Spotlight on Net Zero

The opportunities that lie ahead

85 percent of current building stock is expected to still exist by 2050 (less than 1 percent today is at Net Zero Emissions). Shell can play a key role to help decarbonize the built environment sector (through key channels, such as operations & the use of materials)

There is incredible opportunity for everyone to get involved and contribute to the ambition both through the ZERO BY THIRTY target for the real estate portfolio:

• Achieve NZE (Scope 1 & 2*) for Real Estate by 2030
• Achieve NZE (Scope 3*) for Real Estate as soon as possible, in step with society

And SMALL ACTS BIG IMPACTS respecting nature goals including:

• Zero waste from operations and supply chain
• Drive circular economy and reduce waste
• Increase biodiversity at facilities
• Using land responsibly
• Reduce and recycle water usage across facilities

Further opportunities extend to enhancing the team environment through Workplace Wellbeing & Employee Value Proposition, meeting the expectations of the workforce, and co-innovate low carbon advancements, visibly demonstrating Shell’s wider NZE ambitions.

The journey travelled together

Collaborating with academia, industry experts and across the Shell Business, Shell Real Estate has created a strategy and ambition statement which underpins a commitment to carry forward to 2030.

Significant effort has gone into to developing selected change initiatives across six workstreams (Build Lease Portfolio; Operations; Respecting Nature; Supply Chain; Digital Enablement and Employee Travel) which will help drive the ambition in the most meaningful way. These initiatives have been prioritized with pathway pilots or proof of concepts defined to deliver the NZE fundamentals, with an immediate focus on green leasing, investment screening, sustainable design, baselining and benchmarking.

Our team is supporting six workstreams across Shell’s Real Estate function to develop best practice guidelines and policies for its net zero emissions pathway plan. This included developing a unique strategy of pathfinder projects to transition the real estate function to net zero.

Introduced transparent and robust systems to provide a platform for all team members and stakeholders to fully engage with the ambition. These new ways of working across all real estate activities will contribute to removing carbon emissions and result in a more sustainable method of procurement, construction delivery and operations.

In parallel, introducing an integrated approach to cost and embodied carbon accounting through our Embodied Carbon Calculator Tool enables a reliable assessment of the cost impact of carbon reduction strategies, adding support to the business case and decision-making throughout a project lifecycle.

The way forward

As the built environment sector tackles the need to quantify carbon as well as capital cost when planning and delivering new investment, using bespoke carbon accounting tools will help evaluate the carbon footprint of projects from an early design stage covering cradle to practical completion of the product and construction process. In parallel urgently introducing a step change from strategy to implementation is key to delivering the fundamentals of the programme to transition across the organization.

By embedding frameworks/ knowledge; handrails and technology/ tools into business-as-usual activities, Shell RE will be able to enhance ways of working through operational excellence to achieve the goals.

We can only make change happen together to achieve the Net Zero ambition – we look forward to continuing the collaboration; sharing sustainability learnings and making the difference.