Addressing common misconceptions and raising market awareness
The integration of technology to address sustainability challenges has become increasingly critical for organisations. Sustainability technologies are applications that can be leveraged to track and report on sustainability performance, often divided into collection, transformation, calculation and presentation layers. These technologies not only enhance transparency and accountability, but also drive sustainable business practices and include a variety of functionalities.
However, despite their growing significance, sustainability technologies are surrounded by numerous myths and misconceptions that can hinder their adoption and full potential. Here, we’ll address some of the common myths, with the objectives of helping you to understand the benefits of successful sustainability technology implementations and raising awareness about the necessity and helpfulness of these tools.
Myth 1: Sustainability technologies are only for large companies
One of the most pervasive myths is that sustainability technologies are exclusive to large corporations with vast resources. PwC Belgium’s recent Tech Strategy and AI report of (2024) demonstrates that only 24% of organisations are currently investing technology-driven solutions for sustainability and/or enhancing their data collection processes. Furthermore, the fact that 74% of organisations are still working manually and using spreadsheets as the basis for their sustainability reporting (according to the 2024 PwC Global CSRD Survey) supports this myth.
In reality, sustainability technologies are scalable and can be tailored to fit businesses of all sizes, according to the company’s resources. In addition, a wide variety of tools, with each specific functionalities, are available. From startups to medium-sized enterprises and large corporations, all organisations can leverage sustainability tools to better manage their sustainability data, improve governance and enhance sustainability. The wide range of available sustainability technologies means that smaller businesses can now compete on an equal footing, demonstrating their commitment to ethical practices and gaining a competitive edge for the future.
Myth 2: Sustainability technologies require a large investment
Another common misconception is that implementing sustainability technologies is expensive. While there is an initial investment, the long-term benefits and cost savings far outweigh the upfront costs. However, PwC Belgium's recent Tech Strategy and AI report (2024) reveals that the implementation of sustainability technologies for monitoring and steering of sustainability performance are only on 12% of CIOs’ short-term agendas.
Nevertheless, sustainability technologies help companies optimise resource use, reduce waste and improve energy efficiency, leading to significant cost reductions. Furthermore, using sustainability technologies reduces the required manual labour processes for creating a CSRD report in a traditional manner, including centralising all relevant sustainability data from multiple data sources and transforming this data into a readable and auditable report or relevant insights. Moreover, businesses that adopt sustainability practices are more likely to attract investors and customers who prioritise sustainability, ultimately boosting profitability and market share. Therefore, the investment should be seen as an incubator of future income.
Myth 3: Sustainability technologies are complex and difficult to implement
This belief can stop businesses from exploring their benefits. PwC’s Global CSRD Survey (2024) demonstrated that 43% of organisations see software/technology systems as one of the major obstacles for their company’s implementation of CSRD. However, modern sustainability solutions are designed with user-friendliness in mind, offering intuitive interfaces and comprehensive support. Many service providers offer tailored implementation plans, ensuring that the transition to sustainability practices is smooth and aligned with the company’s existing processes. Training and ongoing support further ensures that businesses can effectively integrate sustainability technologies without disrupting their ongoing operations. There are many different technologies with different complexity levels empowering organisations to find the technology that suits them best.
Myth 4: Sustainability technologies are only about environmental impact
While the environmental aspect is often highlighted, sustainability technologies encompass much more than just that. They also address social and governance issues, such as labour practices, community engagement, data privacy and ethical governance. By integrating sustainability technologies, businesses can create a holistic approach to sustainability that considers the well-being of all stakeholders, including employees, customers and the community. This information is now more important than ever before for investors and customers. Furthermore, beyond the environmental impact, sustainability technologies also aim to ensure that the products do not have any negative social impact and that the risk of greenwashing is eliminated.
Myth 5: Sustainability technologies are just a passing trend
While some sceptics view sustainability technologies as a temporary trend that will eventually fade away, the growing emphasis on sustainability and responsible business practices suggests otherwise. Governments, investors and consumers are increasingly prioritising sustainability criteria, and businesses must adapt to these expectations to remain competitive. Sustainability technologies are here to stay and will continue to evolve as part of a broader shift towards sustainable development.
The fact that sustainability technologies are not just a trend, is especially tangible in Europe. The European market is uniquely positioned to benefit from the adoption of sustainability technologies. With new regulations, such as CSRD and CBAM, and a growing emphasis on sustainability, European businesses are under increasing pressure to demonstrate their commitment to sustainability principles and adhere to the reporting requirements. PwC’s global CSRD survey (2024) revealed some of the most prominent business benefits flowing from sustainability reporting under CSRD (according to FY2025 and FY2026 reporting entities): 51% believe that their organisation will have a better environmental impact, 49% expect an improved engagement with internal and external stakeholders and 48% are confident that CSRD reporting will lead to a strong risk mitigation.
Implementing sustainability technologies not only helps companies comply with regulatory requirements but also positions them as leaders in sustainability. This proactive approach can enhance reputation, attract top talent and open up new business opportunities.
Conclusion
Debunking these myths about sustainability technologies is crucial for encouraging their widespread adoption. The necessity and helpfulness of these tools are clear: they drive sustainability, enhance governance and contribute to positive social impact. By embracing sustainability technologies, businesses of all sizes can gain a competitive advantage, meet regulatory demands and build a sustainable future.
For companies looking to navigate the complexities of sustainability implementation, our Sustainability Tech service offering provides tailored solutions, comprehensive support and expert guidance to ensure successful integration. Together, we can pave the way to a more sustainable and responsible business landscape.
Authors
Sustainability and Technology
Integrating technology to meet sustainability ambitions
Sustainability and climate
Transforming business for a better world
