What is the difference between carbon neutral, net zero and climate positive?
As food businesses strive to reduce their carbon footprints, understanding key concepts is crucial for making informed decisions that can lead to a healthier planet.
In this article, we’ll explore the meaning behind the most important terms such as “carbon neutral”, “net zero”, and “carbon negative”, so you can easily navigate the complex landscape of climate action. Let’s dive in!
What is carbon neutral?
Carbon neutrality means balancing the amount of carbon dioxide emitted with an equivalent amount removed from the atmosphere. This is typically accomplished through carbon offsets or investments in projects that reduce or sequester CO₂.
To explore how carbon neutrality works for individual products and whether it’s truly achievable, take a look at our blog post, Can a product be “carbon neutral”?
Carbon neutral vs. net zero
The difference between carbon neutrality vs. net zero lies primarily in their scope, approach, and the types of emissions they address.
Carbon neutral is all about balancing out CO₂ emissions by ensuring that whatever is released into the atmosphere is matched by an equivalent amount being removed or offset. This is typically achieved through purchasing carbon credits, investing in projects like reforestation, or supporting renewable energy.
The focus here is mostly on immediate action—companies or individuals can become carbon neutral relatively quickly by offsetting their current emissions without necessarily altering their operational practices. It’s a flexible and often quicker approach that allows for continued emissions while making up for them elsewhere, but it doesn’t always lead to a substantial reduction in the actual amount of carbon released over time.
Net zero, however, takes a more comprehensive and long-term view. It involves drastically reducing all greenhouse gas emissions, including CO₂, methane, nitrous oxide, and others, as close to zero as possible.
This goal demands systemic changes and a proactive approach, focusing on cutting emissions at the source. Actions might include transitioning to renewable energy sources, increasing energy efficiency, and innovating low-carbon technologies.
Offsetting is only considered for the remaining emissions that are hard to eliminate entirely. Net zero is about more than just balancing emissions—it’s about transforming practices and processes to achieve substantial and enduring reductions in greenhouse gases, ultimately leading to a more sustainable future.
| Aspect | Carbon neutral | Net zero |
|---|---|---|
| Definition | Achieving a balance between the amount of CO₂ emitted and the amount removed from the atmosphere. | Reducing all greenhouse gas emissions to as close to zero as possible, with any remaining emissions being offset. |
| Scope of Emissions | Typically focuses on CO₂ emissions only. | Encompasses all greenhouse gases, including CO₂, methane (CH₄), nitrous oxide (N₂O), and others. |
| Approach | Often achieved through carbon offsets or investing in projects that remove or sequester CO₂. | Prioritizes reducing emissions directly within an organization or sector and offsets only as a last resort. |
| Timeframe | Can be achieved in the short term by offsetting current emissions. | Requires long-term systemic changes to eliminate emissions as much as possible. |
| Examples of Actions | Purchasing carbon credits, supporting reforestation, and investing in renewable energy projects. | Transitioning to renewable energy sources, increasing energy efficiency, and developing low-carbon technologies. |
| Goal | To compensate for the amount of CO₂ emitted to achieve a net-zero carbon footprint. | To eliminate the majority of emissions and balance out any remaining emissions across all greenhouse gases. |
| Broader Impacts | Focuses on balancing emissions but does not necessarily lead to a fundamental reduction in emissions. | Aims for transformational change in reducing emissions and promoting sustainability in all aspects. |
Carbon negative, carbon positive or climate positive?
It’s easy to mix up these three climate terms, so let’s break them down.
“Carbon negative” means removing more CO₂ from the atmosphere than you put in, effectively reducing the overall carbon levels.
Although “carbon positive” might sound like you’re adding carbon, it’s also referring to efforts that reduce it. Therefore, it can be used interchangeably with “carbon negative”.
Then there’s “climate positive,” which takes it a step further by not only reducing greenhouse gases but also creating extra benefits for the environment and society. Essentially, it’s about going beyond neutral and having a net-positive impact on the planet.
