The latest report by the UN Environment Programme (UNEP)[a] has warned that if governments fail to increase ambition in their upcoming national climate plans, it could put the world on course for a catastrophic temperature increase of 2.6–3.1°C this century, bringing “debilitating impacts to people, planet and economies”.[b]
With world leaders preparing to gather for COP29, Unilever is urging governments to take the opportunity presented by these new plans, known as Nationally Determined Contributions (NDCs), to do more to mitigate climate change and align with a 1.5°C future.
This must include strategies, supported by adequate finance, that will enable a just transition to net zero and unlock faster emissions reduction globally along corporate value chains.
Unilever’s long-term ambition is to deliver net zero emissions across our value chain by 2039. Our approved science-based climate targets are focusing our efforts over the next few years where we know we can have the most impact. We’ve updated our Climate Transition Action Plan (PDF 7.98 MB) (CTAP), setting out how we intend to progress towards them, and we encourage other businesses to do the same.
But we don’t operate in a vacuum. As our CTAP acknowledges, with such an extensive value chain, Unilever, and companies like us, will rely on enabling policies and regulations being put in place to level the playing field for business and fast-track the scaling of solutions.
Unilever’s five key climate policy asks
We have identified five actions that governments can take to help us deliver on our climate plan:
1. Set stronger NDCs
Unilever is urging governments to set strong and effective NDCs which include clear financial plans to deliver a 1.5°C-aligned future. This will send an important signal to businesses that they will be supported if they invest in climate solutions in that country.
For example, through our Climate & Nature Fund, Unilever is committed to investing €1 billion in climate, nature and waste reduction projects globally by 2030. It’s important that the countries where we invest share our climate ambition and work with business to accelerate the transition to net zero. That’s why we’re watching NDC submissions closely.
2. Support a faster transition to renewable energy
At COP28 last year, more than 100 countries agreed to triple renewable energy capacity by 2030. This has the potential to cut almost 7 billion tonnes of CO2 emissions by the end of the decade.[d] This year, at COP29, governments need to show how they plan to deliver on these commitments, with specific renewable energy targets included within their national strategies.
Accelerating the global transition to renewable energy will make it easier for businesses to decarbonise their operations, no matter where in the world they’re based. For Unilever, reducing our suppliers’ emissions is vital for us to reach our near-term scope 3 (value chain) targets and progress towards net zero, so we’re encouraging those who contribute most to our climate impact to shift to renewables alongside us. It will be much easier to do so if they’re operating in markets where renewable energy is readily available.
Read more about the role businesses can play in supporting the transition to renewables.
3. Protect forests and support smallholder farmers
In recent weeks, we’ve called on governments attending the UN Biodiversity COP16 to implement stronger policies to support business efforts to halt and reverse nature loss by 2030. Now, we’re advocating for NDC commitments that conserve and restore forests and establish fairer market conditions for certified commodities produced by smallholder farmers.
By the end of 2023, 97.5% of our palm oil, paper and board, tea, soy and cocoa order volumes were deforestation-free, and we are determined to maintain our ‘no deforestation’ position for these commodities going forward. But a lack of consensus on forest-risk commodity management can disrupt efforts to create deforestation-free supply chains. We believe adopting consistent standards for these commodities will help create a more level playing field for businesses globally.
Learn more about our work to create a deforestation-free supply chain.
4. Incentivise investment in regenerative agriculture
Farming contributes a significant proportion of the world’s GHG footprint.[e] Implementing regenerative agriculture practices has the potential to help reduce those emissions, while also helping to enhance our food system’s resilience to worsening climate change impacts such as flooding and drought.
Unilever is calling for governments to accelerate the transition to regenerative agricultural practices through clear targets and plans. Measures to support farmers could include offering access to finance, developing large-scale capacity-building programmes and helping improve access to innovative technologies.
5. Help shift the chemical industry away from fossil-fuel-based feedstocks
The chemical industry is the third-largest subsector in terms of direct CO2 emissions. Unilever and many other businesses currently rely on fossil-fuel-based chemicals as a key ingredient to make our products. For example, the stain remover in many everyday cleaning products like dishwash and laundry powder is usually a surfactant made from fossil-fuel-based feedstocks.
Using bio-based feedstocks or recycled carbon alternatives in the manufacture of cleaning products is currently expensive and solutions are not available at scale. Unilever is calling for governments to develop integrated national policies that incentivise the production and use of chemicals with lower GHG emissions. Industry-wide strategies that promote this will help eliminate the competitive advantage of cheaper fossil fuels and accelerate innovation and the transition to net zero.
Explore Unilever’s efforts to spur a transition to chemicals with a lower greenhouse gas footprint.
At Unilever, we’re focusing on innovation and partnerships to significantly reduce emissions across our value chain by 2030. To accelerate our progress, we also need systemic change. That’s why, at COP29, we’re calling on governments to strengthen their NDCs so that national climate plans become clear, investible roadmaps to decarbonisation – helping to create jobs and boost sustainable growth.
Rebecca Marmot, Unilever Chief Sustainability Officer
Business has the power to push for stronger climate policies
Effective climate action will only happen with collaborative efforts, and both businesses’ and governments’ ability to meet their respective climate targets are clearly intertwined. That is why, in addition to our asks of governments, we are urging business leaders to demonstrate their own willingness to make deep carbon cuts across their value chains through actions and investments. And it’s why we’re calling on industry bodies to support Paris Agreement-aligned policies to give governments the necessary confidence they need to commit to more ambitious climate action now.
To read more about our updated commitments on plastics, climate, nature and livelihoods, visit our Sustainability Hub.