Growth Opportunity
Access rapidly growing markets for climate solutions
Innovation Leadership
Drive innovation and stay ahead of competitors
Positive Impact
Create measurable positive climate impact at scale
Shifting from cutting emissions to becoming a solutions-driven business that creates low-carbon, circular, regenerative, energy-light products and services.
Why it matters for net zero?
Climate solutions need to grow fast enough to replace their high-emission counterparts. Scaling low-carbon materials, regenerative systems, and new business models is essential to meet 1.5°C pathways. Acting on Pillar 3 ensures the world has the technologies and models needed at the right pace and scale.
How it benefits companies?
It opens new growth opportunities, attracts partners, and showcases future-proof relevance. It helps companies meet regulations early, differentiate in shifting markets, and position themselves as innovators shaping the future economy.
What are Climate Solutions?
Climate solutions are products, services, and business models that help reduce greenhouse gas emissions or remove carbon from the atmosphere. This includes renewable energy, energy efficiency technologies, sustainable transportation, circular economy solutions, and much more.
The market for climate solutions is growing exponentially. Companies that develop and scale these solutions are positioning themselves for long-term success while making a meaningful contribution to addressing the climate crisis.
Beyond developing new solutions, companies can also transform existing products and services to be more climate-friendly, and help customers reduce their emissions through better information and support.
Focus Areas
Pillar 3 covers 5 key focus areas. Each represents a distinct domain of action within this pillar.
Low-Carbon Products & Services
Developing and scaling products and services that directly reduce greenhouse gas emissions.
Circular Economy Solutions
Creating business models based on reuse, repair, remanufacturing, and recycling.
Digital & Software Solutions
Building digital tools and software that help customers and industries reduce their emissions.
Nature-Based Solutions
Developing products and services that restore ecosystems and sequester carbon.
Customer Enablement
Helping customers reduce their own emissions through information, tools, and services.
Planning Your Approach
Assess your portfolio
Evaluate the climate impact of your current products and services – both positive and negative.
Identify opportunities
Look for ways to develop new climate solutions or transform existing offerings to be more sustainable.
Set solutions targets
Establish targets for revenue from climate solutions and reduction in portfolio emissions intensity.
Invest in R&D
Allocate resources to develop and scale climate solutions, including partnerships and acquisitions.
Measure avoided emissions
Quantify the emissions reductions enabled by your solutions for customers and society.
Communicate impact
Share your climate solutions story with customers, investors, and other stakeholders.
Key Actions to Take
Portfolio Assessment
- Evaluate the lifecycle emissions of all products and services
- Identify products that enable customer emissions reductions
- Set targets for solutions revenue growth
Innovation & R&D
- Invest in R&D for climate solutions
- Partner with startups and research institutions
- Explore acquisitions to accelerate solutions development
Product Development
- Design for circularity and efficiency
- Develop digital solutions that enable emissions reductions
- Create services that help customers decarbonize
Impact Measurement
- Measure and report avoided emissions from solutions
- Track solutions revenue as a percentage of total revenue
- Communicate impact to customers and investors
Climate Performance Review Actions
These actions from the official Climate Performance Review (CPR) Form 2025 provide a comprehensive assessment framework for Pillar 3. Use these to evaluate your progress:
Assess the climate impact of your full product and service portfolio.
Set targets for revenue from climate solutions and portfolio emissions reduction.
Invest in R&D for climate solutions, including partnerships and acquisitions.
Design products and services for circularity, efficiency, and longevity.
Develop digital solutions that enable emissions reductions for customers.
Measure and report avoided emissions enabled by your solutions.
Help customers understand and reduce emissions from product use.
Communicate your climate solutions strategy and impact publicly.
Collaborate with industry peers to scale climate solutions.
Support policy frameworks that accelerate climate solutions deployment.
Your Strategic Position
Understand where your organization stands and what's possible at each stage of readiness for Pillar 3.
Foundation
Building the basics
Key Capabilities
- Portfolio assessment completed
- Solutions opportunities identified
- Initial targets set
- R&D investment started
Advancing
Systematic transformation
Key Capabilities
- Solutions revenue growing
- Avoided emissions measured
- Innovation pipeline active
- Customer engagement on solutions
Leadership
Driving industry change
Key Capabilities
- Solutions majority of revenue
- Industry-leading innovation
- Significant avoided emissions
- Driving market transformation