A consortium of prominent financial, energy, and industrial firms has announced the formation of Carbon Measures, a coalition dedicated to establishing a more accurate and consistent framework for carbon emissions accounting at both the company and product levels. This initiative also seeks to set carbon intensity standards for key industrial products.
The coalition’s founding members include ADNOC, Air Liquide, Banco Santander, BASF, Bayer, CF Industries, EQT Corporation, ExxonMobil, EY, BlackRock’s Global Infrastructure Partners, Honeywell, Linde, Mitsubishi Heavy Industries, Mitsui & Co., Mitsui O.S.K. Lines, Ltd., NextEra Energy, Nucor, the Port of Rotterdam, and Vale, with more participants to be announced.
Carbon Measures intends to leverage robust scientific principles and financial accounting methodologies to establish a ledger-based carbon accounting framework. This framework aims to address issues such as accuracy, double counting, and information gaps in current systems. It is expected to aid companies in differentiating their products and assist governments in making informed policy decisions.
In addition to developing the new carbon accounting framework, the coalition will focus on creating carbon intensity standards for essential industrial products like electricity, fuel, steel, concrete, and chemicals, which are fundamental to most supply chains.
Ana Botín, Executive Chair of Banco Santander, emphasised the initiative’s goal of creating a globally comparable method to calculate carbon intensity across the value chain. This approach is intended to establish product standards and accelerate the transition to a lower-carbon economy by fostering a market-driven solution to this critical challenge.
Leading the coalition is Amy Brachio, former EY executive, who has been appointed CEO of Carbon Measures. Brachio brings nearly three decades of experience from EY, where she most recently served as Global Vice Chair of Sustainability, overseeing the firm’s sustainability and climate change agenda globally.
Brachio highlighted the importance of precise data for informed decision-making, noting the current reliance on estimates and voluntary commitments in emissions tracking. She expressed that Carbon Measures aims to develop a system that promotes market competition, unlocks investment, and accelerates emissions reduction, driving the substantial change required globally.
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