MORE companies and businesses are setting net-zero targets than ever before, but many are also choosing not to publicise their work, a study by leading climate project developer and sustainability advisor South Pole has found.  (* see amendment note below)

Such “green hushing” could limit knowledge sharing and opportunities to work together in decarbonisation efforts, said South Pole, which examined more than 1,200 organisations in 12 countries.

Singapore shone in the study: Most of the companies surveyed had a net-zero target, and also publicised them; they were also among the most ambitious globally with their net-zero timelines.

In addition to Singapore, the study covered organisations in Australia, Belgium, Colombia, France, Japan, the Netherlands, Spain, Sweden, the United Kingdom, the United States and those in the Germany, Austria and Switzerland (DACH) region. The businesses came from a wide range of industries, with each having more than 1,000 employees on their payrolls.

South Pole found that 87 per cent of those surveyed globally had set a net-zero target; 67 per cent had also aligned this target with science-based emission-reduction milestones, or science-based targets (SBTs). Nearly 40 per cent of those without net-zero targets said they planned to set one by the end of 2023.  (** see amendment note below)

Giving them the opportunity to respond to stakeholder demands for low-carbon products and services was the most oft-cited reason by respondents for pursuing net-zero targets. More are also doing so to better understand supply-chain risks and to help build resilience against external shocks.

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About 2 per cent said that they did not have plans to set a net-zero target, citing reasons such as a lack of in-house capabilities, the belief that a net-zero target was not important to customers, and resistance from senior leadership.

South Pole also found that almost one-quarter (23 per cent) of all respondents said they have set an SBT, but do not plan to publicise it — a practice which South Pole said would make targets and achievements harder to scrutinise, and would limit knowledge sharing. This could potentially lead to less-ambitious targets being set and opportunities being missed for sectors to decarbonise by working together, it added.  (* see amendment note below)

It could also indicate that companies are hesitant to over-promise publicly on what they can deliver.

“We see that businesses are increasingly backing up their targets with science-based emissions-reductions milestones, which is absolutely the right approach. But if a fifth today aren’t coming forward with details on what makes their target credible, could corporate green-hushing be spreading?” said South Pole’s chief executive officer Renat Heuberger.

“The speed at which we are overshooting our planetary boundaries is mind-blowing. More than ever, we need the companies making progress on sustainability to inspire their peers to make a start. This is impossible if progress is happening in silence.”

Singapore companies performed better than their peers in this respect, but there were still a sizable number reluctant to share their net-zero targets. Compared to the 23 per cent globally, 18 per cent of organisations here with SBTs said they do not plan to publicise them.

Singapore companies did well in other respects — they were also among the most likely to have a net-zero target, with 91 per cent of those surveyed having set one.

They were also among the most ambitious with their net-zero timelines, with nearly a quarter (23 per cent) aiming to reach net-zero by 2024 or sooner — the third highest, globally.

Singapore companies tied with Japan’s as the most likely to explore a strategy for biodiversity, with 53 per cent saying they have a “clear strategy” for biodiversity with targets set. They were also among the most likely to invest in their own sustainability teams (79 per cent) and internal resources (82 per cent) to help them get “back on track” to reaching their net-zero target — which were respectively the second-highest and highest rates globally.

Still, companies here and around the world can be more open with their net-zero plans to improve the conversations around mitigating climate change, especially with greenwashing on the rise, said South Pole.

John Davis, head of Climate Solutions for the Asia-Pacific at South Pole, said: “Our 2022 Net Zero report finds an emerging contradiction between companies’ ambition staying high, but their voices going quiet. Corporate climate action is a necessary and welcome ingredient to slowing the climate crisis. If more businesses lead from the front by speaking openly about their goals, this will spur the many others out there who are yet to set company targets – ideally, ones that are aligned with science.”

* Amendment note: The story originally described South Pole as an international environmental action group. The newsmaker felt this made them sound like an NGO and asked if we could go with the lengthier description the entity uses for itself, which is “leading climate project developer and sustainability advisor”.

** Amendment note: The original story said 77 per cent had also aligned this target with science-based emission-reduction milestones, or science-based targets (SBTs). This should be 67 per cent. This was due to an error in the figure stated in the report.