CLIMATE ACTION PULSE CHECK 2024
We are proud to present the first edition of the Climate Action Pulse Check, a global survey that will function as an annual assessment of climate action progress within the cycling industry.
The 2024 Climate Action Pulse Check showcases how companies in the cycling sector are integrating climate action into their strategies and how these efforts are perceived by the cycling community.
It gathered insights from 84 industry professionals across 16 countries and 240 cycling consumers from 19 countries.
Key findings include:
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80% of industry representatives report that their companies are taking a strategic approach to climate action, with 35% having made considerable progress and being able to track their results.
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Industry professionals are generally more optimistic about sustainability efforts compared to cyclists, many of whom feel that climate action should be a higher priority for the industry.
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A significant 77% of cycling consumers have switched brands due to sustainability concerns. They place the highest value on product longevity and repairability.
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Many companies are concentrating on using materials with a lower climate impact, and engaging the supply chain is seen as a crucial way to scale climate action throughout the industry.
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Up to 87% of industry representatives recognise real benefits from their climate efforts beyond just reducing emissions. These benefits include product innovation, increased employee motivation, legal compliance, and the development of new business models.
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Common obstacles faced include a lack of resources, regulations, knowledge, and support from management.
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61% of industry representatives are involved in collaborations that focus on climate and sustainability issues.
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Doesn’t cycling have a low environmental impact already?It does, to an extent. The use of bicycles significantly improves several problems faced by congested and highly populated cities, including air quality and overall health of the population. However, the production of bicycles has its own environmental impact, and although there is potential to offset this, the use of bikes in a wider context currently plays too small a role in balancing its production footprint and reducing cars on the roads.
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What are the Climate Commitment signatories committing to?REPORT: To disclose their company’s carbon impacts by measuring the Scope 1 & 2 Greenhouse Gas (GHG) emissions, in accordance with the GHG Protocol, by 2023 (latest) and to continue to do so on an annual basis. REDUCE: To disclose plans to reduce their Greenhouse Gas (GHG) emissions by at least 55% by 2030 (against a baseline of no earlier than 2015)
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What is the GHG Protocol?The Greenhouse Gas Protocol is the international standard for calculating the carbon emissions of an organisation. Following a standardised methodology means our results will be consistent and comparable across our industry and from one year to the next. For more information, visit here.
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What does ‘Scope 1 & 2’ mean?The GHG Protocol makes a distinction between ‘direct’ and ‘indirect’ emissions. The GHG Protocol defines direct and indirect emissions as follows: Direct GHG emissions are emissions from sources that are owned or controlled by the reporting entity. Indirect GHG emissions are emissions that are a consequence of the activities of the reporting entity, but occur at sources owned or controlled by another entity. The GHG Protocol further categorizes these direct and indirect emissions into three broad scopes: Scope 1: All direct GHG emissions. Scope 2: Indirect GHG emissions from consumption of purchased electricity, heat or steam.
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What does ‘Scope 3’ mean?The hardest emissions to calculate, the so-called Scope 3 emissions, which includes all indirect emissions that occur in the value chain of a reporting company. They include things like: Other indirect emissions, such as the extraction and production of purchased materials and fuels, Transport-related activities in vehicles not owned or controlled by the reporting entity, Electricity-related activities (e.g. T&D losses) not covered in Scope 2 Outsourced activities, waste disposal, etc. Scope 3 emissions are not currently included in the Climate Commitment, and signatories are not required to report them, except for emissions related to business travel. For more details, refer to the question: "Why were Scope 3 business travel emissions added to the commitment in 2024, and what is considered as emissions from business travel?" Source: based on GHG protocol
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Why was Scope 3 business travel added in 2024 to the Commitment and what is considered as emissions from business travel?Although business travel emissions fall under Scope 3, we treat these emissions as a "Scope 2+" category as companies have a meaningful control over these. They should be reported as part of a company’s own operations. For guidance on what qualifies as business travel emissions, please refer to the GHG Protocol's Category 6: Business Travel.
