Net Zero

What is net zero?

Net zero refers to balancing the greenhouse gases emitted with the amount removed from the atmosphere, resulting in no net increase. In simple terms, net zero is achieved when an organization, country, or product has no overall impact on atmospheric CO? and other greenhouse gases. This involves cutting emissions as close to zero as possible and offsetting any remaining emissions through carbon removal methods, such as reforestation or technological solutions.

Importance of net zero

Net zero is important because it limits global warming, reduces climate risks, and support sustainable growth. 

Achieving net zero targets helps:

• Minimize impact of extreme weather changes while protecting local ecosystems 
• Employ energy-efficiency techniques and measures to lower long-term operating costs
• Advance innovation in clean energy, storage, and low-carbon technologies
• Meet regulatory and investor expectations pertaining to climate action and ESG
• Lead to increased resilience and brand trust across supply chains

Uses of net zero

Net zero initiatives are applied in various ways, including:

• Implementing company-level climate programs
• Achieving decarbonization across the supply-chain 
• City and national targets for power, transport, and buildings
• Product-level initiatives, such as net-zero services or events with verified accounting
• Investment strategies aligned with low-carbon portfolios and transition plans

Examples of net zero

Some practical examples of net zero include:

• Companies dedicated to achieving net zero targets by 2050 or earlier
• Power companies and discoms transitioning to renewable generation as well as battery storage and smart grids
• Real estate portfolios electrifying HVAC, improving insulation, and sourcing green power
• Electrification of public transport and green hydrogen pilots for heavy industry
• Municipal corporations combining rooftop solar, EV charging, and energy-efficient retrofits