When Procter & Gamble adopted an ambitious new pulp and paper pledge in early 2021, it hired a forester to convince suppliers to get on board.

Officially, Chris Reeves is director of scientific communications for P&G’s family care business, which makes Charmin toilet paper, Bounty paper towels and Puffs facial tissues.

That title downplays his master’s degree in forestry and 12 years of experience managing Kentucky forests, but Reeves spends at least one-third of his time among the trees with land owners or in meetings with the Society of American Foresters and nonprofits with big forestry practices.

“Every day is different,” he said. “It’s making sure policies are adhered to. It’s offering education on the ground.”

P&G tries to make field visits to all pulp suppliers once every two years to offer technical advice and advocate for independent audits of their forest management practices. 

In particular, Reeves is responsible for helping suppliers see value in becoming certified by the Forest Stewardship Council (FSC), a nonprofit that promotes strict environmental and social standards for timber and paper. P&G has pledged to buy all of its wood pulp from FSC-recognized sources by 2030; so far, it’s at 86 percent.

Reeves also visits with employees and retail partners and fields questions from investors. One of his biggest challenges is translating sophisticated concepts into messaging that’s more appropriate for consumers and P&G’s vast marketing organization.

Uncommon role

P&G has hired environmental scientists for decades and some paper products companies, such as Domtar, employ foresters and forestry engineers to manage responsible harvesting and replanting practices. 

Reeves’ first corporate job was for IKEA, where he was responsible for wood purchasing processes. P&G rival Kimberly-Clark, which has pledged to be “natural forest free” after 2030, also employs foresters.

Still, it’s uncommon for consumer products companies to hire foresters who can work directly with suppliers and nudge them toward more sustainable forest management practices, sometimes with contract incentives or preferred supplier status. 

“This is a new thing in that world,” said Sarah Billig, president of FSC’s U.S. operation. “P&G is ahead of the curve, but as brands and retailers dive into nature-based goals they have to dive more into their supply chain. We are seeing more companies engage in this sort of expertise. They need to get folks that can get down to the ground level.” 

Foresters understand how to talk to local communities about both the economic and ecological value of forests, said Billig, who previously worked for a lumber company in Northern California. Many spend at least half of their time in community forums and cultivating knowledge of Indigenous forest management practices, she said.

“One of the most important things they do is push the value of better forest management,” Billig said.

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The opinions expressed here by Trellis expert contributors are their own, not those of Trellis or its editors.

Last year, Wall Street’s consensus for 2026 capital expenditure by the major tech companies averaged $365 billion. Today, it’s $725 – $805 billion. Roughly three-quarters is for direct AI infrastructure: GPUs, racks, campuses, substations. Capex estimates for the 2025-2030 buildout have risen about a quarter since October alone. Big Tech capex in 2026 will approach 3 percent of U.S. GDP — comparable, as a share of output, to the peak of railroad construction in the 19th century or the run-up to Y2K. 

What’s different from those prior episodes is the financing. Through most of the post-ChatGPT cycle, hyperscalers funded the buildout out of retained earnings, sustaining what bond investors had come to regard as an unspoken contract: AI speculation would be borne by equity, not credit. 

That contract is now broken. In 2025 the five hyperscalers —Amazon, Microsoft, Google, Meta and Apple — issued $121 billion of bonds, against a five-year average closer to $28 billion. Estimates for 2026 investment-grade bond issuance run $300 to $400 billion in a market where AI-related debt is already the largest single segment of Investment Grade bonds. The Dallas Fed now treats this as a duration-supply phenomenon material to U.S. interest rates. 

Layer that against a U.S. balance sheet past any defensible capacity to absorb stress, and the picture is novel: the largest private capital cycle in modern history, debt-financed at the margin, in a fiscal regime with no remaining shock absorbers. It is happening at a scale no domestic grid was built for and no electorate has been asked to ratify. 

For sustainability professionals, this brings a range of new challenges and opportunities not seen since the oil shocks of the 1970s — and once again this upheaval is being accompanied by energy price spikes. 

AI as the dominant marginal load 

The International Energy Agency projects that data centers will account for nearly half of U.S. electricity demand growth through 2030. By the end of that period, the American economy will burn more power processing data than it does smelting steel, refining aluminum, making cement, and producing chemicals —  combined. After two decades of flat domestic power demand, one buyer —  AI data centers — has put the grid on a growth footing. 

There is a counterintuitive consequence. Even as Washington has retreated from a coherent climate posture, large investors who do not care about the politics are pouring money into geothermal, advanced nuclear and grid-scale storage. Big data centers need 24/7 clean firm power faster than gas turbines, interconnect queues and litigation can deliver. 

Google is signing enhanced geothermal offtakes in Nevada. Microsoft has restarted reactors. Amazon is anchoring pre-orders for small modular reactors. The bipartisan support for geothermal moving through Colorado, the Mountain West and federal energy and water appropriation isn’t climate policy. It’s industrial policy refracted through computing power —  and it has moved faster in the past 18 months than the climate movement managed in 30 years. 

That is the optimistic reading. There is a less generous one. 

The consent deficit 

From Virginia farmland to Pennsylvania exurbs to Georgia counties to Cascade Locks, Oregon, this buildout is colliding with the consent of the governed. In Q1 2026 alone, at least 20 proposed data centers were cancelled in the face of organized local opposition —  roughly $42 billion of capex and 3.5 gigawatts of demand erased before the first concrete pour. A three-year tally of cancelled or stalled projects exceeds $85 billion. Baird counts 188 active local opposition groups across 40 states. A Colorado poll found that 91 percent of Coloradans support tighter rules on datacenter growth. 

This opposition is neither anti-technology nor partisan; the groups skew rural, cross-ideological and taxpayer-focused. They have noticed what the financial press has been slow to recognize: Utilities are planning roughly $1.4 trillion of capex through 2030, and a meaningful share will be borne by residential ratepayers —  $700 billion in higher household bills, according to the Energy Information Administration. 

Don’t be surprised when citizens start recalling local officials and voting out town councils.    

