Guidelines for

Participation
 “We need to slash emissions as
soon as possible. At the very least,
we must be carbon neutral by
2050. There is no separate path,
there is no alternate universe. This
is what we must do.”
“Don’t wait for change to happen—
help drive it. Governments see this
influence... Keep that momentum
going.”

Patricia Espinosa
Executive Secretary
United Nations Framework
Convention on Climate Change
UNFCCC
 CONTENTS
GENERAL CONTENT
Purpose of these guidelines............................................ pg. 4
Definitions.......................................................................... pg. 5

THE CLIMATE NEUTRAL NOW INITIATIVE

The Climate Neutral Now initiative................................ pg. 10
The rationale of the initiative.................................... pg. 12
A word about climate neutrality, carbon
neutrality, and net-zero........................................ pg. 13
Benefits of becoming a participant..................... pg. 14
Process of Climate Neutral Now............................... pg. 15
The Pledge.............................................................. pg. 15
The yearly report................................................... pg. 17
Levels of recognition within the initiative.............. pg. 19
STEP 1...................................................................... pg. 19
STEP 2...................................................................... pg. 24
STEP 3...................................................................... pg. 27
Claiming Neutrality..................................................... pg. 31
Testimonies............................................................ pg. 31
Relationship with Race to Zero................................. pg. 33
PURPOSE OF THESE
GUIDELINES

The Climate Neutral Now team within the United

Nations Framework Convention on Climate
Change (UNFCCC) secretariat prepared these
guidelines for use by organizations interested in
signing up to the initiative, and for those already
participating. These guidelines should not be
relied upon for any other purpose.

These guidelines are not intended to provide a

detailed methodology for the management of
greenhouse gas (GHG) emissions by organizations
or other stakeholders. It offers only high-level
guidance for organizations to begin their journey to
climate neutrality and net-zero (see the definitions
section to understand the difference between
these terms for Climate Neutral Now purposes).
Other specialized standards and methodologies,
like those referenced here, should be used to
ensure alignment with best practices in GHG
management.
DEFINITIONS
ANTHROPOGENIC
Resulting from or produced by human activities. See also Anthropogenic
emissions and Anthropogenic removals.

ANTHROPOGENIC EMISSIONS
Emissions of greenhouse gases (GHGs), precursors of GHGs, and aerosols
caused by human activities. These activities include the burning of fossil
fuels, deforestation, land use and land-use changes (LULUC), livestock
production, fertilization, waste management, and industrial processes. See
also Anthropogenic and Anthropogenic removals.

ANTHROPOGENIC REMOVALS
Anthropogenic removals refer to the withdrawal of GHGs from the
atmosphere as a result of deliberate human activities. These include, for
example, enhancing biological sinks of CO2 or using chemical engineering
to achieve its long-term removal and storage. See also Anthropogenic
emissions.

BASE YEAR
In the context of Climate Neutral Now, a base year is a reference year in
the past with which current emissions can be compared. In order to
maintain the consistency and comparability with future carbon footprints,
base year emissions need to be recalculated when structural changes occur
in the company that change the inventory boundary (such as acquisitions
or divestments). If no changes to the boundaries of the inventory happen,
the base year is not adjusted. We recommend looking at the GHG
Protocol’s guidance for cases where adjustments are needed.

CARBON CREDIT
Also known as an "offset", this is a generic term used to assign a value to a
reduction, avoidance or capture of GHG emissions achieved by a certified
project. It is equivalent to one metric ton of carbon dioxide equivalent
(CO2e). A carbon credit can be used by a business, organization or
individual to compensate their carbon footprint by financially rewarding an
activity that has reduced or sequestered GHGs, and which also brings
other sustainable development benefits. See also Offset.
DEFINITIONS
CARBON FOOTPRINT
A calculation that estimates the amount of emissions in carbon dioxide
equivalent that a country, a business, an organization, an individual or
another stakeholder is responsible for. For the purposes of Climate
Neutral Now, carbon footprint, GHG footprint, and GHG inventory are
synonyms. See also GHG Footprint.

CARBON NEUTRALITY
Carbon neutrality describes a state in which the GHG emissions released
to the atmosphere by a stakeholder (individual, organization, company,
country, etc.) have been reduced or avoided and the remaining ones are
compensated with carbon credits. To achieve carbon neutrality, carbon
credits from projects that reduce, avoid or temporarily capture GHGs are
accepted. Note that carbon neutrality is possible at stakeholder level, not
at global/planetary level, where use of carbon credits
(offseting/compensation) is not possible. See also Climate Neutrality and
Net Zero.
CERs
Certified Emissions Reductions (CERs) are a type of carbon credit or offset
that is issued under the Clean Development Mechanism (CDM) of the
Kyoto Protocol. One CER is equivalent to one metric ton of CO2e.

