ISO Net Zero

Guidelines case
study report
Reframing Net Zero as a Journey
2024

@2024 BSI. All rights reserved.

Contents
3 Introduction

5 Case studies

7 Part I: Key changes made

09 Setting Interim Targets
14 External Affairs and Policy Alignment
21 Scope 3 Emissions and Value Chain
Engagement

26 Part 2: Remaining challenges

31 Part 3: Lessons learned

35 Conclusion

@2024 BSI. All rights reserved. 2

Introduction
Organizations exist for many reasons, but for many, will require that organizations successfully pursue this
generating income is key for survival. This is, and will, goal. Therefore, organizations of all sizes, sectors, and
become increasingly challenging in a warming world jurisdictions have increasingly been committing to net
where climate change is already leading to severe negative zero and developing plans to achieve it. For instance, 47%
impacts on organizations. For this reason, and many of Fortune 2000 companies have set a net zero target as
others, the economy has begun to reorient towards net of June 2023. However, according to an analysis by the
zero greenhouse gas emissions: a world where Net Zero Tracker, only 4% of those targets are backed by
“human-caused residual GHG emissions are balanced by credible plans to achieve them. The question of how to
human-led removals over a specific period and within reach net zero has remained complex, and the need for
specified boundaries,” as defined in the ISO Net Zero greater standardization is clear.
Guidelines. In short, pursuing and progressing towards
net zero is good for businesses. In fact, BSI research finds With the launch of the ISO Net Zero Guidelines at COP27
that 73% of consumers would be prepared to pay more to in late 2022, the International Organization for Standards
companies with a real commitment to net zero. (ISO) provided a comprehensive definition of net zero
and the principles for a credible strategy to achieve it.
“Net zero” and “carbon neutrality” have at times been used These Guidelines harmonize a previously fragmented
interchangeably, but more and more, net zero represents and confusing landscape of voluntary initiatives and
a greater ambition to pursue deep decarbonization across frameworks governing the net zero transition over the past
an organization’s whole value chain and is therefore decade. Their importance in converging and demystifying
a higher integrity industry goal. Achieving net zero by credible net zero action has been recognized in analyses
2050, aligned to the international community’s goal to such as the 2022 UN Yearbook of Global Climate Action and
limit global warming to 1.5 and well below 2 degrees C, the 2023 IEA Breakthrough Agenda Report.

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
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 In the interim, organizations have been using the
The ISO Net Zero Guidelines offer two significant contributions to facilitate the net zero transition. ISO Net Zero Guidelines to develop credible net zero
strategies. This report reflects the experiences
First, they harmonise the diverse landscape of net Second, the Guidelines provide a holistic set of principles of four such organizations, showcasing tangible
zero best practices into a single resource, offering a and recommendations for helping organizations plot changes made, their remaining challenges, and
one-stop shop for practitioners developing credible their net zero journey, including demonstrating progress their major lessons learned. Supported by the
net zero strategies. By harmonizing the 33 most towards net zero by covering all stages of net zero action, framework provided by the Guidelines, organizations
prevalent net zero frameworks and initiatives, the as set out by researchers at the University of Oxford. still face enormous difficulty in aligning with net
Guidelines are the only net zero guidance that has zero best practice. The experiences reflected in this
been recognised to strongly align with all 10 key The existence of the Guidelines alone, however, is not report can serve as valuable lessons for organizations
recommendations in the UN High Level Expert Group enough to sufficiently scale and accelerate the transition worldwide, all of whom must embark on their net zero
on the Net-Zero Emissions Commitments of Non-State to net zero. Voluntary initiatives and frameworks journeys to avoid worsening climate catastrophe and
Entities Integrity Matters report. which have emerged in recent years to spur the net maintain a liveable world for both businesses and
zero transition have lacked the resources and capacity humanity.
to rigorously scrutinize or audit net zero strategies.
Fortunately, however, there are opportunities on the
horizon to build trust, demonstrate accountability and
reduce greenwashing in net zero claims. The international
standards system, as part of quality infrastructure
globally, is designed to address this gap. Converting the
ISO Net Zero Guidelines into the first formal international
standard on net zero - a process which begins from June
2024 - will help to build trust and reduce greenwashing
by providing the option of verifying and validating an
organization’s net zero strategy.

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Case studies

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
@2024 BSI. All rights reserved. 5
 BSI conducted case studies of the organizations listed
below which included interviews with these relevant Organizations featured:
stakeholders, and with the permission of the organizations

1
and stakeholders have included some of the findings General Motors – America’s largest car
and output of those studies and interviews in this report. company; adopted the ISO Net Zero
This report sets out our conclusions based on industry Guidelines as of mid-year 2023.
knowledge and our opinion of the information obtained

2
during our case studies and shares some of the insights Federation Internationale de l’Automobile
from those studies for further reference. Any views that are – the global governing body of motorsport,
not specifically attributed to a case study organization in based in Switzerland; adopted the ISO Net
this report represent the views of BSI only. Zero Guidelines as of beginning of 2023

3
Climate Action for Associations – an SME
and association for trade associations to
come together around taking climate action,
based in the UK; adopted the ISO Net Zero
Guidelines as of beginning of 2023.

4
Planet Mark – a UK-based sustainability
consultancy, certification, and net zero
partner for businesses of all sizes and
sectors, based in the UK; adopted the
ISO Net Zero Guidelines as of beginning
of 2023.

