Executives caution that Net Zero now confronts an execution gap, with AI, procurement, and green finance redefining climate action — as highlighted by Harsha Saxena.
Net Zero will not be achieved through pledges alone. Victory will come when environmentally friendly solutions are commercially viable, scalable, and integrated into routine business operations.”— Harsha Saxena, Founder and CEO IICSR GroupBANGALORE, BANGALORE, INDIA, August 16, 2026 /EINPresswire.com/ —
Net Zero Transitions from Awareness to Implementation Hurdle
Industry leaders caution that Net Zero is increasingly encountering an execution bottleneck as enterprises move past ESG reporting and extended climate pledges toward the real-world difficulties of deployment. During the IICSR–NAB-MEPSC CSO Roundtable 2026 in Bengaluru, leaders and specialists from organizations such as SAP, IBM, HSBC, Brigade Group, Flipkart Group, Amadeus Software Labs, climate-technology firms, sustainability advisory groups, and social-sector bodies examined the obstacles preventing green innovations from progressing beyond pilot programs into mainstream commercial operations.
Across multiple industries, attendees agreed that lack of awareness is no longer the main issue. Companies already recognize the necessity of cutting emissions, enhancing resource productivity, and meeting investor and regulatory demands. Nevertheless, numerous organizations continue to find it difficult to embed sustainability into procurement processes, financial planning, technology infrastructure, operations, supply chains, and workforce competencies. Harsha Saxena, Founder and CEO of IICSR Group and organizer of the discussion, remarked that the divide between sustainability problems and accessible solutions has become one of the most substantial obstacles to advancement. He emphasized that the climate transition does not call for further debate on why sustainability matters, but rather for more robust systems that link industry challenges with innovators, procurement frameworks that can embrace solutions, financing capable of scaling them, and professionals equipped to implement them.
ESG Evolves from Disclosure to Organizational Rollout
A prominent topic that surfaced was the move from ESG reporting to ESG execution. Participants stressed that sustainability cannot stay confined to ESG or CSR departments, because environmental performance is ultimately shaped by choices made across procurement, engineering, manufacturing, finance, IT, and supply-chain functions. Prof. Abhishek Ranjan underscored organizational culture as a vital yet frequently disregarded factor, contending that sustainability must be woven into daily employee behavior and operational decision-making to generate significant impact. This transition also imposes greater responsibility on leadership, since alignment with board and CEO priorities determines whether sustainability becomes operationally actionable.
Procurement Systems Identified as Major Barrier to Scaling Green Solutions
Procurement was pinpointed as one of the most critical bottlenecks for expanding green innovation. Climate-tech entrepreneurs observed that although sustainability teams may support eco-friendly options, procurement systems typically emphasize cost, dependability, scale, and contractual performance, making it tough for sustainable alternatives to compete. Participants recommended that sustainability criteria must be incorporated into vendor assessment frameworks and that lifecycle value should be weighed alongside initial costs. This mirrors a broader paradox in corporate sustainability, where public Net Zero pledges often coexist with procurement systems built around conventional economic models.
AI and Digital Infrastructure Introduce a Fresh Carbon Concern
Artificial intelligence and digital infrastructure emerged as another significant area of worry. As organizations deploy generative AI at scale, attendees highlighted the increasing energy consumption of data centers and computing systems. Conversations addressed green software engineering, carbon-aware computing, and energy-efficient AI design. Abhishek Ranjan pointed to the hidden carbon footprint of digital intelligence, noting that inefficiencies in everyday enterprise AI usage are frequently unmeasured. He argued that sustainability in AI will increasingly depend not only on cleaner data centers but also on minimizing unnecessary computation and enhancing digital efficiency. This could turn AI efficiency into a governance, procurement, and sustainability issue in addition to a technical one.