CDM
The Clean Development Mechanism (CDM) was established in Article 12 of
the Kyoto Protocol. It allows a country with an emission-reduction or
emission-limitation commitment under the Kyoto Protocol to implement an
emission-reduction project in developing countries. Such projects can earn
saleable certified emission reduction (CER) credits, each equivalent to one
metric ton of CO2, which can be counted towards meeting Kyoto targets,
or used for voluntary purposes.

CLIMATE
Climate in a narrow sense is usually defined as the average weather, or
more rigorously, as the statistical description in terms of the mean and
variability of relevant quantities over a period of time ranging from months
to thousands or millions of years. The classical period for averaging these
variables is 30 years, as defined by the World Meteorological
Organization. The relevant quantities are most often surface variables
such as temperature, precipitation and wind.
DEFINITIONS
CLIMATE CHANGE
Climate change refers to a change in the state of the climate that can be
identified (e.g. by using statistical tests) by changes in the mean and/or
the variability of its properties and that persists for an extended period,
typically decades or longer. Climate change may be due to natural internal
processes or external forces, such as modulations of the solar cycles,
volcanic eruptions, and persistent anthropogenic changes in the
composition of the atmosphere or in land use.
Note that the Framework Convention on Climate Change (UNFCCC), in its
Article 1, defines climate change as 'A change of climate which is
attributed directly or indirectly to human activity that alters the
composition of the global atmosphere and which is in addition to natural
climate variability observed over comparable time periods.’ The UNFCCC
thus makes a distinction between climate change attributable to human
activities altering the atmospheric composition and climate variability
attributable to natural causes.

CLIMATE NEUTRALITY
Climate Neutrality means achieving a balance between emissions and
removals of GHGs from the atmosphere. For the purposes of Climate
Neutral Now, climate neutrality and net zero are synonyms.
At the level of a stakeholder (individual, company, organization, country
etc.), climate neutrality is a state where GHG emissions are reduced or
avoided and the remaining ones are compensated with carbon credits from
projects that capture GHGs in the long term.
See also Carbon Neutrality, Net Zero.

CO2 EQUIVALENT
Carbon dioxide equivalent or CO2 equivalent, abbreviated as CO2e, is a
metric used to compare the emissions from various GHGs on the basis of
their global-warming potential (GWP), by converting amounts of other
gases to the equivalent amount of carbon dioxide with the same global
warming potential.
DEFINITIONS
CONTRIBUTION
After assessing its greenhouse gas (GHG) footprint (also known as carbon
footprint) and implementing actions to reduce it, an organization may have
emissions that it did not avoid. In this case, the organization should
consider contributing to projects around the world that avoid, reduce or
capture greenhouse gases beyond its value chain. These projects must be
developed under recognized standards and the carbon credits that they
generate may be used to offset those unavoidable emissions.

GHG EMISSIONS
Greenhouse gases, or GHGs, are gases that trap heat or longwave
radiation in the atmosphere. Their presence in the atmosphere makes the
Earth’s surface warmer. Sunlight or shortwave radiation easily passes
through these gases and the atmosphere, is absorbed by the surface of the
earth and is released again as heat or longwave radiation. The molecular
structure of GHGs allows them to absorb this released heat and re-emit it
back to the earth. This heat-trapping phenomenon is known as the
greenhouse effect.

GHG FOOTPRINT
A calculation that takes into account the amount of the different GHGs
that a country, a business, an industry or an individual is responsible for.
The footprint calculates the direct and indirect levels of emissions. For
the purposes of Climate Neutral Now, carbon footprint and GHG footprint
are considered synonyms. See also Carbon Footprint.

NET ZERO
Both at global/planetary level and at stakeholder (individual, organization,
company, country etc.) level, Net Zero is a state where a balance between
anthropogenic GHG emissions and removals is achieved. This can be
achieved through reducing and avoiding emissions, and then implementing
solutions to capture the remaining ones at the point of generation, or by
removing them from the atmosphere.
Net zero is a state that stakeholders may achieve, but also a state that we
need to achieve at global/planetary level to meet the goals of the Paris
Agreement.
To achieve net zero, only carbon credits or offsets generated by projects
that capture CO2 in the long term are accepted. See also Carbon Neutrality
and Climate Neutrality.
DEFINITIONS

OFFSET
Offsets or carbon credits represent GHG emissions that have been
reduced, avoided or captured through projects that are verified according
to credible standards. Each offset or carbon credit is equivalent to one
metric ton of carbon dioxide equivalent (CO2e). The use of carbon credits
as part of the overall climate strategy of an organization, individual or
other stakeholder serves to encourage further emission reductions at
global level, as well as creating other sustainable development benefits
such as job creation or improved health, among many others. See also
Carbon Credit.

