What is a low-carbon transition approach?

Roles and definitions of the low-carbon transition.

Role of organisations and necessity of the low-carbon transition

Organisations, like all stakeholders in society (local authorities, states, individuals), have a role to play in anticipating the low-carbon transition:

• To limit the organisation's impacts on climate change (estimate its impacts in order to reduce them)

• To limit the impacts of climate change on the organisation (reduce its dependence on fossil fuels or carbon; reduce its vulnerability to physical risks; anticipate barriers targeting carbon-intensive activities and the cost of inaction; develop its place in the world of tomorrow and its compatibility with a low-carbon world)

This struggle is part of Corporate Social Responsibility (CSR), in which an ever increasing number of actors are engaged. It also addresses many societal issues while also consideringother impact indicators.

Role of carbon accounting

Carbon accounting is a structuring tool to engage the first step of a low-carbon transition approach : it consists of identifying sources of greenhouse gas (GHG) emissions in order to be able to reduce them. Once emissions are known, an organisation will be able to report them – referred to as reporting – and build a transition plan in response.

These actions can follow two complementary approaches: mitigation (limiting the organisation's impacts on climate change) and adaptation (limiting the impacts of climate change on the organisation).

In conclusion, the carbon indicator thus accounted for is an activity indicator that enables:

• To make internal decisions : in order to "account in order to act" (identify priorities, know where to act and how). It serves the management of GHG emissions and the steering of actions. The carbon indicator then fits into a triple bottom line which aims to couple the organisation's economic, social and environmental performance.

• To publish it externally : for regulatory or voluntary reporting reporting, as well as to demonstrate its actions and commitments transparently to its stakeholders.

Be careful, carbon accounting is not a measurement but a calculation. It is not rigorously scientific but "science-based". It is an assessment by nature uncertain, but sufficient to move to action and reduce GHG emissions.

Role of low-carbon transition approaches

Low-carbon transition initiatives advance organisations on their transition pathway. These initiatives, in general, follow a structured process in several key steps, presented in a “ transition pathway » below.

Accounting for ➡️ Plan and act ➡️ Evaluate

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• Analyse the current situation : the first step is carbon accounting, motivated by a request from stakeholders, a regulatory obligation to quantify GHG emissions or by a willingness to engage in the fight against climate change. It enables a strategic analysis of the organisation and notably of its dependencies and vulnerabilities with respect to fossil fuels and our society's transition to a low-carbon model. Stakeholder engagement of internal and external stakeholders is crucial during this step, in order to share the newly acquired knowledge, to make the consequences of a status quo visible to all parties and to motivate as many people as possible to act.

• Build the transition plan : for carbon accounting to be both useful and usable, it must imperatively lead to the development of a transition plan. Practically, it is a roadmap that details how the organisation plans to reduce its emissions and improve its resilience to climate and transition risks. The transition plan includes reduction targets, a transition strategy and the construction of an action programme.

• Implement the actions : Implementing actions is the key stage of the process. All other steps must enable a real, effective and smooth execution of the planned actions. This stage is unique to each organisation, and requires an approach tailored to each to ensure its success.

• Evaluate the transition plan : in a logic of continuous improvement, monitoring the implementation of actions allows analysis of their results, and thus steering the reduction of the organisation's emissions. More broadly, this evaluation makes it possible to verify the credibility of achieving the objectives set by the organisation.

• This transition pathway is not linear. In a logic of a progression cycle, carbon accounting takes place recurrently to steer emissions reduction, and if necessary, to adapt the transition plan and strategy to ensure constant decarbonisation.

Each organisation adapts this pathway has its profile and its maturity, thus ensuring its own transition to a low-carbon model.

🔎 An overview of different transition pathways allows apprehending the different tools and methods available.

Figure 0.1.1: Example of a typical transition pathway for micro and small businesses - Source Réussir sa transition bas carbone, ABC, 2020.

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For further reading: These introductory elements are an indispensable prerequisite in a Bilan Carbone® approach. They must be known, understood and mastered by the stakeholders involved and will be addressed in the Stakeholder engagement. They are more fully detailed in the awareness and popularisation resources of the issues.

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All information on the operational boundary is documented and Do you have a comprehension question?Consult the FAQ . The method is living and therefore likely to evolve (clarifications, additions): find the.