1,200+ CEOs asked for 10 things from policymakers at COP26 – did they get them?

In the 2021 edition of our UNGC-Accenture CEO sustainability study – Climate Leadership in the eleventh hour – more than 1,200 CEOs, including 400+ from the Global South, suggested 10 points for policymakers at COP26 that could enable business to play a greater role in tackling climate change. Now that COP is over, how did policymakers deliver against these 10 points? Watch one of our final COP@Speed videos for a detailed assessment, or read below for the highlights!

Very well

?? Establish common standards for biodiversity protection: 134 countries, which account for 90% of global forests, signed a pledge to end deforestation by 2030. At the same time, approximately 100 companies committed to be nature-positive, halting and reversing biodiversity decline by 2030

?? Honour the US$100 billion commitment in climate mitigation and adaptation financing for the Global South: Parties have committed to honour the US$100 billion annual financing to developing nations as soon as possible for 2021-2025 and establish a long-term financing process beyond 2025. The GFANZ group promised to mobilise US$130 trillion to the same end by 2050.

?? Accelerate approvals and planning processes for clean energy infrastructure investments: 20 commercial-scale sustainable steel facilities are now planned to be deployed by 2030; 100 governments, cities, states and businesses pledged to end the sale of internal-combustion engines by 2035 in leading markets, and by 2040 worldwide.

?? Increase R&D funding into key transition technologies: The UN’s Green Hydrogen Catapult aims to scale hydrogen deployment to more than 45GW by 2027, taking its price to ~$2 per tonne vs. ~$6 per tonne today. 41 countries and the EU also signed the Breakthrough Agenda to advance research and development across a range of hard-to-abate sectors.

Well

?? Take concrete action to implement carbon-pricing mechanisms: Adoption of the Paris Rulebook and Article 6 provisions on carbon markets and international mechanisms were the starting gun for clearer accounting guidance for emissions trades between countries, the launch of new crediting mechanisms to attract green investment and, supporting the expansion of carbon markets globally. Today, just 15% of global emissions are covered by some form of carbon pricing mechanism, which would increase further.

?? Promote sustainable solutions through government purchasing power: Not addressed at COP26. 24 signatories signed up to the Statement on International Public Support for the Clean Energy Transition, however, which committed to prioritising and fully supporting the transition to clean energy

?? Further improve ESG reporting frameworks: The IFRS Foundation announced the formation of an International Sustainability Standards Board (ISSB) to improve the quality of and standardise disclosures relating to climate and other key sustainability topics.

Could do better

?? Align all Nationally Determined Contributions to a 1.5°C trajectory to accelerate decarbonizing value chains: Current national pledges put the world on a est. 2.4°C warming trajectory vs. 1.5°C warming trajectory by 2100. Parties will meet again in 2022 to strengthen their NDCs, however.

?? Simplify how business can engage in the COP process: The UN Secretary-General has announced the creation of a Task Force on Accountability of Non-State Actors, which could simplify future engagement for business.

?? Support opportunities for skills development on sustainable technologies and on mitigating regressive impacts of climate policies: ~US$10 billion is going towards accelerating equitable energy transition for 1 billion people in developing economies by 2030; US$1.7 billion of financing is going to support Indigenous Peoples and Local Communities from 2021 to 2025 to advance forest tenure rights and recognition of their skills as guardians?

?CEOs across industries and geographies remain unequivocal that markets and business can provide the solutions required for the world to tackle climate change and to deliver both the 2030 and 2050 targets. They believe the capital and technology exist and are ready to be deployed with the right long-term government policies. They should feel good that policymakers at COP26 were able to deliver much of what they were asking for ahead of the meeting.

While the world still has much work to do if we are to limit global warming to 1.5°C at the end of the century, I left COP feeling optimistic that the momentum toward sustainability has become irreversible.?