Welcome to the second part of our series on Carbon Reporting for Businesses in Southeast Asia. In Part 1, we spotlighted the importance of carbon reporting in the region and discussed about reporting regulations in both Malaysia and Singapore. In Part 2 here, we will dig deeper into setting goals, as well as best practices to report your greenhouse gas (GHG) emission data.
Reducing GHG Emissions: More than just Good Business Sense
Reducing GHG emissions not only makes good business sense but also benefits the environment and local communities. The impact of climate change caused by excessive GHG emissions has been devastating. Extreme weather conditions, rising sea levels, and declining air quality have affected many communities worldwide, and Southeast Asia is not spared. According to the Asian Development Bank (ADB), climate change, if left unchecked, could cut 11% off Southeast Asia’s GDP by the end of the century, taking a toll on key sectors such as agriculture, tourism, and fishing, further affecting human health and labour productivity. This is an urgent call for businesses to understand how their carbon footprint directly affects the environment and the people living in the region.
Setting SMART GHG Reduction Goals
Companies must first understand how to measure and track their emissions to reduce GHG emissions. With this information on-hand only then can you set goals to reduce them. Targets should be ambitious but achievable and align with your overall sustainability goals. By setting both short-term and long-term targets, you can ensure that you’re making steady progress towards a more sustainable company, and future. Here are some practical ways to get started:
- Conduct a GHG emissions inventory to understand the sources and amounts of emissions. Analysing the data can help companies identify the most significant contributors to GHG emissions and develop a targeted strategy to reduce them.
- Identify areas of reduction, such as energy efficiency measures, renewable energy sources, or investing in low-emission technologies.
- Set specific, measurable, achievable, relevant, and time-bound (SMART) goals for reducing GHG emissions. For example, reducing emissions by 30% over the next five years.
- Monitor and track progress consistently to stay on track and make necessary adjustments to achieve the set targets.
Communicating Carbon Reduction Efforts Effectively
Reporting and communicating carbon emissions data to stakeholders is crucial. Effective communication about carbon reduction efforts can help your business connect with customers and stakeholders on a deeper level. Here are some best practices for effective communication:
- Use sustainability reports, websites, and social media to spread the word about your company’s journey towards carbon reduction.
- Include carbon reporting in annual reports or financial statements to show commitment towards sustainability.
- Share successes and challenges transparently while focusing on the actions taken to reduce emissions.
- Listen to feedback and suggestions through engagements with stakeholders. Encourage stakeholders to share their opinions and suggestions to improve the business’s carbon reduction efforts.
In conclusion, reducing GHG emissions is not just a compliance requirement but a moral obligation that your business owes to the planet and future generations. By taking action to set ambitious GHG reduction goals and effectively communicating their carbon reduction efforts, businesses in Southeast Asia can make a positive impact on the environment and the communities. By investing in sustainable practices, your business can help create a better and more sustainable future. It is time for your business to step up, take action and lead the way towards a greener, healthier planet.