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Signatories are committing to disclosing company information? What does disclose mean, and does this refer to a specific instrument of reporting?This refers to Scopes 1 & 2. By ‘disclose’ we mean that the plans will be published on your corporate website. There is no specific instrument for reporting, however we would suggest using a recognised framework, such as the environmental standards provided by the GRI (Global Reporting Initiative) or SASB (Sustainability Accounting Standards Board).
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How can I contribute/join this climate commitment?We invite all companies working in the cycling industry to join this initiative, even if your company is only at the start of the journey. Please reach out to your CEO and ask them to sign up here.
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Which organisations are part of the climate commitment?You can see the full list of organisations that signed the letter here.
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Where can I get help to get started?Measuring your carbon footprint and setting up a reliable, long term CO2-management process is best done using dedicated software. For the most up-to-date information on measuring your carbon footprint, check https://ghgprotocol.org, where there is a ‘Reporting Template’ and a ‘calculation tool’ available on the website that can help you get started. Shift Cycling Culture has also compiled a (non-exhaustive) list of Tools & Resources for measuring Scope 1 & 2 carbon footprint, and supply chain management. By providing this list, we hope to help you select the best tool for your organisation's requirements. There are also various large and small consultancy firms that can help you with calculating your carbon emissions. Depending on the size and complexity of your organisation, it might be worthwhile finding one that can help you get started. To help companies move from ambition to action, we introduced the Climate Action Roadmap in 2023. The Roadmap is a free tool for companies to help them identify the next steps they can take to move their climate journey forward and to drive continuous improvement.
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Why do we not commit to calculating Scope 3 emissions, and what is the role of the supply chain?For many companies, this is the first step in calculating their carbon emissions. Calculating the emissions in the supply chain (Scope 3 emissions) is more difficult than calculating your own carbon emissions (Scope 1 & 2 emissions). If more companies in the supply chain calculate and share their own emissions, it will become easier to understand the emissions in the bicycle supply chain and calculate Scope 3 emissions. Regardless, it is essential for companies to start designing and developing products with an overall reduced environmental impact, even before they have calculated the Scope 3 emissions, as reliable Scope 3 emission calculations will likely be years away. Suppliers will have a role to play in offering products with lower carbon footprints than the current standards to help brands reduce the emissions related to their products.
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Where does the 55% emission reduction by 2030 target come from?The European Climate Law writes into law the goal set out in the European Green Deal for Europe’s economy and society to become climate-neutral by 2050. The law also sets the intermediate target of reducing net greenhouse gas emissions by at least 55% by 2030, compared to 1990 levels. The target in the letter is equal to the EU target, aside from the base year, which is set to 2015. This is because, in many cases, emissions of a company cannot be calculated as far back as 1990, and because the nature of companies in the cycling industry has changed too much for proper comparison.
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Will this help me get ready for regulation from governments and investors requiring me to disclose my carbon impact/risks?Yes, more and more governments and investors are asking you to disclose your carbon emissions and will require or expect you to cut your emissions. This will likely intensify over the next decades as governments will have to meet their own emission reduction targets, which will in turn require companies operating within their borders to limit their emissions as part of the national emissions. More and more investors are divesting from carbon intensive industries. They will want insight in the emission from companies they will potentially invest in.
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Are there any schemes I can join who will be able to help me with this?US: People for Bikes partners with the Outdoor Industry Association to guide and support companies in each step in the journey through the Climate Action Corps. European Union: The Confederation of the European Bicycle Industry (CONEBI) and Cycling Industries Europe (CIE) have a joint sustainability working group. Germany: BIKEBRAINPOOL recently launched the BIKE Charta.
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How do you check if companies deliver on the Climate Commitment?We are not here to police the actions of the signatories. However, in 2024, we introduced the Climate Action Pulse Check. With this voluntary annual assessment, we are tracking the impact of the Climate Commitment and how the industry progresses in their climate journey.