Navigating the ripple effects 

Sustainability practitioners need to watch states and public utility commissions that are now the operational front line in negotiations for hyperscalers’ needs for clean firm power and permitting cover. The price being extracted has four components: 

Additionality. A proposed law in Colorado would have required large-load data centers to source 100 percent of their power from new renewable resources by 2031, not existing ones. The bill faltered in the final days of the 2026 session, but it won’t be the last. Virginia is moving along a similar path. The implication for procurement: Contracting against existing renewable supply is increasingly insufficient. New generation built because of the load is becoming the regulatory floor, not a sustainability aspiration. 

Sealed cost recovery. The Colorado framework would have required operators to pre-pay or sign 15-year contracts covering the incremental generation, transmission and distribution costs that their load imposes. That is, the load pays for its own infrastructure, not the household down the street. Expect this to be mainstreamed. 

Community benefit and protections for vulnerable communities. In disproportionately impacted communities, the Colorado bill required cumulative-impact reviews, public hearings and binding community-benefit agreements. Texas, Georgia and Oregon are weighing similar measures. This is the language of environmental justice, and it will likely be required in utility-scale procurement contracts regardless of what administration is in Washington. 

Load-following clean firm generation. A separate bipartisan bill in Colorado, which also failed this year, would require investor-owned utilities to solicit geothermal projects while clearing permitting friction for thermal energy. While some logistics remain to be worked out, legislators agreed that the megawatts those loads will need should come from beneath Colorado, and the upside should accrue to Coloradans. 

Although both datacenter bills stumbled this year, they will return in 2027, and they are already being studied by every public utilities commission (PUC) and statehouse with a material datacenter pipeline. 

How corporate sustainability leaders can respond 

Treat AI power demand as a Scope 3 emissions vector with first-order materiality. The carbon intensity of AI training and inference varies by an order of magnitude across regions and utility mixes. Procurement choices for AI services are now functionally energy-mix choices. 

Update power purchase agreements and cloud commitments to the rising bar. Additionality, 24/7 carbon-free energy matching and load-following firm clean supply are no longer leading edge; they’re the floor that a credible policy environment should codify. The reputational gap between “100 percent renewable” claims sourced from existing supply and what states will require is about to widen. 

Engage seriously at the state and PUC level. Federal climate policy is in retreat; state energy policy is accelerating. Most corporate sustainability functions are still organized around a federal-policy reflex that no longer fits the terrain. 

Treat community license as procurement risk. A datacenter contract, direct or indirect, with no community-benefit floor and no ratepayer firewall is a stranded-asset event waiting to happen. Every Virginia subdivision watching its bills rise to subsidize a data center campus it never agreed to is a future “no” vote on the grid investments that the energy transition requires. 

The AI buildout is the most powerful demand signal for clean firm electricity that has ever existed in the U.S. — doing more to commercialize enhanced geothermal and re-rated nuclear plants than three decades of climate policy. But data centers built without consent and underwritten silently by households, would be the most efficient machine in operation for destroying the social license of the energy transition itself. 

The post The hyperscalers’ dilemma appeared first on Trellis.

The dearth of corporate action on methane has been highlighted by a survey of 23 leading coffee and dairy companies. 

The report finds that while nine out of 10 companies recognize the link between livestock and climate change, just three of those surveyed — Danone, FrieslandCampina and General Mills — have set a target to reduce emissions of the gas by 2030.

The findings come amid a period of heightened interest in methane and other superpollutants. The gases are collectively responsible for around one-half of global warming to date and are heating the planet more rapidly than carbon dioxide. 

The nonprofit Changing Market Foundation, which launched its methane tracker last year, assessed the dairy and coffee companies on methane reporting, target setting, action plans and progress toward reduction goals

The leaders …

Highlights from the highest-scoring companies include:

  • Danone is the only company in the group aligned with the Global Methane Pledge, an initiative backed by 150 countries that targets a 30 percent reduction in global levels of the gas by 2030. The French multinational also leads the pack in progress toward its target, having come close to hitting it five years ahead of schedule.
  • General Mills and FrieslandCampina, a Dutch dairy cooperative, have set broader targets for dairy emissions that do not include a specific one for methane.
  • Coffee chains are beginning to take action on methane, but progress is uneven. Starbucks stands out: The world’s largest coffee chain is the only one to disclose methane emissions and publish an action plan for reductions. Achieving cuts is proving challenging, however: Emissions from its dairy purchases haven’t budged since 2019.

… and the laggards

Farther down the rankings is a clutch of companies that the foundation said have not disclosed methane emissions, set targets or published action plans.

“Methane from agriculture, including from livestock production and feed, is addressed through our Sustainable Agriculture Principles,” a Unilever spokesperson said. “These principles set our standards and expectations with our suppliers, including guidance on methane capture and feed interventions targeting enteric methane.”

Risks and opportunities

Power generators, steel manufacturers and other heavy emitters are required by law to limit carbon dioxide emissions in a growing number of jurisdictions. But the same isn’t true for food companies and methane. That’s due to “agricultural exceptionalism,” said Nusa Urbancic, CEO at the Changing Markets Foundation. “Policymakers concede to influential farm lobbyists, providing exemptions and only focusing on incentives, rather than mandatory emissions regulations.”

That doesn’t change the science, of course. “Methane cuts are one of the fastest ways to slow near-term warming and are increasingly seen as a key test of credible climate action,” said Urbancic. “Companies acting can strengthen investor confidence and get ahead of growing regulatory and disclosure pressures.”

She cites the example of Norges Bank Investment Management, the Norwegian government’s pension fund, which is known for scrutinizing the climate bona fides of its portfolio companies. The bank includes agricultural methane in its climate policy and expects companies to commit to targets aligned with the Global Methane Pledge.

On the risk side, companies that fail to act face growing reputational and greenwashing risks, added Urbancic: “Delayed action increases the risk of more abrupt and costly transition pressures later, including from regulators and investors.”

Companies interested in tackling methane emissions can consider joining the Dairy Methane Action Alliance, an industry collaboration convened by the Environmental Defense Fund and Ceres, two climate non-profits. Alliance members commit to disclose methane emissions as a step toward creating an action plan for reducing them.

Updated on May 29, 2026, to include comment from Unilever.

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Public interest in clean technologies is widespread, but the path to large‑scale adoption remains rocky.