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Part I:

Key changes
made

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
©
@2024
2024 BSI. All rights reserved. 7
 The ISO Net Zero Guidelines are a holistic, comprehensive
framework for getting organizations on their net zero
journey. They contain ten guiding principles, underpinned
by detailed recommendations, for high-integrity net zero
planning.

In the experience of our four case study organizations

undertaking this work in 2023-2024, three key areas of
action stand out:

• Setting interim targets;

• External affairs and policy alignment;
• Scope 3 emissions and value chain engagement.

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
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Setting interim targets
The ISO Net Zero Guidelines state that a net zero strategy
ISO Net Zero Guidelines Clause 8.2.6: must include setting interim emissions targets at least
Interim targets every five years. This represents a significant change for
many organizations that have net zero goals – if they
The organization should set interim targets as have one at all – based on long term net zero targets.
milestones towards its net zero target, taking into Setting these interim targets, rather than just a far-off
account the specific recommendations for Scope 1, net zero target year (usually 2050), provides a clearer
Scope 2 and Scope 31 and 1,5 °C aligned science and more rigorous roadmap for decarbonization. It helps
based pathways. an organization to better visualize and enact plans to
achieve net zero both in the short term and long term
The organization should set interim targets every and empowers sustainability teams to collaborate with
2 to 5 years on the path to achieving net zero departments across their organization to implement these
GHG emissions. plans. Interim goals also support organizations to identify
where progress may be stalling and put in place corrective
measures sooner.

1 ISO Net Zero Guidelines (IWA 42: 2022)

3.2.3
Scope 1 emission
direct GHG emission greenhouse gas emission (3.2.2) from sources (3.2.7) owned or
directly controlled by the organization (3.4.1)
3.2.4
Scope 2 emission
indirect GHG emission from purchased energy greenhouse gas emission (3.2.2) from
the generation of purchased electricity, heat, cooling or steam consumed by
the organization (3.4.1)
3.2.5
Scope 3 emission
indirect GHG emission greenhouse gas emission (3.2.2) that is a consequence of
the organization’s (3.4.1) activities but arises from sources (3.2.7) that are not owned or
directly controlled by the organization

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General Motors (GM)

Prior to General Motors’ (GM) engagement with the

ISO Net Zero Guidelines, GM had set near-term carbon
reduction goals for 2035, and a carbon neutral goal of
2040. The ISO Guidelines, by contrast, would require
interim targets every 5 years, starting in 2030, to
guide GM’s decarbonization efforts. GM recognizes
that interim targets put an emphasis on decarbonization
action in the near-term, with rigorous ongoing assessment
and intervention. This also better aligns with the existing
regulatory and planning cycles that impact Scope 3
Category 11 (Use of Sold Products) emissions in GM’s
industry. GM’s first step towards these revised targets was
to reassess its organization boundaries to help ensure
that the correct GHG accounting metrics were in place. An
interim target approach also enables GM to advocate for
better alignment with relevant regulations in GM’s major
markets. GM is examining potential interim targets that will
better align with the ISO Net Zero Guidelines to enhance
GM’s decarbonization plan.

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 FIA

In 2020, the Federation Internationale de l’Automobile Figure 1: the FIA’s net zero targets
(FIA) committed to reducing scope 1, 2 and 3 emissions Climate Objective: Scope 1, 2 and 3 emissions
To be credible and respect by 50% by 2030, with an interim target of 20% by 2025.
the internationally recognized The strategy included “investing in carbon offsets to
reach carbon neutrality in the short term, but also -20% 2025
guidance, we decided to set a investing in removals from 2027 to reach net zero
net zero target by 2040. status by 2030”. When the ISO Net Zero Guidelines were
created, they “finally brought a consensus on crucial Halving emissions -50% 2030
Barbara Silva terms and common roadmap on how to reach net by 2030
FIA Social Impact Manager zero”, according to Barbara Silva, the FIA’s Social Impact
Manager. This clarity was what led the FIA to adopt the NET ZERO -90% 2040
Guidelines. by 2040
(compared to
As a result of using the ISO Net Zero Guidelines, using 2019 base year)
them to “refine and improve its decarbonization
strategy”, the FIA decided to upgrade their carbon
neutrality target to a net zero target and revise
their timeline from 2030 to 2040, while remaining
committed to the 50% reduction target by 2030 set
out in the Guidelines.

This change in their timeline, and pursuit of the higher

threshold of net zero rather than carbon neutrality,
represents a changed understanding of the distinction
between these goals and what they entail across an
organization. FIA committed to comply with 1.5 degree scenario (Absolute reduction)

ISO Net Zero Guidelines Case Study Report:

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Climate Action for Associations (CAFA)

CAFA has a net zero target of 2030, with an interim CAFA launched their CAFA Certified Net Zero Association
emissions reduction target of 25% by their financial year Programme late 2023, a program “inspired in large part by
ending 2027. As a small-to-medium enterprise (SME), the ISO Net Zero Guidelines”, according to Alison Heppenstall,
CAFA’s staged net zero plan and journey can be instructive and has already delivered it to fifteen member Associations.
to other SMEs, which account for 99% of the business
population in the UK and at least 90% of businesses As part of this programme, associations receive support in
worldwide. measuring their emissions, setting their baseline, and putting
implementation plans in place to reduce their emissions CAFA
CAFA’s greatest impact in contributing to the collective now instructs its members that, in order to have a credible
pursuit of net zero, however, “happens through influencing net zero strategy, interim targets must be set.
our membership”, said Alison Heppenstall, CAFA’s Founder
and Executive Director.

