Some two thirds (66%) of firms believe that climate technology either currently is or will become essential, with a growing number investing in said technology, a study by the Association of Chartered Certified Accountants (ACCA) has found.
One fifth (21%) of surveyed firms are investing in climate technology within their existing budgets, while a further 21% plan to do so in the next two to three years – however the report also suggests a significant gap between interest and readiness.
‘A present-day imperative’
‘[Climate technology] is no longer a future bet – it is a present-day imperative,’ ACCA said. ‘Organisations across every sector are recognising its role in achieving net zero and sustainability goals. But readiness to act varies widely. This research shows both the momentum and the challenges in embedding climate technologies, with accountants playing a pivotal role in bridging the gap between aspiration and action.’
In terms of the core areas in which businesses are investing when it comes to climate technology, 55% are investing in energy efficiency and cost reduction measures, 36% in carbon reporting and compliance, 36% in sustainable supply chain management, and 31% in green finance and sustainable investment.
Elsewhere, around a quarter (24%) are investing in carbon management and offsetting, while 21% say that they are investing in future planning and climate risk management.
The importance of data
At the same time, data is cited as the ‘single biggest barrier’ to progress, with 72% of firms saying that they struggle with fragmented or inconsistent information, weak governance, or insufficient knowledge.
Even when data is collected, a fifth (20%) of firms said that they are unable to interpret outputs, while 15% find it challenging to measure the return on their climate-related investments.
Some 77% of surveyed companies identified government support – through policy, tax incentives, and skills development – as an ‘essential’ factor in encouraging adoption of climate technologies.
‘By combining strong data, strategic oversight, and supportive public policy, accountants can help organisations scale climate technology, rethink ROI, and create long-term sustainable value,’ ACCA said. Read more here.
