The Benefits for SMEs of Taking Climate Actions

Small and medium-sized enterprises (SMEs) are the backbone of the Canadian economy, representing 99.8% of all firms. Their importance makes them key players in helping Canada achieve its emissions reduction goals.

We estimate that SMEs generate 52% of all greenhouse gases produced by Canadian businesses. This is equivalent to 41% of Canada’s total emissions.

Unfortunately, their large carbon footprint exposes them to significant transition risks, on top of the physical risks they face as a result of climate change.

Companies also face headwinds to fighting climate change, such as inflation, high interest rates and labour shortages. In addition, they often lack the knowledge and expertise to move forward.

Yet despite these challenges, half of Canadian SMEs have already acted to deal with these risks. These businesses are seeing a rapid return on their investment. They are also growing more quickly than other companies, proving that investing in climate action makes business sense.

Discover

• The top actions Canadian businesses have been taking to fight climate change and reduce their carbon footprint.
• The average number of months taken to recoup climate investments.
• The top benefits and challenges of taking climate action for Canadian SMEs.