By adopting the Strategy for Achieving Carbon Neutrality by 2060 in February 2023, Kazakhstan set ambitious zero-carbon emissions targets to combat climate change and outlined key technological transformations necessary for the country's decarbonization. To achieve these transformations, Kazakhstan will need to identify and implement effective and targeted policies and programs across the economy.
"Our goal is to reduce our carbon footprint and reap the benefits of sustainable economic growth, improved public health, and reduced climate risks. Net investment in low-carbon technologies is estimated at $610 billion. This will undoubtedly lead to the emergence of new and the expansion of existing markets and niches for domestic producers, stimulating the creation of highly productive jobs," noted Alibek Kuantyrov, Minister of National Economy of the Republic of Kazakhstan.
What will industry have to face along the way?
In its latest report, the World Economic Forum identifies the main barriers preventing companies from implementing carbon neutrality strategies.
Financial barriers
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Increased operating costs
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Additional capital expenditures for demonstration pilot projects and industrial implementation
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Perception of technology as too expensive and inaccessible
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Limited access to funding
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Lack of awareness of technology and its potential financial benefits
Technical barriers
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Lack of a common language, gap in knowledge and culture
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Technical difficulties in integrating new technologies into existing plants
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Skills shortages (information and communication technology; specialized manufacturing operations and processes; technology adaptation and integration; data analysis; management skills)
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Managing geographic diversity
Organizational barriers
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Partnerships with external ecosystems
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Supporting decarbonization of the value chain
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Organizational and individual resistance to change
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Unclear implementation strategy
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Top-down approaches to implementation management with low employee participation
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Lack of collaboration between business functions and departments
So where should companies heading toward net-zero emissions begin? The report proposes a step-by-step approach.
Phase I - Laying the Foundation , which involves developing a corporate zero-emissions strategy with the implementation of carbon footprint monitoring capabilities
Stage II – Changing the Game Within the Company . This requires:
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Accelerate energy efficiency in manufacturing and transport and decarbonize energy sources
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Achieve efficient use of materials in production
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Rethink product design and business models
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Develop carbon capture solutions and offset mechanisms
Stage III – Ensuring systemic cooperation
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Ensure decarbonization of the value chain (upstream and downstream)
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Mobilize ecosystems for zero-emission infrastructure and innovation
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Engage in data and zero-emission digital standards
Stage IV – Simplicity, Inclusiveness and Interestingness
Implementation and development of a "net zero" culture and practice
Prepared based on material from the World Economic Forum, Industry Net Zero Accelerator 2023