power, EVs and energy efficiency, emissions in 2050 in the ETS are half what they would otherwise be without these technologies, or down 27% from current levels. This is far from achieving net zero – and breaches the Paris Agreement with a global warming result of 2.6 degrees Celsius – but demonstrates how far the energy transition can already go based on economical and commercially ready technologies. In this scenario, fossil fuels still play an important role in power, industry, transport and buildings sectors, but gas demand grows modestly while oil and coal demand are set to enter a period of structural decline.

Matthias Kimmel, head of energy economics at BNEF, said, “Renewable energy, electric vehicles and energy storage are already being deployed at scale and will only grow further in the next few years. These three technologies are no-regrets choices that can help countries reduce emissions, improve energy security and even reduce energy system costs today.”

BNEF has enhanced its modeling for the 2024 edition of the New Energy Outlook. The analysis now includes detailed modeling results for 12 countries and nine regions for both scenarios, and shows that:

• The current climate plans (Nationally Determined Contributions or NDCs) of Brazil, France, the UK, the US and Australia are the most aligned to BNEF’s Net Zero Scenario.
• Germany, South Korea, Japan and India have existing NDCs that are in line with or better than the Economic Transition Scenario – indicating they have scope to raise their ambition to align with the NZS.
• China, Indonesia and Vietnam have the most scope to raise ambition in their next Nationally Determined Contributions. Their current NDCs even fall short of the Economic Transition Scenario.

The report also sheds light on other important topics relating to the global low-carbon transition, including:

• The need to scale up nine key technologies in order to get on track for net zero. These are: renewable power, electric vehicles, battery energy storage, nuclear energy, carbon capture and storage, hydrogen, sustainable aviation fuels, heat pumps and power networks.
• A more nuanced picture of where low-carbon hydrogen can be most impactful in the energy transition, and where electrification plainly makes more sense.
• How the technologies above combine and interact to solve for decarbonization across power, transport, industry, and buildings.
• The investment volumes needed to achieve the ETS ($181 trillion globally to 2050) and the NZS ($215 trillion to 2050), and why these estimates are surprisingly similar (only 19% higher in the NZS).
• The importance of land-use considerations, given that low-carbon technologies typically require a larger land footprint than fossil-based sources, and the rising land demands for energy transition, food production and biodiversity preservation will need to be weighed up and co-optimized.

An executive summary of the New Energy Outlook 2024 is publicly available via the following link. For the first time, BNEF is also making available a limited data set of findings here.

BloombergNEF clients can find the full report and full data viewer on bnef.com and the Bloomberg terminal.

Contact
Oktavia Catsaros
BloombergNEF
+1 212 617 9209
ocatsaros@bloomberg.net

About Bloomberg
Bloomberg is a global leader in business and financial information, delivering trusted data, news, and insights that bring transparency, efficiency, and fairness to markets. The company helps connect influential communities across the global financial ecosystem via reliable technology solutions that enable our customers to make more informed decisions and foster better collaboration. For more information, visit Bloomberg.com/company or request a demo.

About BloombergNEF
BloombergNEF (BNEF) is a strategic research provider covering global commodity markets and the disruptive technologies driving the transition to a low-carbon economy. Our expert coverage assesses pathways for the power, transport, industry, buildings and agriculture sectors to adapt to the energy transition. We help commodity trading, corporate strategy, finance and policy professionals navigate change and generate opportunities.

Three of the top five sustainability commitments by businesses involve plastic reduction and 77% of them express a willingness to accept the cost of implementing sustainable practices.1 All in a bid to address consumers’ demand for sustainability – the key driving force for tackling environmental issues.

LAUSANNE, Switzerland, May 28, 2024 /3BL/ – Today’s food and beverage (F&B) companies are poised to minimise plastic as a favoured2 packaging material, as recent research has unveiled that three out of the top five commitments made by business leaders to address sustainability challenges include the reduction of plastic usage.3 Tetra Pak’s research examined F&B manufacturers’ attitude to sustainability, now and in five years’ time.4

Half of the surveyed businesses pinpointed consumer demand as the main catalyst behind implementing new sustainable solutions within the manufacturing and processing arena. This echoes the sentiment found in a separate Tetra Pak consumer study on packaging.5 It found the intention to buy among almost three out of four respondents (74%) would increase if a brand talked about environmental topics,6 while 42% believe that an “environmentally sound package” justifies a higher price,7 providing the industry with a reassuring case for adopting a business model that reduces environmental impact.

