EXCLUSIVE: International Platform for Insetting launches new guide to help corporates work with suppliers to curb their emissions
The International Platform for Insetting (IPI) has today launched a new best practice guide to help businesses develop carbon ‘insetting’ practices, whereby they provide support and funding to cut emissions in their own value chains.
The new guide from the Paris-based group – which counts luxury Kering and Chanel, beauty behemoth L’Oréal, coffee giant Nespresso, and hotels chain Accor among its founding members – aims to encourage more companies to tackle their Scope 3 value chain emissions by investing in emissions reduction projects that sit within their supply chains.
As such, the approach differs to the vast majority of carbon offsetting projects, which typically have no direct connection to the business that invest in them, in terms of geography or supply chain.
“It’s really about investing into a company sourcing area, with a view to create more sustainable production processes of raw materials, while also creating healthy ecosystems and generating positive impact on [local] livelihoods,” IPI director Sandra Brandt told BusinessGreen.
The IPI’s new insetting guide guide sets out recommendations for how companies can make the business case for insetting and get key stakeholders on board, how they can establish a scalable governance model to support projects, and how to secure finance for projects. It also covers how businesses can work with external partners to deliver insetting successfully, and how to select those partners and get the most out them.
Brandt dubbed the 37-page document as a “masterclass in insetting”, noting that it would “give companies practical tools that will enable them to transform and deliver against their ambitious targets”.
“While every company has their own journey within insetting depending on how in what role insetting plays within that overall sustainability strategy, we also still see that that we had a lot in common,” she said. “Insetting has a strong focus on nature-based solutions and a way to harmonise corporate operations with ecosystems.”
Want to find out more about how the net zero transition will impact your business? You can now sign up to attend the virtual Net Zero Finance Summit, which will take place live and interactive on Tuesday 29 March and will be available on demand for delegates after the event.