The platform targets every single employee in the organisation to effect greater sustainability performance. Photo Credit: Adobe/aFotostock
Carbon reduction platform Climate Club, which embeds sustainability into the employee experience, has raised US$6.3 million in seed funding to expand its enterprise platform, currently used by Facebook parent company Meta and Bain & Co, to enable employees to achieve critical sustainability goals.
Its purpose-built software platform looks at reducing carbon emissions, saving costs, increasing revenue and retaining talent in line with net zero targets and strategic business goals.
The funding was raised by XYZ Venture Capital and Vestigo Ventures with Red Sea Ventures, MCJ Collective and additional strategic investors.
College mates Adam Braun and Philip Charm founded Climate Club in 2011 to reverse climate change by working with sustainability leaders and heads of “carbon-intense departments”, such as corporate travel, at large enterprises to drive carbon reduction and maximise the business impact of climate action across the board.
“Too often, corporate sustainability programs are limited to purchasing clean energy and buying offsets. Those centralised actions leave out the organisation’s most powerful component — its people.
“People-powered carbon reduction means that every employee is engaged in the journey to net zero,” said CEO Braun, who previously founded Pencils of Promise and MissionU, and Chief Business Officer Philip Charm.
Climate Club helps by facilitating employees with the role-relevant tools, resources and data to accurately capture and reduce “Scope 3 emissions” while providing all round real-time visibility into sustainability performance across all areas of a business, Braun added.
Scope 3 emissions, according to the US Environmental Protection Agency, are difficult to track and are “often the largest category of emissions”, CNBC stated in an article on Climate Club last September. The emissions, it said, include those from “assets and activities” within a “company’s value chain”.
These could be emissions associated with purchased goods and services, transportation of goods and services, business travel of employees, and commuting of employees.
What Climate Club platform does is track emissions associated with business travel, including air travel, ground transportation and hotels, followed by recommendations on commutes and energy used, CNBC reported.
In addition, Climate Club is building solutions for specific job categories, such as engineering, finance, procurement, marketing, human resources and event management”.
According to Climate Club, companies representing more than US$38 trillion in market cap have committed to science-based targets of 45% emissions reduction by 2030.
However, beyond environmental impact, sustainability can help improve the bottom line, it said, adding that companies that prioritise sustainability outperform peers in the public markets.