Carbon Footprint Management Market

Carbon Footprint Management Market Size (2023-2028):

The Carbon Footprint Management Market is predicted to grow from US$ 10.62 billion in 2022 and is anticipated to reach a valuation of US$ 15.53 billion by 2028 and is predicted to register a CAGR of 6.80% over the forecast period 2023-2028.

Market Overview:

Market Trends:

Factors supporting the expansion of the worldwide carbon footprint management market include further implementation of a standardized regulatory framework and government initiatives to promote low-carbon policies. Growing concerns about corporate sustainability and corporate social responsibility (CSR) programs among companies are predicted to drive this market. The escalating implementation of analytics to use the information gleaned from data and its associated processes to improve decision-making is also predicted to drive this market.

Market Drivers:

Carbon footprint management is examining and focusing on those business areas where cost reduction can be achieved by minimizing energy consumption, consumption of raw materials, and generation of waste. The worldwide carbon footprint management market is made up of solutions and services that help manage a company's carbon footprint. The carbon footprint management market has grown significantly in recent years, with the level of government support and market call being the most important factor on the horizon. Today, all industries are responsible to some extent for escalating GHG emissions, with the oil and gas and aerospace industries being the main visible offenders. But, with escalating pressure from consumers and regulations, all companies are forced to manage their carbon footprint. Industries are very much aware of the need to strategically manage their energy consumption. Effective carbon footprint management involves a number of activities, such as measuring the carbon footprint impact of various business activities, identifying and implementing reduction and control strategies, and then communicating achievements to stakeholders. Energy management and carbon footprint are highly becoming vital attributes of modern businesses. In recent years, both have emerged as significant challenges and an opportunity to create long-term value for stakeholders. To meet these challenges and achieve results, companies seek in-depth engineering and consulting expertise.

Market Restraints:

The high cost associated with replacing existing infrastructure with greener, low-carbon infrastructure is predicted to be one of the constraints to the expansion of the worldwide carbon footprint management market.

Market Opportunities:

The global carbon footprint management market is supposed to experience immense expansion opportunities through the modernization of telecommunications and IT infrastructure. Managing the carbon footprint, which is highly important for energy-intensive industries, should offer favourable expansion paths in this market. The shift to ultra-low emissions transportation is also predicted to drive market expansion. Furthermore, support for the carbon trading market is predicted to provide opportunities for market expansion. The expansion of the carbon footprint management market is driven by factors such as escalating awareness and reporting among companies, the call to minimize carbon emissions through efficient operations, the need to reduce operating costs, mandatory regulations, and corporate carbon footprint management policies. sustainability and CSR programs escalated costs and call for primary energy sources. Today, most companies go through a rigorous process to calculate and manage their carbon emissions. Carbon footprint management solutions must play a fundamental role in the development and implementation of the green initiatives taken by these companies, aimed at strengthening their reputation as leaders in sustainable development, differentiating them from their competitors. In line with this objective, companies dedicate a significant part of their budget to managing their carbon emissions and a significant part of these investments must go to the carbon footprint management market.

Market Challenges:

Lack of clarity in the regulatory landscape and strategic benchmarking is also predicted to hamper expansion. The high initial investment is predicted to present barriers to the entry of new players in this market.

Market Recent Developments:

• Preferred by Nature introduces a stakeholder consultation on the carbon footprint management standard. The second version of the CFM Preferred by Nature standard aims to help organizations systematically manage the carbon footprint of their businesses, products, and events.
• Persefoni is launching a new platform to help organizations demonstrate significant progress on their climate change and sustainability programs. As companies around the world strive to address climate change by reducing carbon emissions, they are faced with a dearth of existing tools for calculating and reporting organizations' carbon footprints.

CARBON FOOTPRINT MANAGEMENT MARKET REPORT COVERAGE:

Market Segmentation:

Carbon Footprint Management Market - By Component:

• Solution
• Services

Carbon Footprint Management Market - By Service:

• Consulting
• Integration
• Deployment

The cloud-based deployment mode provides better control over data, as well as reduced risk of data loss and regulatory compliance issues. Due to these advantages, many companies are opting for cloud-based solutions to ensure security.

Carbon Footprint Management Market - By Vertical:

• Manufacturing
• Energy and utilities
• Transportation
• Logistics

Energy and utilities are vertical to maintain the largest market size during the foreseen period. According to the IEA, energy use has escalated worldwide to roughly double the average expansion rate since 2021.

Market Regional Analysis:

The Carbon Footprint Management Market Report includes the segmentation of Regions:

• North America 
• Europe 
• Asia Pacific
• Latin America 
• Middle East & Africa 

North America is predicted to have a substantial market share for the foreseeable future, with expansion largely attributable to a comparatively established regulatory framework and escalated spending on carbon footprint management solutions. However, emerging markets such as South America and Asia-Pacific are supposed to show promising expansion in the long term. This is due to rapid industrialization, escalated foreign investment, and government subsidies for carbon management programs in the region, supported by worldwide environmental protection organizations.

According to Statista, in 2021, North America emitted approximately 6.03 billion metric tons of CO2. National governments and international organizations around the world have agreed to set a goal of limiting worldwide temperature rise to two degrees Celsius. According to the Carbon Dioxide Information Analysis Center (CDIAC), approximately 91% of current fossil fuels and CO2 emissions come from the United States. North American emissions fell from 46.4% in 1950 to 20.5% in 2008. Regional emissions per capita in North America have been consistently high and higher than in any other region.

Impact of COVID-19 on the Carbon Footprint Management Market:

COVID-19 has definitely pushed the O&G industry to sit down and reconsider what should be included in business continuity plans. However, leaders who take this opportunity to start thinking about the pervasive changes needed to their operating models, using a combination of an agile operating mindset, a long-term vision, and partner ecosystems, faster than others, will probably come out stronger as the dust settles. The O&G industry is generally competent in disaster response and its effectiveness has been demonstrated in a variety of disaster scenarios in the past. With COVID-19 as well, the industry has performed quite well so far, as evidenced by near-continuous operations and the availability of different fuels, almost throughout the country. However, most O&G CXOs believe that the sector's recovery is likely to be longer than predicted.

Market Key Players:

1. Carbon Footprint (England)
2. Salesforce (US)
3. ENGIE (France)
4. IsoMetrix (South Africa)
5. Schneider Electric (France)
6. Intelex (Canada)
7. IBM (US)
8. SAP (Germany)
9. Enablon (France)
10. Trinity Consultants (US)
11. Dakota Software (US)
12. Envirosoft (Canada)
13. Enviance (US)
14. ProcessMAP (US)
15. Accuvio (Ireland)
16. Carbon EMS (New Zealand)