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Two Lakes Dialogue Accelerates Decarbonization in Key Value Chains, Calls for Carbon Market Interoperability

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14 Apr, 2025

This post was originally published on WBCSD

Montreux, Switzerland: The latest session of the Two Lakes Dialogue convened industry leaders, policy experts, and sustainability pioneers to advance collective solutions for decarbonization across key global value chains. Building on WBCSD’s 2024 Two Lakes Dialogue, this high-level exchange in Montreux, Switzerland – which took place as an integral part of WBCSD’s anual Liaison Delegate Meeting – focused on aligning efforts in the agrifood and automotive sectors, as well as exploring pathways toward interoperable carbon accounting systems.

Accelerating Climate Action Across Industries

The first session brought together leaders from Unilever, BYD, Toyota, JA Solar and others to examine corporate strategies driving decarbonization at scale. Speakers showcased how emissions reductions, circular economy practices, and sustainable supply chain management are reshaping industrial operations.

  • Unilever spoke about tackling greenhouse gas emissions across complex supply chains, particularly in China’s chemicals sector, and called for deeper global engagement, including with countries like India, to bring a broader perspective to climate policy.
  • BYD outlined the company’s integrated carbon management platform, which enables real-time monitoring of energy use and life cycle emissions, supporting transparent reporting aligned with international disclosure frameworks.
  • Toyota highlighted its longstanding leadership in hybrid technologies and stressed the importance of ensuring equitable sustainability transitions—especially for the Global South, where raw material sourcing and end-of-life recycling are key.
  • JA Solar reinforced the importance of scaling renewable energy solutions to support clean energy adoption across global supply chains.

The session emphasized China’s pivotal role in renewable energy, circular innovation, and global supply chain resilience. Hubei Province was spotlighted as a role model for ecological leadership and high-quality, green growth.

Carbon Border Adjustment Mechanisms & the Case for Convergence

A second session tackled the rising complexity businesses face due to fragmented carbon accounting frameworks and diverging Carbon Border Adjustment Mechanisms (CBAMs) across jurisdictions. As international trade faces mounting compliance burdens—from the EU to the UK, Australia and the US—harmonization is becoming urgent.

  • BCG  stressed the need for a unified global approach to CBAMs, noting that discrepancies in methodologies have already led to compliance issues—such as a 50% non-compliance rate in New Jersey. They urged greater alignment to ease trade friction and support smoother transitions for businesses navigating global carbon markets.
  • Panasonic emphasized the importance of recognizing and incentivizing avoided emissions, particularly in the biogenic sector and in waste management innovations across China.
  • Innovations from Unilever, Panasonic, and BYD demonstrated how digital tools and data-driven solutions can help companies better track, disclose, and reduce their carbon footprint in line with emerging international expectations.

Strategic MoUs Cement Commitments

To strengthen cooperation and scale progress, the Dialogue concluded with the signature of three memoranda of understanding:

  1. CCIPI Hubei & WBCSD – reinforcing trade cooperation for sustainable development;
  1. Hubei Hongtai Group & WBCSD Hubei Office – aligning China’s carbon accounting practices with global standards;
  1. Wuchang District Government & WBCSD Hubei Office – expanding international exchange to accelerate the green transition.

The Two Lakes Dialogue (TLD) is a pioneering platform fostering global collaboration to advance green industrial transformation and climate action. It was launched in 2024 along the shores of Wuhan’s East Lake by WBCSD, in partnership with Hubei Hongtai Group and the China Council for the Promotion of International Trade, Hubei Sub-Council (CCPIT Hubei).

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The post Two Lakes Dialogue Accelerates Decarbonization in Key Value Chains, Calls for Carbon Market Interoperability first appeared on WBCSD.

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Embedding environmental stewardship into IT governance frameworks

Embedding environmental stewardship into IT governance frameworks

Integrating environmental stewardship into IT governance frameworks has become essential as businesses increasingly prioritise sustainability. IT operations contribute significantly to carbon emissions, energy consumption and electronic waste (e-waste). Organisations that embed environmental responsibility into their IT governance can reduce their ecological footprint, improve operational efficiency and strengthen their brand reputation.

