What does the term Carbon Neutrality mean? How should it be used? What are the best practices for contributing to carbon neutrality?
The 2015 National Low-Carbon Strategy aims to achieve carbon neutrality by 2050. Following the Paris Agreement on climate change, the Energy Transition for Green Growth Act and the Environmental Code were signed in 2015.
The European Parliament defines carbon neutrality as "the balance between carbon emissions and the absorption of carbon from the atmosphere by carbon sinks."
In other words, being carbon neutral means not producing more carbon than the Earth can absorb.
Naturally, the Earth absorbs carbon emissions from both natural and human sources through its oceans, soil, and forests. However, in 2019, we emitted 36.14 gigatonnes of CO2, while the Earth's capacity to remove CO2 emissions is only 9.5 to 11 gigatonnes. As a reminder, climate change is primarily caused by the accumulation of CO2 in the atmosphere.
A greenhouse gas (GHG) emissions assessment (or carbon footprint) allows you to measure your company's emissions. This assessment helps you understand the source of your CO2 emissions and develop an impactful action plan to reduce them.
Stakeholders and suppliers are the source of a company's indirect CO2 emissions. By working with responsible suppliers and marketing low-carbon products and solutions, your company can reduce its indirect greenhouse gas emissions. You can also invest in other companies' low-carbon projects to help develop sustainable solutions.
Your company can support and contribute to what is known as "collective carbon neutrality." This involves funding artificial carbon sinks capable of absorbing CO2, thereby increasing the Earth's capacity to absorb greenhouse gas emissions produced by humans and ecosystems.
Many companies use the term "carbon neutral," sometimes legitimately, and sometimes not. Here’s why: Some companies misuse the term by failing to back up their neutrality claims with a measurable action plan that explains their strategy and justifies the use of the term.
"It is prohibited to claim in an advertisement that a product or service is carbon neutral, or to use any equivalent wording, unless the advertiser makes the following information easily accessible to the public:
A GHG emissions assessment (carbon footprint) that includes both direct and indirect emissions.
The process by which the product or service's greenhouse gas emissions are primarily avoided, then reduced, and finally offset. The greenhouse gas emission reduction trajectory must be described using quantified annual progress targets.
The methods for offsetting residual greenhouse gas emissions, which must comply with minimum standards defined by decree."
Failure to comply with the terms outlined in Article 12 may result in penalties. Fines of up to €100,000, or even the total amount spent on the illegal operation, may be imposed.
To avoid penalties and use the term correctly, ADEME has compiled a list of tips for businesses. Among these, ADEME recommends using environmental labeling, which rates a product based on its environmental impact. You can check out our article "4 Inspiring Eco-Friendly Initiatives" and see the example of Decathlon, which has adopted environmental labeling for its products.
ADEME also suggests using the term REDUCED CARBON FOOTPRINT instead of Carbon Neutrality. This more accurate term should be accompanied by details regarding direct and indirect emissions and link to an article explaining the company's greenhouse gas reduction strategy.
France is the first country in the world to aim for carbon neutrality by 2050. The EU has committed to reducing its carbon impact by 55% by 2030. However, France's calculations do not account for GHG emissions linked to imports, even though 60% of our carbon footprint comes from them.
As Maxime Combes, economist and spokesperson for Attac, points out: if a large portion of our emissions is linked to products imported from China, who is responsible for the deforestation caused by building the factory used for production? If no country in the world accounts for GHG emissions related to imports and exports, the goal of carbon neutrality cannot be achieved.
Planting trees does not provide immediate carbon offsetting. When a company intends to offset its carbon emissions by planting trees, it fails to account for the fact that the tree will take 15 years to offset the greenhouse gases emitted... 15 years from now. Furthermore, other factors must be considered: trees planted today that will only absorb GHG emissions in 15 years risk succumbing to wildfires, ever-increasing deforestation, or other currently unpredictable factors.
We need to plant trees, but it cannot be enough to offset the greenhouse gas emissions produced today. Moreover, as noted by Anne Bringault, coordinator of NGOs for energy transition at Cler and the Climate Action Network, if every company relied on offsetting, we would have to cover the entire Earth in a massive forest.
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