Presentation: Firms on the Road to Net Zero, by Ralph De Haas, Director of Research, EBRD (PDF)
In line with commitments under the Paris Agreement, many countries are aiming for net zero carbon emissions by 2050. This green transition will require massive corporate investments in cleaner technologies to reduce firms’ carbon footprint. Against this background, large companies like Apple, BP, and British Airways have recently committed to climate neutrality. In emerging markets, some firms have started to do the same. Examples include PKN Orlen in Poland and Tesco Hungary. Unfortunately, not all companies, especially smaller ones, are able or willing to invest in cleaner technologies. This talk will draw on a variety of firm-level data sources in Europe and Central Asia region to explore how financial and managerial constraints are holding back firms from making green investments and how this may thwart countries’ ambitions to become carbon neutral over the next decades.