Governments around the world are planning trillions of dollars in post-COVID-19 economic recovery plans. In the coming weeks, several major economies will make crucial decisions on their plans. And the voices of industry are becoming increasingly clear. Last week, at the virtual "LEAD Climate 2020" initiative, the Coalition for Environmentally Responsible Economies (CERES), along with over 250 business leaders and investors, called on the US Congress to lay the foundation for a more resilient and sustainable post-COVID-19 economy. Then, on the 20th, industry continued to respond to these calls. 155 multinational corporations, with a combined market capitalization exceeding $2.4 trillion and employing over 5 million people, responded to the call of the "Under2" coalition, composed of 220 national and regional governments, and issued a joint statement urging governments worldwide to base their post-pandemic recovery plans on the latest climate science.
Signatories to the statement include Adobe, Burberry, Carlsberg Group, Coca-Cola European Partners, Colgate-Palmolive, Electrolux, H&M, HP, Mars, Nestlé, Salesforce, and Unilever, all members of the Science Based Targets initiative (SBTi) and its Business Ambition for 1.5°C. Leaders from all walks of life are increasingly calling for a more forward-looking and economically future-proof policy approach—one that limits warming to 1.5°C and achieves a zero-carbon economy, consistent with a net-zero emissions target by 2050. In the coming weeks, several major economies will make major decisions on recovery plans, including the European Union's recovery plan, new recovery plans from the United States and India, and the G7 meeting in June.
A study published by Oxford University earlier this month showed that revitalization policies that simultaneously respond to the COVID-19 and climate crises will improve socio-economic resilience, making it more resilient to future shocks and disasters while also creating jobs, reducing emissions, and significantly improving air quality.
According to the SBTi Impact Report published last December, of the hundreds of companies worldwide working to achieve science-based emission reduction targets through SBTi (collectively emitting more than 752 million tons of carbon dioxide equivalent annually, more than the combined annual emissions of France and Spain), if 285 of them fulfill their commitments, they would be able to reduce emissions by 265 million tons of carbon dioxide equivalent, roughly equivalent to shutting down 68 coal-fired power plants, and achieving an average annual reduction of 35% compared to base year emissions. "It is imperative that we not only restart the world economy, but fundamentally reset it," said Dr. Andrew Steer, President and CEO of the World Resources Institute. "It would be tragic if, after spending $10-20 trillion in public funds, we simply rebuild the same unequal, fragile, and high-carbon economy as before. We commend the leaders of these 155 companies for not only committing to rebuilding their own companies but also for demanding that governments around the world act according to the best science and economics. This will create more jobs, strengthen resilience to shocks, and boost economic growth."
Source: Environmental Information Centre
