The Blowing Winds of Change - Managing Your Carbon Landscape
The Blowing Winds of Change - Managing Your Carbon Landscape
Many of the world’s largest cities are vulnerable to intolerable levels of heat if global warming continues to breach the 2°C limit from pre-industrialization levels. Cities could be experiencing days of unbearable heat each year, with average temperatures having surged by approximately 1.3°C in the past few decades.
These concerns have shaped the Conference of Parties 28 (COP 28)’s landmark agreement on transitioning from fossil fuels to renewable energy sources and has put the spotlight on the Middle East. The Middle East has often been subjected to scrutiny for perpetually ranking among the highest contributors of greenhouse gas emissions since the time of the United Nations Framework Convention on Climate Change (UNFCCC) , the Kyoto, Copenhagen and Paris conventions. It is evident that the impending shift from traditional association with fossil fuels, to cleaner energy will have to be made sooner than later and The State of Kuwait is no exception.
Kuwait has introduced a number of initiatives relating to energy efficiency. There is a plan to generate a minimum of 15% of electrical energy from renewable sources by 2030. Major projects to achieve this target include Subiya water storage project and Alshagaya renewable energy project. The country has also invested in wastewater treatment plants.
There is also an increasing focus on sustainable finance in Kuwait and the wider GCC. New regulations and guidance have been issued to support green bonds, green loans, including sustainability-linked bonds and loans, and environmental risk assessments for financing.
Businesses have an economic imperative and an ethical responsibility to pursue and ensure a sustainable and equitable world. With their influence to inspire, educate and lead a continuous movement for sustainable business, businesses can use sustainability to create value by improving financial performance, while lowering operational carbon emissions, resulting in healthy living and working environments and equitable and just outcomes for stakeholders.
Stakeholders are not only expecting businesses to comply with existing regulatory and regional requirements but also desire that businesses look at sustainability as a tool for improving their operations. This requires the understanding of specific sustainability needs of an organization and providing valuable insights and solutions to the challenges and opportunities associated with reducing carbon footprint. This includes working with all agents within the value chain, to make ethical choices for reducing the carbon footprint.
It is imperative to work with trusted advisors on validating research that has found to positively impact a company’s carbon outlook. As a signatory to the Net Zero Financial Service Providers Alliance (NZFSPA) 2021, BDO has made a commitment to support the goal of net-zero greenhouse gas emissions by ‘2050 or sooner’. BDO works with organizations to support their journey towards sustainable business practices.
How BDO Can Help
Whether your organization is at the beginning of a sustainability self-assessment, adapting your ESG reporting to comply with new regulations, developing a net-zero roadmap, or designing a long-range climate change mitigation plan, we will meet you where you are.
BDO can support organizations with their sustainability and ESG roadmap through the following solutions:
1. ESG Strategy
Integrating sustainability into core business strategy and prioritizing sustainability initiatives with the most significant social and environmental impacts on the business and stakeholders. This can be done through maturity and double materiality assessments.
2. ESG Disclosure and Reporting
Streamlining data collection, analysis, utilizing frameworks like GRI, TCFD, SASB, IIRC to ensure transparent and comprehensive disclosure of ESG performance.
3. Risk & Resilience
Conducting comprehensive risk assessments to evaluate potential ESG risks to business operations and implementing strategies to mitigate, adapt to and build resilience to the identified risks.
4. Sustainable Finance
Utilizing instruments such as sustainability-linked loans and bonds for aligning financial activities with environmentally responsible practices to achieve net-zero emissions.
5. Sustainable Supply Chain
Working with suppliers to reduce emissions in the supply chain encourages sustainable practice, setting emission reduction targets, and considering the carbon footprint of products and services.
6. Low Carbon Pathway
Preparing a comprehensive GHG emissions inventory and developing a net-zero strategy by setting goals as well as implementing actions for emission reduction by improving energy efficiency, transitioning to renewable energy sources, implementing sustainable practices, and considering circular economy principles.
7. Capacity Building
Engaging and training employees in the net-zero journey as well as increasing awareness and expertise of the board and management to enhance governance processes.
