As businesses and industries close out 2023 and look ahead to 2024, expect another year with significant growth, surprises, and expectations in energy and sustainability from what happens with fossil fuels, more plans to add nuclear power sources, carbon capture, evolving government regulations, and much more.
This past year saw plenty of continued evolution in how sustainability is viewed, and in how businesses and organizations operate and continue to strive for more efficiency, and 2024 will be no different.
It is almost a rare day anymore to not have a government announcement for a new clean energy investment or rule aimed at decreasing the environmental impacts of almost any kind of operation. That is especially true in the United States where the Inflation Reduction Act continues to establish its footing in the country.
Expect those kinds of commitments to keep expanding, especially over the first half of the year.
Regulations and financial standards will be at the forefront in 2024. This past year the International Sustainability Standards Board issued its first standards related to sustainability disclosures by companies, and there was the creation of the Taskforce for Nature-related Financial Disclosures.
Expect more along these lines in 2024, especially considering the Securities and Exchange Commission’s proposed emissions disclosure rules, which were first publicized in March 2022, still have not been finalized.
Renewable energy will continue its march on overtaking more traditional and emissions-heavy power generation sources such as coal. Look for sources such as nuclear power, which seems to be more favorable among power brokers by the day, and geothermal energy continues to be seen as for the potential to push closer to net-zero goals.
The next COP may be almost a year away, but after the contentious end to the 2023 United Nations event, expect the role of fossil fuels in a clean energy transition to be even more of a focus of international talks.
Hydrogen efforts will remain strong, as well as increasing the use of alternative fuel sources, such as SAF. At the end of 2023, there were two completed transatlantic flights using SAF. Expect even more attempts at proving clean fuels work this coming year.
Carbon capture was all over the place by the end of 2023. Does it work? Will it be the technology to push countries toward a successful Paris Agreement? This next year could provide some more clarity on that scope.
The same goes for carbon credits. Are they a thing of the past? Is it just window dressing for sustainability strategies?
Even if not, look for nature-based platforms and financing to continue to rise. The elimination of obvious carbon emissions always seems to be more newsworthy and visible, but multiple untapped sources of improvements can be seen in forests, oceans, and agriculture.
Researchers have also used natural sources such as coffee, fruit, sugar, and even chicken feathers to make sustainable materials. There were also big advancements in how things are made in 2023, from carbon-negative beer to making clothes out of textile waste and renewable resources.
The opportunities to expand on such ideas can seem endless, and surely there will be more stories of success in the coming year.
As these types of programs, studies, and strategies keep popping up, so does the critical eye. No longer is it acceptable for businesses to say they are making changes or broad claims, they need to back them up.
There were numerous greenwashing lawsuits, several addressing the sustainability claims of large corporations. Governments also started having a say in what is acceptable. Expect the trend of making sure companies are following through with their statements to continue.
With so much going on with energy, sustainability, climate, and the environment, there surely is plenty more that hasn’t even scratched the surface yet.
As the holiday week approaches, the staff at Environment+Energy Leader is going to take a deserved break and will be ready to come back on Jan. 2 to tackle all of these issues and more as we move into 2024. We look forward to growing our daily and featured coverage of these important topics and more for business leaders and wish everyone a happy and healthy holiday.
