By 2024, 70% of utilities will use dedicated sustainability software-as-a-service (SaaS) platforms to carefully track and report Scope 1 and 2 emissions, and estimate Scope 3 emissions. This increase underscores efforts to comply with regulatory and financial disclosure requirements. Each step towards net zero represents not just a regulatory achievement, but collective progress towards a world where precise energy balance, environmental conservation and economic prosperity are combined.
While the environmental component often takes center stage, given the pressing and tangible issues of climate change, ESG issues encompass a broader range of concerns and opportunities. The pursuit of net-zero emissions is closely linked to broader environmental, social and governance goals, painting a complete sustainability picture that goes beyond environmental considerations to include social well-being and ethical governance.
Net zero goals focus on reducing greenhouse gas emissions to mitigate the effects of climate change. It requires a team effort that requires integration with broader ESG goals. It involves adopting technologies and practices that are not only environmentally friendly, but also socially responsible and governed by ethical frameworks.
In the energy sector, the convergence between net zero and ESG brings multifaceted benefits. Aligning regulatory strategies with global sustainability imperatives, increasing the sector’s contribution to climate change mitigation and social well-being. This convergence fosters innovations that are not only environmentally sound, but also improve energy access, affordability, and reliability.
