SMEs lack resources and funding to reduce carbon emissions
Published March 8, 2022
Small businesses lack the resources and funding to take action on climate change, a survey has found.
The survey by the SME Climate Hub contacted 194 small to medium-sized businesses (SMEs), 60% of whom already had a climate plan in place.
Of those surveyed, 68% said they lacked the resources (such as personnel or knowledge) needed to take action on climate change. Lack of funding was an issue for 48% of the companies.
The SME Climate Hub surveyed its community of SMEs to find ways to address gaps in resources and guidance. These gaps are preventing emissions from being reduced immediately.
The survey found that funding is vital to facilitate climate action. Nearly 70% of SMEs said they need access to external funds to reduce their emissions faster or at all. In contrast, only 34% of surveyed SMEs report being offered a financial incentive to reduce emissions, while 60% of SMEs said they needed help securing this funding.
Another key piece of the puzzle is supporting SMEs with the proper tools: 36% of surveyed businesses said they needed support measuring emissions and tracking changes, especially in the supply chain.
Providing this needed support will require a collaborative, cross-disciplinary effort involving large corporations, governments, and NGOs.