Navigating the Energy Transition

Key Strategies for Businesses Adapting to a Low-Carbon Future

The shift to a low-carbon economy is more than just a regulatory challenge — it’s one of the most significant business transformations of our time. As global markets, technologies, and stakeholder expectations evolve, companies are realising that how they navigate the energy transition could define their relevance and resilience over the next decade.

A McKinsey report estimates that the energy transition will drive over $9 trillion in annual investments globally through 2050, reshaping industries, supply chains, and customer expectations (McKinsey & Company, 2022). For business leaders, the question isn’t whether this transformation will affect them — it’s how they’ll respond.

Understanding the Shifting Landscape

Four powerful forces are accelerating the move to a low-carbon economy:

Governments are introducing carbon pricing, renewable energy mandates, and increasingly strict emissions regulations. From the EU’s Carbon Border Adjustment Mechanism to the UK’s Climate Change Act targets, the policy landscape is moving fast.

Technology is evolving just as quickly. Costs for solar, wind, and battery storage have dropped by over 85% in the past decade, and new clean technologies — from green hydrogen to AI-optimised energy grids — are entering the market rapidly (International Energy Agency, 2023).

Markets are moving too. ESG investing now represents more than one-third of global assets under management (Bloomberg Intelligence, 2023), and consumer demand for sustainable products is outpacing conventional alternatives.

And expectations are shifting. Employees want to work for companies that are acting on climate. Communities and NGOs expect transparency and progress. Boards and shareholders are demanding clarity on transition risks and opportunities.

Transition Realities Across Sectors

The energy transition won’t look the same for everyone. A steel manufacturer’s roadmap will differ dramatically from a logistics provider’s or a retail bank’s. But every sector has inflection points.

Take heavy industry. Companies are rethinking heat-intensive processes by shifting to electrification and green hydrogen. Automotive and logistics are navigating EV rollouts, charging infrastructure, and supply chain emissions. Financial institutions are under pressure to assess climate risk in lending portfolios and develop green financing products. Meanwhile, technology providers are racing to develop solutions that help other businesses decarbonise.

Building a Business-Aligned Transition Strategy

The question is, where should leaders start?

We believe it begins with clarity. Leading companies start by mapping their value chains, running scenario analyses, and identifying where climate risks and opportunities are most material. This isn’t just about carbon accounting — it’s about strategic foresight. For example, some global consumer brands are now running simulations on how water stress or carbon taxes could affect their supply chains or product lines in different regions.

From there, strategy becomes governance. Boards are being briefed on climate matters more regularly, and many companies are adopting internal carbon pricing to inform investment decisions — a practice now common among FTSE 100 firms (CDP, 2023).

Operationally, the transition is just as much about performance as it is about emissions. Smart companies are deploying energy efficiency programmes, switching to renewables, and embedding low-carbon design into their product development cycles. According to the IEA, energy efficiency alone could deliver over 40% of the emissions reductions needed to meet net zero goals (International Energy Agency, 2023). But the truly future-fit organisations go further — they use this moment to rethink their business models. They’re asking: How can we help our customers decarbonise? What new value propositions can we offer in a net zero world? In doing so, they’re uncovering new growth markets.

Transition in Action

One industrial manufacturer reduced emissions by 45% while boosting productivity by 20% — not by tweaking the edges, but by redesigning operations using digital twins, electrification, and circular material flows.

A major retailer redesigned its distribution network, electrified its delivery fleet, and shifted to renewable energy across stores. The result? A 35% drop in emissions and $15 million in annual savings.

In financial services, one international bank launched a suite of green financing products that not only supported client decarbonisation but also unlocked $500 million in new business — proving that climate action and commercial success can go hand in hand.

Making It Work: Practical Next Steps

Wherever you are in your journey, there are practical actions you can take now:

• Understand your emissions profile and identify material hotspots (Scopes 1, 2 and 3)

• Set targets grounded in science and aligned with business growth

• Find early wins — energy efficiency, procurement, or logistics

• Build the right team — bring in new skills, empower cross-functional ownership

• Develop a transition roadmap with milestones, investment plans, and communication strategies

Crucially, this isn’t just about data or dashboards. It's about people. Transition strategies must consider workforce impacts, reskilling needs, and community engagement. A just transition isn't just ethically sound — it’s business-critical.

Looking Ahead

The energy transition will be disruptive — but disruption brings opportunity. The companies that see this moment not as a compliance burden, but as a catalyst for reinvention, will lead their sectors in the years to come.

At Greer Services, we work with organisations to turn energy transition into competitive advantage. We help clients build transition strategies that align with business realities and stakeholder expectations — enabling them to lead in a low-carbon world.

Let’s work together!

References: McKinsey & Company, The Net-Zero Transition: What It Would Cost, What It Could Bring (2022)International Energy Agency (IEA), Net Zero by 2050 Roadmap (2023)CDP, Carbon Pricing by Corporates: The State of Play (2023)Bloomberg Intelligence, ESG Market Outlook (2023)