Real Estate Sector Highlights Cost–Sustainability Trade-Off
The real estate sector exemplified the tension between environmental aspirations and commercial feasibility. Dr. Pradeep Kumar Rao of Brigade Group explained that Net Zero buildings require integrated systems involving materials, energy, water, and lifecycle management, which can raise costs. In one instance, sustainability features added roughly ₹200 per square foot, prompting questions about consumer willingness to pay. He stressed that green buildings must deliver tangible value — such as lower operating expenses and improved efficiency — to gain market acceptance. The case of Brigade Citrine, which achieved significantly lower emissions than benchmark levels, reinforced the idea that sustainability must also be economically sensible to scale.
Climate-Tech Innovation Stuck in a “Pilot Trap”
Climate-tech entrepreneurs pointed to a recurring “pilot trap,” where innovations attract early interest and demonstration opportunities but fail to transition into large-scale procurement. Although companies may support experimentation, mainstream adoption requires climate solutions to compete on price, performance, reliability, and supply capacity. Participants emphasized that innovation alone is insufficient; commercialization is essential for climate impact.
Green Hydrogen Encounters Infrastructure and Financing Hurdles
The dialogue on green hydrogen reflected similar obstacles, particularly in balancing early investment with infrastructure preparedness. Experts noted that large-scale adoption depends on renewable energy availability, financial mechanisms, industrial pilots, logistics infrastructure, and policy certainty. The transition was described as especially complex in emerging economies, where industrial growth and decarbonization must advance simultaneously.
SMEs and Supply Chains Present Scope 3 Emissions Vulnerability
Attention also turned to SMEs and supply chains, which could become a weak link in managing Scope 3 emissions. While large corporations are advancing ESG systems, many smaller suppliers lack the resources, expertise, and data infrastructure to meet sustainability expectations. This gap could significantly affect corporate Net Zero outcomes, as supply-chain emissions remain a major portion of overall impact.
Sustainability Talent Shortage Extends Beyond ESG Specialists
A scarcity of sustainability talent was identified as another constraint. Participants noted that future demand will extend beyond dedicated ESG professionals to include procurement teams, engineers, finance experts, operations managers, and technology leaders who grasp sustainability within their functional roles. This reflects a shift from specialized sustainability positions to organization-wide sustainability literacy.
Sustainability Must Shift from Compliance to Purpose
Dr. Sangeeta Mansur framed the broader transition as an evolution from compliance to strategy to purpose, underscoring that sustainability must become embedded in organizational culture and leadership awareness. She highlighted that the climate transition is not solely a technological challenge but also an organizational transformation requiring systems thinking and integrated decision-making.
Beyond Carbon: Inclusion, Water, and Biodiversity Gain Prominence
Participants also cautioned that sustainability cannot be restricted to carbon emissions alone. Issues such as water security, biodiversity, ecological restoration, and inclusion must also be considered. Insights from Dr. Rajesh M. S. of the National Association for the Blind, Karnataka, emphasized the importance of inclusive design, noting that sustainability solutions must remain accessible and usable for all communities.
Call for an Integrated Green Business Ecosystem
The roundtable concluded that many of the identified challenges stem from a fragmented sustainability ecosystem in which corporations, innovators, investors, consultants, and training institutions operate in isolation. To address this, participants explored the concept of a Green Business Corridor that would link sustainability challenges with climate-tech solutions, procurement systems, financing mechanisms, and talent development pathways. Harsha Saxena stressed that the aim is to build an implementation infrastructure rather than another networking platform, where sustainability becomes embedded across procurement, engineering, finance, and operations.
Further CSO Roundtables are scheduled in Goa, Pune, Mumbai, and Delhi, with outcomes expected to inform the International Net Zero Summit 2027. The Bengaluru discussions suggest that corporate sustainability is entering a more demanding phase, where success will depend not on pledges alone but on how organizations redesign procurement, investment, operations, technology adoption, and workforce capabilities to enable real-world implementation of Net Zero goals.
Harsha Saxena
IICSR and Sustainability Knowledge Management
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Snapshots from IICSR NAB MEPSC CSO Roundtable Bangalore