REPORTING YEAR
Every year participants of the Climate Neutral Now initiative must report
on their actions to measure, reduce and contribute through the Report
template, which is publicly available on the Climate Neutral Now webpage.
The year they are reporting about is called the Reporting year. The
deadline to submit the first report is one year after the submission of the
Climate Neutral Now pledge. After that it is mandatory to report each
year. Reporting can be done according to the financial year or the calendar
year.

THIRD-PARTY VERIFICATION
Third-party verification is the process of auditing an organization's or
company's carbon footprint, and eventually also its actions to reduce and
avoid GHG emissions, to ensure that the calculations follow recognized
standards, and are complete, correct and consistent. Climate Neutral Now
accepts verification following ISO 14064, GHG Protocol Corporate
Accounting and Reporting Standard, Bilan Carbone, standards established
by national or local authorities, those developed by an official industry
body, or those developed by the UNFCCC secretariat.
THE CLIMATE NEUTRAL NOW
INITIATIVE
The Climate Neutral Now initiative is one of several workstreams
launched by the UNFCCC secretariat to increase climate action by
engaging non-Party stakeholders (sub-national governments,
companies, organizations, individuals). It was launched in 2015, based
on a mandate to promote the voluntary use of the Clean
Development Mechanism (CDM) and its Certified Emissions
Reductions (CERs), but its goals are much broader than these.

Climate Neutral Now aims to

promote and facilitate this
collective, urgent response to
climate change.

It has evolved to become a much wider tool for awareness-raising,

capacity building, development of collaborative efforts, promoting
estimation of carbon footprints, reduction of those footprints, and
voluntary compensation (offsetting).

The Climate Neutral Now initiative is, therefore, a tool that

encourages and supports organizations and other interested
stakeholders to act to achieve a climate-neutral/net zero world by the
mid-21st century, as enshrined in the Paris Agreement.

Since 2015, and with a global reach, the initiative has achieved,
among other accomplishments:
ACCOMPLISHMENTS
HUNDREDS OF PARTICIPANTS
(organizations, companies, events, individuals,
sub-national authorities and the UN System)

THE WHOLE UN SYSTEM COMMITTED

TO CLIMATE NEUTRALITY BY 2020
(with 97% already achieved by 2019)

ESTABLISHED MULTIPLE
COLLABORATIONS ACROSS SECTORS
(national governments, private sector, NGOs,
business associations, and others)

DEVELOPMENT OF TOOLS TO SUPPORT

ACTION
(UN Carbon Offset Platform, GHG footprint
calculators for individuals, organizations, and
events)

PARTICIPATION & ORGANIZATION

of multiple training and awareness-raising
events

SUPPORT TO HUNDREDS OF
ORGANIZATIONS
to estimate their footprints and learn how to
reduce them
 RATIONALE FOR THE INITIATIVE
The UNFCCC secretariat has the mandate to support national
governments in the implementation of the UNFCCC, the Kyoto
Protocol, and the Paris Agreement, including making efforts to
increase engagement with non-Party stakeholders to meet the goals
established in these agreements, particularly in relation to achieving
the Paris Agreement goal of remaining under 2 degrees Celsius with
the aim of a maximum of 1.5 degrees above pre-industrial levels, and
adapting to the ongoing and predicted changes.

Action by all stakeholders is urgently needed to meet this goal.

Climate Neutral Now is one of the initiatives promoting such action
by encouraging stakeholders to understand their impact on climate, to
learn how it can be reduced and eventually compensated, and how
they can collaborate with others to accelerate the change that is
needed.

Examples of non-Party stakeholders: subnational authorities, private companies,

industrial organizations, NGOs, academia, and individuals.

GOALS OF CLIMATE NEUTRAL NOW 6

5
RECOGNIZE
4
ALL
3 PROMOTE STAKEHOLDERS
COLLABORATIVE FOR THEIR
2 BUILD MECHANISMS TO EFFORTS
CAPACITY INCENTIVIZE through
1 SUPPORT CLIMATE ACTION the provision of advice,
FOR THE
THE communications
EMPOWER REDUCTION / (including carbon
ESTIMATION markets)
support, & other
ALL AVOIDANCE collaborations
OF GHG
RAISE STAKEHOLDERS OF GHG
EMISSIONS
AWARENESS TO MANAGE EMISSIONS
ABOUT THE
THEIR OWN
URGENCY OF
GHG EMISSIONS
CLIMATE
Action by all stakeholders is urgent.
ACTION
A word about climate neutrality, carbon
neutrality and net-zero
For the purposes of Climate Neutral Now, climate neutrality and net-
zero are synonyms. It means reaching a balance between
anthropogenic GHG emissions and their removals. This must be
achieved by reducing GHG emissions to the maximum extent possible,
and then capturing or removing the rest, avoiding any further
increase of GHGs in the atmosphere.