77% of businesses expressed a willingness to accept cost-related trade-offs associated with the implementation of sustainable manufacturing and processing solutions,8 despite the industry facing ongoing macro-economic challenges. This insight follows COP28, which saw many private sector stakeholders committing to sustainability targets and initiatives, including Tetra Pak’s action-oriented approach towards food systems transformation.9

Business’ focus on environmental impact is seemingly at a tipping point, with the urgency to adopt practices that decarbonise the world’s food systems predicted to surge by 10% in the next five years, from 49% to 59%. When asked how packaging and processing suppliers can contribute, 65% of companies identified the importance of new product developments, confirming the critical role played by innovation in our global fight against climate change.

Gilles Tisserand, Vice President Climate & Biodiversity, Tetra Pak, comments: “The food and beverage industry is at a critical moment, rethinking its way of doing business to help address the climate emergency and dealing with the inevitable impact this has on their operations and solutions. They are looking to suppliers to help them thrive in an increasingly competitive market, and we remain committed to playing our part, keeping the innovation engine running to develop new research, collaborative ecosystems and product offering.”

He continues: “Our innovation pathway is driven by renewability and recyclability, ensuring the decarbonisation and circularity of materials and addressing the need for sustainable food packaging. Findings such as the fact that cartons are considered by consumers to be the most ‘environmentally sound’ beverage package, while plastic is considered the least,10 are a testament that we are on the right path. You only need to look at the fact that we sold 46% more packages made with plant-based polymers in 2023 compared to 202111 to see that the industry is committed to change.”

Media contacts

Lucia Freschi  
Tetra Pak 
Tel: +39 347 2632237 
Lucia.freschi@tetrapak.com 

1To the question “Please evaluate the willingness of your company to accept various trade-offs while implementing sustainable solutions within manufacturing/processing area” 41% responded they will definitely accept cost-related trade-offs, 36% will probably accept cost-related trade-offs, 10% neither won’t nor will accept, 11% probably won’t accept, 3% definitely won’t accept. 
2According to the UN, 36 per cent of all plastics produced are used in packaging, source https://www.unep.org/interactives/beat-plastic-pollution/#:~:text=Approximately%2036%20per%20cent%20of,landfills%20or%20as%20unregulated%20waste 
3The top five commitments were reducing dependency on plastic; reduction of plastic packaging demand in food delivery; reduction of food waste in F&B plant; reduction of plastic packaging waste in F&B value chain; logistics improvement across value chain. 
4Tetra Pak’s business-to-business research on Planetary Challenges and their impact on F&B manufacturers’ operations has been run in 2023, based on a combined methodology – quantitative research panel and qualitative component (expert interviews). Qualitative research included approx. 20 interviews conducted with Tetra Pak’s internal experts plus 12 with the F&B manufacturers, distributed across all regions that are within the scope of the project. Quantitative research comprised 346 interviews across 19 markets (Italy, Poland, Spain, France, Germany, UK, Australia, India, South Africa, Mexico, Argentina, Brazil, China, Vietnam, USA, South Korea, South Arabia, Turkey, Japan). 
5Tetra Pak’s latest Sustainable Packaging consumer research, run in 2023, comprised a total of 14,500 consumer interviews based on an online questionnaire in 29 markets: Germany, France, UK, Italy, Belgium, Denmark, Netherlands, Poland, Portugal, Romania, Spain, Sweden, Saudi Arabia, Turkey, South Africa, Egypt, China, India, Japan, Australia, Indonesia, Philippines, South Korea, Vietnam, Brazil, USA, Mexico, Colombia, Argentina 
6To the question “If a brand communicates/talks about environmental topics, your intention to buy the brand would…” 74% responded it would increase. Base TOTAL 2023: 14539. 
7To the question “Which of the following sentences better fits with your thought about an environmentally sound packaging?” 42% responded that a product in an environmentally sound packaging is worth a higher price than a product in a standard packaging. 
8To the question “Please evaluate the willingness of your company to accept various trade-offs while implementing sustainable solutions within manufacturing/processing area” 41% responded they will definitely accept cost-related trade-offs, 36% will probably accept cost-related trade-offs, 10% neither won’t nor will accept, 11% probably won’t accept, 3% definitely won’t accept. 
9https://www.tetrapak.com/about-tetra-pak/news-and-events/newsarchive/tetra-pak-unveils-action-oriented-approach-towards-food-systems-transformation 
10To the question “Which one of the following types of packaging for beverage do you believe is the most environmentally sound?” 41% respondents chose carton package, 37% glass bottle, 8% plastic bottle 8% metal can, 3% plastic cup, 3% plastic pouch. To the question “Which one of the following types of packaging for beverage do you believe is the least environmentally sound?” 32% said plastic bottle, 23% plastic pouch, 17% plastic cup, 13% metal can, 9% glass bottle, 6% carton package. 
11Tetra Pak sold 7.1 billion packages with plant-based polymers in 2021, 8.8 billion packages with plant-based polymers in 2022 and 10.4 billion packages with plant-based polymers in 2023. Volumes exclude Blend in BIO (BiB) sold in Brazil. BiB is a mix of 75% LDPE and 25% plant-based LDPE.