These concerns have shaped the Conference of Parties 28 (COP 28)’s landmark agreement on transitioning from fossil fuels to renewable energy sources and has put the spotlight on the Middle East. The Middle East has often been subjected to scrutiny for perpetually ranking among the highest contributors of greenhouse gas emissions since the time of the United Nations Framework Convention on Climate Change (UNFCCC) , the Kyoto, Copenhagen and Paris conventions. It is evident that the impending shift from traditional association with fossil fuels, to cleaner energy will have to be made sooner than later and The State of Kuwait is no exception.
Kuwait has introduced a number of initiatives relating to energy efficiency. There is a plan to generate a minimum of 15% of electrical energy from renewable sources by 2030. Major projects to achieve this target include Subiya water storage project and Alshagaya renewable energy project. The country has also invested in wastewater treatment plants.
There is also an increasing focus on sustainable finance in Kuwait and the wider GCC. New regulations and guidance have been issued to support green bonds, green loans, including sustainability-linked bonds and loans, and environmental risk assessments for financing.
Businesses have an economic imperative and an ethical responsibility to pursue and ensure a sustainable and equitable world. With their influence to inspire, educate and lead a continuous movement for sustainable business, businesses can use sustainability to create value by improving financial performance, while lowering operational carbon emissions, resulting in healthy living and working environments and equitable and just outcomes for stakeholders.
Stakeholders are not only expecting businesses to comply with existing regulatory and regional requirements but also desire that businesses look at sustainability as a tool for improving their operations. This requires the understanding of specific sustainability needs of an organization and providing valuable insights and solutions to the challenges and opportunities associated with reducing carbon footprint. This includes working with all agents within the value chain, to make ethical choices for reducing the carbon footprint.
It is imperative to work with trusted advisors on validating research that has found to positively impact a company’s carbon outlook. As a signatory to the Net Zero Financial Service Providers Alliance (NZFSPA) 2021, BDO has made a commitment to support the goal of net-zero greenhouse gas emissions by ‘2050 or sooner’. BDO works with organizations to support their journey towards sustainable business practices.
How BDO Can Help
Whether your organization is at the beginning of a sustainability self-assessment, adapting your ESG reporting to comply with new regulations, developing a net-zero roadmap, or designing a long-range climate change mitigation plan, we will meet you where you are.
BDO can support organizations with their sustainability and ESG roadmap through the following solutions:
1. ESG Strategy
Integrating sustainability into core business strategy and prioritizing sustainability initiatives with the most significant social and environmental impacts on the business and stakeholders. This can be done through maturity and double materiality assessments.
2. ESG Disclosure and Reporting
Streamlining data collection, analysis, utilizing frameworks like GRI, TCFD, SASB, IIRC to ensure transparent and comprehensive disclosure of ESG performance.
3. Risk & Resilience
Conducting comprehensive risk assessments to evaluate potential ESG risks to business operations and implementing strategies to mitigate, adapt to and build resilience to the identified risks.
4. Sustainable Finance
Utilizing instruments such as sustainability-linked loans and bonds for aligning financial activities with environmentally responsible practices to achieve net-zero emissions.
5. Sustainable Supply Chain
Working with suppliers to reduce emissions in the supply chain encourages sustainable practice, setting emission reduction targets, and considering the carbon footprint of products and services.
6. Low Carbon Pathway
Preparing a comprehensive GHG emissions inventory and developing a net-zero strategy by setting goals as well as implementing actions for emission reduction by improving energy efficiency, transitioning to renewable energy sources, implementing sustainable practices, and considering circular economy principles.
7. Capacity Building
Engaging and training employees in the net-zero journey as well as increasing awareness and expertise of the board and management to enhance governance processes.
Contact Details
If your organization require assistance with any of the above items, please email our ESG help desk at esg@bdo.com.kw or feel free to directly reach out to any of the following:| Ketan Puri | Arjun Chaudhuri | Tahseen Abuzaineh |
| Senior Manager Advisory Services |
Manager Sustainability Services |
Assistant Manager Sustainability Services |
| Ketan.Puri@bdo.com.kw | arjun.chaudhuri@bdo.com.kw | tahseen.abuzaineh@bdo.com.kw |