India has recently been recognized as one of the top countries in carbon emission reporting, with 12% of Indian companies actively reporting emissions compared to the global average of 9%. This places India alongside Brazil and China in terms of reporting standards. In addition to reporting, Indian companies are also leading in target setting for reducing emissions, with 24% of companies setting targets compared to the global average of 16%.
The BCG X CO2 AI Global Report highlights India’s commitment to reducing emissions in line with the 1.5°C Paris Agreement. The report indicates that 15% of Indian companies are meeting their emission reduction targets, which is higher than the global average of 11%. According to Anirban Mukherjee, Managing Director Lead, Climate and Sustainability at BCG India, Indian companies are making significant strides in reducing their carbon footprint and realizing financial benefits through decarbonization efforts.
The Carbon Emissions Survey conducted by BCG and CO2 AI involved 1864 executives overseeing their company’s emission measurement, reporting, and reduction initiatives. These executives represented 16 major industries across 26 countries, collectively responsible for approximately 45% of global greenhouse gas emissions. Despite the importance of emissions reduction, the survey results show that only 9% of companies have comprehensive reporting, 16% have set targets across all three emission scopes, and 11% have achieved emissions reductions in line with their goals.
The report highlights a decrease in companies taking essential steps towards decarbonization compared to previous years. Diana Dimitrova, a BCG managing partner and director, emphasizes the importance of companies seizing financial gains from decarbonization by mastering foundational actions such as measurement, reporting, target setting, and sustainability initiatives. By taking these steps, companies can become more efficient, profitable, and demonstrate a stronger commitment to a greener future.
Overall, India is emerging as a global leader in decarbonization, with its commitment to reducing emissions and meeting targets in line with the Paris Agreement. Indian companies are not only reducing their carbon footprint but also realizing financial benefits from their decarbonization efforts. It is imperative for companies to prioritize measurement, reporting, target setting, and sustainability initiatives to achieve their emissions reduction goals and contribute to a greener future.