Since adopting the Guidelines in late 2022, CAFA has

systematically begun encouraging its 69 members to set
their own net zero targets, including by making it clear CAFA launched their CAFA
that Scope 3 is a core and necessary component of an
Certified Net Zero Association
organization’s emissions and net zero considerations.
Through regular communication channels, events, Programme late 2023, a program
guidance, and one-on-one consultations, CAFA engages “inspired in large part by the ISO
with its members to foster understanding and awareness
of the importance of setting interim targets in achieving Net Zero Guidelines”
net zero emissions. This empowers organisations to take Alison Heppenstall
proactive measures and make incremental progress to Founder and Executive Director
drive meaningful change.

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 Planet Mark

One of ten official partners of the UN backed Race to Zero Similarly to CAFA, however, Planet Mark’s greatest impact
campaign, Planet Mark is committed to achieving net on the net zero transition comes from its work with
zero across the entire value chain by 2050 in line with UK businesses in carbon reduction and setting net zero targets
government legislation. For example, Planet Mark’s Net Zero Programme, which
has so far supported fifteen member companies with
The organization has been measuring its complete scope 1, target-setting workshops as part of wider net zero strategy
2, and 3 emissions since 2014 and was actively formulating projects, includes the setting of interim targets.
SBTi-aligned targets at the time of acquisition in October
2023. Moving forward, their short and long-term targets According to Andrew Griffiths, Policy & Corporate
will be set at group level, ensuring alignment with best Development Director, “although Planet Mark started this
practices and industry standards. work before formally adopting the Guidelines, adopting
them provides added value by lending credibility through
the formal international standards system.”

By uniting net zero best practice under a single framework,

the Guidelines reinforce and give confidence to actors like
...adopting them provides added Planet Mark who, like many companies, already recognise
the importance of taking net zero action but are seeking
value by lending credibility greater clarity on what a high integrity net zero journey
through the international looks like.

standards system
Andrew Griffiths
Policy & Corporate Development Director

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External affairs and policy alignment

ISO Net Zero Guidelines Principle 7.2: Leadership commitment

The leadership of all organizations should ensure e. clearly defining leadership responsibilities;
alignment between policies and actions, including public f. appointing competent members of the organization’s
policy and advocacy. The leadership should ensure this leadership to take responsibility for actions;
commitment is not undermined by conflicting targets.
g. ensuring competent persons are appointed to
The leadership of the organization should demonstrate relevant roles and determining the frequency
commitment to net zero and the principles provided in of updates to leadership on climate-related
Clause 5 by: issues and progress towards targets;
h. implementing incentives for
a. providing strategic direction, oversight, support and delivering net zero targets;
sufficient resources to set and achieve targets;
i. ensuring consideration of actions needed
b. incorporating net zero targets into core to transition to net zero is prioritized
governance documented information (e.g. throughout the organization;
articles of association, charters, legislation);
j. publicly and regularly communicating
c. disclosing shareholder voting records on climate- transition plans and progress
related issues, if appropriate to the organization;
d. publicly committing to achieve targets as
soon as possible through communication
by the highest level of leadership;

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 The role of policy influence, advocacy efforts, and Making sure that there is consistency and awareness across
external affairs has a major impact on climate action. For an organization’s divisions and functions can be critical to
example, a record number of fossil fuel representatives the implementation of a credible net zero strategy. This
attended the COP28 UNFCCC climate conference in represents alignment that can usually only occur with a
Dubai and in the 2020 election cycle in the United States, mandate from senior leadership, highlighted by the ISO
oil and gas lobbyists spent well over $250 million on Net Zero Guidelines in its dedicated clause on the critical
lobbying and campaign contributions. External affairs role of leadership.
efforts such as these have been shown to significantly
slow down the energy transition needed to achieve net The benefit of senior leadership invested in an
zero. organization’s net zero strategy was demonstrated in every
single case study.
As a result, a credible net zero strategy will include
alignment between an organization’s net zero ambition
and its external affairs efforts. This is reflected in Clause
9.1.2 ‘Content of mitigation plans’ of the ISO Net Zero
Guidelines, which recommend that an organization
“advocate and support climate policy and legislation
and take action to ensure it is not involved (directly or
indirectly) in lobbying against climate ambition”.
advocate and support climate
Today, this alignment is all too often lacking: a 2023 policy and legislation and take
InfluenceMap report found that “corporate net zero
action to ensure it is not involved
or similar targets are rarely matched by support for
government climate policy, with 58% of almost 300 (directly or indirectly) in lobbying
companies from the Forbes 2,000 found to be at risk of against climate ambition.
“net zero greenwash” due to their policy engagement”.
ISO Net Zero Guidelines

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General Motors (GM)

GM appointed its first Chief Sustainability Officer (CSO) well

before ISO released its Net Zero Guidelines, who facilitates
touchpoints with the Board of Directors a minimum of 9.1.2 Content of mitigation plans
twice per year. In addition, GM’s CSO reports on carbon
reduction efforts to the company’s Senior Leadership
Team, which is ultimately responsible for the company’s The organization’s plans for
decarbonization goals. transition to net zero should
After the Guidelines became available, a significant include how the organization will...
change in leadership and governance is that executive
compensation is now directly tied to the performance
of electric vehicles. Given that fleet electrification is a
c) align executive and board
foundation of GM’s decarbonization strategy, this change compensation with meeting
in executive remuneration is an important component of
interim and long-term targets
GM’s decarbonization strategy. In addition, consistent with
the Guidelines, GM’s Board continues to be updated on (e.g. 20 % of long-term
decarbonization target progress at least twice annually. compensation plans);
ISO Net Zero Guidelines