Carbon zero & Co. – Additional terms explained
Besides the concepts we’ve already mentioned, there are a few other terms which you might encounter when discussing climate action.
- Carbon zero: Refers to an entity or process that produces no carbon emissions, typically achieved by utilizing renewable energy sources such as solar or wind power, which do not release carbon dioxide during their operation.
- Climate neutral: Climate neutrality extends beyond carbon dioxide to include all greenhouse gases, requiring an entity to balance its total emissions with the amount removed, ensuring no net contribution to climate change.
- Net zero carbon emissions: The terms focuses solely on balancing carbon dioxide (CO₂) emissions, the primary greenhouse gas from fossil fuel use. Unlike net zero, it does not account for other greenhouse gases like methane or nitrous oxide.
- Net zero emissions: Encompasses balancing all greenhouse gases (GHGs), including CO₂, methane (CH₄), and nitrous oxide (N₂O). It is broader than net zero carbon emissions, addressing full value chain emissions across all sources.
Carbon neutral and net zero – Important standards and regulations
Below, we’ve outlined some of the most recognized climate standards and regulations.
- PAS 2060: This internationally recognized standard provides a clear methodology for achieving and certifying carbon neutrality. It emphasizes accurate measurement, reduction, and offsetting of emissions, along with independent verification to enhance transparency.
- Science-Based Targets Initiative (SBTi): The SBTi focuses on aligning corporate climate goals with the latest climate science. It prioritizes emissions reductions across the value chain and sets specific criteria for achieving near- and long-term net zero targets, ensuring alignment with a 1.5°C future.
- GHG Protocol: As the definitive global standard for carbon accounting, the GHG Protocol offers guidance for calculating and categorizing emissions across Scopes 1, 2, and 3. It forms the backbone of most reporting frameworks and emphasizes consistent and transparent emissions tracking.
- Corporate Sustainability Reporting Directive (CSRD): This EU directive requires enhanced disclosure of sustainability data, starting in 2024 and expanding to include more companies through 2029.
- Streamlined Energy and Carbon Reporting (SECR): The policy applies to the UK and simplifies energy use and emissions disclosures, with mandatory reporting since 2019.
The path to net zero and carbon neutrality by 2050
Achieving carbon neutrality is both necessary and doable, but it takes teamwork—governments, businesses, and individuals all have a part to play.
The European Climate Law (ECL) sets a clear path forward, committing the EU to reach net-zero emissions by 2050, with an interim target of at least a 55% reduction by 2030. This ambitious vision depends on scaling up renewable energy, decarbonizing industries, electrifying transportation, and embedding sustainability across all sectors. Innovation, strong policies, and collaboration will be key to making this transition successful and equitable.
Food companies can also make a big impact by …
- reducing food waste across operations and supply chains,
- switching to renewable energy sources for manufacturing and distribution.
- implementing circular solutions, like reusable or recyclable packaging.
- supporting sustainable agriculture, including regenerative farming and better land-use practices.
- incorporating alternative proteins and promoting plant-based options,
- collaborating with suppliers to track and cut emissions throughout the supply chain,
- adopting transparent carbon accounting to measure, report, and improve their climate performance.
These steps not only help reach climate targets but also enhance brand reputation and meet the growing demand for sustainable products.
Ready to take the first step towards net zero?
To effectively reduce your food company’s climate footprint, start by analyzing your carbon emissions across all operations and supply chain activities.
This includes:
- Direct emissions from your facilities,
- Indirect emissions from energy consumption,
- anll other emissions associated with sourcing ingredients, transportation, and waste management.
Once you have a clear understanding of where your emission hotspots are, you can take targeted actions to reduce them.
The CarbonCloud platform is your go-to solution for effortlessly calculating and reporting Scope 1,2,3 emissions. Get what you need: accurate, granular, compliant data you can trust.
With science-backed data at your fingertips, you can optimize your climate strategy, meet consumer demand for transparency, and stay ahead of the competition.
Navigate to net zero quicker and with a real impact
Get in touch and our climate expert team will reach out to you.
