Launch of the first ever Quebec Businesses Transition Barometer
Climate emergency: employees are the main source of pressure for Quebec SMEs to act
MONTRÉAL, November 30, 2022 2022 Quebec Net Positive launches the inaugural edition of the Businesses Transition Barometer. While the integration of ESG (Environmental, Social and Governance) is receiving more and more attention within the business community, this Barometer is the very first study to focus precisely on corporate climate action, including SMEs. To conduct this important study, Quebec Net Positif commissioned the research firm Léger that surveyed 501 senior executives from Quebec businesses between September 22 and October 11, 2022.
“With the Barometer, it is the first time that we have access to representative and exhaustive data on the level of commitment of Quebec businesses towards climate action and the transition to a low-carbon economy. I am thankful to our partners Hydro-Québec, Investissement Québec, as well as our collaborators Desjardins, BDC, Futur Simple and Ciblexpert, who made this achievement possible,” says Anne-Josée Laquerre, Executive Director & Co-Founder, Québec Net Positif.
The Barometer reveals unprecedented data on the sources of pressure and the key elements that trigger action, knowledge of the subject, perception of risks and business opportunities of the transition, climate actions implemented and forthcoming, and more. Key highlights include:
- The main source of pressure for small and medium-sized enterprises (SMEs) comes from within,
particularly from employees
For the 26% of SMEs (10-249 employees) that report strong pressure to reduce their greenhouse gas (GHG) emissions, the main source of pressure comes from employees (27%). Employees are twice as important a source of pressure for SMEs as the management team/Board (13%). On the other hand, 36% of large companies (250+ employees) report strong pressure to reduce GHGs. They are under more pressure from standards, laws or regulations (33%), their customers (30%), the management team/Board (26%), competitors (26%) and, to a lesser extent, employees (10%). - The veil has been lifted on what triggers businesses to act
The main trigger for corporate action is the global environmental situation/climate crisis (40%). The other main triggers are employee/manager concerns and ideas (35%), access to new knowledge/data (18%) and citizen pressure (17%). - Quebec businesses say they are called upon to act on climate issues regardless of theimportance of climate issues within their business sector
While 28% believe that climate issues are important within their industry, 84% believe that there is an urgent need to reduce GHG emissions and 85% agree that businesses have a central role to play in reducing GHG. - Even though they believe that action is urgently needed, businesses are slow to take action
While 86% say they are motivated to do things differently, 48% of businesses report not having yet implemented any climate action within their operations and less than a quarter (24%) report seeing actual examples that the transition to a low-carbon economy is already underway within their industry. - Climate literacy is needed now more than ever
When asked about their understanding of several climate-related terms, 23% of respondents revealed that they could not explain any of the proposed choices in their own words. Fourteen percent said they could explain direct and indirect greenhouse gas (GHG) emissions (Scope 1, 2 & 3), 18% greenwashing, 39% carbon neutrality and 70% climate change. - Over the next two years, the optimization of energy management will be the main new climate
action implemented
In addition to the actions already underway, climate actions related to the optimization of energy management are most often considered over the next two years (44%), including reducing the company’s digital footprint (44%), measuring and improving building energy efficiency (38%) and migrating to sustainable energy sources (36%).
Characteristics of advanced businesses
The results reveal that the most advanced businesses and those on a likely transition pathway can rely on internal or external environmental expertise. They tend to be further up the value chain, larger in size and under greater pressure. In addition, their most senior executives are between the ages of 35-54 and their management teams have a higher proportion of diversity leaders. Notably, the management teams and boards of directors leading the most advanced businesses are more informed about the risks and, more importantly, about the opportunities of the transition to a low-carbon economy.
“Businesses and their advisors will now be able to rely on the Businesses Transition Barometer to identify the levers they can activate to initiate or accelerate their climate action,” says Anne-Josée Laquerre. “As a complement to our mapping of the low-carbon economy, the data and new insights from the Barometer are crucial. Collectively, we will be able to better understand the dynamics of the important economic transition underway and better target mobilization efforts to generate maximum positive impacts for businesses, society, and the environment,” she concludes.
For more information
To see the press release on Cision: click here
Download the Quebec Business Transition Barometer 2022: click here
Webinar of results for the 2022 Barometer in replay: click here
To produce a sector or regional Transition Barometer : contact us
About Québec Net Positif
Quebec Net Positive is an independent not for profit think tank whose purpose is to accelerate the transition to a low-carbon and “net positive” economy. Supported by the McConnell Foundation, its mission is to raise awareness, mobilize and equip businesses to seize new business opportunities, go beyond mitigating risks, and activate their full potential to create positive impacts on society and the environment.