On the other hand, carbon neutrality is understood as action by

stakeholders to reduce and avoid emissions, and then compensating
those that were not avoided by using carbon credits or offsets.
Carbon neutrality is therefore a step on the way to climate neutrality
or net zero.

These guidelines will be updated as consensus evolves on these

definitions.

For the purposes of Climate Neutral Now:

CLIMATE NEUTRALITY CARBON NEUTRALITY NET ZERO

A balance between GHG Action by a stakeholder Synonym with climate
emissions and removals. (company, organization, neutrality.
Achievable at subnational authority,
global/planetary level, and individual) to reduce and avoid
at stakeholder (companies, emissions, and then
organizations, subnational compensate the remaining ones
authorities, individuals) through the use of carbon
level. credits. Use of carbon credits
At stakeholder level, only from projects that reduce,
carbon credits from projects avoid and temporarily capture
that capture GHGs in the GHGs is possible.
long term can be used. Not applicable at
global/planetary level.

Therefore, climate neutrality and net-zero at the stakeholder level are

similar to carbon neutrality, but they differ in the types of
projects/activities used to compensate for the remaining GHG
emissions.
Benefits of becoming a participant
The benefits of becoming a participant of the initiative include:

RECEIVE
UNDERSTAND SUPPORT RECEIVE ADVICE REDUCE COSTS
your GHG to start the on how to reduce increased
footprint process to the footprint resource & energy
calculate that efficiency
footprint

Potential to be
USE THE LOGO highlighted to the
BE RECOGNIZED
DEMONSTRATE of the initiative CLIMATE
through a United
LEADERSHIP and be listed NEUTRAL NOW
Nations-led
publicly COMMUNITY
initiative
as a participant through its
newsletter &
events

Be able to Strengthen
compete for IDENTIFY RISKS &
employee
ADDITIONAL OPPORTUNITIES IMPROVE BRAND COMMITMENT
RECOGNITION arising from GHG RECOGNITION AND SOCIAL
through the emissions and (organizations) RESPONSIBILITY
Global Climate related activities
efforts
Action Awards (organizations)

Preparation for Preparation for For governments

For organizations
VOLUNTARY OR ALIGNMENT that have no
that reach the
COMPULSORY WITH EXISTING voluntary GHG
required levels
GHG EMISSIONS CARBON initiative yet
(see below)
PROGRAMS / NEUTRALITY A WAY TO
ALIGNMENT
INITIATIVES STANDARDS, PROVIDE
WITH RACE TO
led by national & such as RECOGNITION
ZERO CRITERIA
local governments PAS 2060 to organizations

In addition:
- The Climate Neutral Now initiative has no participation fee.
- A participant can stop participating at any point in time.
The process to participate - Overview
The process begins with the signing of the Climate Neutral Now
Pledge, a commitment to:

1- ESTIMATE your GHG emissions COMPULSORY

2- Act to REDUCE/AVOID them COMPULSORY
3- CONTRIBUTE (offset), and OPTIONAL
4- REPORT on a yearly basis COMPULSORY

Sign the
Pledge
(Once)
Measure
• Quantify emissions
• Spot main sources

Reduce
• Identify potential reductions
• Plan and implement actions

Contribute - OPTIONAL
• Choose a project
• Contribute through offsets

Report
• Assess results and revise
• Communicate

Figure 1. Climate Neutral Now Process

Signing the Climate Neutral Now Pledge

This document is a public commitment to estimate your
emissions, to act to reduce them, to consider contributing
(through offsetting) as an option, and to report annually.

The Pledge is signed only once.

Any organization, event, or individual can take the Climate

Neutral Now pledge.

The extent of a participant's commitment is defined in the

Pledge– whether covering a portion of emissions or all of
them. The aim is that the scope of the pledge will increase
over time to include all scopes and sources of emissions, so
real climate neutrality is achieved.

Depending on the level of ambition and rigour that an

organization chooses, they will achieve different levels of
recognition within each of the three steps: Measure, Reduce,
and Contribute (see below for more details).

Organizations that are not ready to complete the three steps

(Measure, Reduce, Contribute) immediately may still sign the
pledge and join Climate Neutral Now. The organizations must
then complete the first two steps, and optionally the third,
within one calendar year from the moment when the pledge
is submitted.