According to a recent survey by Trellis data partner GlobeScan, in conjunction with Chatham House, interest in clean tech such as solar panels and electric vehicles is robust. In emerging markets in Africa and the Middle East, Asia-Pacific and Latin America, only around one in ten people say they have no interest in investing in clean options, indicating particularly strong enthusiasm in the Global South.

However, the defining insight from the data is the systemic nature of the barriers that inhibit adoption. Affordability remains the foremost constraint, as roughly one in three respondents say they’re interested but cannot afford solar panels or EVs. This affordability gap is particularly stark in emerging markets, where enthusiasm outpaces access and financing options.

Practicality is the second critical barrier, as consumers have to face infrastructure challenges such as grid reliability, installation logistics and the availability of charging networks. In addition, there are perceived uncertainties related to performance, durability and ease of use. These aren’t merely product‑level issues but reflect broader ecosystem shortcomings that must be addressed to normalize clean‑technology ownership.

Europe and North America record meaningfully larger “not interested at all” segments, indicating cultural hesitation rather than just economic or practical barriers. In these markets, overcoming psychological and behavioral barriers may be as important as improving affordability and practicality.

What this means

The research shows fundamental barriers that the market hasn’t resolved are holding clean-tech adoption back. Affordability is the primary obstacle and many consumers who want to adopt clean solutions still can’t access them at a viable cost. Practicality challenges reinforce this gap as limited infrastructure, installation complexity and uncertainties about everyday performance continue to slow uptake.

These issues reveal a clear execution gap in the green transition. The path forward requires creating conditions where clean technologies are easy to access, simple to use, and seamlessly integrated into daily life. When costs come down, when infrastructure removes friction and when solutions feel convenient for the mainstream consumer, the significant latent demand can translate into widespread adoption especially in the Global South.

Based on a survey of nearly 32,000 people conducted July — August 2025.

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The opinions expressed here by Trellis expert contributors are their own, not those of Trellis.​

If there’s anything 2025 made clear and 2026 is already reinforcing in sustainability it’s this: tension and tradeoffs have always been at the heart of managing sustainability — and will be for the foreseeable future.

Sustainability has always ridden up and down cycles. However, the transition from its mainstream arrival in the early 2020s to the current, extreme political backlash has been unmooring.

Last year, we published How to Set Sustainability Strategy in 2025 to understand how companies could be strategic in a time unlike anything the field had experienced. Our research found that what we call sustainability tension management — the ability to make strategic choices regarding how to optimize the balance among profit, the planet and people — is essential. Leaders can follow a five-step process that helps them find sweet spots where profit, planet and people align to create mutually-reinforcing beneficial impact.

Since we debuted the report, we’ve spent a year helping global companies build sustainability strategies based on that strategy. Here’s a sampling of what we’ve learned, and how it can help inform us going forward.

Tensions are here to stay

Tension is an intrinsic part of sustainability for two reasons. First, sustainability is dynamic. New issues emerge and long neglected issues gain prominence. It’s always changing, and this means it’s often competing with a myriad of other new or neglected issues and investments.  

Second, the rationale for sustainability careens back and forth between the requirement for a business case versus justification on moral grounds. The ever-morphing nature of sustainability combined with profitability versus morality imperatives will never go away. Thus, sustainability leaders need to build a foundational core competence as expert tension managers

Emotions of sustainability matter

One of the most eye-opening findings of our research is how much emotions shape the sustainability-related decision-making of leaders. Our research identified six common archetypes that shape how enterprises, leaders, sustainability teams and departments logically and emotionally frame the rationale for sustainability.

As we’ve worked with companies to map their archetypes we’ve seen how powerfully these root into corporate cultures and decision-making. We’ve also learned that archetypes follow maturity models. For example, one leader with a brand and reputation archetype may view sustainability as a vital driver of reputation value. Another with a less sophisticated understanding may see sustainability as part of basic public relations.

Notably, we’ve seen how archetypes expose tensions and conflict. For example, one manufacturing company’s dominant archetypes were Innovation driven and Brand and Reputation driven. In a stable, prospering economy this meant the company said yes to almost every sustainability proposal. After all, sustainability supported the company’s vital innovation agenda and positioning with consumers. However, in a volatile and uncertain political and economic climate, the company had cut back on research and development and brand-related communications. Leaders instinctively deprioritized sustainability messaging and took a longer-term approach even though its customers, investors and competitors’ expectations hadn’t changed. Illuminating this tension helped the company reorient its sustainability strategy to keep momentum going.

Making the business case is a core part of the job

Finding “sweet spots” requires an understanding of how sustainability supports the business. So does effectively advocating for people and planet over short-term profit. The good news is findings from Project ROI show the business case for sustainability has never been stronger.

Yet this causes many sustainability professionals angst. In a recent meeting of CSOs, many advocated for the field to strengthen their ability to show financial returns from sustainability. But several admonished their colleagues to maintain focus on the moral imperative of sustainability.

Our findings are best summarized by the comments of two CSOs presented at Trellis Impact. “The field is on defense. We need to play offense,” one said. Another embellished, “It’s time for us to start speaking the language of business.”

CSOs who make progress, scale up commitments and deliver impact tend to be who’ve defined clear value propositions for sustainability and the means to measure them. This makes them trusted partners of the C-suite and business lines, and gets them access to larger budgets and resources. While we’ve found that the business case isn’t a holy grail, it’s absolutely necessary and always will be unless major shifts in laws and regulations occur.

Given these lessons over the last 12 months, we see a few core tensions that will likely become increasingly urgent in 2026:

Fight, flee or play dead

The murder of George Floyd in 2020 created a reckoning for the private sector. Stakeholders implored companies to lead while at the same time admonishing them (whether fairly or not) for perceived negligence that contributed to the conditions that led to Floyd’s death.

We’re seeing this happen again with the rise of U.S. Immigrations and Customs Enforcement, the deaths of Renee Good and Alex Pretti, and the anxiety of saber-rattling over Greenland. Companies such as Ford, Hilton, McDonalds, Target and a range of small and medium businesses have found themselves in the crosshairs — despite most companies doing everything possible to stay on the sidelines since the 2024 election.

