Happy February. We’re optimistic for a good month ahead. Just check the calendar—it’s symmetrical. The 1st falls on a Monday and the 28th on a Sunday.
In today’s edition:
💡 A breakthrough for ESG metrics at Davos
🦏 Saving Rhino’s with e-motorbikes
✈️ The future of sustainable flying fuel
Big Business (2-minute read)
Davos Conference sees a breakthrough for Universal ESG Metrics
We’ve previously highlighted the challenges of the ‘alphabet soup’ of conflicting standards used to assess the Environmental, Social and Governance (ESG accounting) performance of organisations. Without a common methodology, investors can’t compare organisations on a “like for like” basis or assess progress. A breakthrough was made at Davos last week. 61 organisations, including McKinsey and Heineken, announced the adoption of the World Economic Forums & Big Fours’ ‘Stakeholder Capitalism Metrics’ – consisting of 21 criteria focused on the people, planet, prosperity and governance.
Let’s not count our chickens: Head of Blackrock, Larry Fink, reaffirmed the need for a ‘universal ESG standard’ in his open letter to CEO’s. Yet Blackrong, along with one-third of the International Business Council, still adopt different ESG metrics (SASB and TCFD). In the words of EY’s CEO “This is not the end, it’s the beginning,”.
The Science Based Target Initiative (SBTi) = corporate climate action
Who: The (SBTi) is a partnership between the United Nations, World Resources Institute (WRI) and WWF driving private sector climate action through science-based targets (SBTs).
How: SBTs give companies a pathway to reduce greenhouse gas (GHG) emissions. Targets are ‘science-based’ if climate scientists agree they support the goals of the Paris Agreement. (What goals?)
Result: A new study shows the SBTi is driving emission reduction. Companies with SBTs (like Nestle and Procter & Gamble) slashed emissions 2% more than expected at an annual rate of 6.4%. With SBTi proving a success, more companies are jumping on the bandwagon. Adoption doubled in 2020 as Amazon and Facebook joined 1,000+ companies now setting SBTs.
A busy week for Shell’s renewable game
They waded further into the electric vehicle (EV) infrastructure having agreed to snap-up the UK’s largest EV charge point company Ubitricity. They will also acquire a controlling stake in a 300MW floating wind farm project planned for the Celtic Sea. All contributing to their net-zero before 2050 goal.
🤖 Future of Tech (1-minute read)
A Ground S’well of circularity
Many products are still being designed with little thought towards circularity, meaning many brands are struggling to progress with reducing single-use plastics and waste. It’s an opportunity that reusable bottle producer, S’well, is tapping into by creating a sustainability-as-a-service platform: Ground S’well. S’well partners with organisations and offers expertise in circular or reusable product development. Collaboration means brands can go to market faster and reach more consumers in the process. There’s benefits for S’well too: partnering with big brands means access to new customers for their base products, all while promoting behavioural changes towards circularity.
Electric Motorbikes – The Sound of Silence key for catching Poachers
166 rhinos were poached in South Africa during the first six months of 2020. Swedish electric motorcycle company Cake has launched the Kalk AP, developed to help rangers protect wildlife in the African bush. The AP omits almost no sound so as not to alert the poacher, or disturb the local habitat. Crucially, each bike has its own solar panel kit so it can operate in the depths of the African bush independent from a power grid. This allows rangers to stay mobile where they are needed the most. Better yet, The AP is available under a “buy-one-give-one” campaign, with every consumer bike sold donating a twin bike to one of the 25 national parks involved in the campaign.
🤿 Deep Dive (1-minute read)
Breaking down Boeing’s 2030 sustainable fuel goals
In the news: Boeing Co announced last week it will begin delivering commercial airplanes capable of flying on 100% sustainable aviation fuels (SAF) by the end of the decade.
Why SAF? As travel and tourism ramp up, aviation will again produce about 3% of global carbon emissions. Electric and hydrogen-powered aircraft could still be 10+ years off and will initially be limited to smaller aircraft. SAF fuels (synthesised from renewable feedstocks such as waste, animal fats and agricultural residue) have already fueled more than 250,000 commercial flights and are fully compatible with existing aircraft.
Challenges:
Supply – In 2019, fewer than 200,000 tons of SAF were produced globally, a tiny fraction of the 300 million ton demand.
Price – SAF today is more than double the cost of conventional fuels
Regulation – whilst SAF’s are currently used, current fuel safety regulations demand they must be mixed 50/50 with conventional jet fuel
Supporting the Change: As the SAF industry innovates, costs will decline. Facilities will scale, technologies will mature, and inputs such as green electricity will become cheaper. To drive this several advances will be required:
Little Bytes
Quote: “Climate risk is investment risk” Larry Fink, CEO, Blackrock
Stat: ‘71% jump in electric vehicle purchases projected for 2021’ Blastpoint
Watch: This 2 acre vertical farm produces the same as 720 acres of field
Quiz – Match Made in Heaven
Can you match the celebrities with their sustainable endeavours:
A) Robert Downey Jr. (Iron Man)
B) Nico Rosberg (F1 Champion)
C) Leonardo DiCaprio
D) Pharrell Williams
1) Recycled Plastic Fashion Brand
2) A Save the Porpoise organisation
3) ESG Fund
4) Sustainable Super Yachts
🗞 In other news…
German city tests wind and waterproof sleep pods for the homeless
10 battery-powered flying taxi stations planned for Florida
Autonomous, fruit-picking, flying robots
- Apple Job postings give further credence to electric car rumours
Answers
Nico Rosberg – Sustainable Super Yachts
Pharrell Williams – Recycled Plastic Fashion
Robert Downey Jr. – ESG fund
Leonardo DiCaprio – Save the Porpoise