The pledge can easily be downloaded from the website of

Climate Neutral Now. For more information on how to fill in
the pledge see the document "The Climate Neutral Now
Pledge: how to complete it."

When signing the pledge, an organization must complete

all required details and have an authorized representative of
the organization sign it. This representative should ideally be
the head of the organization but, at a minimum, an official
with the authority to commit on behalf of the organization
and with authorization from the head.

The pledge is then sent to the Climate Neutral Now team at

the UNFCCC secretariat via email. The team will send a
confirmation of receipt of the pledge and indicate the next
steps within 10 business days.

Together with the confirmation, the organization will obtain

permission to use Climate Neutral Now assets, such as the
 logo, for its communication efforts. In addition, organizations
and events that sign the pledge are added to the list of
participants on the UNFCCC website on the Climate Neutral
Now pages.

New participants will also be mentioned in Climate Neutral

Now’s monthly newsletter and invited to participate in the
Global Climate Action Awards, under the Climate Neutral
Now thematic area.

Participants can also be invited to participate in specific

collaborations and events. Here is the list of the current
participants.

The yearly report

The Climate Neutral Now initiative requires annual reporting
through the "Report" template.

To know more about the information required and how to complete

the report, see "The Climate Neutral Now Report: how to complete it."

Information to be reported includes:

1. The methodology used to estimate the GHG emissions

and the results (see step 1, COMPULSORY);
2. The measures taken to reduce and avoid the GHG
emissions (see step 2, COMPULSORY);
3. Any compensation of GHG emissions (see step 3,
OPTIONAL).
4. General information about the arrangements that the
organization has in place to manage its GHG emissions.
Based on the data reported, the Climate Neutral Now team will
assign the participant to a “level” in each of the three steps
(Measure, Reduce, Contribute) and send a corresponding “badge” to
be used together with the Climate Neutral Now logo. The badge
explains to the general public the levels achieved by the participant
and the year to which that achievement corresponds.

Please note that organizations can be downgraded from the levels

already achieved if the criteria are not met for two consecutive
years. In case a participant does not report for two consecutive
years, it will be taken out of the list of participants.

Organizations already reporting to CDP or other initiatives that

require reporting of all information requested in the Report will not
be required to report to Climate Neutral Now.

Deadline to submit your first report: one year after the

submission of your Pledge.

For the following years it is mandatory to report annually. The

recommendation is to report according to the calendar or financial
year, whichever is easier for the organization.

These reports shall be non-confidential and will be

made available to the public.
LEVELS OF RECOGNITION
WITHIN THE INITIATIVE
Organizations can reach different levels within each of the three
steps of Measure, Reduce and Contribute. The higher the level of
ambition and rigor that an organization chooses to measure, reduce
and contribute, the higher the recognition it will receive.

Figure 2 shows the different levels that can be achieved in each of

the three steps.

Bronze Silver Gold

Third-party verified GHG inventory, with Third-party verified GHG inventory,

Measure Self-declared GHG inventory
incomplete scope 3 including full scope 3

Target established, with incomplete Net Zero by 2050 or earlier & reduction As Silver, with at least 5% reduction
Reduce
or no reduction plan plan with intermediate targets year-on-year

Contribute Partial contribution Full contribution with partial scope 3 Full scope 3, full contribution

Please note that a participant can achieve different levels in each step

Figure 2. New Tier system for participant organizations in Climate

Neutral Now
Step 1. Measure
Once the Pledge is signed and within a maximum term of one
calendar year, the organization must report their calculated
emissions.

The reporting period may be aligned with the financial year to

synchronize with other annual reporting requirements or be
according to the calendar year.

GHG footprint quantification standards such as the following ones

are preferred:

ISO 14064

GHG Protocol Corporate Accounting & Reporting

Standards recognized by national or local authorities

Standards developed by an official industry body

Standards developed by the UNFCCC secretariat

Some of the most significant sources of GHG emissions and the

correspondent Scope that your organization should consider when
measuring the carbon footprint are listed in the table below. More
details can be found on the GHG Protocol page.

Scopes Sources
· Generating electricity
· Generating heat – non-electric
Scope 1
· Business travel – owned company vehicles
· Industrial processes emissions
· Purchasing of electricity
Scope 2 · Purchasing heat
· Purchasing steam
· Business travel – flights
· Business travel – public transport
Scope 3 · Waste & Wastewater
· Transmission and distribution losses
· Food consumption

Table 1. Significant sources of GHG emissions by scope

 Measure Bronze Level: Self-
declared GHG Inventory
For this level, a self-declared GHG inventory will be
completed, using any standard or methodology selected by
the participant, with public communication about which one
is used. Only scopes 1 and 2 must be included. Scope 3 is
optional. No third-party verification of the GHG inventory is
required to achieve this level.