Marking its 23rd year of publishing, Savoy Magazine proudly introduces the 2024 Most Influential Executives in Corporate America in its largest second edition. This special issue showcases a dynamic group of CEOs, COOs, and top executives who exemplify exceptional leadership and influence in the corporate world.

Tapestry is proud to share that David L. Casey is Chief Inclusion & Social Impact Officer for Tapestry, has been named to the list for the second year in a row. Tapestry and our brands are founded upon a creative and consumer-led view of luxury that stands for inclusivity and approachability.

In this role, Casey has global responsibility for Tapestry’s Equity, Inclusion and Diversity strategy and oversees Tapestry’s Social Impact programs through advocacy, philanthropy, impact investing and volunteerism.

The selection process for the Most Influential Executives in Corporate America involved meticulous review of accomplishments in corporate influence, scholastic achievement, career growth, community outreach, and recognition. This year’s list features over 300 distinguished professionals across various industries, demonstrating breadth and depth of talent in leadership.

With more than twenty years of experience as a corporate chief diversity officer, Casey has served or currently serves as a board member or in an advisory role for several national organizations including Orion Talent, Disability: IN (co-chair of the Disability Equality Index), the American Lung Association, appointment to the U.S. Secretary of Labor’s Advisory Council on Apprenticeship and the Indianapolis and Eastern Massachusetts affiliates of the National Urban League.

Casey is also an eight-year veteran of the United States Marine Corps, having served in Operation Desert Storm.

Fraud prevention is an ongoing concern for small business owners, who continue to be vigilant of evolving fraud tactics and implement preventative measures to stop potential future attacks. KeyBank’s 2024 Small Business Survey found that small business owners’ biggest concern is payment fraud, such as unauthorized transactions or unauthorized electronic fund transfers (44%.) Closely following is identify theft (37%), malware and ransomware attacks (28%) and phishing and email scams (27%).

As technology evolves, small business owners must stay alert to protect their business from information theft and payment fraud. Falling for scams can have long-lasting effect on a business, impacting potential profit and relationships with customers. Learn more about advice KeyBank provides to business owners about business security and risk management.

“With the introduction of new technology over the last several years, small businesses are some of the many that have fallen victim to fraudulent activity,” said Mike Walters, President of Business Banking at KeyBank. “It’s important for owners to have a plan in place and KeyBank is proud to provide resources that can help their business run better.”

Small businesses are the heart of many communities across the country. Their storefronts become part of neighborhood culture and contribute to the community by providing jobs to locals. KeyBank is dedicated to supporting low-to-moderate income (LMI) communities as well as providing community investments to bring access to capital to local businesses. In 2023, we provided $267.7 million in small business lending to LMI communities and, in 2020 and 2021, processed 69,000 loansthrough the Paycheck Protection Program (PPP), providing more than $11.2 billion in critical funding to small and mid-size businesses.

KeyBank, a top SBA lender1, has provided more than $4.5 billion in small business loans and lines of credit. Most recently, KeyBank received their 11th consecutive “Outstanding” rating from the Office of the Comptroller of the Currency (OCC) on its most recent Community Reinvestment Act (CRA) exam. 

