Recalibrating what it will take to achieve net-zero

The pathway to net zero will take significant time and money. Trillions of dollars in investment will be required to achieve net-zero emissions by 2050, with annual spending needing to increase by 60%. The shift to net zero also invites social, political and structural changes. It is estimated to create 200m jobs by 2050, though some 185m jobs may be lost, according to a study by McKinsey & Company.

As more firms work on decarbonisation activities, the opportunities, costs, trade-offs and uneven nature of the transition becomes more apparent. And it is unclear how geopolitical crises, such as the war in Ukraine, may affect the pace of the transition to net zero for companies and countries.

What short- and long-term social and economic adjustments must be made in the transition to net zero? How do these differ across regions, sectors and communities? What has been the effect of recent geopolitical events on decarbonisation strategies? Do shocks like the war in Ukraine threaten to upend the sustainability agenda, or could they hasten its progress? How are business leaders preparing for volatility in the energy sector? And what does this mean for companies’ investment strategies?