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FIA

For the FIA, adoption of the Guidelines has already led to As the global governing body of motorsport, the FIA is what
much greater coordination between their net zero strategy the ISO Net Zero Guidelines recognizes as a ‘governance
and advocacy. We recognize that our organization’, defined in the Guidelines as an “organization
commitment to net zero that decides, manages, implements and/or monitors
The FIA created a Sustainability and Diversity & policies, requirements, legislation or guidelines”.
Inclusion Department (SD&I) and hired a Director means that not only our central
of SD&I (member of the top management team), external lobbying strategy As such, the FIA is now endeavoring to facilitate every
Sara Mariani, for the first time at the end of 2023. entity that it governs to credibly pursue net zero in turn.
This new department is now having conversations with must align with net zero, but Part of their strategy to do so includes demonstrating the
other elements of the organization and with the FIA’s also that we must support our FIA’s commitment to net zero at important and high-profile
membership. For example, the FIA has initiated regular milestone events for climate action, which is reflected
communication between its Sustainability Team and Public
membership bodies to center in Clause 12.1 of the ISO Net Zero Guidelines: “The
Policy Team – with a commitment to move in the same net zero in their own external organization should take action for positive wider impact,
direction – to support decarbonization, underpinned by
lobbying efforts too. such as… contributing to national and international events
their updated net zero target of 2040. which demonstrate concrete solutions to help scale best-
Sara Mariani practice solutions.”
Director of SD&I
For the FIA, this meant attending the annual UNFCCC
Conference of the Parties for the first time after adopting
the Guidelines: “The FIA’s presence at COP28 demonstrated
our commitment to sharing a global perspective on
decarbonization and asserting our commitment to
pursuing a just transition towards a sustainable, safe,
inclusive, and accessible mobility. The FIA will continue
to demonstrate that user-centric and evidence-based
approach to policy making is reinforcing a just transition
towards a net-zero future for road transport”.

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CAFA

CAFA plays a unique role in the net zero governance

ecosystem as, to their knowledge, “the only dedicated
organization that supports trade associations to It’s imperative for us to fully
pursue climate action”. Adopting and implementing engage in enabling associations
the Guidelines helped CAFA recognize that their role
as a governance organisation requires them to actively to align their activities with net
support members to pursue pro-climate policy. zero ambitions. Consequently,
Trade Associations can play a critical role in influencing
we’ve developed a range of
climate policy. InfluenceMap’s 2017 report ‘Trade resources, including a net zero
Associations and their Climate Policy Footprint’ found
action plan, policy templates,
that among the 50 most influential industry groups
surveyed, the vast majority actively opposed climate and how-to guides that focus
change policy, and only six supported climate change on specific topic areas crucial to
policy, mainly from the renewable energy sectors.
membership organisations.
Alison Heppenstall
Founder and Executive Director

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 As Alison Heppenstall explains it, “associations serve as CAFA’s broader internal strategy has identified climate
the ‘sandwich’ in policy, acting as intermediaries between policy as a dedicated workstream, focusing on supporting
policymakers and industry members. They actively members in aligning their lobbying activities with net zero
participate in consultations for new standards and goals and providing opportunities to educate and inform
legislation, representing the interests of their members membership organisations through policy awareness
while also advocating for pro-climate action policies. At the raising and training.
same time, they relay standards, legislation, and support
provided by policymakers to their members, ensuring CAFA now offers guidance for member associations
implementation and compliance within their respective to develop climate policy positions that are consistent
industries or professions.” with net zero objectives. This guidance covers various
aspects of climate policy advocacy, including engaging
As part of its CAFA Certified Net Zero Association with policymakers and communicating effectively with
Programme, finalised in December 2023 after adoption of stakeholders.
the ISO Net Zero Guidelines, CAFA provides guidance and
resources to help member associations understand the
importance of aligning their external affairs and advocacy
activities with climate commitments.

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Planet Mark

Planet Mark had been involved in policy work but did not This has empowered the business to expand its policy
have a formalized approach prior to adopting the ISO engagement function in recognition of the crucial role
Net Zero Guidelines. Recognizing the need to invest more this plays in implementing and scaling climate action.
in this area, the company appointed then-Director of
Community and Partnerships, Andrew Griffiths, As a result of this expansion since their adoption of the
to represent on Planet Mark in the process. Guidelines, Planet Mark has responded to consultations
put out by governments and ESG rating systems, convened
Planet Mark, represented by Griffiths, participated in the roundtables in Parliament and hosted intimate sessions
consensus-based International Workshop Agreement with government ministers and civil servants. For example,
process as part of the cohort of 1200+ experts from more Planet Mark and Amazon’s Small Business Accelerator co-
than 100 countries which produced the Guidelines in 2022. convened several parliamentary roundtables to ultimately
This marked Planet Mark’s first major engagement in produce a whitepaper on how government can help SMEs
developing standards, inspiring the company to become to be more sustainable.
one of the first early adopters of the Guidelines and to lean
into the policy-facing elements of net zero best practice. This reflects Planet Mark’s recognition, underpinned by the
adoption of the ISO Net Zero Guidelines, of the systems
change that is necessary to support the global transition to
net zero.