But prominent voices are calling for action and companies will need to dust off and upgrade their decision-trees on when and how to fight, flee or play dead across a wide range of volatile, complex and ambiguous political, economic, environmental and social topics. As one executive told us, “Sitting on the fence will just give you splinters in your ass.”

Climate politics vs. climate economy

Headlines that blare how Wall Street has turned its back on climate change miss the real trend. Financial institutions across the world are doubling down on climate as a material financial risk. But, that’s just half the story. The sustainable energy transition is also seen as a material financial opportunity. Companies will increasingly need to enact strategies that dodge climate politics while leaning into the climate economy. ESG is still material to investors, but they just aren’t talking about it as much. And in this such a fractious climate, who can blame them?

Timing and pace are everything

In the early 2020s, managing sustainability was about everything, everywhere, all at once. Today, sustainability leaders need to make tough choices on when to sprint, go slow and steady, or take baby steps.

Sprint: to make bold commitments tied to aggressive timelines by persuasively aligning sustainability to material business risks and/or opportunities.

Slow down: The CSO of a large brand recently told us that the sustainability team had agreed, begrudgingly, to back off from several 2030 commitments. But by replacing these commitments with more incremental, achievable and near-term targets, the company discovered it was rebuilding the enthusiasm and support of leaders that have now signaled renewed interest in the effort. By going slow, the team may achieve a larger impact than it could have under the previous, big target.

Baby steps: For issues that aren’t ready for substantial attention and resources, the sustainability team can take holding actions such as studies, meetings, feasibility, monitoring and investing in the chronically under-resourced area of data collection.

The lesson from our research and its application shows that a time when anxiety is high, sustainability tension management introduces a sense of rationality that helps turn illogical decisions, disputes and resistance, into sane and prudent business discussions.

The authors will be diving more into these topics at GreenBiz26.

The post How to set sustainability strategy in 2026 appeared first on Trellis.

When Kate Williams graduated from business school in the mid-1990s, she didn’t seek a job with a traditional company. Instead, she dedicated her early career to leading a trail preservation nonprofit and as a partner in a yak farm in Vermont.

“I knew that I wanted to have a purpose-led career, and it did not occur to me that I could do anything other than be in a nonprofit,” Williams told me in the latest episode of our Climate Pioneers interview series. “Fast forward to now, I have a strong belief in the power of the nonprofit sector for creating solutions outside of the marketplace.”

The nonprofit Williams has led for the past 11 years, 1% for the Planet, is dedicated to boosting corporate funding of environmental causes in a way that doesn’t trigger greenwashing accusations. It was started in 2002 by Patagonia founder Yvon Chouinard and Blue Ribbon Flies owner Craig Mathews to encourage businesses to put 1 percent of their annual revenue toward causes that protect or restore nature. 1% for the Planet’s role is to verify those donations. 

The organization is modeled on Patagonia’s own pledge to do the same, adopted in 1985. The company has given away $140 million in cash and in-kind donations to date.

Closing in on $1 billion

1% for the Planet now represents 5,000 companies; it validated $144 million of philanthropy in 2025. That’s an annual record: Donations were roughly $20 million per year when Williams joined. 1% for the Planet is now poised to certify $1 billion in total donations by the end of 2026 — with brands such as Patagonia, New Belgium Brewing, Klean Kanteen and Tumi among the high-profile contributors that market their brands with the 1% for the Planet label. 

“Every single member is only a member because they’re done exactly what they said they were going to do, and we have verified that they have done that,” Williams said. “That’s our certification process. They don’t get beyond a year if they haven’t done that. Full stop.”

Small, private companies

Most 1% for the Planet members are small and privately held, although some, such as Oxo and Tumi, are subsidiaries of large publicly held companies. Many are Certified B Corporations or meet Fair Trade practices; fees to the organizations that confer those certifications, such as B Lab Global, count toward a company’s donation totals.

The member retention rate was remarkably high in 2025, given the decisive moves that President Donald Trump took to abandon U.S. leadership on climate issues, Williams said. 

As the organization thinks about its next milestone — $2 billion in verified donations — it wants to convince companies of all sizes that funding planetary protection is as natural as paying rent, meeting payroll or supporting core research.

“We shouldn’t need to think twice about the fact that we need to invest in the planet that is really this underlying foundation for any future economy,” she said.

Bring your own nonprofit

1% for the Planet curates a directory of 7,000 nonprofits organized by four primary impact areas: rights to nature, conservation and restoration, resilient communities and just economies. 

The list is actively culled. Nonprofits are added on behalf of specific businesses, although being listed isn’t a guarantee that corporations will donate. Only 4,500 organizations from 1% for the Planet’s directory received gifts via the site in 2025.

“It’s tricky for us, because we can’t guarantee any of them funding, nor do we exist to,” Williams said. “Our raison d’etre isn’t to ensure the future viability of the nonprofit sector. The reason we exist is to drive impact through the nonprofit sector, through these impact areas, through a corporate philanthropy model. And we do that very, very well.”

Watch the interview for more leadership lessons.

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One of the first things Cassandra Garber saw when she arrived for her first day at General Motors last spring was a 10-foot-tall lobby-wall sign proclaiming the company’s commitment to zero emissions.

Garber had been asking herself if she had made the right move in swapping the chief sustainability officer role at Dell for the same position at GM. “And then you walk in and you see the very thing that you want to do with your entire career on a big panel on the wall,” she recalled. “You’re like, that’s mine.”

Cassandra Garber, GM’s new CSO, on her first day at work. Source: GM.

That commitment is, however, a complicated thing to inherit. 

Concerns about high prices and low ranges deterred consumers from adopting EVs as quickly as the company expected when it set targets in 2021. Tailpipe emissions from new light-duty GM vehicles in the U.S. have fallen just 7 percent, likely rendering unobtainable the company’s goal of eliminating tailpipe emissions by 2035. And the Trump administration has dismantled critical regulatory support for EVs, which will further slow the transition. 

All of which leaves Garber with some tough decisions. Should she push back the target date? Dial back the scale of commitment? Or declare the goal itself — which depends on factors such as charging infrastructure, which GM does not control — a distraction from more impactful work? 

