“These findings make it clear that decarbonisation is an immense undertaking requiring a holistic approach. The business community needs access to sufficient funding, strong internal alignment, and effective stakeholder engagement to meet their climate goals.”

The BEC’s charter aims to inspire a collective effort among businesses and organisations, urging them to commit to achieving a net-zero carbon future as part of Hong Kong’s broader decarbonisation initiative.

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‘Climate time bomb ticking’: UN chief says carbon emissions must be urgently cut

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Signatories report their progress and contributions to the BEC using a standardised form every year. This allows the BEC to compile data into an annual progress report.

There are currently 75 charter signatories, including the Airport Authority Hong Kong, Gammon Construction, electricity provider CLP Holdings and Spare-It, a green technology start-up, according to the BEC.

Almost three quarters of the signatories are large corporations with over 200 employees, while the remainder are small and medium-sized enterprises.

Some 41 per cent of the signatories are in the property and construction sectors, followed by 10 per cent in industrial transportation and 8 per cent in commercial and professional services.

“The availability of dedicated budgets for emissions reduction, energy efficiency, and low-carbon research and development emerged as the most critical determinants for achieving net-zero targets,” said Ng.

“Apart from financial support, our charter signatories also stressed the vital importance of internal engagement across all levels because decarbonisation is an organisational endeavour that requires sustained commitment and collaboration of all staff members.

“Engaging external stakeholders also poses a major hurdle as companies must navigate the technical, financial, and strategic challenges of the net-zero transition while coordinating efforts with partners throughout their value chain.”

Signatories to BEC’s charter have reported significant reductions in their emissions over the past year.

Some 43 per cent of them saw their direct emissions from owned or controlled sources, known as scope 1 emisssions, fall by an average of 18 per cent compared to the previous year, with the biggest reduction being 97 per cent.

Seven out of 10 reported a fall in their indirect emissions from the generation of bought energy, known as scope 2, of 15 per cent on average.

Of the 45 per cent of signatories that had set reduction targets for scope 3 emissions – those from upstream and downstream activities in their value chains – just over half reported a drop compared to the previous year averaging 23 per cent.

“Looking ahead, it is clear that cross-sector collective action will be essential to overcoming these challenges. Only by working together can we marshal the resources, expertise and influence needed to drive the transformative changes towards a sustainable future,” said Ng.