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Scope 3 emissions and value chain engagement
Scope 3 decarbonization is amongst the most significant
ISO Net Zero Guidelines Clause 9.2.3: Actions to address Scope 3 and other emissions challenges facing organizations committed to achieving
net zero because these often represent the majority of
The organization should select appropriate actions for f. collaborating with other organizations and sector an organization’s emissions. The ISO Net Zero Guidelines
emission reductions by improving the climate impact of or industry partners to strengthen and align include detailed criteria on how to consider and plan for
products and services. Actions can include, but are not procurement and purchase requirements; reducing these Scope 3 emissions, otherwise known as
limited to: indirect emissions.
g. extending collaboration with other organizations and
the value chain to accelerate adoption of low carbon
a. developing products and services that For all the case studies represented in this report,
(non-fossil) and renewable energy and achievement
contribute to the emergence of alternative influencing and engaging with suppliers has become a
of interim and long-term emissions reduction targets;
value chains (e.g. increase quality and major organizational priority. All four have vast up and
decrease cost of plant-based protein); h. investing in GHG emissions reduction
downstream value chains, the Scope 3 (indirect)
and removals projects;
b. redesigning and developing products and emissions of which far outweigh their Scope 1 and 2
services to reduce their life cycle emissions; i. ensuring financial investments, including assets (direct) emissions.
and pension funds, are aligned with climate
c. promoting, supporting and facilitating
strategy and net zero commitments;
the circular economy (e.g. reuse, repair,
refurbishment, repurposing, recycling); j. prioritizing low-carbon mobility solutions (e.g.
public transport, electric vehicles with appropriate
d. requiring suppliers to commit to net zero targets, in
charging infrastructure) and reducing the need for
line with the recommendations in this document;
personal transportation through urban planning.
e. prioritizing suppliers based on their climate strategy,
past performance and transparency of emission data;

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General Motors (GM)

The automotive sector contributes massively to global GM has rolled out several new supply chain engagement
greenhouse gas emissions. Passenger cars and vans cause programs, including:
3.5 gigatons of CO2 annually, almost one tenth of global In addition to net zero targets, the
CO2 emissions, according to a 2023 report by Deloitte. • As of summer 2023, GM is a member of the group organization should set additional,
For General Motors, Scope 3 emissions make up 99% of “Supply Chain Renewable Energy Program” where
total emissions, with use of sold products (Scope 3 Category other ‘original equipment manufacturers’ (OEMs) separate targets to have a neutral
11) representing the majority of these. This is why GM’s and Tier I suppliers are looking to create education or positive impact on nature
decarbonization strategy focuses on transitioning to EVs. and opportunities for suppliers to participate in
facilitated aggregated renewable offerings (this
(e.g. a biodiversity net gain target,
For supply chain emissions (Scope 3 Category 1) prior to would be done with a third-party vendor) enhanced land regeneration)”.
adopting the ISO Net Zero Guidelines, GM already had a • During 2024, providing a renewable power purchase ISO Net Zero Guidelines (Clause 8.2)
supplier engagement strategy, which included programs agreement (PPA) for suppliers in Michigan has been
such as: a priority deliverable, with a goal for an aggregated
PPA/virtual PPA being operational by 2026.
• 10 times a year GM holds energy webinars focused on
different topics to support supplier in energy reduction Now that GM is working to shift from pursuit of carbon
strategies (or other sustainability topics such as water) neutrality to net zero and is using the ISO Net Zero
• Once a year GM holds an energy symposium to Guidelines to enhance its net zero strategy, the company
highlight energy best practices and supplier wins is developing updates to its supplier sustainability
framework. This reflects the recommendation within the
Now that GM is working to shift from pursuit of carbon Guidelines (Clause 8.2) of the integral role that nature and
neutrality to net zero and is using the ISO Net Zero biodiversity play in a credible net zero strategy: “In addition
Guidelines to enhance its net zero strategy, the company is to net zero targets, the organization should set additional,
developing updates to its supplier sustainability framework. separate targets to have a neutral or positive impact on
nature (e.g. a biodiversity net gain target, enhanced land
regeneration)”.

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FIA

The management of the 242 membership organizations The most powerful mechanism for influence of
and championships under the FIA umbrella is a key area organizations under the FIA’s purview is through the
for impact. ...we can, with confidence, go way regulation it sets for its membership, which traditionally
applies to technical and sporting events management.
Since adoption of the Guidelines, the FIA’s initial focus
beyond because the ISO Net Zero Now, as a demonstration of their recognition of their role
has been on raising awareness of the importance of Guidelines offer guidance on as a governance organization, that regulation will include
GHG measurement and reduction in its network, as enforcing alignment with its principles via new regulation
well as education on development of organizational net
what exact criteria we can use the FIA is developing.
zero strategies, notably through the FIA Environmental (as a governance organization)
Accreditation Program. According to Barbara Silva, to push for net zero. This will mean that, as a governance organization,
“We began by asking for some key data and requirements the FIA’s adoption of the Guidelines will support all
of our championships. For example, for them to have a Barbara Silva 242 organizations they govern to revise their net zero
dedicated human and financial resource for sustainability, FIA Social Impact Manager strategies in line with high integrity best practice or,
and to start measuring their footprint. Now we can, with alternatively, create a net zero strategy for the
confidence, go way beyond because the ISO Net Zero first time.
Guidelines offer guidance on what exact criteria we can use
(as a governance organization) to push for net zero.”

