Transform the negative environmental and social impacts of fashion by forming a sustainable fashion brand company. Here are some of our best tips to get started in the world of sustainable fashion.

5 Ideas to Become a Sustainable Fashion Brand Company

Do you want to make your designs come to life by creating your own fashion brand company and advertising the importance of sustainable clothing? Good news – the fashion industry’s current lack of sustainable practices and next to no truly sustainable brand for clothes make it the perfect time to jump into the clothing industry. 

Two of the biggest issues to tackle include the carbon dioxide emissions and the waste created by the production practices in the fashion industry – both of which have accelerated in recent years. The system is highly inefficient, however, for lack of a better word – broken. 

💡 However, there’s beauty in turning trash into treasure – as sustainable fashion offers incredibly relevant challenges for our time and plenty of room to innovate. 

In this article, we'll provide a few tips to help you get you started on your journey to become a sustainable fashion brand company.

The fashion industry we know today is symptomatic of globalization, e-commerce, and fast-changing trends, thanks to social media. Consumers keep their style up-to-date with the click of a button. 

💡 However, this endless stream of disposable fashion has immense consequences our environmental footprint – as a lack of fair labor practices or ethical supply chains both make fashion production less than optimal for the planet.

Let’s first step back to understand the underlying framework that the fashion industry relies on to produce and sell garments.

Before clothing from a fashion brand company reaches our closets, it passes through hundreds of hands to get there. Production begins with raw materials which are usually grown in agricultural fields for natural fibers or synthesized from fossil fuel feedstocks for synthetic fibers like polyester. 

👉 These raw materials are transformed into textiles and trimmings that designers use as the building blocks of their designs. Fashion brands must source their materials wisely to keep costs down, which in turn – ethical or sustainable sourcing can also lead to more sustainable fashion. 

Fashion companies create designs and sewing specs for their products to mass produce them in factories. Once the textiles are manufactured into garments, they are then shipped to warehouses or retail outlets to be sold. 

To sell these garments, fashion companies in the fashion sector need to have strong branding to reach and engage their target market. They may undergo intense market research to establish the right price point, placement, and strategic marketing for their products in order to sell enough to earn revenue.  

All of these steps, from fair labor standards, eco-friendly practices, to clothing production come together to form the fashion industry as we know it.

To understand the massive scope of the fashion industry’s global impact, let’s take a look at some key figures: 

The market size of the global fashion industry totals to $3 trillion in the U.S. and 2% of the world’s GDP

Fashion industry revenues in 2021 were US $1.55 trillion. 

A total of 3.3 million employees work in the fashion industry. 

💡 The highest earning fashion companies are French luxury conglomerate Louis Vuitton Moët Hennessy (LVMH), Nike, and Inditex (which owns Zara, Pull&Bear, and Stradivarius among other brands). 

As the revenue for the textile industry amounts to over $358 billion USD, with an expected annual growth rate of 2.82% – the need for clothing brands to tackle sustainable production and produce clothing aligned with the ideals of ethical fashion has never been more important. 

👉 Remember, China exports more apparel than any other country, while the US is the largest apparel market in the world. Estimates show that the total number of garments produced each year has doubled since 2000 and this trend shows no sign of slowing. 

The fashion industry’s impact on the environment

Although the fashion industry helps to boost our global economy, there are hidden costs to the fashion system – such as how it depletes through natural resources, exacerbates climate change, harms wildlife, and impacts our health. 

💡 The fashion industry contributes to climate change more than flights or shipping, as estimates suggest that it is responsible for 10% of worldwide carbon dioxide emissions each year.

In fact, over 90% of a fashion brand’s total carbon footprint can come from indirect sources. This, coupled with a complex supply chain, makes it difficult to pinpoint the exact sources of emissions. – (CarbonFact).

As climate change intensifies, experts say it is critical to rethink how we produce clothing.

#News #ClimateChange #Fashion

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The environmental cost of fast fashion

What causes the excess emissions created by the fashion industry?

The because fashion has become more dependent on polyester (plastic) fibers than the cotton industry or other natural fibers or recycled fabrics. As a whole, PET plastic clothing often comes from reused plastics, such as recycled plastic bottles – but the impact of these garments remain substantial. These synthetic fibers are made from fossil fuel feedstocks, and they require three times the amount of energy (282 billion tons of carbon dioxide) to produce than cotton. 

💡 A fifth of all plastic produced each year, about 60 million tons, is used by the fashion industry. This amount is expected to increase as oil companies compensate for declining demand for gas used in transportation.  