Erica Smith, chief alliance officer and environmental, social and governance lead, Blue Connections IT, said, “Environmental stewardship supports financial performance, risk mitigation and brand differentiation. With rising energy costs, increased consumer demand for sustainable products and services, and growing pressure from investors and regulators, companies can no longer afford to overlook their environmental responsibilities.

“Poor sustainability practices in IT can lead to high operational costs, supply chain risks and reputational damage. Conversely, a proactive approach improves efficiency, attracts environmentally conscious customers and helps future-proof businesses against evolving policy and regulatory changes.

“Integrating environmental responsibility into IT governance integrates sustainability initiatives into decision-making systematically. Organisations can reduce waste, lower energy consumption and extend the lifecycle of technology assets while positioning themselves as responsible leaders in an increasingly climate-aware market.”

There are four key areas that present opportunities to embed environmental stewardship into IT governance frameworks.

1. Device lifecycle management

A structured approach to managing the lifecycle of IT assets ensures devices are deployed efficiently, maintained properly and retired responsibly at the end of their useful life. Embracing a circular economy model, where equipment is refurbished, reused or ethically recycled, can significantly reduce e-waste and resource use. Companies that adopt this approach lower their environmental impact and unlock financial value by extending the lifecycle of IT assets.

Smith said, “Effective asset recovery strategies further support sustainability efforts. Integrating secure data erasure and refurbishment into IT governance policies lets businesses repurpose functional devices within the organisation or resell them to external buyers. Responsible e-waste recycling also supports companies to process materials ethically in instances where resale is not viable, reducing landfill contributions and preventing environmental contamination. The adoption of industry-certified data sanitisation methods also safeguards compliance with security and privacy regulations.”

2. Sustainable procurement

IT governance frameworks should prioritise the selection of technology vendors and partners committed to sustainable manufacturing, responsible sourcing and energy-efficient product design. This includes favouring IT hardware with a high percentage of post-consumer recycled materials and using minimal packaging. Additionally, employing Device-as-a-Service (DaaS) models optimises IT asset utilisation while reducing upfront investment and unnecessary hardware purchases.

Partnerships with sustainability-driven IT service providers can further enhance an organisation’s environmental impact. Working with partners that offer end-to-end IT asset management solutions, encompassing secure device deployment, certified data sanitisation and ethical recycling, simplifies the process of aligning IT operations with sustainability goals. Companies that prioritise environmental stewardship in their IT governance framework gain a competitive advantage by demonstrating their commitment to responsible business practices.

3. Energy consumption

Data centres, cloud services and enterprise networks require substantial energy resources, making green IT practices essential. IT governance frameworks should include policies to reduce consumption by optimising server efficiency, reducing redundant infrastructure and using renewable energy sources. Cloud providers with strong sustainability credentials can support carbon reduction initiatives, while virtualisation strategies can consolidate workloads and improve overall energy efficiency.

4. Employee engagement

Educating staff on sustainable IT practices, such as energy-efficient device usage and responsible e-waste disposal, creates a culture of accountability. Organisations that implement green workplace initiatives, such as responsible end-of-life disposal programs, reinforce their commitment to sustainability at all levels.

“IT governance must also align with corporate environmental, social and governance commitments. Companies can contribute to broader sustainability objectives by embedding environmental stewardship into IT policies, such as net-zero emissions targets and responsible supply chain management. Clear reporting mechanisms and regular sustainability audits aid transparency, letting businesses track their progress and demonstrate accountability to stakeholders,” Smith said.

Government regulations and evolving industry standards are increasingly shaping the sustainability expectations for organisations. Aligning IT governance frameworks with best practices for environmental stewardship keeps companies ahead of regulatory requirements. Proactive adoption of sustainable IT practices positions businesses as industry leaders in environmental responsibility.

Smith said, “Integrating environmental stewardship into IT governance frameworks is not just about meeting compliance obligations; it’s about futureproofing company operations and prioritising the broader environment. Taking a proactive approach to sustainability lets organisations drive efficiency, reduce long-term costs and contribute to a healthier planet. Businesses that lead in sustainable IT governance will be well-positioned for long-term success as environmental concerns continue to shape consumer and corporate priorities.”

Image credit: iStock.com/Petmal

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