In this latest installment of Chasing Net Zero, our series of deep-dive profiles on sustainability strategies at Salesforce, Nestlé, GSK and other large companies, we draw on interviews with Garber and outside experts to assess GM’s options. 

The conversations reveal the depth of the challenge facing the new CSO, and others in similar roles. Garber has to reorient the company’s sustainability strategy amid a time of regulatory and economic upheaval, while simultaneously deciding whether to downgrade or drop what remains one of the highest-profile climate commitments from a legacy automaker.

“It’s incredibly hard for these companies to meet their climate goals, which were ambitious to say the least, in a political context that presents not just headwinds, but hurricane-level headwinds,” said Jeff Senne, a Trellis contributor and CEO of Sandbar Solutions, a corporate sustainability consultancy.

What GM committed to

Four years before Garber arrived at GM, CEO Mary Barra had unveiled a stunning aspiration: America’s largest automaker by sales, the maker of iconic brands such as Chevrolet and Cadillac, would eliminate tailpipe emissions from new vehicles by 2035. Half a decade after that, it would be carbon-neutral. The Environmental Defense Fund, which worked with the Detroit company on its vision for an all-electric future, described the move as an “extraordinary step forward.”

Those targets were extended a few months later when the Science Based Targets initiative validated GM’s goal of cutting Scope 1 and 2 emissions 72 percent by 2035. The initiative also rubber-stamped the company’s Scope 3 target: a 51 percent reduction in per-kilometer emissions from new light-duty vehicles by the same date.

Hitting those goals required a rapid transition to an all-electric future — one that then seemed more realistic. Around the time GM got SBTi approval, for example, new President Joe Biden committed to spending $170 billion on installing 500,000 EV chargers, strengthening rebates for EV purchases and other efforts to speed the transition. 

Adding to the excitement around EVs was Tesla’s extraordinary rise — its stock price rose sevenfold in the 12 months preceding Barra’s January 2021 reveal, putting Elon Musk on track to become the world’s richest man — and its impact on investor expectations. Tesla’s sales growth made it the “bright shiny object,” recalls Stephanie Brinley, an auto-sector analyst at S&P Global. “If you weren’t investing in EVs and making these kind of really bold predictions, Wall Street was getting frustrated.”

What happened next

GM has since made significant achievements; its most recent sustainability disclosures, published in October 2025, note a 46 percent reduction in Scope 1 and 2 emissions since 2018, putting the company on track to hit its 2035 goal for those sources. That’s been achieved through on-site electricity generation, power purchase agreements and other mechanisms — but not by buying unbundled renewable energy certificates, a strategy that’s often criticized as having limited impact on the growth of clean power.

Yet for large automakers, the path to net zero is all about sunsetting internal-combustion cars and selling EVs. Close to two-thirds of GM’s 2024 footprint of roughly 390 million metric tons of carbon dioxide equivalent emissions come from the engines that power the large majority of the vehicles it sells. To hit its 2035 goals, Barra and her sustainability team needed to turbocharge uptake of the Chevrolet Bolt, all-electric Hummer and other zero-emission offerings.

Where GM’s emissions come from

Source: GM‘s 2024 Task Force on Climate-related Financial Disclosures Report.

Companies that aim high on sustainability are sometimes accused of prioritizing splashy commitments over detailed implementation plans. But GM’s early commitment was genuine, said a former employee involved in the target-setting process who asked not to be named because the person is not authorized to speak about their time at the company. “At GM, if you set a target, our legal staff, our controllership, everyone’s there. You can’t just set a target without a clear path of how you’re going to get there.”

Over the following five years, the company spent billions expanding its EV line-up — it now offers 12 all-electric models, more than any other major U.S. automaker — and investing heavily in new EV production facilities and battery technology. 

This money was still being spent when the transition spluttered. After booming in 2022 and 2023, EV sales plateaued in 2024. Cost was a major issue, said Nathan Niese, Boston Consulting Group’s global lead for electric vehicles. Sticker prices in the $30,000 to $35,000 range were mentioned, but when EVs arrived dealers asked $10,000 to $20,000 more. That ruled out mass-market buyers. Concerns about unreliable public chargers and slow charge times further hampered sales. “EV-curious people are continuing to be curious, versus actually being ready to buy,” said Niese.

Growth in U.S. EV sales has plateaued

Source: Cox Automotive

Then, in 2025, Donald Trump’s administration cut the federal $7,500 tax rebate on EV purchases, a key pillar of the all-electric transition, helping send the market into reverse. Niese said that BCG’s latest forecasts put EV adoption in the 30-40 percent range by 2035, far short of the 100 percent GM is targeting for that date. (It’s worth noting that critics say GM’s lobbying helped kill other regulation critical to the EV transition, such as federal limits on vehicle emissions. GM says the regulations were impossible to comply with.)

All of that sapped GM leaders’ confidence in their EV roadmap. By last fall, with the rebate gone, the company was in retreat. One EV plant was retooled to produce conventional vehicles, and more than 1,700 jobs cut at EV and battery facilities. Unwinding its EV investments and contractual commitments will cost GM more than $7 billion, the company has said.

In 2025, GM sold 170,000 EVs in the U.S., just 6 percent of its total. Meanwhile, U.S. drivers have continued their love affair with gas-hungry pickups and other large vehicles. As a result, GM’s Scope 3 target is actually further away than it was in 2021: per-kilometer 2024 emissions were up 3 percent since the baseline year of 2018. The company’s 2035 deadline is still a way off, but, right now, the target Garber is tasked with hitting looks out of reach.

What should the CSO do?

Garber’s desk at GM’s offices in Warren, Michigan, is in the product department — a change for the company and one reason she took the role. “I get to sit where the emissions are,” she said during one of two phone interviews with Trellis in December and January.

In the roughly nine months since she joined, Garber has begun implementing what she calls an “enterprise approach” to sustainability. Every relevant function in the company is asked to take on a sustainability-related key performance indicator (KPI), which is developed with two key partners: a senior executive and a leader from the function who is responsible for operationalizing the KPI. 

“Having KPIs and holding executives accountable across the company is game-changing when you’re trying to move the needle on sustainability,” she said. 

