Watch this video for an overview of how to develop a climate strategy tailored to the infrastructure, transport, and public services sectors. Learn how to set targets, prioritise impactful actions, and embed climate considerations into your governance framework.

In 2024, 62% of ASX100 companies had a climate action plan, a significant increase from just 23% in 2023, according to KPMG’s Australian Sustainability Reporting Trends report. This shift highlights the growing recognition across industries that a well-crafted climate strategy is essential—not only for compliance but for long-term resilience and competitiveness.

Developing an effective climate strategy is the cornerstone of your organisation’s net zero journey. It bridges the gap between managing risks and seizing opportunities, turning ambition into action.

For tailored guidance on crafting a robust net zero strategy, visit our page on net zero strategy services. We help organisations set science-based targets, prioritise impactful actions, and build governance frameworks that drive success.

This post builds on our previous discussions on building carbon foundations and managing climate risks. Now, we focus on turning insights into a roadmap that sets clear targets and prioritises impactful actions. Whether you’re a leader in infrastructure, transport, or public services, this guide will help you develop a strategy that drives innovation and resilience.

The role of a climate strategy

A well-crafted climate strategy provides:

➡️ Direction: A clear roadmap to reduce emissions and build resilience.

➡️ Alignment: Ensures actions align with organisational goals and stakeholder expectations.

➡️ Credibility: Demonstrates a tangible commitment to sustainability, building trust with investors, customers, and communities.

Without a strategy, organisations risk missing opportunities, failing to meet regulatory requirements, and falling behind in a rapidly evolving landscape.

Key components of a climate strategy

1️⃣ Set targets

Your climate strategy should begin with clear, ambitious targets aligned with scientific recommendations. For most organisations, this means setting goals to limit warming to 1.5°C above pre-industrial levels or aligning with federal or state goals.

According to the Australian Council of Superannuation Investors, two-thirds of ASX200 companies have committed to achieving net zero by 2050 or earlier. These commitments highlight the growing momentum across industries to act decisively on climate change.

Local governments are also leading the way, with 165 out of 537 councils in Australia making ambitious commitments to reach net zero before 2050. You can learn more about these inspiring examples in our 2024 blog post on net zero commitments by states, local governments, and communities.

Key steps:

• Set a net zero target for 2050 or earlier, depending on your industry and context.
• Develop interim targets (e.g., 2030, 2035, etc.) to ensure consistent progress.
• Align targets with frameworks like the Science Based Targets initiative (SBTi) or state or federal goals, ensuring compliance and credibility.

2️⃣ Identify priority actions

Focus your strategy on high-impact initiatives that address your largest emission sources and climate risks and opportunities.

Examples for infrastructure and transport sectors:

• Electrify fleets to reduce Scope 1 emissions.
• Integrate renewable energy to power facilities and operations.
• Upgrade infrastructure to withstand extreme weather, improving resilience.
• Collaborate with suppliers to reduce Scope 3 emissions, such as embodied carbon in construction materials.

3️⃣ Develop implementation plans

Break down each action into specific, measurable steps with clear timelines and accountability.

Implementation essentials:

• Assign roles: Ensure senior leadership, operational teams, and external partners understand their responsibilities.
• Allocate resources: Budget for the necessary technology, training, and infrastructure investments.
• Measure progress: Use robust metrics to track reductions and evaluate the effectiveness of initiatives.

4️⃣ Engage stakeholders

A successful strategy requires buy-in from key stakeholders, including employees, suppliers, investors, and communities.

Engagement tips:

• Host workshops or consultations to gather input and align priorities.
• Communicate your strategy transparently, highlighting the benefits for all stakeholders.
• Share progress regularly to build trust and maintain momentum.

5️⃣ Embed climate considerations into governance

Ensure climate action becomes an integral part of your organisation’s decision-making processes.

Governance best practices:

• Establish a dedicated sustainability or climate task force.
• Integrate climate risks and opportunities into your enterprise risk management framework.
• Regularly review progress at the board (or councillor) level to ensure accountability.

Case example: crafting a climate strategy for a regional transport provider

A regional transport organisation recently developed a climate strategy to align with its State’s 2050 net zero target. Here’s how they approached it:

1. Set targets: A 30% reduction in Scope 1 and 2 emissions by 2030 and net zero by 2045.
2. Identify actions:
   • Electrify 20% of their fleet by 2028.
   • Install solar panels and battery storage at depots and maintenance facilities.
   • Source 100% renewable electricity for all offices and depots.
   • Plan future infrastructure to align with a fully electric fleet.
3. Implementation: Allocated capital over 5 years for fleet upgrades and renewable energy projects.
4. Stakeholder engagement: Ran public workshops to build community support and partnered with suppliers to reduce value chain emissions.
5. Governance: Established a climate action steering committee to oversee strategy implementation and report progress to the board.

Forecast business benefits:

• Significant cost savings from renewable energy integration.
• Improved public perception and increased ridership due to sustainability commitments.
• Future-proofing the business for long-term success.

What’s next: The role of collaboration

Producing a climate strategy is a critical step in your net zero journey, but it doesn’t stop there. Achieving ambitious emissions targets—particularly for Scope 3—requires collaboration with suppliers, stakeholders, industry partners, and communities.

In the next post, we’ll explore why collaboration is essential for reducing emissions across your value chain and driving collective impact. From engaging suppliers for Scope 3 data to partnering on innovative solutions, we’ll show you how to work together to amplify your efforts.

Stay tuned as we continue to build your roadmap to net zero.

Need expert guidance?

Crafting a climate strategy requires expertise, collaboration, and a deep understanding of your organisation’s challenges and opportunities. At 100% Renewables, we specialise in helping organisations like yours set ambitious targets, prioritise impactful actions, and build governance structures that drive success.

Contact us today to learn how we can help you turn your net zero ambition into a comprehensive, actionable strategy.