Net Zero Push Remains Uneven with Sectors Progressing at Different Speeds: Report

When the Net Zero Stocktake 2025, a report by NewClimate Institute, Oxford Net Zero, Energy & Climate Intelligence Unit and Data-Driven EnviroLab, was released, one message stood out sharply: the world may be setting climate targets faster than ever, but progress on the ground is still uneven — and in many sectors, dangerously slow. The report does not hide this imbalance. It puts it plainly: “Net zero is no longer a niche ambition, but implementation gaps remain significant across sectors.”

The document tracks thousands of companies, financial institutions and governments to understand who is cutting emissions, who is lagging and which industries hold the key to keeping climate goals alive. The result is a picture that is both hopeful and worrying — hopeful because momentum is building, and worrying because the world is not moving fast enough where it matters most.

This is a closer look at what the report says sector by sector, and what it means for the decade ahead.

Power: Strong Targets, Slow Delivery

If any sector should be sprinting toward Net Zero, it is the power sector. Electricity is the backbone for decarbonising everything from transport to buildings. And here, the Stocktake finds a mixed story.

One of the report’s most telling observations is: “The power sector has the highest number of net-zero pledges, but real-world emissions from fossil-based generation remain stubbornly high.”

Companies across renewable energy, utilities and grid operators have announced ambitious targets, but coal still dominates the energy mix in many countries. The report points out that while commitments to phase out coal have risen, timelines are “often misaligned with 1.5°C pathways.”

The progress is visible — more renewables, cheaper solar, and falling coal finance — but the pace is still too slow compared to the scale of the problem. As the report notes, “Deployment of wind and solar must triple this decade to keep global warming on track.”

In short, ambition exists, but execution hasn’t caught up.

Industry: Heavy Sectors Are Moving, But Not Fast Enough

Steel, cement, aluminium and chemicals are among the hardest sectors to decarbonise. They rely on high heat, complex chemistry and massive supply chains. The Stocktake acknowledges that some of them are beginning to shift, yet it warns the transition is not happening at the speed required.

According to the document: “Hard-to-abate sectors show growing interest in low-carbon technologies, but current pathways fall short of 2030 milestones.”

Low-carbon fuels, green hydrogen pilots, carbon capture experiments — all of these are underway. But commercial deployment is still rare. One reason, says the report, is the “high capital cost of upgrading long-lived industrial assets.”

Where industry is moving the fastest is in energy efficiency and recycling. Aluminium, in particular, is highlighted for “notable uptake of circularity measures.” But the report warns this alone cannot compensate for the slow shift to clean energy.

Transport: Electric Vehicles Rising, But Aviation and Shipping Stall

Transport is one of the clearest examples of uneven climate action. EVs are booming, but aviation and shipping — two of the most carbon-intensive industries — remain far behind.

The report states plainly: “Light-duty transport shows accelerating progress, while heavy-duty transport, aviation, and shipping lack credible pathways toward net zero.”

Electric two-wheelers and cars are spreading quickly across Asia, Europe and parts of the US. But the report warns that supply chains for minerals, batteries and charging infrastructure are under severe strain.

Shipping and aviation are the real bottlenecks. The Stocktake finds that “only a small minority” of companies in these sectors have Net Zero targets that align with global climate limits. Clean fuel adoption is minimal, and long-term transition plans remain vague.

This imbalance threatens to slow global climate progress unless cleaner fuels — including green methanol, sustainable aviation fuel and hydrogen — become commercially viable soon.

Buildings: A Quiet Success Story — But Only in Some Regions

The buildings sector often gets less attention, but it plays a major role in global emissions. Here, the Stocktake finds one of the more encouraging trends: “Energy-efficient building codes and electrification of heating are expanding steadily in several regions.”

Heat pumps, better insulation, green building standards and solar rooftops are helping to cut emissions, especially in Europe and parts of Asia.

But this is not the global picture. In many low-income regions, buildings are still constructed with inefficient materials, poor cooling systems and heavy reliance on diesel generators. The report notes that “retrofit rates remain far below what is needed to meet mid-century targets.”

So the progress is real — but uneven and too slow outside the developed world.

Finance: Promises Are Rising, Capital Is Not

Financial institutions have made more Net Zero pledges than ever before. Yet, as the report puts it bluntly: “Climate commitments in finance are expanding faster than the flows of capital needed to meet them.”

Banks, insurers and investors have announced targets, but fossil fuel financing continues at high levels. Transition finance — money meant to help polluting sectors shift to cleaner operations — is still “a fraction of what is required.”

The report also highlights a growing concern: many financial institutions “rely heavily on offsetting rather than real-world decarbonisation by clients.”

In simpler terms, the money is not yet moving in the direction climate science demands.

Agriculture and Land Use: Big Potential, Weak Action

Agriculture, forestry and land use can either be a major climate problem or a major climate solution. Yet, the Stocktake finds that action here remains limited and inconsistent.

One of the report’s strongest statements comes from this section: “Nature-based solutions remain underfunded despite being essential for balancing residual emissions.”

Deforestation continues in many regions, while regenerative agriculture and soil carbon programs remain small-scale. Methane emissions from livestock and rice fields are still rising globally.

The report says clearly that without dramatic change in this sector, “global net zero cannot be achieved.”

Where the World Stands Now

Taken together, the Stocktake paints a picture of a world that is trying — but not fast enough. The report summarises the global situation in one line:

“Implementation is not matching the pace of announcements.”

More countries and companies now have climate targets than at any point in history. But real-world emissions remain high, and many sectors are struggling to turn plans into action.

The warning is sharp: the next five years are critical. If sectors like power, industry, transport and agriculture do not accelerate, even the best targets will mean little.

The Road Ahead: What Needs to Change

The Stocktake offers a clear message. To close the gap between ambition and action, three things must happen across all sectors:

1. Stronger standards: Targets must be backed by clear rules, timelines and accountability.
2. More investment: Clean energy, technology and infrastructure need far more capital.
3. Faster deployment: Pilots and pledges must turn into large-scale projects quickly.

The report’s final warning is also its most hopeful line:
“The world has the tools to get to net zero — the question is whether it will move fast enough to use them.”

Across every sector, the next decade will decide the planet’s climate future. The 2025 Stocktake has made one thing clear: the race is underway, but the world cannot afford to slow down now.