The main problem with fast fashion is that we cannot afford to shift this fossil fuel burning burden from one industry (transportation) to the next (plastics and fashion). Therefore, it's time for industries across the board to lower their GHG emissions to avoid the disastrous consequences of climate change. 

Odds are that your fashion brand company creates waste. 

👉 In the US, 11.3 million tons of textiles get disposed of each year. This equals 2150 garments per second! 

Some of this waste comes from consumer behavior: people wear garments an average of 7 to 10 times before discarding them. A study in the UK found that a third of clothing buyers will discard an item after wearing it once or twice, which explains the recent uptick in thrift shopping and secondhand clothing. 

After clothing is discarded, it faces one of three possible outcomes: being thrown in the landfill, incineration, or recycling. However, the amount of materials recycled (around 15%) is minimal compared to the 11.3 million tonnes (around 85%) which gets thrown in landfills in the US.

A fashion brand company is often subject to overproduction. 

Consumers aren’t the only ones contributing to the waste problem. Fashion brands also landfill or burn unsold stock, and these practices often take place in developing countries without high air quality standards or proper waste disposal infrastructure. 

How much unsold stock is there? In 2018, fast fashion giant H&M reported it had amassed $4.3 billion worth of items that it could not sell.  Overproduction is as much a part of the problem as overconsumption. 

A fashion brand company is bound to have an impact on health and wildlife.

The amount of unsold stock is often alarming, an in turn – big name brands will often resort to throwing these clothes away in landfills. For example, in 2018, fast fashion giant H&M reported it had amassed $4.3 billion worth of items that it could not sell. 

👉 Therefore, overproduction is as much a part of the problem as excess consumption patterns – as local industries often value excess consumerism over slow fashion or implementing long-term sustainability initiatives to support the current climate crisis.

This is because once synthetic fibers reach the environment, they release microplastics into our water, soil, and eventually our bloodstreams. A study recently detected microplastics in human bloodstreams for the first time. 

While the full health consequences of microplastics are still unknown, some plastics are linked to health risks as diverse as cancer, endocrine disruption, birth defects, impaired immunity, and developmental and reproductive difficulties. 

Scientists have traced the 71% of microplastics sampled in river water and 35% of the microplastics in oceans to clothing fibers. This means textiles contribute more than any other type of plastic material to ocean microplastic pollution, where it impacts marine life as well. 

The table below will further breakdown the impact that the fast fashion industry has on all of these areas: 

<table border="1">
  <tr>
    <th>Impact Area</th>
    <th>Description</th>
  </tr>
  <tr>
    <td>Plastic Pollution</td>
    <td>Fast fashion relies heavily on synthetic fibers such as polyester, nylon, and acrylic, which shed microplastics during washing. These microplastics accumulate in oceans and ecosystems, posing threats to marine life and entering the food chain.</td>
  </tr>
  <tr>
    <td>Ocean Pollution</td>
    <td>Textile dyeing and production release toxic chemicals and dyes into water bodies, contaminating drinking water sources and harming aquatic organisms. Runoff from factories often leads to high levels of water pollution.</td>
  </tr>
  <tr>
    <td>Waste Production</td>
    <td>Millions of tons of clothing end up in landfills every year due to the disposable nature of fast fashion. Non-biodegradable fabrics contribute to landfill overflow, taking decades to decompose and releasing greenhouse gases.</td>
  </tr>
  <tr>
    <td>Wildlife</td>
    <td>Deforestation for raw material production, pollution from textile chemicals, and microplastic ingestion harm wildlife habitats, disrupt ecosystems, and pose serious health risks to animals.</td>
  </tr>
  <tr>
    <td>Excess Consumerism</td>
    <td>Fast fashion promotes a culture of overconsumption, leading to short-lived trends, increased demand for cheap clothing, and unsustainable production cycles that strain natural resources and energy.</td>
  </tr>
</table>


👉 All of these environmental impacts reflect a vicious cycle in which clothing manufacturers encourage the fast turnover of trends, mitigating the value of zero waste, sustainable production methods, or working towards net zero emissions. This allows them to continue selling vast amounts of disposable clothing to increase their revenue as opposed to promoting the value in a sustainable wardrobe, encouraging consumers buy into this “fast fashion” system.  

As bleak as the challenges of the fashion industry may seem, there is an alternative: sustainable fashion. 

Sustainable fashion is a broad term that generally aligns with the definition of sustainable development outlined in the 1987 Bruntland Commission Our Common Future report: meaning that it should meet the needs of the present without compromising the ability of future generations to meet their needs.  

