Are FTSE 100 companies doing enough to combat climate change? The answer, according to a recent report by EY, may shock you. Despite growing concerns over the environment and calls for action from activists around the world, it seems many of these top UK businesses are falling short in their efforts to transition to a more sustainable future. In this blog post, we’ll explore the findings of the EY report and what they mean for our planet’s future. Get ready for some eye-opening revelations!
The findings of the EY report
The EY report on climate transition plans of FTSE companies reveals some shocking truths. Firstly, only one in seven companies have a plan that extends beyond the next five years, and secondly, almost 60% of those surveyed do not think they will be able to fully transition to a low-carbon economy. This is a huge problem, as the world needs to urgently decarbonize in order to avoid the worst impacts of climate change.
There are many reasons why companies are struggling to transition to a low-carbon economy. One major barrier is the lack of available technology and infrastructure. For example, there are currently no commercially viable alternatives to fossil fuels for powering heavy industry or long-distance transport. Another challenge is the high cost of low-carbon technologies, which often requires significant upfront investment. Additionally, many business models are based on polluting activities, so changing them can be difficult and disruptive.
However, the EY report also found that there are some companies that are successfully making the transition. These companies tend to have three things in common: strong leadership commitment, an integrated approach across the business, and long-term planning horizons. For example, one company that is successfully transitioning is Iberdrola, a Spanish utility company. Iberdrola has been investing heavily in renewable energy for over a decade, and now gets over half of its electricity from renewables. It has also developed an innovative business model that allows it to thrive in a low-
The reaction of the business world
EY’s report on the climate transition plans of FTSE companies is shocking. It reveals that, despite the Paris Agreement and the UK’s commitment to net zero emissions by 2050, many companies are not doing enough to transition to a low-carbon economy.
There are a number of reasons for this. Firstly, there is a lack of understanding of the issue among business leaders. Secondly, there is a lack of awareness of the risks associated with climate change. And thirdly, there is a lack of incentives for businesses to make the transition.
The report makes a number of recommendations, including: setting up an independent body to provide guidance on climate risks; increasing transparency around climate-related disclosures; and providing financial incentives for companies to make the transition.
It is clear that more needs to be done to ensure that businesses are prepared for the low-carbon economy. The government must take action now to avert an environmental and economic disaster.
What needs to be done to combat climate change
According to a new report from EY, many of the world’s largest companies are not doing enough to combat climate change.
The report, which surveyed 200 of the UK’s biggest listed companies, found that only 9% have made any kind of commitment to transition to a low-carbon economy.
This is despite the fact that the Paris Agreement, which was signed by 195 countries in 2015, calls for a global transition to a low-carbon economy by 2050.
The findings of the EY report are shocking, but they are not surprising. For years, climate change has been treated as an afterthought by businesses and governments alike. This needs to change if we are going to avoid catastrophic levels of warming.
There are a number of things that need to be done in order to combat climate change. Firstly, businesses need to start taking the issue seriously and start making commitments to transition to a low-carbon economy. Secondly, governments need to put in place policies that will incentivise businesses to make this transition. Finally, we all need to change our behaviour and consume less energy.
If we don’t take action on climate change now, it will be too late. We need to act now before it’s too late.
Conclusion
The EY report has revealed a shocking disparity between FTSE 100 companies and their climate transition plans. While many of the world’s largest companies have made ambitious promises, few are on track to meet them. This report serves as a wake-up call for those who need to take action now if they want their organizations to remain viable in the long run. Companies must create concrete plans and commit the necessary resources that will enable them to make meaningful progress on climate change. Failure to do so will only put our planet and its inhabitants at greater risk.
