Sustainability & Energy Transition

Businesses in all sectors are increasingly expected to identify and disclose Environmental, Social, and Governance (ESG) risks, report performance on material ESG topics, and develop and communicate improvement plans. Stakeholders, including employees, customers, suppliers, governments, and communities want companies to be sustainable. Perhaps more importantly, investors expect management teams to recognize and respond to ESG risks and opportunities, meaning ESG must be a core consideration when developing corporate strategies.

Indeed, the estimated total size of ESG assets under management is expected to reach $53 trillion USD globally (Bloomberg Intelligence). This reflects a >3x increase from 2014 levels of $16 trillion USD. Similarly, approximately 80% of investors view ESG as a major factor when making investment decisions. As a result, ESG and sustainability are at the top of management team agendas in every sector and region. Companies who excel at building sustainable businesses are likely to create competitive advantages, access capital at more favorable terms, attract the best talent, and, in some sectors, preserve and strengthen their license to operate.

To help our clients address these challenges and opportunities, Carnrite Group has built a suite of sustainability service offerings:

• ESG Materiality Assessments – engaging stakeholders to help you identify and prioritize ESG risks and opportunities
• Sustainability Strategy – developing and communicating coherent, ambitious, and pragmatic sustainability strategies
• Sustainability Roadmaps – identifying, scoping, and prioritizing the action needed to address high-priority ESG topics
• Reporting and Disclosures – assisting with sustainability reporting, TCFD disclosures, and more
• Sustainable Operating Model – integrating sustainability into your organization’s existing ways of working

Additionally, we formed a partnership with Persefoni, the leading climate disclosure, and carbon management software solution. In July 2022, we launched a service called Footprint Data Services (FDS), where our consultants support Persefoni’s customer’s climate journeys by helping them collect, format, and upload data into the Persefoni platform. “One of the most time-intensive parts of any carbon accounting process is identifying, sourcing, and readying data to be usable for calculations. Carnrite Group has developed deep expertise that allows them to deliver a service for our customers that significantly reduces their time spent going through a carbon accounting process”, said Kentaro Kawamori, Persefoni CEO.

Emissions-intensive sectors such as oil and gas, power, mining, and manufacturing face unprecedented external pressure to demonstrate both ESG and financial performance. Investors, lenders, employees, governments, consumers, and the public are increasingly concerned about climate change and demanding a lower carbon future. 

Developed economies are largely driving the Energy Transition, with governments committing to reduction targets without fully articulating the risks and costs. However, developing economies account for two-thirds of global CO2 emissions. These economies have the unenviable task of balancing climate change concerns with the need to provide growing populations with low-cost energy. 

We are pragmatic about the Energy Transition, acknowledging that oil and gas will be integral to meeting the world’s energy needs for decades. At the same time, the Energy Transition is accelerating, and companies must form and communicate clear strategies, reduce emissions, and build sustainable business models. In any massive disruption – and the Energy Transition certainly qualifies – there are costs, but also new opportunities.

We help you understand the Energy Transition, confidently address the risks, uncertainties, and opportunities it presents, set clear targets, and devise winning strategies. We have built a team of experts to help you measure, monitor, reduce, and offset your company’s greenhouse gas emissions while executing low carbon and new energy projects.

• Energy Transition Strategy – helping you form, implement, and communicate achievable, value-creating Energy Transition strategies
• Low Carbon Projects – contributing our expertise to help you plan, finance, and execute CCS/CCUS, geothermal, and renewable energy projects
• Emissions Inventories – calculating your emissions and establishing a methodology for the future
• Measurement & Reporting – leveraging our partnerships to systematically calculate, report, and disclose your emissions

Our support of low carbon projects includes developing and implementing project roadmaps, evaluating available commercial models and financing structures, modeling project economics in various carbon tax and incentive schemes, identifying value chain partners and brokering strategic relationships, and providing end-to-end project management support.