Good Business campaign – Alan Stenson

For this week’s Good Business Q&A, Jo Sutherland spoke with Alan Stenson, CEO and founder of Neutral Carbon Zone, a carbon measurement and certification platform.

Tell us more about you and your career journey, Alan.

My journey began in 2006 when I launched my first sustainability consultancy. In the early days, I was working long days, driven by passion trying to convince people to act. Most business leaders looked at me with a blank face when I asked about their carbon footprint. “Net Zero” wasn’t even a concept back then, and only a few pioneers were on board. Thankfully, things have changed significantly since then. The days are still long, but it’s a different kind of busy now!

How do businesses approach sustainability today?

There shouldn’t be any barriers for businesses wanting to improve their sustainability. My goal is to help more organisations achieve their targets. However, it’s frustrating to see some businesses still not fully embracing the sustainability agenda. While Net Zero is a legal requirement by 2050, we actually need to achieve a 45% reduction by 2030 to even be able to get to net zero by 2050. There’s no time to waste.

Why do you think there’s still some resistance?

Some business leaders I meet say, “We’re not a very big organisation, so what difference does it make?” Others think they need a mountain of data before they can start making changes, and some are concerned about the cost of reaching Net Zero. Additionally, the jargon around sustainability can alienate people, making them feel out of their depth or facing too big of a challenge.

When organisations are being asked questions that they can’t easily answer it can create unease. We’ve worked really hard to simplify the process to make sustainability accessible for all types of businesses, regardless of size, sector or geographical area.

Neutral Carbon Zone offers a streamlined approach for companies to guide them towards Net Zero emissions. Can you tell us more about it and how the market has responded?

We officially launched Neutral Carbon Zone as a standalone carbon measurement and certification platform nearly three years ago. It’s a comprehensive programme that allows organisations to progress at their own pace. Since launch, we tripled the business in year two and are already set to more than double it again this year. With ESG now at the top of many business agendas, leaders are seeking guidance, which is fantastic. It’s great to see more motivated businesses coming to us with ideas and enthusiasm. That’s why a technology-led solution is crucial for scaling up to meet demand.

How do certifications help businesses?

There are many certifications available to help businesses verify their carbon emissions and reduction targets, and for most SMEs, third-party verification is really important. Showing that you’ve taken the appropriate steps to improve operations is the first step. Trying to achieve everything all at once can lead to complexity overload. It’s better to break down the journey into smaller, manageable goals. We encourage businesses to start their journey to net zero, but it’s vital to have a targeted and strategic approach to ensure a successful outcome.

Can you give examples of how being better in business is better for the planet?

Decoupling carbon emissions from economic growth is the most effective way to integrate sustainability into any business to really drive environmental, social and economic benefit. We want our clients to grow their businesses and become as successful as possible, just in the most efficient way. If you can embed sustainability into the very fabric of the business it becomes part of the decision-making process and therefore enables business growth to become environmentally beneficial.

In addition to carbon reporting, we created the “Tree in a Million” campaign, where for example some clients have decided to plant a tree for every client site they manage. It’s a great way to add value to their customers while positively impacting the environment. For every £1 spent on reforestation, around £11 is generated in environmental, social, and local economic benefit. It also helps reduce the burden on the NHS and supports 167 full-time jobs per year. Doing this in protected woodland means these actions will leave a lasting legacy for centuries to come.

Best practice involves prioritising carbon reduction efforts to ensure the level of unavoidable emissions is reducing year on year. As you reduce your emissions you can often reduce your costs which in turn helps to improve the commercial sustainability of the organisation.

Which cities around the world are leading the way in sustainability, and how can the UK follow their example?

Two of my favourites are Copenhagen and Vancouver. In Copenhagen, they’ve fully embraced sustainable living. The city’s infrastructure encourages cycling and walking, reducing carbon emissions. They also have a water quality monitoring system that alerts residents when pollution is a concern. Copenhagen is on track to be carbon neutral by 2025, and it looks achievable! Vancouver is also on the list: British Columbia, in general, is fantastic, with 98% of its energy coming from renewable sources, particularly hydroelectric power.

You attended COP28; what are your thoughts on the progress made and the commitments going forward?

It’s frustrating to see that the UK hasn’t made enough progress toward its Net Zero targets. In 2023 alone, the world suffered $580 billion in climate-related damages. Missing Net Zero targets leads to crop failures, shortages of materials and food, and more extreme weather, such as flash flooding. The Global Risks Report highlighted that six of the top ten risks over the next decade are related to climate change. Slowing down our efforts to reach these targets is counterproductive and a major concern.

However, it was encouraging at COP that 130 countries have committed to tripling renewable energy production. This agreement, reached after 28 years of negotiation, marks a significant step towards phasing out fossil fuels. To maintain momentum, we need to focus on clean energy and carbon capture. Reducing the 15 gigatons of carbon storage required is critical, and while phasing out fossil fuels is possible, we need realistic steps to get there.