In practice, this may seem somewhat vague, so The Centre for Sustainable Fashion lists a number of principles to sustainable fashion in its glossary. Key themes within sustainable fashion are: 

Business accountability – This broad phrase covers issues as diverse as transparent supply chains to disclosing executive pay. Create a CSR strategy to get started. 

Declaring a climate emergency – Pursuing carbon dioxide emissions reduction strategies in line with science. 

UN Sustainable Development Goals – A total of 17 global goals address the social and environmental impacts of development including poverty, gender inequality, resource use, biodiversity, and other. 

Fair Trade – Eliminating modern slavery from supply chains and ensuring fair wages and pay for workers. 

DEI – Fashion diversity, equity and inclusion in marketing, selection of models, sizing offers, designs, and other elements of the industry. 

Circular economy – Since most fashion business models follow a linear economy that centers on products whose value quickly depreciates, alternate models such as second hand clothing sales or circular fashion might focus on clothing rentals, clothing repairs, the use of natural materials, a leather alternative, or life cycle assessments to design new clothing for reuse or recycling. 

Limiting growth – Examples include minimal fashion, designing high-quality products for long-term use in classic styles, and promoting repeat wears in branding and advertising materials.

Which consumers are looking for sustainable fashion?

The good news is people have never been more passionate about sustainable fashion, especially younger consumers. 

💡 A global survey of 10,000 Gen Z and Millennial consumers showed that 65% worry about the environment, 80% want to buy mostly sustainable products, and 40% believe the fashion industry is unsustainable. 

Fair Fashion ambassador Marina Spadafora invites us to rethink fashion as a driver for human development and the important role of the fashion industry and consumer preference in sustainability, human development and growth.  A Fair Fashion ambassador around the world, Marina has deep roots in Fashion having had her own brand and collaborated with Ferragamo, Prada, Miu Miu and Marni and Aspesi.

She has been the creative director of Auteurs du Monde, the Fair Trade brand of Altromercato, working with artisans all over the world.
Marina is a professor of ethical fashion at prestigious academies in Italy and abroad.

Her work has always included a strong focus on social issues and ecology, believing that ethics and aesthetics can coincide. Her motto is "Fashion with a Mission".

She works to bring development to emerging countries through her FWAM, Fashion with a Mission, platform.

She is also the Italian national coordinator of Fashion Revolution.

She received the United Nations Women Together Award in 2015 in New York and has given TEDx talks on sustainable fashion in 2014 and in 2021.

In 2020 she wrote the book “The revolution starts from your wardrobe” with Luisa Ciuni published by Solferino Libri. This talk was given at a TEDx event using the TED conference format but independently organized by a local community. Learn more at https://www.ted.com/tedx

Sustainable Fashion: The New Luxury | Marina Spadafora | TEDxLaRomana

5 tips to become a sustainable fashion brand company

Here are some things to consider when starting a fashion brand company.  

To break the mold in fashion, you’ll first need to understand how the fashion system works. Gaining industry experience is one of the best ways to start to understand the complexities of the fashion industry. Otherwise, you could make costly mistakes. 

There are numerous ways to expand your knowledge: such as by earning a degree in fashion, working for a fashion brand, networking by joining industry groups, attending fashion shows and conferences, and reading trade publications. 

Ultimately, fashion is a business, so bringing transferable skills related to entrepreneurship such as business strategy, market research, team-building, and raising funds will all help you establish the basis to pursue your fashion brand. 

From the outset, establishing a sustainability mission for a new company will help establish the guidelines for operating a sustainable business. 

💡 Two of the key elements in sustainable fashion are ethical production and sustainable materials sourcing.

Identifying suppliers which meet your code of ethics is crucial to building a sustainable fashion brand company. This can take a lot of research as you compare the many variables. For instance travel distance adds a greater CO2 burden, while local suppliers sometimes cost more, but benefit your community.

Finding the right strategic balance and mission alignment is key.

Choosing eco-friendly materials is important for sustainable fashion brand companies. Whether this means selecting organic, biodegradable natural fibers or recycled synthetics, remember to consider not just the end of life of the product itself, but the energy and labor required to produce it. 

A wide range of co-friendly materials are available such as linen, Tencel, bamboo, certified organic cotton, or pineapple leather. You can easily compare their attributes on websites like Good On You. 

Sometimes eco-friendly materials are sourced from the waste stream itself. This includes deadstock (unused) fabrics, or recycled materials. 

Choosing eco-friendly packaging is another important detail to consider.

After you have a sense of the type of materials you hope to use and where to get them, it’s time to identify your ideal buyer. Their desires, lifestyle, and habits will largely inspire and influence your branding approach. 

This includes everything from your visual imagery to fonts, logos, and website design. Each element of your branding should express a consistent, unique approach to fashion that will pique the interest of your market. 

The more specific your buyer persona, the more influential your branding will become. This is because each brand has a personality as unique as an individual. Create mood boards, catchy phrases for copy, and find real people who reflect this buyer persona. 

Finally, it’s time to make designs. This requires unique technical skills: pattern making, garment construction, and prototyping. If you lack these skills, you can either learn, or hire people with the right knowledge to bring your vision to life. 

💡 Once you’ve tested your patterns and created mock-ups, you can send them to a factory, where your garments can be mass produced. Factories require spec sheets from designers which dictate the specific construction details of a design for accurate replication.

Launching a label is so much more than stocking inventory. You’ll need to set up a website, social media accounts, photograph your designs, and a promotional strategy to get the word out about the fashion label. 

New fashion brands often start generating interest months in advance of their actual launch. Therefore, it's wise to to build a mailing list, find press opportunities, and take pre-orders before your brand stocks anything to sell.

👉 Using all of these platforms to communicate the sustainable mission of the fashion brand company is a must if you want to find long-term success in the sustainable fashion industry.

If reading this article about the steps to become a sustainable fashion brand have inspired you to take more actions aligned with sustainability– you've found the right place!

Greenly supports businesses of all sizes to reduce carbon emissions with a process that makes carbon accounting  an integral, but simple part of doing business. Our digital platform  helps business owners assess which business activities create the most  pollution. We’ll help you tackle them with an action plan. 

What is the air quality index, how does it work, why is it important in today’s society as climate change progresses, and how can air quality index be improved?

What is the Air Quality Index?

Many people may not realize that some of the most harmful pollutants there are in the world exist in the atmosphere, better known as air pollution which is calculated by air quality index – or AQI for short. 

Air quality index is becoming an important tool to help measure the quality of the air and the harmful effects that air pollution poses, given many wildfires and subsequent wildfire smoke have been occurring as a result of global warming and increased human activity. 

What is the air quality index, how does air quality data work, why is it important in today’s society as climate change progresses, and how can air quality index be improved?

What is the air quality index and how does it work?

The air quality index is a method to report the daily air quality to communicate how polluted it is in a certain area. Ultimately, the air quality index is beneficial because it can help prevent people with increased health risks from exposing themselves to poor air quality and suffering from the consequences of air pollution.

The AQI, or Air Quality Index, works by determining the health effects someone may have after a few hours to a few days of being exposed to excessively polluted air. In addition to this, the Environmental Protection Agency (EPA) helps to calculate the Air Quality Index (AQI) with the help of the five major  pollutants regulated in the Clean Air Act: 

The EPA has established various air quality standards for each pollutant to encourage the country to improve malicious exposure to the public. 

👉 Ground-level ozone and airborne particles are the two pollution which are most detrimental to human health and safety in the United States – as these two major pollutants can elicit more serious health effects and can easily raise a health concern for sensitive groups.

A description of what the AQI scale means for the air we breathe.

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The AQI Explained

Air Quality Index (AQI) is measured with the help of the EPA on a numerical scale ranging from 0 to 500 – with lower numbers demonstrating better air quality and higher numbers correlating to worse air quality.

💡 The lower the number is, the more there is little or no risk to experiencing the negative health effects of pollutants such as sulfur dioxide, carbon monoxide, and more. 

<table>
  <thead>
    <tr>
      <th>AQI Range</th>
      <th>Air Quality Category</th>
      <th>Health Implications</th>
    </tr>
  </thead>
  <tbody>
    <tr>
      <td>0-50</td>
      <td>Green = Good</td>
      <td>Air quality is fine and does not pose a health risk.</td>
    </tr>
    <tr>
      <td>51-100</td>
      <td>Yellow = Moderate</td>
      <td>Air quality is fair, but there could be some pollutants that could prove sensitive for some people.</td>
    </tr>
    <tr>
      <td>101-150</td>
      <td>Orange = Unhealthy for Certain or Susceptible People</td>
      <td>Those sensitive or susceptible to air pollution may have side effects, but the general public isn’t as likely to be affected.</td>
    </tr>
    <tr>
      <td>151-200</td>
      <td>Red = Unhealthy</td>
      <td>People in good health may feel the effects of the current air quality; sensitive people may have serious effects.</td>
    </tr>
    <tr>
      <td>201-300</td>
      <td>Purple = Very Unhealthy</td>
      <td>Emergency health warnings may be necessary as air quality starts to affect the majority of the population.</td>
    </tr>
    <tr>
      <td>301-500</td>
      <td>Maroon = Hazardous</td>
      <td>Health alerts are crucial as everyone is prone to experience severe health side effects.</td>
    </tr>
  </tbody>
</table>


👉 Think of the air quality monitoring like the stadiometers used at the amusement park for people to measure their height. The taller someone is, the higher they stand on the stadiometer – just like the Air Quality Index. The higher the number on the “ruler” or scale for AQI value, the worse the current air pollution is and the more cause for concern in terms of public health.

An Air Quality Index (AQI) of 50 or below is generally representative of good air quality, whereas an AQI of over 300 is worrisome and represents a dangerous Air Quality Index.

Air Quality Index levels that are above 100 are concerning to the general public – as it starts to have a serious impact on vulnerable groups of people: such as those who are pregnant, children, those with pre-existing health conditions, and the elderly. 

👉 The Air Quality Index (AQI) is split into six, color coded categories to help make it easier for people to recognize Air Quality Index faster and take the necessary precautions to protect themselves from poor air quality.

The Air Quality Index (AQI) is important because it is the primary method used to communicate the current air quality to ensure the public remains informed of the current levels of air pollution. 

However, there are more reasons besides being a means of communication why the Air Quality Index is important. For instance, the Air Quality Index can help people to understand why they have developed new allergies or health circumstances by learning about the concentration of pollutants in the atmosphere where they live. This can help people learn which medications and precautions to take to protect themselves from poor air quality in the future. 

 💡As a result, the Air Quality Index can help raise awareness on the importance of seeking to improve the air quality in the United States. 

How does air quality data help in the fight against climate change?

Unbeknownst to most, the Air Quality Index can also serve as a tool to understand the impact of our daily human activities on pollution. This is because a high Air Quality Index is often a result of rising greenhouse gas emissions. Therefore, the Air Quality Index can encourage us to become more sustainable and develop innovative ways to reduce our carbon footprint.

Lastly, the Air Quality Index can serve as numerical data to persuade policymakers and public health agencies to develop new, up-to-date environmental policies. In other words, old environmental legislation will not be effective in a world where 70,000 wildfires occur every year. Documented proof of poor air quality may help to send government and other officials to the edge to pass legislation that could actually work to help improve poor air quality.

💡 Air Quality Index (AQI) can help to prevent people susceptible to lung or cardiovascular health problems from being exposed in poor air quality for too long. 

Think of air quality index in a similar way to people with diabetes that measure their blood sugar before deciding to eat something or not – air quality index works in a similar way as it can help people to monitor their intake of polluted or toxic substances in the air. Just like someone with diabetes and sugar, someone vulnerable to poor air quality doesn’t have to limit their exposure outside entirely – but the air quality index can help them to avoid being outside when air pollution is at its worst.

👉 Ultimately, the Air Quality Index is imperative to spread awareness, encourage governments to create stronger environmental legislation to improve the current air quality, and to protect the health of Americans.

Why was the Air Quality Index (AQI) in New York City alarming?

In June 2023, wildfire smoke took over the New York City skyline as a result of wildfires in Canada that same year. This led to record-breaking air pollution, with New York City recording some of the worst air quality across the world during its smoggy week in summer 2023.

Here are some reasons why the Air Quality Index in New York City was concerning:

Amount of Fine Particles in the Air –  A smoky NYC skyline saw an AQI that exceeded 400, which is far beyond the "healthy" air quality data – meaning that the air was filled with numerous fine particles which could cause people to experience health effects.

Health Effects of Long-Term Exposure – These conditions lasted in NYC for several days, making the city (home to around 8 million people) unhealthy for sensitive groups as it made them more susceptible to effects such as chest pain, difficulty breathing, throat irritation, and even heart disease. Furthermore, residents of the city reported other respiratory issues – such as eye irritation and increased risk to asthma.

Impact to Groups Unusually Sensitive – The air quality forecast in NYC during June 2023 made almost everyone sensitive to air pollution, as emergency conditions were sent out to millions of New Yorkers to advise that outdoor activities, such as school sports and public events – were canceled or postponed. This demonstrated how even young, healthy resdients of a vibrant city such as New York can remain vulnerable to the effects of climate change – as it can have an impact on your personal life.

"Wildfires are likely to become more common with climate change, so it is critical that we examine public health impacts and risks associated with these events." – Dr. James McDonald, State Health Commissioner.

The New York State Department and New York City officials advised all residents to use masks and stay indoors as much as possible, which then inspired public awareness campaigns which highlighted the negative impacts of remaining exposed to wildfire smoke for too long. 

👉 Furthermore, the New York State Department released a study in June 2023 after the wildfire smoke on its impact on people with asthma to pinpoint the dangerous effects of climate-change induced weather. 

 💡 Ultimately, the wildfire smoke in a location as reputable as NYC illustrated the need to further dedicate ourselves to environmental conservation – as the event demonstrates the growing frequency of weather-related impacts as a result of climate change. 

What are some places in the world with the best and worst air quality index?

Unfortunately, mass production and the spike of the industrial revolution have resulted in most major cities across the globe falling subject to a poor rating on the Air Quality Index. However, that being said – there are some cities that have exceptionally poor air quality.

Places with the worst air quality (Worst AQI)

Here are a few of the world’s cities with the worst Air Quality Index:

With the population of the metro area of this bustling Asian city totaling to almost 33 million people, Delhi has some of the worst air quality in the world – with an Air Quality Index of 202. This puts Delhi in the purple (or very unhealthy) range for the Air Quality Index.

Ranking 125, or orange (unhealthy for vulnerable people) on the Air Quality Index, this South American city has relatively low air quality according to the Air Quality Index.

Home to new architecture and a melting pot of cultures, this middle eastern city ranks 117, also orange (unhealthy for vulnerable people) on the Air Quality Index – large in part from excessive vehicle emissions.

Places with the best air quality (Best AQI)

However, not all cities struggle to prevent toxic particles and pollutants from making a home in their sky. 

Here's a list of cities with some of the best air quality in the world:

It isn’t just all the fresh mountain air that makes Switzerland smell so crisp, and though it certainly doesn't hurt – Zurich and Switzerland as a whole have some of the best air quality in the world in part due to the city's strong efforts to reduce pollution from vehicles. This has been done by ensuring public transportation such as trams are always provided.

👉 Did you know that all tourists staying in hotels in Switzerland are always offered a complimentary public transportation pass? This is how the country encourages even travelers to reduce their carbon footprint and improve air quality.

Secluded in between mainland North America and Europe, this city often makes use of its own geothermal energy to prevent the need to use finite resources such as fossil fuel – giving Reykjavik an Air Quality Index of 15.

South of Sydney and east of Canberra, this Australian city has an Air Quality Index of 50, making it one of the least polluted cities in the world with good air quality.

Is there a way that cities like Dubai, Delhi, and Santiago can improve their Air Quality Index?

Besides with stricter environmental legislation and national programs such as the Clean Air Act – there are many things that people can do in their daily lives to help improve the Air Quality Index in their area.

For starters, one of the best things that people can do is to drive their cars less – opting to bike, walk, or use public transportation can make a big difference. If this isn’t feasible where you live, investing in an electric car or other kinds of electric vehicles may be worthwhile – and under Biden’s Inflation Reduction Act of 2022, you’ll be subject to a tax reduction. This can also help to reduce gas consumption, which is another culprit of a poor rating on the Air Quality Index.

Making sure your car remains in top condition is another way to ensure that excess emissions are being prevented, in a similar way it’s important to rinse your razor for a cleaner shave or empty your backpack from heavy items so you can walk faster. 

👉 A poor rating on the Air Quality Index is often a result of excessively using vehicles that make use of gasoline.

Small things like aiming to recycle and prevent the use of plastic can also help to improve the Air Quality Index. This is because plastic can cause greenhouse gas emissions which pollute the air.

Ultimately, the Air Quality Index serves as a great tool to tell us the current quality of the air outside and to protect people from getting sick – but how we move forward with that data and strive to improve the Air Quality Index for current and future generations is the most useful thing we could all do with that data.

If reading this article the Air Quality Index (AQI) has made you interested in reducing your carbon emissions to further fight against climate change – Greenly can help you!

The Air Quality Index (AQI) U.S. is just one of the many environmental policies, methods, and tools being developed to take control of climate change. Check out our legislation tracker here to see which rules your company has to adhere to.

Greenly can help you make an environmental change for the better, starting with a carbon footprint assessment to know how much carbon emissions your company produces.

In this article, we'll explore the insights from the Greenly Scientific Council's Annual Review on carbon accounting, sustainability, and ESG strategies, highlighting the evolving trends and practices in sustainable business.

The 2024 Review of Greenly's Scientific Council

The Greenly Scientific Council's Annual Review is a gathering of experts, offering insights and discussions in the fields of carbon accounting, sustainability, and ESG strategies. In this article, we delve into the key topics raised: from carbon accounting methodology to the evolving role of corporate social responsibility, the learnings shared by the Council's professionals offer a clear view of the current and future state of sustainable practices in business. 

Greenly's Scientific Council: A blend of experience and expertise 

Greenly has assembled a diverse team of professionals comprising experts, economists, and influential figures from civil society. Their expertise ranges across a variety of areas such as carbon accounting, environmental policy, and the advancement of new technologies. 

Greenly’s Scientific Council will progressively perform  a number of crucial functions: 

Sharing of research topics to inspire Greenly’s product developments

The Scientific Council plays a supportive role in Greenly’s product development by providing insights from recent academic research. This collaboration helps inform Greenly's approach, contributing to the ongoing evolution and refinement of its products. 

Enhancement of Greenly’s methods and results

Greenly's Scientific Council brings together a diverse range of expertise to offer valuable advice and insights. We plan to make sure this contributes to the enhancement of Greenly’s methods and results, ensuring the company stays informed and aligned with relevant scientific perspectives.

Discussion of possible research opportunities using Greenly’s operational insights

The Scientific Council engages in discussions about potential research opportunities using Greenly’s operational data. This initiative aims to identify areas where Greenly's extensive data might contribute to advancements in environmental science. While still in the early stages, these efforts have the potential to provide valuable, data-driven insights to both Greenly and its clients.

This year, the Greenly Scientific Council had the pleasure of welcoming speakers and annual review participants, each a leader in their respective domains. Attendees were as follows:

François Cluzel - Professor at Centrale Supelec, design engineering and sustainable systems expert

Loic Umbricht - Head of Research and Methodology at Greenly

Marine Kohler - Carbon Accounting Engineer at Greenly

Michel Bauer - Author, sociologist and economist

Natalia Costa i Coromina - Associate at Energy Impact Partners

Paul De Kerret - Engineering Manager and Technical Lead at Greenly

Peter Foxpenner - Partner and Chief Impact Officer at Energy Impact Partners

Philippe Ciblat - Professor at Telecom Paris

Rodolphe Durand - Strategy and Business Policy Professor at HEC

Yann Leroy - Professor at Centrale Supelec, sustainable industrial systems and innovation engineering expert

These experts offer a wide variety of insights and advice, addressing pressing ESG issues and emerging developments. Their varied backgrounds enable the council to provide well-rounded, forward-thinking guidance, crucial for navigating the complex landscape of carbon accounting and environmental, social, and governance challenges.

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Greenly - The go-to carbon accounting platform for your business!

Every year, Greenly's Scientific Council holds an annual review to evaluate Greenly's progress and present the latest research in carbon accounting and ESG. 

💡 Complementing this key annual event, Greenly is also planning to conduct monthly events on specific topics, bringing in diverse presenters to explore various facets of environmental sustainability. This approach not only highlights Greenly's ongoing commitment to progress but also fosters continual learning and discussion throughout the year.

As we explore the key findings of this year's Annual Review, we uncover what industry experts identify as the most critical issues. These observations not only illuminate the main challenges currently facing the sector but also offer perspectives on potential future developments within the industry. Let’s delve deeper into the primary topics discussed.

The need for more granular emission factors

Accurate carbon assessments hinge on the granularity of emissions factors, with the most detailed being those directly linked to specific companies and their products, calculated through comprehensive life cycle analysis. This level of detail is crucial for clients making environmentally responsible decisions, such as choosing sustainable suppliers or products. Relying solely on average emissions factors means that clients risk selecting suboptimal or even harmful options.

💡 For clients intent on implementing impactful environmental action plans, the use of average emissions factors can impede the realization of meaningful change in total emissions. In contrast, highly granular emissions factors offer a more precise approach.

The complexity of supplier-level emissions factors

Acquiring granular emissions data at the supplier level can be challenging. Few suppliers disclose their greenhouse gas emissions, and even fewer provide comprehensive life cycle assessments. Moreover, data quality varies significantly due to the use of different software and data formats, posing a challenge for comparison.

One potential solution to this issue lies in the adoption of a common framework, such as the Partnership for Carbon Transparency, applicable to life cycle assessments (LCAs). Such standardized frameworks provide data-sharing guidelines, directing companies on the type of data that they should be collecting and helping to ensure that data is published in a certain format. This facilitates the sharing of emissions factors in a consistent and comparable manner. 

