Portugal and the world are going through one of the worst periods of extreme drought on record, and those periods are expected to become more frequent by 2050 as the effects of climate change are felt more sharply. Changing our behaviour is imperative, and carbon neutrality may hold a solution for a thriving future.
So what exactly is carbon neutrality?
Carbon neutrality comes from the term Zero Carbon. We reach Zero Carbon when a product or service is produced without generating any carbon emissions at all. Even biological processes, however, produce and release carbon into the atmosphere, which makes it an unattainable concept.
In an article by Iberdrola, and according to the European Parliament, we achieve carbon neutrality when the quantities of CO2 absorbed match the quantities of carbon dioxide emissions we generate through human activity.
Carbon neutrality is therefore reached when there is a zero or neutral balance, also known as a zero carbon footprint.
Portugal’s National Roadmap for Carbon Neutrality 2050 (RNC2050) set that zero result as its central objective, focused on preserving our planet by cutting current emission levels and increasing carbon sinks by 2050.
A carbon sink means the natural spaces we have on the planet (the oceans, the forests, the soils), which help absorb and hold the carbon dioxide we produce, reducing how much of it stays in the air. But we are emitting CO2 at a rate the planet cannot keep up with, which is why the effects of climate change are increasingly visible.
Adding sinks by 2050 means strengthening the capacity of these natural environments to hold more carbon, so increasing their number is imperative, by planting more trees, for instance (and not by destroying the natural forests we already have, such as the Amazon in Brazil). Cutting emissions, in turn, is about how we use energy and resources as a society.
Since the Paris Agreement in 2015, reaching carbon neutrality has been set as a global objective on the international political agenda. If you would like to know more about that agreement, you can watch this video:
The agreement set the objective of controlling the temperature rise against 1990 levels, establishing a maximum average global temperature increase of 1.5°C and so helping reduce the risk and impact of climate change.
It is imperative that companies behave in ways that serve the planet, and a good way to start is to analyse the whole value chain and map the life cycle of their products. Our own daily, individual behaviour will also have a significant long-term impact depending on the products we buy, which may or may not feed an industry with a heavier carbon footprint.
To reach this goal by 2050, putting measures in place for carbon neutrality is crucial.
Portugal on the road to decarbonisation
A study by McKinsey & Company on “Net-Zero Portugal, Portugal’s paths to decarbonisation”, in collaboration with BCSD Portugal and the carbon neutrality working group, concluded that Portugal should accelerate decarbonisation, since it has the conditions to decarbonise more intensively and at a lower cost than the European Union (EU).
Compared with the other EU countries, Portugal is able to decarbonise at a lower cost. The ambition is for Portugal to be one of the leading contributors to more efficient decarbonisation across the European Union, with net zero potentially reached before 2050.
According to the study, Portugal has the capacity to decarbonise by around 50% by 2030 against 1990 levels.
Here are some of the 40 companies involved in the project, all committed to contributing significantly to decarbonisation:
- Ageas Portugal
- Lipor
- Metropolitano de Lisboa
- Jerónimo Martins
- Millennium BCP
- Altice
- Brisa
- Ascendi
- BPI
- Caixa Geral de Depósitos
- Ernst & Young
- CTT
- Delta
- Efacec
- Fujitsu
- And many more!
The study also concluded that when Portugal reaches its objective, it will see a GDP up to 5 to 10% higher than it is today.
Portuguese companies in the fight against climate change
The global non-profit CDP, Disclosure, Insight, Action, formerly the Carbon Disclosure Project, has drawn up a list of companies worldwide that are already delivering results on climate change and securing a more sustainable future. It is called “A List”, and you can find out more here.
EDP, CTT, The Navigator Company and Sonae are examples of Portuguese companies already achieving significant results at this level, and they appear on that list.
EDP
EDP achieved the highest performance level, “Leadership”, and the top A rating in the main categories: climate change and water management.
The company’s strategy is to cut emissions by 90% by 2030 (against 2015 levels) and to reach 90% renewable generation over the next ten years.
CTT
CTT reached a level that fewer than 3% of the roughly 10,000 companies assessed managed: “the highest Leadership level in the Climate Change category, with an A score”.
In the name of sustainability, it put a range of measures in place, which resulted in:
- a 64% reduction in emissions since 2008;
- waste separated for recycling (85% of waste was separated in 2019);
- a carbon-neutral CTT Expresso offering;
- 100% of its electricity purchased from renewable sources (since 2016).
The company is also recognised for having the largest green fleet in the Portuguese logistics sector, with 327 alternative vehicles. It already offers a green service for corporate clients, Green Deliveries, which means all its customers in Lisbon receive their parcels by CTT electric vehicle.
The Navigator Company
The Navigator Company, for its part, took a place as a world leader in tackling climate change, recognised for cutting emissions and climate risk and for developing the low-carbon economy.
Sonae Group
Sonae Group was recognised once again for cutting greenhouse gas emissions, mitigating climate risk and developing the low-carbon economy. In 2020 it reached its highest position to date, joining the world’s top-scoring companies on corporate environmental sustainability.
It is a source of pride to see Portuguese companies already taking high places in international environmental rankings. We are still a long way from carbon neutrality, though, so carrying on down this road and putting more sustainable measures in place is crucial.
It is increasingly clear that good environmental practice, whether corporate or individual, brings advantages at every level, including for our economy.
But we should not fool ourselves. A daily commitment from all of us is crucial if we are to reach this goal. If we do not start changing our behaviour and our consumption habits, the estimates are that by 2050 there could be more than six months of drought a year, that the area of forest burned could double, and that the number of days above 37°C could rise, which, besides throwing every ecosystem badly out of balance, will directly affect farming, tourism and, inevitably, our health.
This article is an introduction to carbon neutrality, so that you can make more conscious choices with a better future and a better planet in mind. I would encourage you to find out more about the Roadmap for Carbon Neutrality 2050 and its legislation, published through Council of Ministers Resolution no. 107/2019 of 1 July.