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CAFA

The trade associations that make up CAFA’s membership

have members of their own. CAFA’s role, now greatly
enhanced after their adoption of the ISO Net Zero
Guidelines, is to support its members to support their
own members in pursuing net zero.

For example, CAFA has been able to restructure their

resources for members and bring greater emphasis
to Scope 3 work as a core aspect of credible net zero
action as a result of reviewing their portfolio of resources
against the ISO Net Zero Guidelines recommendations.

According to Alison Heppenstall, “we recognise that the

emphasis on decarbonising value chains will only grow,
and we are ideally positioned to assist Associations in
providing the necessary support for their members to
take action. As the remainder of the decisive decade
becomes increasingly crucial for achieving net zero, we
are well positioned to deliver the support needed.”

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Planet Mark

Planet Mark has embedded the criteria of the ISO Net Zero Organizations may ultimately feel they need to invest in
Guidelines into its value chain engagement programme for their own Scope 3 targets, and accelerate a just transition
members and partners, embedding its recommendations by supporting smaller suppliers to accelerate their own net
when coaching clients on how to engage their own value zero journey. Alternatively, organizations may prioritise
chains. These workshops are active, such as in-person procurement of suppliers that are already acting using
supplier engagement days, or dedicated virtual or in- their own resources.
person sessions with suppliers. Crucially, Planet Mark’s
program involves a meaningful investment from their
members to engage their value chain to address their
Scope 3 emissions.

Addressing Scope 3 emissions is increasingly recognised as

critical to achieving net zero emissions, and Planet Mark’s
experience is emblematic of a reality that organizations
are reckoning with globally. Scope 3 decarbonization
will be better placed to progress at the pace needed
to support a just transition,
if organizations treat this as a priority and allocating organizations with greater
resources towards addressing this. With SMEs often
representing the substantial portion of an organization’s
resource and greater historical
value chain, organizations must also consider the role they responsibility should collaborate
play in facilitating a just transition to net zero. The ISO with those organizations with less
Net Zero Guidelines recommends that “to support a just
transition, organizations with greater resource and greater capability to act.
historical responsibility should collaborate with those ISO Net Zero Guidelines
organizations with less capability to act” (Clause 12.2 Fair
and just transition).

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Part 2:

Remaining
challenges

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 The need to shift consumer demand

The common thread across all four organizations is An organization cannot transition to net zero in isolation;
the complexity of the systems change required for any the global economy is composed of interconnected chains
organization to credibly pursue and achieve net zero. of supply and demand that requires organizations to rely
This is a further reinforcement of an overarching theme on other parts of the system to move to enable their own
within the ISO Net Zero Guidelines, reflected in the Urgency transition.
Principle:
GM’s net zero strategy is predicated on a world that has
“Immediate and ongoing action is taken to effectively transitioned to electrified vehicles. This reality, however,
contribute to the global efforts to hold the increase is still a long way off, and consumer demand certainly
in the average temperature to well below 2 °C above doesn’t match it at this stage. General Motors is therefore
pre-industrial levels and pursuing efforts to limit the grappling with the same question as many corporations
temperature increase to 1,5 °C, by organizations achieving across many industries: how to transition to the future
net zero GHG emissions as soon as possible and by 2050 at net zero economy while remaining profitable and meeting
the latest” (Clause 5.3). consumer demand. GM’s near-term target for use of
sold products (Scope 3 Category 11) is not aligned with a
The three most common manifestations of this systems 1.5 degree C pathway, but rather a well-below-2 degree
change challenge for our case study organizations were: C pathway, due to these complexities in the early EV
transition phase.

1. The need to shift consumer demand

2. Justice and equity
3. Scope 3 emissions and value chain engagement

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Justice and equity

Justice and equity considerations were found to be another General Motors are taking action through their Corporate
consistent challenge in the implementation of the ISO Giving Program and initiatives to upskill their workforce.
Net Zero Guidelines. The ISO Net Zero Guidelines, a set of For the FIA, the use of the ISO Net Zero Guidelines has
voluntary recommendations, do not include a methodology supported a recognition that their existing strategy has
for understanding just transition impacts or a prescriptive not yet incorporated any just transition considerations.
set of requirements for addressing just transition Going forward, the FIA intends to develop a just transition
considerations. In the absence of an agreed methodology, policy to inform their own net zero efforts and the just
this represents a frontier of net zero action that case study transition efforts of all their membership organizations.
organizations have been able to innovate and pilot. For CAFA, this has meant increasingly talking about
and encouraging just transition considerations, but the
The Guidelines clearly set out in Principle 5.9 Equity and concept remains abstract for them and for their members
Justice, “Targets and actions align with the United Nations without a clear methodology to implement.
Sustainable Development Goals (SDGs) to support equity and
global transition to a net zero economy, and any subsequent
UN global goals that supersede the 2030 SDGs.”

“Mitigation actions take a human-centred approach,

safeguarding the rights of the most vulnerable people and
communities. Activities take into account the burdens and
benefits of climate change and ensure that responses,
including responsibility for costs, are equitably shared (see
Clause 12).”

“Mitigation actions take into account the need to preserve or

enhance ecosystems and biodiversity.”