For 2026, the product function’s KPI focuses on integrating sustainability considerations into designs for new vehicles. That could mean introducing AI features that make charging more convenient, increasing engine efficiency or reducing the number of vehicle parts to cut logistics emissions. 

Elsewhere in the organization, Garber is collaborating with manufacturing on further cuts to energy use and working to add more sustainable materials to GM’s supply chain. GM is also part of the Transform: Auto program, a project with Ford, Toyota and others that helps suppliers access renewable energy.

On our calls, Garber was keen to discuss these cross-company efforts, but more guarded when the conversation turned to the status of the company’s commitments. At one point she expressed frustrations with target-setting more generally, which she described as secondary to the more meaningful work of creating lower-emission products. When pushed, she noted that the emissions goals are being reevaluated, but said there were no immediate plans to change them. What, then, are her options? Here are answers from sustainability experts who spoke with Trellis. 

Option 1: Adjust the target

Several told Trellis that GM could work with SBTi to restate GM’s Scope 3 goals in a way that makes the targets easier to hit, perhaps by pushing back the target year or lowering the emissions reduction required to meet it. 

Companies known for setting ambitious sustainability targets, including PepsiCo and Salesforce, have recently diluted their commitments in response to changing commercial realities. Such moves should be seen as a normal part of business, say sustainability leaders. In both cases, the restated targets retained SBTi validation and remain in line with the goal of limiting global temperature increases to 1.5 degrees Celsius of warming.

“Companies get some negative headlines, some ‘tsks’ and a little bit of scolding,” said Steve Rochlin, a Trellis contributor and CEO of Impact ROI, a corporate sustainability consultancy. “However, companies can manage it by saying we’re not moving away from our long-term goals.” One critical factor, he added, would be whether the company’s long-term goal remains intact. In GM’s case, Barra has said that while the company’s path will change, the destination is still zero emissions. 

The cost of downgrading goals is also lower now due to the weak job market, added one leader with decades of sustainability experience, who requested anonymity because the consultancy they work for has a relationship with GM. The biggest audience for annual sustainability reports is often prospective employees, the consultant noted. With bigger pools of applicants to choose from, the pressure for a company to advertise its climate bona fides has lessened.

Option 2: Stay quiet

The argument for restating would likely be conventional wisdom in a normal business environment — but we’re not in one. Companies are operating in a world where one Republican state attorney general has accused the SBTi and CDP of being part of a “climate cartel,” and others have banded together to attack the use of renewable energy certificates by Google and other tech giants. One consequence of these attacks — in fact, perhaps one goal of them — is to deter companies from making any kind of announcement about sustainability.

With that in mind, Garber could conceivably decide to say nothing about GM’s targets, at least until the political climate shifts. “Some companies know they’re not going to meet their target, but they’re like, “Yeah, we’re not even going to go change it, because we don’t even want to generate a conversation about it, we’re just going to keep doing what we’re doing,” said the consultant. 

Option 3: Break ties with SBTi

A third option would be to set a new target outside of the SBTi process. Garber did not suggest doing so, and parting ways with one of the most influential standard-setters would risk undermining ambition across the autosector. But there’s no doubt it would provide GM with flexibility on several issues, including one that concerns Garber: the sync between targets and business planning. 

“You should create your goals against the same timelines as your business,” she said. “Because that’s how sustainability gets integrated.” The deadline for GM’s SBTi goal was 14 years in the future when it was set; automotive planning, noted Garber, tends to look five years ahead. 

Opting out of the SBTi process would also allow GM to leverage other strategies, including the use of carbon credits. Take Microsoft, for example. The company left the SBTi’s net-zero process in 2024. Its headline climate goal — going carbon negative by 2030 — now relies on plowing billions of dollars into carbon credit projects.

The year ahead

Garber did not appear to be in a rush to decide between these options, but she will have to say something soon. SBTi rules require companies to review their targets every five years. After the end of April, GM will have six months to submit its review to the organization. If an update is required, the company will have an additional six months to finalize changes. 

SBTi rules are not the only reason why GM might clarify its intentions. GM’s record on climate is viewed as mixed by some environmental groups, in part because the company has lobbied against pro-climate legislation. But even though the 2035 deadline for CEO Barra’s pioneering commitment will likely be missed, she is praised for introducing a goal that served as a north star for the company’s sustainability efforts. “In some respects that was more important than the year,” said S&P’s Brinley. 

Looked at from that perspective, Garber’s best course may be to choose the least bad of the options available — and to do so quickly. Then she can get to what sustainability professionals would say is the real and more daunting challenge: uniting the company — which employs 155,000 people around the world — in an effort to hit those new targets.

Cassandra Garber will speak on the mainstage at GreenBiz 26 later this month. GM is also a sponsor of the event.

The post GM’s pioneering emissions goal looks out of reach. What can it do? appeared first on Trellis.

One of the biggest holes in the carbon rulebook was plugged last week when the Greenhouse Gas Protocol finalized its standard for land-sector emissions and removals. 

The 133-page document, which was five years in the making, has implications for companies in food, agriculture, apparel and other industries. The new rules are being widely hailed as a welcome step forward, but they are also generating questions about how they will work in practice.

The protocol’s Land Sector and Removals Standard details accounting rules for the many scenarios by which land-sector activities generate and remove greenhouse gases — from emissions in bovine burps and tractor tailpipes to carbon-capture by soil microbes, crops and trees. Overseen by the protocol’s backers, the World Resources Institute and the World Business Council for Sustainable Development, it received input from more than 300 external reviewers.

Uncertainty about how to account for these processes in emissions disclosures has been blamed for limiting investment in projects that reduce land-sector emissions. “This is not just a standard, this is a catalyst for transformation the sector urgently needs,” said Christopher Schwarz, associate director for implementation at South Pole, a consultancy.

More flexible accounting — to a point

Identifying precisely where the wheat in your breakfast cereal was harvested is often all but impossible; like many other ingredients, it is aggregated from multiple farms during processing. This makes it difficult for buyers to claim the benefits of supporting suppliers that cut fertilizer use or take other emissions-reduction measures.

