Private firms are trailing behind public companies on their paths to net zero, new research shows.
The research, published by the Net Zero Tracker initiative, reveals that private firms lag behind public companies on setting net zero targets as well as the ‘integrity’ of their strategies to hit net zero targets.
It found that two-fifths (40) of the world’s largest private companies have set net zero targets, compared with seven-tenths (70) of the world’s largest public companies.
Furthermore, it found more than half (52) of the world’s largest private companies have set emission reduction targets, compared with 82 of the world’s largest public companies.
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It also found only four of the world’s largest 10 private companies have set net zero targets, compared with nine of the world’s 10 largest public companies.
The report says: “This report shows that dozens of private companies in the largest markets in the world — the EU, the US and China — still do not have net zero or emission reduction targets in place.
“As regulatory systems ramp up, staying silent on net zero increases transition risks for themselves, and undermines genuine emission-cutting efforts by nations and other non-state entities.”
A report from the Energy and Climate Intelligent Unit, with analysis provided by CBI Economics and The Data City showed the UK’s net zero economy grew by 9% in 2023, its total gross value standing at £74bn.
