Net zero describes the cutting of emissions and the use of other strategies, such as carbon storage, to reduce greenhouse gases to as close to zero as possible. An increasing number of companies, countries, cities, and institutions are pledging to be net zero by specified target dates, with an array of complex plans. It is difficult to completely cut greenhouse gas emissions, so any remaining would be removed from the atmosphere by oceans, forests, and human-made strategies.
Net Zero
What does net zero mean?
- Net zero is the reduction of greenhouse gas emissions to as close to zero as possible.
- Any remaining greenhouse gases emitted by committed net-zero institutions should be reabsorbed from the atmosphere.
- The Intergovernmental Panel on Climate Change concluded that we must achieve net zero globally by 2050 to remain under the 1.5 degrees Celsius increase limit set for global warming in the Paris Agreement.
- An increasing number of companies, countries, cities, and institutions are pledging to be net zero by specified target dates.
- More than 70 countries, including the biggest polluters, China, the United States, and nations in the European Union, have set net-zero targets. These commitments cover 76% of global emissions.
- More than 3,000 businesses and financial institutions are working to reduce their emissions to be in line with climate science targets.
- More than 1,000 cities, 1,000 educational institutions, and over 400 financial institutions have committed to halving their emissions by 2030.
- The Net-Zero Asset Owner Alliance is a group of international asset owners committed to transitioning their portfolios to net zero by 2050. As of December 2022, there are 301 signatories and $59 trillion in assets under the management of signatories.
- Transitioning to net zero is a significant challenge and changes the way we produce, consume, and live.
- Current net-zero commitments fall short of what’s necessary to prevent an increase of greater than 1.5 degrees Celsius from preindustrial levels.