The goal of this level is to allow any organization, in

particular SMEs, to start the process to understand and
reduce its GHG footprint, without the need for potentially
expensive verification processes and deep technical
knowledge. Ideally, once the organization has become familiar
with the process to estimate the footprint, they can aim to
achieve higher levels of rigour.

The Climate Neutral Now team has developed a simplified

GHG Footprint Calculator for organizations. The goal is to
provide the public with a free and up-to-date methodology
for estimating emissions and to raise awareness about climate
action.

This emissions calculator does not replace a formal, tailored

GHG inventory development process or third-party verified
GHG inventories and should not be used for certification
purposes; however, it can help in making an initial
approximation of the organization's emissions.

The simplified calculator for organizations can be accessed

here.
 Measure Silver Level: Third-party
verified GHG inventory, with
incomplete scope 3
The participating organization must include scopes 1 and 2,
and some of its scope 3 emissions and complete a third-party
verification to achieve the Silver Level of the Measure step
for the Climate Neutral Now initiative.

The sources of scope 3 emissions are to be decided by the

participant. However, they are encouraged to include all
sources that are feasible to estimate, such as air and land
transport, paper consumption, waste generation, water
consumption, and others where the organization should have
data available to make the calculations.

A third-party verification must be conducted by an

independent external organization accredited to produce
GHG footprint verifications. The final product of the
verification should be aligned with recognized verification
standards, according to the participant's country, and must
be contained in a verification statement.

Verifiers shall be a national accreditation body, organizations

recognized by national or local governments, sectoral
organizations, entities accredited under UNFCCC-recognized
carbon market mechanisms, CDP, or other entities accredited
adequately by an official body.

The verification promotes transparency, assurance, and

integrity in the process.

Other benefits from external verification include the know-

how of the measurement of emissions from an external
perspective.
The corroboration of the assumptions made leads to
improved consistency and comparability in following years.

Measure Gold Level: Third-party verified

GHG Inventory, with full scope 3
A third-party (external) verification of a GHG
inventory that includes all material sources in
scope 3 is necessary to achieve the Gold Level of
recognition in the Measure step.

The difference compared to the Silver Level is that the GHG

inventory will include all material sources in the categories of scope 3
dictated by the GHG Protocol.

For more information about the calculation of scope 3, organizations

can use the GHG Protocol’s Technical Guidance for Calculating Scope
3 Emissions here.

The emission factors for the downstream emissions can either be

specifically provided by each one of the suppliers or average emission
factors (depending on the industry) from a secondary database such
as those used in the Organizations Calculator provided by the Climate
Neutral Now team.

For the achievement of this level, an assurance verification statement

must be provided. The results of the calculations must be sent to the
Climate Neutral Now team, through the Report document. This
process should be repeated annually for each reporting period.
Step 2. Reduce
Organizations need to reduce their GHG footprint as much as
possible to ensure the credibility of any other climate action. Once
an organization has measured its GHG emissions and recognized
significant GHG emissions sources associated with its activities,
actions to reduce and avoid the GHG emissions from those
activities as much as possible must be identified and implemented.

Although Climate Neutral Now recommends taking all possible

actions to reduce GHG emissions upfront, strategies for reducing
GHG emissions are often developed once the GHG emissions of an
organization have been calculated.

There are many ways to WAYS TO REDUCE YOUR

reduce the GHG footprint GHG FOOTPRINT

of an organization.
INCREASING ENERGY EFFICIENCY

Different examples for

Your organization can save energy with simple actions
reducing emissions in an such as switching to energy-saving lighting, switching
off lighting and air conditioning when not in use,
organization can be seen ensuring good insulation, and having regular

in Figure 3. For more maintenance of cooling and heating systems.

information and actions to IMPLEMENTING PROCESS CHANGES

reduce your footprint visit For example, improving waste management processes.
Recycling glass, plastic, metal, paper, cardboard,
our website at Climate organic, and general waste at the office is an amazing
Neutral Now or the Net opportunity to shrink your organizations' GHG
footprint!
Zero Tools Database.
SUBSTITUTING PRODUCTS

Substituting products/consumables with those that are

less emissions-intensive (e.g. ensuring vegetarian
catering options)

REPLACING ACTIVITIES

Replacing emissions-intensive activities with those that

generate fewer emissions (e.g. replacing business-
related flights with remote/online conferences and
meetings.

Figure 3. Reducing emissions examples

The Institute of Environmental Management and Assessment‘s
(IEMA) GHG Management Hierarchy (Figure 4) is a useful reference
to keep in mind when considering options to reduce emissions,
including the development of the target and plan required for
higher levels of recognition in Step 2 Reduce.

