Creating an enabling environment

Creating an environment to enable net zero

We are advocating at all levels for policies that support our decarbonisation plans.

A net zero policy pathway

We are committed to ensuring our new products will be compatible with net zero operation by 2030, and all our products compatible by 2050.

Our ability to decarbonise our activities depends on two external factors: the pace of technological progress, and the policy frameworks in which we operate. These are beyond our control. We have, however, identified a series of principles and actions that, together with our work with policymakers and other partners, will help lay the foundations that will allow us to meet our decarbonisation ambition.

Our net zero policy principles

The products and services we supply play key roles in transport, energy and the built environment.

Governments, industry bodies and companies must work together to establish policies to facilitate the decarbonisation of these complex, critical systems. We will advocate for policies to drive progress towards net zero, based on five core principles. These are aligned with The Climate Group’s framework for decarbonising heavy industry and the sector breakthrough goals of the UN Race to Zero campaign.

Global collaboration - Governments must both lead nationally and work together to establish consistent regulatory and operating landscapes that help drive down emissions.

Trust in technology - While offsetting may have short-term roles, the development and adoption of low, zero and ultimately net negative emission technologies should be prioritised. Policies that stimulate innovation and public funding of R&D are needed.

Inclusive growth - The policy changes and investments made to help achieve net zero must create green and inclusive growth and job opportunities. They must also form the basis of a just transition, particularly in the aftermath of the COVID-19 pandemic.

Net zero lifecycles - Policies should drive demand for low carbon products, measured across their lifecycles, and incentivise circular, resource-efficient business practices. They should protect biodiversity, human health, social mobility and economic growth and must not have inadvertently negative impacts on developing economies.

Financing net zero - Public R&D spending can accelerate the development of net zero technologies, attract private investment and drive deployment to reduce costs. Appropriate carbon pricing can play an important role in levelling the economics of decarbonised systems.

National net zero policies
Governments and other policymakers have critical roles to play in creating the policy frameworks needed to support the global transition to net zero.

The contract between national government and business drives the pace at which low and zero-carbon technologies can be implemented. We believe governments can lay the groundwork for further action by companies by making ambitious, technology-led commitments to address climate change.

We will work actively to help create policy environments that support the development and scaling up of low and zero-emission technologies. Governments can help us deliver our decarbonisation strategy, acting variously as customers; research, technology and development funders and supporters; policymakers and regulators; convenors; and promotors of net zero technology exports.

Teaming up to cut emissions

We are proud to have joined the UN Race to Zero campaign and of our commitment to the target of net zero carbon by 2050. The technologies we are investing in are critical to the delivery of this global ambition.

We cannot, however, meet our commitments alone. Doing so will require many collaborations, at different levels, across borders, sectors and companies.

We are working closely with our industry partners, seeking new technological collaborations, but also on sector-level net zero goals and policies. In addition, we are reviewing the positions of the trade associations and industry groups we are members of to ensure they align with our climate commitments.

Our technologies sit at the heart of many complex and critical systems. We will continue to play a role in convening partners who together can drive convergence around technological solutions. We are committed to working relentlessly across sectors and borders, with customers and other partners at all levels, to achieve the critical system breakthroughs required to achieve our net zero ambitions.

We are committed to playing our part in the global journey to net zero. Undoubtedly the very nature of this transition will mean that there may be general and sector-specific circumstances which will influence the output from our roadmap. These are set out in our full net zero report. We also recognise that we must be prepared and able to adjust our decarbonisation ambitions in the context of the changing landscape.