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 For Planet Mark, this has meant engaging members in
discussions about how to ensure fair net zero target
expectations are being set for suppliers based in lower
the ISO Net Zero Guidelines include income nations, but they recognize there is a clear need for
greater standardization and international guidance here.
a lot of great initial guidance on
how to acknowledge justice and According to Andrew Griffiths, “it would be incredibly
useful for clear and internationally recognized guidance
equity and facilitate a just transition. on practical ways to ensure corporate action within value
But we need more clarity, from chains is consistent with the principles of a just transition in
standards, from the market, and a scalable way. Organizations need a consistent approach
to recognizing that the pathway to net zero can be
from policy makers on what this different for value chain stakeholders in particular sectors
actually, practically means for and developing nations that is agreed by independent
standards setters.”
business.
Alison Heppenstall All four organizations recognize there is more to do to
Founder and Executive Director facilitate a just transition. The guidance set out in the ISO
Net Zero Guidelines represents a good starting point, but
a clear methodology that outlines what considering a just
transition practically means for organizations in designing
a credible net zero strategy will be necessary in order to
truly meet this challenge.

ISO Net Zero Guidelines Case Study Report:

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Scope 3 emissions and value chain engagement

As set out in this repor, Scope 3 decarbonization is For CAFA, the greatest challenge they face in fully aligning For Planet Mark, the next step will be scaling in response to
often the greatest challenge that organizations face with the ISO Net Zero Guidelines is that it remains difficult demand, as more and more of their 800+ existing members
in developing and implementing a credible net zero to mobilize their membership of 69 associations to begin are seeking practical support through their Net Zero
strategy. their own net zero journeys. That, in large part, is because Programme, enhanced by the ISO Net Zero Guidelines.
credible pursuit of net zero remains a vague and abstract This is also Planet Mark’s greatest opportunity for impact,
In the case of the FIA, which has an extremely complex goal for most organizations. This is especially true for given how the Guidelines elevate the role of ‘governance
value chain and membership model, dependence SMEs, which are most of the members of the organizations organizations’ in embedding a high integrity approach to
on external systems change to credibly pursue net that CAFA represents. net zero into not just their own operations, but also in the
zero themselves is evident. The FIA’s largest source of guidance they set for others to follow.
emissions is from the freight and transportation required The conversion of the ISO Net Zero Guidelines into an
to move around their vehicles and personnel, and from international standard containing verifiable requirements Planet Mark also argues for the need for the principles and
the motor sports championship events they host. In this for net zero action offers the potential of greater clarity recommendations of the Guidelines to be converted into
way, the FIA will always require regulatory frameworks and trust than exists in the market today. This standard verifiable requirements within an international standard.
and energy mixes in the jurisdictions they visit to align and the credibility it offers can support CAFA and other
with net zero for them to credibly claim net zero as well. organizations to mobilise their membership. As Policy and Corporate Development Director, Andrew
This challenge reinforces the paramount importance of Griffiths, commented, “How should companies ensure
alignment with external advocacy and positive climate that net zero is fully woven into their governance
lobbying. structures controlling business strategy, financial
budgeting, risk assessment and audit? We have separate
voluntary standards providing best practice guidance
for measurement, target-setting, net zero strategy
planning and corporate disclosures, but there remains
an opportunity to harmonise these into an end-to-end
structure that allows an organisation to demonstrate that
they have fully aligned with best practice governance
across the board.”

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Part 3:

Lessons learned

@2024 BSI. All rights reserved. 31

 Net zero action to date has consisted mostly of net zero Pursuing net zero becomes exponentially easier once
target-setting and emissions reporting. According to you begin, and it could only become more difficult to
BSI’s recently commissioned research in fact, “Net zero transition the longer you wait. This is underscored by the
pledges have proliferated in the last years, now covering recommendations from the ISO Net Zero Guidelines that
92% of global GDP. Though these net zero commitments “organization should not delay urgent mitigation actions
are welcome, they must be accompanied by a robust to achieve interim or long-term targets” (Clause 9.2,
governance system to ensure that promises translate Prioritization of mitigation actions).
into action”. The much more difficult work of actual
emissions reduction and of the internal and external The organizations using the Guidelines to develop their
cultural shift that will be required to achieve net zero net zero strategies also consistently reflected that the most
has, until now, been far rarer to see. The four important factors for success are a mandate from senior
organizations featured in this report, therefore, leadership, and resources.
have gleaned key lessons from their experience of
implementing net zero strategies developed using the They all also acknowledged and remained focused on
the ISO Net Zero Guidelines the conviction that long term, the net zero transition is
beneficial for the climate and for their business.

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
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General Motors (GM) FIA CAFA