Figure 4. IEMA GHG Management Hierarchy

A more detailed checklist with additional actions can be provided

upon request, by contacting the Climate Neutral Now team.
Organizations can use this checklist to identify opportunities to
reduce the GHG emissions associated with their activities, noting
that some actions may be more relevant than others depending on
the organization’s nature.

This process should be repeated for each reporting period in

the initiative.
 Reduce Bronze Level: Target
established, with incomplete or no
reduction plan

ALL participants in Climate Neutral Now make the basic

commitment of contributing to achieving global climate
neutrality through their actions to Measure, Reduce and -
optionally- Contribute.

To achieve Reduce - Bronze Level, an organization needs to

identify and implement actions to reduce its GHG footprint,
even if it does not have a formal reduction target or plan in
place.

This level aims to allow all organizations to get started on

their journey to climate neutrality by first learning about their
GHG footprint and how they can reduce it and, once they
have become familiar with these, increase their level of
ambition to reach Silver and Gold Levels.

To achieve Bronze level, the organization may have an

incomplete or no reduction plan at all. It must only identify
ways to reduce or avoid its emissions and implement them.

The organization will then have to report annually on those

implemented actions.
 Reduce Silver Level: Net Zero by 2050 or
earlier target
The requirement to achieve Silver Recognition Level is to ensure that
a plan with intermediate, shorter-term targets is in place to achieve
net-zero by 2050.

To develop such plans and targets, the Science-Based Targets

Initiative (SBTi) or other recognized approaches are recommended. At
the end of the day, the requirement is that the plans and targets are
science-based, meaning that they align with the best available science
regarding how much and how fast we must reduce our GHG
emissions. For example, that means reducing emissions to half of
2010 emissions (base year) by 2030 (target year).

When an organization achieves net-zero, emissions will possibly

continue to occur but will be balanced by capturing an equivalent
amount from the atmosphere (carbon capture).

The recommendations for the organizations while doing a reduction

plan include:
Define a “Base Year” which will be the basis for comparison for
the reduction achievement each year, and a set of target years
with their reduction goals;
Establish processes to define, implement and report relevant
practices, business policies, procedures, and activities to reduce
GHG emissions;
Determine if, even with the best efforts to reduce and avoid, there
are remaining GHG emissions; and
Review your performance and adjust the targets and plans to
ensure continued alignment with science.

A copy of your commitment to Net Zero with the target year and
intermediate targets must be shared to seek recognition at this level
of Step 2. Reduce.
 Reduce Gold Level: At least 5%
average yearly reduction
The highest level of recognition for Step 2 Reduce requires achieving
at least a 5% reduction of the reported emissions year on year, or on
average during a period of 5 years, with the overall goal to become a
Net Zero organization by 2050 or earlier. Additionally, the
organization must have a plan in place to achieve this, including
intermediate targets.

Why 5% yearly average reduction?

According to the IPCC’s 1.5 degrees Special Report, to avoid reaching

the 1.5 degrees Celsius of global warming, we need to reduce 50% of
our emissions by 2030. This equates to a reduction of 5% per year.

Of course, a lack of action will mean that we need to reduce a bigger

amount per year in the future. That is why the 5% annual average
reduction target will be revised in the future and according to each
organization’s performance.

The organization must report their results and “base year” to the
Climate Neutral Now team through the Report. As per the Silver Level,
a copy of your commitment to Net Zero with the target year must be
sent the first year the organization is applying to this level.
Step 3. Contribute (OPTIONAL)
After emission reduction efforts have been undertaken, some
activities are impossible, with today's technologies, to carry out
without any GHG emissions (e.g. travel by air or operating heavy
vehicles). That is why offsetting/compensation has been a tool to
take responsibility and encourage a further reduction in emissions
globally, whilst also bringing other sustainable development
benefits such as reduced pollution, increased health, access to
energy, job generation, and others.

As we move towards 2050, this compensation of emissions needs

to evolve towards long-term carbon capture projects. But it is
expected that we will need to continue indefinitely “compensating”
or “offsetting” unavoided emissions through capture and storage
technologies if we are going to achieve global net-zero emissions.

In the meantime, and as a measure to accelerate this process,

compensation or offsetting with carbon credits that come from
projects that avoid, reduce or capture GHGs temporarily is a
precious tool. Those projects need to be certified under a
recognized standard that follows best international practice. In
particular, standards recognized under the UNFCCC and its Paris
Agreement are recommended.

One option to obtain carbon credits recognized under the UNFCCC

is to use the UN Carbon Offset Platform. However, participants
can procure their carbon credits through any channel of their
choosing.

