February 07 2011
by CCB TeamClimate Change is a critical issue which requires action by governments, businesses and consumers to mitigate its effects. Several of the stories here however, highlight the fact that action is not being taken fast enough. Governments in particular have been slow in their efforts; indeed the Friends of the Earth Report suggests that they have hugely underestimated the scale of the activities required to avoid the risks posed to populations by climate change.
This raises the question: what needs to happen for governments to act? From the recent catastrophic floods in Australia to the droughts in China and Russia last year, the effects of climate change are already being felt across the world. Policy makers need to take a longer term view; investments in green technology, carbon reduction and consumer education are necessary if environmental degradation and temperature increases are to be slowed.
Encouraging businesses to take action now will mean that they are better prepared in the long term for the effects of flooding, drought and other hostile weather events. Indeed, investing in low carbon technologies, energy saving measures and waste and water reduction solutions can save businesses money and also have the added benefit of reducing the organisation’s impact on the environment.
Perhaps rather than governments, we should be looking to businesses to take the lead in lowering carbon emissions. Government negotiations systematically fail to push the agenda far enough to ensure that ambitious targets are agreed. In contrast, companies appear to have both the will and the way to take action. For example, most recently Unilever launched a Sustainable Living Plan which has robust reduction targets with a focus on increasing the sustainability of its products from now until 2020.
Only time will tell if enough can be done to avert the potentially huge impact that climate change will have on countries and economies but one thing is clear: there is no time to waste in taking action.
Nicole is a senior researcher at Corporate Citizenship and editor of Corporate Citizenship Briefing.
Email her on Nicole.clucas@corporate-citizenship.com to discuss strategy, environment and the Briefing.
A new report, commissioned by Defra and undertaken by PwC and the Carbon Disclosure Project, examines the drivers, costs and benefits associated with existing UK corporate greenhouse gas (GHG) reporting. The contribution that reporting of greenhouse gas emissions makes to the UK meeting its climate change objectives report, released 30 November, looks at the impact of GHG reporting on emission reduction and broader climate change strategies. Businesses voluntarily reporting their GHG emissions experience were found to benefit from cost savings, improved green credentials and better relations with investors and customers. Evidence was compiled via a survey of around 155 companies, focus groups, interviews and a review of existing reports and responses.
Contact: Defra
The Consumer Goods Forum (CGF) announced two major initiatives on climate change at the Cancun Climate Summit: to work toward net zero deforestation by 2020, and to phase out the use of hydro-fluorocarbon refrigerant gases, which have high global warming potential. The initiatives focus on key aspects of the sector, with growing use of commodities such as soya, palm oil, beef and paper creating economic incentives that drive deforestation. One of the world’s most influential business groups, the CGF is made up of over 400 of the world's largest consumer goods manufacturers and retailers, including Coca-Cola, Unilever, Tesco and L’Oreal.
Contact: The Consumer Goods Forum
The fourth version of the Greenpeace COOL IT Leaderboard was unveiled at Cancun on 7 December. The Leaderboard ranks those tech companies that are best applying IT solutions to greenhouse gas emissions, both internally and externally. Cisco held the highest rank for its efforts in areas of remote collaboration, connected workplace, connected buildings and telecommute offerings, as well as sound methodology in calculating its potential to cut carbon emissions across other sectors of the economy. Erikson and Fujitsu followed in second and third place. ‘Laggards’ including Panasonic and Toshiba were seen to fall further behind the leaders due to their failure to incorporate carbon-reducing potential of IT products and services into core business decisions and development.
Contact: Greenpeace
In a report released 16 December, Friends of the Earth suggest governments are gambling with people’s lives through inaction on climate change. Reckless Gamblers highlights that current calculations for emission cuts are based on a 50:50 chance of holding temperature rises to 2C, considered to be the threshold for catastrophic climate change, and suggests the aim should be for a 70% chance of avoidance. Based on population and the estimated remaining “carbon budget”, the report indicates the US would need to slash its emissions by as much as 95% by 2030, the EU by 83%, and the UK by 80%. It calls for further research into technologies and suggests rich countries need to take the lead in reducing emissions and provide developing countries with the funds and technology needed to live within environmental limits.
Contact: Friends of the Earth
Ernst & Young’s latest Renewable Energy Country Attractiveness Indices identifies China as the leader in the global renewables market. China’s investment in wind projects in the second quarter of 2010 accounted for almost 50% of that spent worldwide. The quarterly indices, published 3 December, track the relative attractiveness of 30 countries' renewable energy markets across various technologies. Government policy and support is key in driving the market: South Korea, Romania, Egypt and Mexico were first time entrants due to ambitious targets and incentives. The UK climbed a point to number five due to the government’s support for renewables, while the US dropped to number two as a result of the continued financial crisis and uncertain policy environment.
Contact: Ernst & Young
The World Business Council for Sustainable Development (WBCSD) suggests global low-carbon technologies are not moving at the rate required to address climate change. Its report, ‘Innovating for green growth: Drivers of private sector RD&D’, indicates only around 70% of reductions required could be achieved through existing technologies. The report highlights the need for business and government to work together to devise options that reward investment in new solutions. Ten elements for enhancing investment are outlined, including creating a long-term policy framework for research, development and demonstration (RD&D) investment; creating partnerships between private and public sector research; and proceeding faster on RD&D programme decisions.
Contact: World Business Council for Sustainable Development
On 3 December, Mitsubishi Power Systems Europe (MPSE) confirmed a £100 million investment in offshore wind technology in Scotland. As part of this, MPSE has acquired Artemis Intelligent Power (AIP), and has committed to establishing the MPSE Centre for Advanced Technology (MCAT) within the Edinburgh area. MPSE will work with AIP to deliver the unique hydraulic technology in a large offshore wind turbine, which the company expects will be a ‘game changer’ in the development of offshore wind power. Around 30 high-value engineering positions will be created in 2011, with the potential for an additional 200 jobs by 2015 as MPSE moves from R&D, through technology demonstration towards mass production.
Contact: Mitsubishi Power Systems Europe Ltd