The new standard helps by giving the green light to an approach known as “mass balance.” This allows conventional and low-carbon crops to be mixed in supply chains, provided the emissions savings are claimed by an appropriate proportion of the resulting products. The approach, which was not included in the previous draft of the standard, provides welcome flexibility, particularly because it allows for mixing across sites in a supply chain, said Alice Chang, senior manager for sustainability standards at Indigo, a sustainable agriculture company.

Yet the protocol stopped short of including an even more flexible accounting mechanism, known as “book and claim,” in which the environmental benefits associated with an ingredient can be traded independently of the ingredient itself. Advocates for such market-based mechanisms emphasize that integration with existing standards, including the protocol, is essential to the success of the approach. Another important standard-setter, the Science Based Targets initiative, opened the door to these mechanisms in a recent update.

The decision will likely not be the final word from the protocol on the debate, however. A separate workstream within the organization, tasked with tackling what the protocol calls “Actions and Markets Instruments,” released a white paper in December outlining how book-and-claim and related mechanisms might be used. The land-sector document notes at several points that the standard may be amended when the workstream publishes its recommendations.

Yes to removals — but with indefinite monitoring

Many companies want to cut their carbon footprints by investing in on-farm projects that capture carbon dioxide from the atmosphere, such as integrating trees into cropland. The emissions savings can be sizeable: Nestlé plans to remove 13 million metric tons of carbon dioxide equivalent emissions from the atmosphere annually to hit its target of halving emissions by 2030.

The good news for companies with such plans is that the new standard provides detailed instructions on how to include removals in emissions inventories. The more problematic issue is what happens next. Because carbon absorbed by soil and vegetation can be released back to the atmosphere, someone needs to take responsibility for monitoring such “reversals.” The standard requires that the company that claims the benefit does that monitoring — and it does not specify when that liability expires.

“They were very staunchly rooted in this idea that the permanence period needs to be infinite, and if at any point you aren’t able to continue monitoring, you need to assume a full reversal,” said Chang.

Being asked to assume a perpetual liability might seem like a deal-breaker, but these rules are also likely to evolve. Satellite imagery is increasingly being used to lower the cost of monitoring removals projects, for example. And stakeholders can collaborate on monitoring. “It does not need to be done by the reporting company; it can be performed by the farmer, a third party, a national monitoring program or other mechanisms,” said Pankaj Bhatia, GHG Protocol global director at the World Resources Institute. More details will be provided in a guidance document due to be published next quarter, he added.

The protocol punts on forests

“Both science and feasibility are core design principles of GHG Protocol standards, and more time is required to ensure that both are appropriately met,” the protocol wrote in an FAQ accompanying the new standard. Organizers will now ask stakeholders for further input in the hopes of including forest rules in a future version of the standard.

Advisors working on the standard have for years been split on the carbon accounting rules for forests. Points of contention include challenges with separating anthropogenic from natural changes, establishing baseline emission scenarios and allocating responsibility to different parts of forest value chains. An independent advisory board within the protocol tasked with resolving these issues failed to do so.

In any case, some advisors to the protocol may be done waiting for an official ruling.

“My hopes aren’t high that the existing governance structure or forces behind the scenes can produce a workable result,” Vaughan Andrews, a senior sustainability manager at forests company Weyerhaeuser who is one such advisor, wrote on LinkedIn. “Instead, I believe it is time for a fresh approach.” 

“It’s a shame GHGP couldn’t manage to accept what its stakeholders were telling it, but that doesn’t mean we have to stop,” added another advisor, Nathan Truitt, executive vice president at the nonprofit American Forest Foundation. “We now know how to do this right, I don’t think we need permission from the GHGP!”

The post How the new land-sector carbon accounting rules will impact your company appeared first on Trellis.

The opinions expressed here by Trellis expert contributors are their own, not those of Trellis.​

When I sit down with a candidate, I’m not necessarily looking for an environmentalist. I’m looking for leaders who’re comfortable handling data, communicating complexity across business functions, and helping embed sustainability as the foundation of long-term growth.

To understand if candidates have those skills, I use the following questions, which are meant to reveal which candidates are the most determined to go beyond “checking the box” and instead use our mission to minimize risk and maximize competitive edge.

What do you think sustainability should mean to an organization?

This may sound simple, but I’m looking for a very specific response. Sustainability work extends across the public, private and nonprofit sectors, so it’s common for job candidates in this space to have varied experiences.

With this question I’m looking to see if candidates proactively connect sustainability to business value. Depending on a business, that might involve energy costs, insurability, bond ratings or supply chain resilience. What’s important is that the candidate is prepared to discuss sustainability not just with like-minded advocates, but with finance-driven CFOs and deadline-driven product managers. I applaud all types of sustainability professionals, but naturally I’m looking for those primed to thrive in a private, growth-minded technology company.

What technology are you most excited about and why?  

It should go without saying that at a technology company the sustainability team isn’t just focused on the rules or regulations of today—we’re on the frontlines of what’s next.

I want to see candidates show that they’re reading and thinking about the future, whether that concerns AI, quantum or innovative applications of technology. Electric grids have been around for more than a century, but modern electrification of vehicles (even industrial ones), HVAC and more is poised to change our world — and the business of sustainability. Similarly, the proliferation of sensors and high-fidelity data are allowing industry efficiencies at an unprecedented level.

How do you think about the intersection of AI and sustainability?

This may be among the most important questions for today’s sustainability professionals. Anyone applying to IBM should have a point of view, and I’m confident that’s true in most other sectors.

A good response should consider both the “top” and “bottom” lines — what can be done to minimize AI’s energy needs, but also how can AI help improve sustainability outcomes? The IEA has estimated that by 2035 AI will be enabling energy reductions almost 3 times as much as its own energy consumption, so a well-rounded candidate should have some ideas for applying AI, as well as limiting its environmental footprint. Increasingly, smart use of AI is also simply a day-to-day part of the job, so I love to hear candidates’ personal experiences, too.

What aspects of the job are you most excited or challenged by?

I ask this to get a genuine sense of whether the candidate’s passions and perspectives align with our needs, but I also want to hear about creative and surprising opportunities or new ideas for supposedly intractable challenges.

