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A Multicriteria Methodology to Evaluate Climate Neutrality Claims—A Case Study with Spanish Firms

Author

Listed:
  • Iker Larrea

    (Global Factor, Colón de Larreátegui, 26, Planta 1, 48009 Bilbao, Spain)

  • Jose Manuel Correa

    (Global Factor, Colón de Larreátegui, 26, Planta 1, 48009 Bilbao, Spain)

  • Rafaella López

    (School of Sciences, Universidad de Navarra, 31080 Pamplona, Spain)

  • Lidia Giménez

    (Global Factor, Colón de Larreátegui, 26, Planta 1, 48009 Bilbao, Spain)

  • Kepa Solaun

    (Global Factor, Colón de Larreátegui, 26, Planta 1, 48009 Bilbao, Spain
    School of Sciences, Universidad de Navarra, 31080 Pamplona, Spain)

Abstract

Net-zero pledges have become a paradigm of ambitious climate change action for companies, governments, and other organisations. However, there is no international standard or criteria to assess whether those commitments are feasible or truly represent a landmark in low carbon performance. In this paper, a methodology is proposed against which those statements can be quantified and assessed. The methodology was applied to Spanish companies that report to the Carbon Disclosure Project and showed that the biggest areas for improvement are the design of action plans, calculation, and offsetting. From a sectoral perspective, the energy sector, finance, and other services stood out as those with the highest scores. The food, beverages and tobacco, industry, and the entertainment industry obtained the lowest results. From a technical standpoint, strategy and commitment, calculation and scope, and communication are the areas where companies had the highest average scores. On the contrary, offsetting and action plans are the areas with the greatest room for improvement. Still, actual commitments are not enough to meet international climate neutrality objectives in the long-term and companies should continue to work in this direction. An enabling regulatory framework would be very useful to align private and public action in this area.

Suggested Citation

  • Iker Larrea & Jose Manuel Correa & Rafaella López & Lidia Giménez & Kepa Solaun, 2022. "A Multicriteria Methodology to Evaluate Climate Neutrality Claims—A Case Study with Spanish Firms," Sustainability, MDPI, vol. 14(7), pages 1-13, April.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:7:p:4310-:d:787252
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    References listed on IDEAS

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    1. Jannik Giesekam & Jonathan Norman & Alice Garvey & Sam Betts-Davies, 2021. "Science-Based Targets: On Target?," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    2. K. Dhanda & Laura Hartman, 2011. "The Ethics of Carbon Neutrality: A Critical Examination of Voluntary Carbon Offset Providers," Journal of Business Ethics, Springer, vol. 100(1), pages 119-149, April.
    3. Joeri Rogelj & Oliver Geden & Annette Cowie & Andy Reisinger, 2021. "Net-zero emissions targets are vague: three ways to fix," Nature, Nature, vol. 591(7850), pages 365-368, March.
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