Business Breakdowns
Episode 90 Carbon Reduction
Business Breakdowns

Episode 90: Carbon Reduction

Business Breakdowns

Episode 90

Carbon Reduction

Christian Anderson is the co-founder of Watershed. We cover the role of banking and finance in the global climate effort, the impact of energy solutions on companies' costs and balance sheets, and why people sometimes say no to climate programs.

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[00:02:14] - [First question] - Climate change as a result of the inertia of capital

[00:03:44] - Financing a capital stock transformation for decarbonization

[00:05:22] - Decreasing dependence on legacy tech to mitigate humankind’s energy debt

[00:08:32] - System of incentives to use and invest in clean technology

[00:10:59] - Banks and debt financiers getting into the climate effort

[00:12:46] - How Watershed’s individual corporate customers approach decarbonization

[00:15:30] - Complexity and recent progress in the decarbonization industry

[00:18:25] - How more effective energy will accelerate decarbonization of supply chains

[00:20:58] - Surprising cost curves for various clean energy processes

[00:24:16] - Energy solutions for the most energy-intensive applications

[00:26:44] - The impact on corporations’ balance sheets and stakeholders

[00:29:49] - Why sophisticated companies are needed to drive the decarbonization transition

[00:31:46] - How companies measure and then modify their carbon footprints

[00:35:00] - Companies are getting serious about climate issues in the past year

[00:37:29] - Capital flowing to tech niches and the problem of infrastructure regulation

[00:40:35] - Digital tools for decarbonization projects

[00:42:43] - How new businesses approach the climate issue from inception

[00:44:39] - Structure of Watershed’s buyer entities

[00:46:53] - Why people and businesses say no to Watershed

[00:48:55] - Perspectives across Watershed’s global markets 

[00:51:36] - The most worrisome aspects of the climate crisis

[00:53:26] - Simplicity in the complex domain of climate change

[00:54:39] - The overall sentiment towards the climate movement 

[00:57:37] - Forces that antagonize the climate movement

[00:59:25] - An exemplary case study of Apple’s climate work

Carbon Reduction

Introduction

Patrick
This week is the second half of our miniseries on the two major levers to reduce the impact of climate change. Last week, we covered carbon removal with Nan Ransohoff. Today, we're focused on carbon reduction. To break down the business of decarbonization, I'm joined by Christian Anderson. Christian is the Co-Founder of Watershed, which helps companies like Monzo, Spotify and Walmart, measure, report, and act on their emissions. We discuss the impact on financial statements, why debt financing is key and why people say no to climate programs. Please enjoy this Breakdown.

A Picture of Global Climate Efforts

Patrick
Christian, you've had one of the best framings that I've heard on what exactly is happening as a result of, I guess, I'll call it, humanities realization, and concern with climate change, very large. I think your framing of this makes it more tangible than some of the more platitude laden framings that I've heard in the past. And so I'd love you to just begin our conversation with how you think about what's happening in this world today. We'll explore that in a lot of different facets.

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