In terms of opportunities, I’m quite excited by advances in geospatial AI, which isn’t discussed nearly as often as large language models. There’s a huge amount of geospatial data available, and AI provides a new opportunity to unlock insights at scale, helping scientists and others better understand our earth. Materials science is another exciting area, and I’ve written here previously about emerging capabilities to detect and develop substitutes for concerning materials.

There are also plenty of challenges to pick from, but I like to hear which one a candidate gravitates to and why. If a candidate is focused on external factors like policy, they’re likely missing opportunities to make change in places where we have more control. One excellent response I received was about getting buy-in from the business; that can indeed be a challenge, but it’s great to approach it with enthusiasm and fresh ideas.

Be creative and walk me through how a sustainability initiative could open up a new revenue stream.

I admit this is a hard one, but it gets to the very core of what I’m looking for. Effective corporate sustainability teams today aren’t just focused on reducing waste; they’re part of the same mission to drive business value as their colleagues. Their jobs can even be harder, requiring that they push the boundaries of how we measure, understand and communicate that value.

Most candidates can respond to this question by connecting sustainability to reduced risk and lower costs, but it takes an additional level of thinking to get to revenue and growth. One in-house example we’ve had is with an AI assistant that doesn’t just help my team, but enables our sales colleagues to do their job better as well. I expect many candidates have their own examples, or hope that with this nudge they can begin envisioning the possibility.

For me, these five questions give candidates the chance to show they understand both the issues and — crucially — how to get things done. The sustainability field is an ever-changing one, but there is no question that its future involves more data, technology, and clearly crafted business cases.

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The sewing room may be the most visible symbol of manufacturing in fashion. The work of assembling finished products, known as Tier 1 in the supply chain, is also increasingly accounted for in sustainability reporting. 

But it’s the Tier 2 facilities — the ones that produce, dye and finish fabrics and trims — that actually create more emissions.

Renewable energy only makes up 2 percent of energy use across both Tier 1 and Tier 2. But while Tier 1 makes up about 9 percent of supply chain emissions, Tier 2 produces more than 50 percent. 

Finding climate emissions hotspots across those energy-intensive facilities can go a long way toward helping the fashion industry decarbonize, according to Joel Mertens, director of Higg Product Tools at Cascale, formerly known as the Sustainable Apparel Coalition.

“A company’s sphere of influence starts to enlarge,” he said.

Data emerges

Cascale analyzed patterns from data from thousands of Tier 1 and 2 facilities, reported in 2023 and 2024 by brands and retailers through its Higg Index. The results appeared in Cascale’s State of the Industry Report on Jan. 28.

Tier 2 processes make up between 45 percent to 70 percent of brands’ Scope 3 emissions, according to a McKinsey analysis in March 2025 of data from more than 9,000 suppliers. McKinsey suggested two decarbonization “levers” for Tier 2, including brands favoring low-emissions suppliers. The consulting giant also suggested that suppliers make technical adjustments, such as adopting renewable energy.

However, the special challenges of Tier 2 include a heavy reliance on boilers for dyeing, finishing and drying material. Coal makes up 31 percent of the industry’s energy sources overall, and 40 percent within Tier 2, according to Cascale.

“Thermal energy is harder to decarbonize than electricity,” said Mertens. “If you have a boiler, it doesn’t really change until you change that boiler.”

One alternative includes brick batteries, which H&M is exploring for its mills. In 2024, the brand’s Green Fashion Initiative backed Tier 2 suppliers in Vietnam and India that were installing biomass boilers.

Credit: Apparel Impact Institute

Another challenge for Tier 2 reduction hopes: Its geographically scattered facilities are often larger than Tier 1 cut-and-sew shops. Emissions tend to be concentrated in a small number of large suppliers, Cascale found.

“The larger facilities tend to have more equipment and processes, higher energy needs and show a higher carbon intensity in general,” Mertens said. “Because emissions are concentrated in a small number of suppliers, it’s actually an opportunity. We can target our conversations to a smaller subset of manufacturers, where the interventions are really going to make a difference.”

The counterpoint to that, however, is that change requires collective action, he added.

To that end, the Outdoor Industry Association runs a Clean Heat Impact CoLab. Under that effort, Patagonia, L.L. Bean, Cotopaxi and other outdoor labels created an open-source Textile Heating Electrification Tool one year ago for mills to adopt.

Where the action is

Meanwhile, the nonprofit Apparel Impact Institute (AII) is addressing funding bottlenecks that Cascale identified as inhibiting progress. On Jan. 27, the AII realigned its Climate Solutions Portfolio, which provides grants of up to $250,000 for decarbonization solutions, to emphasize supplier-focused electrification efforts, especially in Tier 2 plants. It belongs to the organization’s Fashion Climate Fund, built to mobilize $250 million toward $2 billion in blended capital for low-carbon supply-chain adjustments.

“We see brands starting to plan their longer-term electrification strategies by country and supporting suppliers with technical and financial assistance to do so,” said Pauline Op de Beeck, the AII’s climate portfolio director. Brands are also increasingly sharing what they’ve learned from pilot projects, she added.

And support for Tier 2 climate-transition work by suppliers has continued under the Future Supplier Initiative, a collective financing model engaging the Fashion Pact and the AII with Guidehouse and DBS Bank. Marks & Spencer, Ralph Lauren and Tchibo joined in 2025 alongside the original member brands Bestseller, Gap Inc., H&M Group and Mango.

In November, 55 CEOs, including from luxury houses Chanel and Prada Group, committed to the Paris-based Fashion Pact’s European Accelerator. Joined by Kering, Moncler Group and others, the collaboration seeks to drive decarbonization deeper into their upstream supply chains.

Other work to advance low-emissions technologies among fashion suppliers include Cascale’s Manufacturer Carbon Program. It helps brands measure emissions at plants and encourages them to assist suppliers with decarbonization projects.

Meanwhile, Schneider Electric has recently teamed up with Levi’s and Marks & Spencer in separate efforts to help the companies’ mills and dye houses access renewable energy through power purchasing agreements.

“There isn’t one model that’s risen to the forefront and said, ‘This is the solution,’” Mertens said. “The only way we get there is by having some uncomfortable conversations across the value chain.”

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