All or part of the remaining non-avoided GHG emissions

can be compensated through carbon credits.
 Contribute Bronze Level: Partial
contribution

At the Bronze Level, organizations make a partial offsetting

of the total GHG emissions obtained in the calculations in
Step 1.

Proof of cancellation/retirement of the carbon credits must

be provided, following the instructions in the Report
template.

Contribute Silver Level: Full contribution

with partial Scope 3
To achieve the Silver Level of Step 3. Contribute, the organization’s
contribution (offsetting) must be equal to 100% of their emissions in
scope 1 and 2 and the emissions of scope 3 of the reported GHG
inventory. This aligns with achieving Silver Level in Step 1. Measure.

Proof of cancellation/retirement of the carbon credits must be

provided.

Contribute Gold Level: Full contribution

with full Scope 3
The highest level for Step 3. Contribute requires a
contribution of 100% or more of the reported GHG inventory,
where scopes 1, 2, and all material sources in scope 3 are
included. This aligns with the Gold Level of Step 1. Measure.

Proof of cancellation/retirement of the carbon credits must

be provided.
CLAIMING CARBON NEUTRALITY

Organizations that reach the Gold Level for Step 1.

Measure and for Step 3. Contribute, and Silver Level
for Step 2. Reduce, can claim to be carbon neutral.

Others can claim to be contributing and being on

the road to climate neutrality/net zero.

CERTIFICATION OF CARBON
NEUTRALITY - NO!
The Climate Neutral Now initiative does NOT
certify the carbon or climate neutral status of
any organization, event, individual, product,
or other. It is not the goal of the initiative to
provide certifications, but rather to
encourage all stakeholders to contribute to
achieving global climate neutrality - the real
goal of the UNFCCC and its Paris Agreement.

Should an organization wish to be certified as

climate neutral (or carbon neutral),
participation in Climate Neutral Now is a
good way to advance towards that goal. And
those that achieve third-party verification of
their actions to measure, reduce and
contribute (offset) as requested by Climate
Neutral Now in the higher levels of
recognition, will easily achieve certification
through a suitable standard.
 Do you have questions about the initiative?
Please visit our Climate Neutral Now website. If your questions
remain unanswered, contact the Climate Neutral Now team to the
email [email protected]

Testimonials

“The reality of climate change is undeniable but each

of us has the opportunity to take action and reduce
our carbon footprint every day to help turn the tide
and build a sustainable future."

Philippe Cousteau
President
EarthEcho International

" Walking the talk for years the World Resources Forum
2017 was once again a climate-neutral conference. We
are very pleased to now join the Climate Neutral Now
initiative and to promote climate action together in all
our operations. For more information on WRF activities
visit the website or contact [email protected]."

World Resources Forum 2017

"Sony dedicates the same innovative spirit found in our

products, services, and content to our efforts to achieve
the targets listed in Green Management 2020 and
continues our journey on the Road to Zero.*The four
perspectives are namely: curbing climate change,
conserving resources, controlling chemical substances
and promoting biodiversity."

Sony Corporation
RELATIONSHIP WITH

What is the relationship between Race to

Zero and Climate Neutral Now? How do
their requirements compare?

The Climate Neutral Now initiative was launched and is led by the
UNFCCC secretariat. The Race to Zero campaign was launched
and is led by the Global Climate Action Champions, implemented
with support from the UNFCCC secretariat. They are managed
independently.

However, we see both initiatives as complementary: while Race to

Zero implies a commitment to achieve net-zero emissions by 2050
or earlier at organization level, Climate Neutral Now is a
commitment to contribute to achieving global climate
neutrality/net zero, and where the net zero commitment at
organization level is not required at the basic level of commitment
(Bronze). Therefore, Climate Neutral Now allows organizations to
get started on the path to climate neutrality/net zero at
organization level, without making that commitment at the outset.

On the other hand, Climate Neutral Now aims to become one of

the member initiatives under the Race to Zero, so that Climate
Neutral Now participants that meet the required criteria are
recognized under the Race.
 1

The Climate Neutral Now process supports organizations to

eventually meet the requirements of Race to Zero as well.
2

Our expectation is that Climate Neutral Now participants that

reach the Silver Level for Step 1. Measure and Step 2. Reduce will
align with Race to Zero criteria and will receive recognition
3 through this campaign too.

4
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EPA Victoria. (2008). Climate Change. Glossary of key terms. Retrieved from:
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myclimate. (n.d.). What does “net zero emissions” mean? Retrieved from:
https://www.myclimate.org/information/faq/faq-detail/what-does-net-zero-emissions-
mean/

United Nations Climate Change. (n.d.). The Clean Development Mechanism. Retrieved from:
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