Largest Corporates Sign a Net-Zero Carbon Pledge

Amazon, Twitter, and 200 other companies endorsed a climate pledge that aims to reduce their carbon emissions over the next two decades. The project is part of a collaboration between Amazon and the advocacy group Global Optimism.

The companies sequentially agree to net-zero carbon ten years ahead of the goals laid out in the Paris climate agreement, which aims to restrict warming to 2 degrees Celsius over pre-industrial levels, a plan the Paris climate agreement fixed to happen by 2050.

By signing the pledge, a company agrees to survey regularly, announce greenhouse gases, and execute strategies to remove carbon emissions from various aspects of its businesses, such as shipping and production.

Specialists are skeptical. Carbon Tracker, a think tank investigating the influence of climate change on financial markets, estimates that about $20 trillion of established assets of the fossil fuel economy need to be written down, which companies are not reporting on in their financial declarations.

Amazon, Visa, and Pepsi are among the list of companies that have signed on to the Climate Pledge already. The signatories of the climate pledge collectively generate an income exceeding $1.8 trillion and have more than 7 million employees over 26 industries in 21 countries.

Research suggests that Net-zero and other environmental commitments are gaining popularity, and customers are demanding transparency and drift toward brands that value the environment, resulting in investors paying attention to companies’ carbon footprints.