Learn more about KeyBank’s opportunities and programs for your small business by visiting key.com/small-business. KeyBank offers a range of tools, including the KeyBank Small Business Check-In, KeyBank Small Business Financial Review and the Business Cash Flow Calculator. For resources on how to protect your small business from fraud, read the Protect Your Business Checklist and Protecting Your Organization against Payment Fraud.

Methodology

This survey was conducted online by Survey Monkey. 1,983 respondents, ages 18-99, located in the United States, who own or operate a small-to-medium size business with an annual gross revenue of less than $10 million, completed the survey in March 2024. Learn more about KeyBank’s opportunities and programs for your small business by visiting key.com/small-business. KeyBank offers a range of tools, including the KeyBank Small Business Check-In, KeyBank Small Business Financial Review and the Business Cash Flow Calculator.

CFMA #240508-2592788

This material is presented for informational purposes only and should not be construed as individual tax or financial advice. KeyBank does not provide legal advice. All credit products and SBA Loans are subject to approval, terms, conditions, and availability and subject to change. Key.com is a federally registered service mark of KeyCorp. ©2024 KeyCorp

1Source: Statistics released by the U.S. Small Business Administration (SBA) October 2023 for total approved loans through the SBA’s 7(a) lending program during the federal fiscal year ending 10/2023.

In the quest for sustainability, imagine a scenario where waste management isn’t just a necessary task, but a pivotal component of a circular economy. In Brazil, this isn’t a hypothetical for DP World—it’s reality. Since the launch of the Aterro Zero (Portuguese for “Zero Landfill”) initiative in 2022, DP World has transformed waste management into a cornerstone of sustainable energy production, underscoring a commitment to innovative environmental stewardship.

Turning Waste into a Resource

Aterro Zero is not just a policy; it’s a revolutionary shift in how waste is perceived and handled. Through this initiative, DP World Brazil has achieved a remarkable feat—100% of the non-recyclable waste generated on-site is converted into sustainable energy. This encompasses an impressive , including materials like cellulose, patio sweepings, and organic waste, which are transformed into fuel for cement kilns using the cutting-edge CDRU technology (Fuel Derived from Urban Solid Waste).

In 2022 alone, DP World reused 1,761.51 tons of waste, with this figure rising to 1,873.03 tons in 2023. These efforts are meticulously tracked through monthly metrics, KPIs, and environmental indicators, ensuring that every piece of waste is accounted for and utilized.

Beyond Environmental Impact

The benefits of the Aterro Zero program extend far beyond environmental preservation. By transforming waste into energy, DP World Brazil is not only conserving natural resources and raw materials but also significantly reducing greenhouse gas emissions. This initiative also fosters substantial social benefits, including job creation and enhancements in public health—key factors that contribute to its broader societal impact.

Moreover, the program has strengthened DP World’s relationships with various stakeholders—suppliers, customers, partners, and investors—linking them directly or indirectly to the project and reinforcing their commitment to sustainable practices.

Recognition and Leadership

DP World’s efforts were recently recognized with a prestigious 2024 Environmental Initiative Award from the SEAL Business Sustainability Awards. This accolade is a testament to the company’s leadership, innovation, and unwavering commitment to sustainability.

Educational and Operational Excellence

A critical aspect of Aterro Zero’s success is the continuous education and training of both operational and administrative teams, along with outsourced firms handling waste management tasks. Proper waste segregation is vital to ensuring that 100% of the material is reused or recycled, aligning with the initiative’s ambitious goals.

The Bigger Picture

By eliminating the need to send waste to landfills, DP World Brazil is actively preventing methane and carbon dioxide emissions—significant contributors to the greenhouse effect in urban areas. This approach not only addresses environmental concerns but also sets a new standard in the industry, positioning DP World as a leader in global port operations and environmental responsibility.

Looking Forward

As we continue to confront global environmental challenges, DP World Brazil’s Aterro Zero initiative serves as a beacon of what is possible when companies integrate sustainability into their core operations. It’s a clear demonstration of how innovative thinking and responsible management can turn waste—often seen as a problem—into a valuable resource for the betterment of our planet and future generations.

Learn more about DP World’s Aterro Zero initiative.

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