The business case for driving the EV and broader societal For the FIA, adopting the ISO Net Zero Guidelines has In CAFA’s case, their most significant reflection since
net zero transition has been especially important for GM. changed their understanding of what credible net zero adopting the ISO Net Zero Guidelines is that the confidence
GM understands that an economy-wide shift to low or zero action means. This lesson, leading them to revise their this guidance has lent them has been instrumental to
emitting products and energy is critical to achieving net net zero target as opposed to pursuing carbon neutrality their progress. Being able to leverage the credibility of
zero. Setting nearer-term interim targets can better align and thereby creating an initial strategy that over-relied on a stable, trusted, international institution like ISO has
with existing regulatory and product planning cycles, and offsets, is by far the most significant and consequential given them the reassurance they need to encourage
this can provide GM with additional perspectives on its lesson that the FIA learned through adoption of the and empower their membership to pursue their own
emissions-reduction journey. Guidelines. As a result, they have set a revised target of net net zero goals. As Alison Heppenstall summarized,
zero by 2040, while still committing to a 50% reduction in “it’s easy to feel like you’re doing the wrong thing since
In addition, the need for cross-sector collaboration has emissions across all scopes by 2030. it often feels like there’s no clear definition or example
been reinforced throughout GM’s ISO Net Zero Guidelines of what the right thing is! The form, structure, common
case study experience. GM recognizes that support from all Furthermore, as Sara Mariani, the FIA’s SD&I Director sets language, and accessibility of the Guidelines has been
industries and sectors is required to achieve net zero. GM out, “our responsibility is not only about reaching net zero so helpful to taking action. This process has given us an
also recognizes the need for holistic, economy-wide climate but going beyond. We shouldn’t stop at reducing by 50% unparalleled confidence boost that has translated to our
policy to support the changes required to credibly pursue net in 2030 and removing residual emissions. We need to use membership and enabled them to make credible progress
zero. This is a key reason why the ISO Net Zero Guidelines the extent of our reach and our position as a governance towards net zero too.”
appealed to GM in the first place. As CSO Kristen Siemen has organization to contribute towards the transition. We have
said about the transition, “We can’t do it alone.” 242 member organizations across more than 140 countries.
Their realities are very different and we cannot expect them
to reach the same objectives at the same times. As such, an
important lesson from using the ISO Net Zero Guidelines
for us has been to be mindful of regional discrepancies for
every action, every target we set and ensure we offer the
We can’t do it alone. right support for everyone to be able to start their net zero
Kristen Siemen journey. We cannot achieve net zero alone – it will require
Chief Sustainability Officer, General Motors systems change – and our external affairs and that of our
members plays a role in facilitating that change.”

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
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Planet Mark

As a sustainability consultancy, certification, and net zero “The built-in accountability mechanism that exists within
partner for businesses of all sizes and sectors, Planet the formal standards system is unmatched, and when fully
Mark already had strong expertise in the practicalities of leveraged, will scale the transition more dramatically than
delivering net zero strategies within organizations. any other force aside from mandatory regulation can. In
other words, going through this process has been hugely
According to Andrew Griffiths, “working with the ISO Net helpful in future-proofing Planet Mark and ensuring that
Zero Guidelines provided a fantastic opportunity to review we can continue to be market leaders demonstrating best
our practices to ensure that we were delivering these practice in a robust and evidence-based way.”
services in a consistent and auditable way, where we can
prove that the guidance we provide has been fully in line “The process of completing a full gap analysis of our Net
with best practice.” Zero Program against the ISO Net Zero Guidelines has
given us a clear process and approach to documentation
“As we continually move toward a more robust, evidence- for future developments and gap analysis against other
based approach to net zero, ensuring adequate standards. The way that the consultation process and
documentation and evidence will be critical for net zero resulting Guidelines were structured made it much easier
consultancies who could eventually be audited against a for us to develop this approach. Now that we’re confident
set of criteria like the ISO Net Zero Guidelines.” in our own net zero strategy, we’re in a position to support
our growing community of 800+ member companies to
“This assurance component of ISO standards – create their own credible, holistic, high integrity net zero
something that doesn’t exist for any of the voluntary strategies aligned with the ISO Net Zero Guidelines. The
standards that currently govern the net zero landscape potential for impact and emissions reductions that this will
– is a major reason why we’ve adopted the Guidelines lead to is enormous.”
and look forward to them becoming a full ISO standard.“

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
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Conclusion

@2024 BSI. All rights reserved. 35

 This report presents the experiences of four organizations From June 2024, BSI is convening an international process
of varying sectors and sizes grappling with transitioning to through ISO’s Climate Change Management Committee
net zero. Despite the real obstacles and practical challenges to convert the ISO Net Zero Guidelines into the first
inherent in the transition, all four have used the ISO Net international standard on net zero for organizations. Using
Zero Guidelines to make key changes to their net zero the basis of this international standard, the ISO Net Zero
strategies in alignment with recognized high integrity Guidelines, to develop a credible net zero strategy now can
criteria. The Guidelines, a comprehensive and high- therefore support an organization to de-risk its approach to
integrity framework for net zero action, are freely available net zero action, avoid delaying urgent steps that must be
to download, and are already being used by organizations taken now and prepare for the future net zero economy.
around the world.
International standards can play a crucial role in scaling
The clear net zero guidance provided in a single framework and accelerating the transition to net zero. The opportunity
has given the organizations featured in this report greater to take advantage of the innovative, future net zero
confidence to develop net zero strategies and plan for the economy is huge. The ISO Net Zero Guidelines are a
long term. Their experience of adopting the Guidelines has tool for doing just that and can help any organization of
led to greater clarity on what net zero action means for any size, sector, and jurisdiction to reframe net zero as
an organization and has helped unlock key decisions and the journey it is and help accelerate progress towards a
tangible changes at the highest levels of leadership. sustainable world.

ISO Net Zero Guidelines Case Study Report: Reframing Net Zero as a Journey
@2024 BSI. All rights reserved. 36
 Title

“
The built-in accountability
mechanism that exists within
the formal standards system
is unmatched, and when
fully leveraged, will scale the
transition more dramatically
than any other force aside
from mandatory regulation.
Andrew Griffiths
Director of Policy and Corporate Development
at Planet Mark

@2024 BSI. All rights reserved. 37

BSI
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London,
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