Is it possible for capital to persist in the era of climate change?
Now more than ever, we need a clear and strategic approach to tackling climate change. When we understand how to mobilize solutions across sectors, plan for both the short and long term, tap into co-benefits, and remove the barriers that slow us down, we can speed up real climate action before it’s too late.
Businesses have a big role to play in this. They build the products that improve our lives, create the jobs that sustain our communities, and, more importantly, have the power to actively reduce their impact on the climate.
The Threat of Greenwashing
Too many companies are leaning on the idea of becoming “net zero,” mostly by buying carbon offsets, a number of which aren’t even credible. It creates the illusion of progress without requiring any real change. The truth is, net zero was never meant to apply to individual companies or sectors; scientists used it to describe a goal for the entire planet. That’s why the real focus should be on becoming Real Zero.
Imagine if we were all pulling in the same direction. Imagine businesses that saw themselves as intentional, proactive parts of the climate solution. What if companies used the bulk of their resources to build a just and sustainable future? What if business operated more like an ecosystem, thousands of passionate people working side by side with governments, activists, community groups, and advocates as true partners in change?
That’s the kind of shift we need.
Science-based climate solutions
Science gives businesses a clear roadmap by showing where to invest, where to step back, where to innovate, and where to use their influence. In many ways, science shows business how to lead.
The planet has already warmed by 1°C. It sounds small, but for context, the last ice age was only about 5°C cooler than today. There are many possible climate solutions out there, but science helps us sort through them and identify what really works: Which sectors matter most, and the timelines we have to work within. Because the truth is, not all solutions have the same impact.
The Sectors
Five main activities contribute to approximately 90% of climate change. We just need to start here, it’s not rocket science.
- Producing electricity~25%
- Making food~24%
- Industrialization~21%
- Transportation~14%
- Buildings~6%
The Timeframe
To keep global warming below 1.5°C, we need to cut emissions almost in half by 2030. That means deep, fast, and sustained reductions across every sector starting right now. The actions we take in this decade will have the biggest payoff. In fact, using the solutions and technologies we already have is far more valuable than waiting for future breakthroughs.
Time matters more than technology.
For companies, aligning climate action with capital investment starts with a few urgent steps:
- Cut your own emissions first. This is the single most important action any company can take.
- Measure and share your progress clearly. Be transparent, including being honest about the challenges of transition
- Support emission-reducing projects elsewhere. Not as a way to offset your own footprint, but as genuine philanthropic contributions that help accelerate global progress.
Starting now makes all the difference.
Businesses Can Create Green Jobs
Sub-Saharan Africa faces a dual jobs challenge: creating enough work for a rapidly growing young population and making sure those jobs offer decent pay, stability, and real opportunities. To meet this challenge, the region needs a new growth model, one built around medium-sized and large companies. Right now, about 73% of people work in family-run or one-person businesses, which limits productivity and keeps formal job creation from scaling.
To absorb the surge in the working-age population, the region will need to create roughly 25 million jobs every year between now and 2050. One of Jacob’s Ladder Africa’s key responses to this challenge is the greenlabs® Incubation Program. It provides the space, skills, and support young entrepreneurs need to build solutions to climate challenges and launch green startups within Africa’s growing green economy.
Our incubator focuses on developing entrepreneurial leaders and helping them launch viable, revenue-generating businesses. The ultimate goal is to grow the number of medium-sized and large green enterprises. These businesses can make the biggest dent in both climate change and unemployment, especially among youth and women across the continent.
My message to businesses across the continent is simple: Listen to the science, and let it guide your decisions. When we ground our actions in what science is telling us, we not only drive meaningful climate impact, but we also ensure that our capital, our investments, and our businesses can thrive in an era of climate change.
