The work towards a clean energy future has started.
Pressure for large companies to decarbonise comes from a variety of sources. Not only from government legislation but stakeholders, customers, and investors who are putting pressure on industry leaders to reduce carbon emissions.
Reduction in carbon emissions is being requested of all industries. It is, however, the big energy companies, well known for the climate-related risks associated with their exploration ventures that have needed to accelerate their decarbonisation activities if they have any hope to achieve carbon neutrality by 2050.
In the UK they have already accounted for ~50% of the overall emission reduction since 1990 so they are already making great progress.
Some established companies have realised that they cannot manage this change by themselves so they have turned to a collective approach with Startups to generate the commercial decarbonisation services they require. These types of partnerships can work for both sides.
Startups benefit by partnering with an established company in their chosen industry as they can get to overcome some of the potential barriers that generally stand in the way of getting their foot into the door of a particular sector.
Large companies are busy with the day-to-day running of things and can find it difficult to allocate the time into investigating the different number of solutions that are required to change the working of a company to carbon neutral. Partnering with numerous startups researching different solutions is the easier way to do this.
Using the startup to manage the risk of failure until a solution has been found is appealing to those corporations that are risk-averse although this is not without its difficulties.
Corporations and Startups work in totally different ways to each other, decision makers in corporations work to avoid risks whereas Startups are by their very nature a high-risk entity. This can lead to a lack of understanding of how they both work which can cause confusion when establishing contracts and assessing the risk factor of investigations.
Despite this, it is worth them addressing these challenges to enable them to bring together their strengths and expertise to achieve the carbon-neutral goal.
Within the Maritime industry, heavily used by energy companies, Startups have been busy creating solutions to help reduce carbon emissions. The International Maritime Organization is targeting a 50% cut of greenhouse gas (GHG) emissions from ships by 2050 and Startup created solutions such as these below will help them work towards achieving this.
Marine Digital has created a Marine Digital FOS (Fuel Optimization System) which allows reducing fleet fuel consumption by 5-12%, which also saves the atmosphere from 600 tonnes CO2 emissions per year only per vessel
Silverstream® has created an air lubrication system which reduce fuel consumption of oceangoing vessels by 5-10% depending on vessel type.
Energy saving techniques such as these, which ultimately lead to reduced carbon emissions, are constantly being discovered. As the future unfolds more and more solutions will be found and it is thought throughout 2030 the energy landscape will have significantly changed. These solutions will continue to be improved upon so there is a high chance that this Global goal for all industries will be reached. A major step towards helping to protect our planet and in turn humanity.