👉 Although the Partnership for Carbon Transparency establishes foundational guidelines for collecting comparable data, Greenly recognizes that this framework alone may not be sufficient. To address this gap, Greenly takes additional measures, going beyond the standards to enhance data comparability and accuracy, ensuring a more robust and reliable approach to environmental reporting.

Greenly's supplier-specific emissions factors collection methods

Data collection and emissions factor accuracy are always hot topics in the world of carbon accounting, and at Greenly, it’s not something we take lightly. We strive to achieve the most accurate carbon footprint calculations through rigorous and scientifically informed methodology. 

When it comes to supplier emissions factors, at Greenly we collect data in two ways: 

Monetary emission factors (spend-based method) - Calculating emissions based on a supplier's greenhouse gas (GHG) inventory divided by their revenue. Greenly adheres to strict criteria to ensure the reliability of monetary emissions factors by employing minimum criteria. This includes assessing whether the supplier's GHG assessment is complete, assessing the revenue disclosures, and also conducting a benchmark check to ensure that the data provided meets certain minimum standards. 

Activity-based emission factors - The second method used by Greenly is the activity method, which involves detailed product life cycle assessments. This method is more complex, as comprehensive LCAs are not always available. As is the case with monetary emission factors, Greenly validates such data against benchmark values to ensure accuracy.

Although spend-based emissions factors are not as precise as activity-based emissions factors, they do have their advantages. They are more scalable, making them a more accessible option for companies calculating their Scope 3 emissions. Encouraging businesses to engage in this calculation is beneficial. However, it’s important to note that activity-based data is superior in accuracy and should be preferred whenever feasible. Greenly not only recognizes the importance of monetary emissions factors but also strongly advocates for and assists clients in conducting activity-based studies, aiming to make their use as accurate as possible through rigorous methodology.

Emissions factors are integral to Greenly and its clients. Our goal is to ensure these factors are of the highest quality for the most accurate carbon footprint calculations. We strive for our computations to be auditable, regulation-compliant, and of verified quality while being easily shareable with clients and suppliers.

Greenly delves deep into data collection, starting with spend-based factors and progressing to activity-based and individual supplier data analysis. We’re committed to attaining the most precise and reliable data possible, reflecting our dedication to environmental accuracy and accountability.

The Transformative Impact of CSR Initiatives: Insights from Rodolphe Durand

Rodolphe Durand, a distinguished Professor at HEC, delved into the evolving role of Corporate Social Responsibility (CSR) in modern businesses. His highly informative presentation highlighted a shift within the business sector from a sole focus on shareholder value maximization to a broader consideration of all stakeholders, including communities and the environment. This approach is not just ethically sound, but is also a catalyst for long-term value creation.

Shareholder perception and the value of CSR  

Durand's research revealed a growing recognition among shareholders of the intrinsic value of CSR, albeit with certain caveats. Long-term investors, in particular, are increasingly conscious of climate risks and seek to safeguard their investments accordingly. Asset managers are also responding by developing new categories, such as funds focused on ESG investments.

An analysis of companies listed on the Dow Jones Sustainability Index (DJSI) indicated that announcements of CSR initiatives don't necessarily lead to immediate stock value changes, suggesting that the market often preemptively prices in these factors. However, the study also found that long-term investors are more likely to invest in these companies upon the release of such indices. This behavior indicates growing investor interest in companies that actively engage in CSR, recognizing their potential for long-term value.

Shareholder activism and CSR transparency

Another interesting learning focused on shareholder activism, which intensifies with an increase in a company's CSR initiatives. Activists often target vague or superficial CSR efforts, highlighting the importance of transparency and authentic commitment. Companies that clearly communicate and sincerely implement their CSR strategies are more resilient to such activism, emphasizing the need for genuine and impactful communication strategies to effectively dispel any perceptions of 'greenwashing'. 

Further studies underscore the multitude of benefits associated with robust CSR practices. These include enhancing operational efficiency, spurring innovation, maintaining competitiveness during crises, and unlocking financing opportunities like green bonds and loans which are often contingent on achieving specific CSR objectives.

CSR is also hugely beneficial for companies when it comes to employee satisfaction. Studies show that a vast majority of employees value a purpose-driven workplace (82%), with many placing this above profit (72%). This sentiment translates into enhanced job performance, as employees feel more motivated and aligned with their company's values and CSR commitments.

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