United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization

The report argues that industrial decarbonization is currently off-track, with global emissions increasing by 1.5% annually despite a required 7% reduction to meet the 1.5°C target. It identifies four primary barriers: lack of business case buy-in, inaccurate carbon calculation, difficulties in value chain mitigation, and obstacles to green business growth. To address these, the World Economic Forum introduces a framework divided into two action levers: leveraging existing collaboration mechanisms (such as public funding and carbon standards) and proactively engaging in the design of net-zero policies. The document provides 11 case studies illustrating successful collaborations in sectors including logistics, dairy, and steel, and across regions such as the EU, India, and Bangladesh.

• Global industrial emissions are not decreasing at the rate required to limit warming to 1.5°C; current emissions are increasing by 1.5% annually, whereas a 7% annual reduction is necessary.
• The industrial sector is significantly off-track for 2030 targets; for instance, the rate of progress needed to reach a 35-43% share of electricity in final energy demand must be four times faster than historical data suggests.
• While 110 countries have pledged net-zero targets as of March 2024, only 27 countries and the EU (representing 16% of global GHG emissions) have enshrined these targets into law.
• Industry leaders face four critical barriers to net zero: establishing a business case (buy-in), accurately calculating emissions, supporting value chain decarbonization (mitigation), and investing in climate technologies and infrastructure (green business growth).
• Carbon calculation is hindered by a lack of harmonized standards and a reliance on secondary data, with the implementation of the Corporate Sustainability Reporting Directive (CSRD) estimated to cost $500,000 in the first year.
• Climate technology adoption is slowed by high risks and long lead times; for example, only 4% of proposed low-carbon hydrogen projects reach the final investment decision (FID) stage, and development lead times for CO2 and hydrogen storage average 7 to 12 years globally.
• Public-private collaboration can effectively de-risk industrial investments, as demonstrated by Edilians, which secured a €3.6 million grant from the French agency ADEME to develop a low-carbon kiln, reducing gas consumption by 33%.
• India's National Green Hydrogen Mission uses a public-private model to target a production capacity of at least 5 million tonnes per annum by 2030, with expected investments exceeding $95 billion.
• The Industrial Deep Decarbonization Initiative (IDDI) uses public procurement policies to create lead markets for low-emission steel and cement, involving governments from Canada, Germany, the US, and the UK.

APA

World Economic Forum (2025). United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization. https://reports.weforum.org/docs/WEF_United_for_Net_Zero_Public_Private_Collaboration_to_Accelerate_Industry_Decarbonization_2025.pdf

Chicago

World Economic Forum. United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization. 2025. https://reports.weforum.org/docs/WEF_United_for_Net_Zero_Public_Private_Collaboration_to_Accelerate_Industry_Decarbonization_2025.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization |date=January 2025 |url=https://reports.weforum.org/docs/WEF_United_for_Net_Zero_Public_Private_Collaboration_to_Accelerate_Industry_Decarbonization_2025.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2025united, author = {{World Economic Forum}}, title = {{United for Net Zero: Public-Private Collaboration to Accelerate Industry Decarbonization}}, institution = {World Economic Forum}, year = {2025}, month = jan, url = {https://reports.weforum.org/docs/WEF_United_for_Net_Zero_Public_Private_Collaboration_to_Accelerate_Industry_Decarbonization_2025.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }