Showing posts with label reports. Show all posts
Showing posts with label reports. Show all posts

Economic Assessments Overwhelmingly Support Climate Action

Conservatives commonly argue that acting on climate change is too costly, however, this is contradicted by a slew of economic assessments. When we look at the data it becomes clear that conservatives use economic insecurity to obscure the facts and control the narrative.

There are a number of studies that show global warming undermines economic growth, but the most compelling data comes from cost benefit assessments.

Myriad reports reveal both financial incentives for climate action and disincentives for inaction. Studies reveal that there is a multi-trillion dollar opportunity associated with transitioning to a low carbon economy. Recent research from the Global Commission on the Economy and Climate finds that climate action could deliver a $26 Trillion opportunity through 2030.

Although economic arguments are commonly used to oppose climate action, cost/benefit analyses (comparison of the costs of inaction versus the benefits of action) reveal powerfully persuasive math.

The medical costs alone justify climate action. A recent WHO report concludes that the health gains from meeting the terms laid out in the Paris Agreement would more than make up for the financial costs. The Lancet report points to the costs of inaction. "About 712 climate-related extreme events were responsible for US$326 billion of losses in 2017, almost triple the losses of 2016," the report says.

While it is hard to assign an economic value to suffering it is fair to say that it gets dramatically worse as the planet warms. Although estimates vary widely, economic costs are a bit easier to quantify. By 2060 the annual cost of climate change are estimated to be between $1.5 trillion and $20 trillion.

In 2005 the German Institute of Economic Research and Watkiss et al. suggested that by 2100 the cost of inaction (just damages) is approximately $12 trillion while the total cost of climate action (cost plus damages) is approximately $20 trillion. Some scientists have pegged the damage from climate change at $54 trillion while others say the costs of a high-emissions scenario would be between $89 and $535 trillion by the end of this century. Still others report that the cost of climate impacts could exceed $600 trillion. To put these numbers into perspective the total amount of wealth in the world today is $280 trillion, according to a Credit Suisse report.

An even more costly estimate is contained in a study titled, "Assessing the costs of adaptation to climate change: a review of the UNFCCC and other recent estimates ". The report indicates that if we do not invest in climate-resilient infrastructure the cost of climate change could be as high as $1,240 trillion. The same report claims we can preempt the problem by investing a cumulative total of $890 trillion in the green economy.

Not only are the costs of climate impacts exorbitant, the costs of climate action are frequently overstated. In a February 2019 Guardian article Erwin Jackson, director of policy at Investor Group on Climate Change, suggests that economic models predicting that climate action will augur an economic apocalypse are all wrong. Jackson explains that economic models have consistently underestimated clean energy, overestimated the cost of environmental regulations and exaggerated the impact on jobs.

He cautions us to "beware of economic doomsayers" and he points to apocalyptic Australian newspaper headlines which he says are "designed to scare people into not acting on climate change by making them feel insecure in their lives."

He draws on the economic climate policy models of Brian Fisher that suggest that even under dramatic emissions reduction scenario we will see economic growth (GDP, jobs, income etc), albeit at a slightly slower pace.

He references graphs posted on twitter by Michael Liebreich, the founder of Bloomberg New Energy Finance. Liebreich points out that economists have consistently underestimated the speed at which clean energy is decreasing in price and the scale at which it is being deployed.

Economic support for climate action holds true in both microeconomics and macroeconomics. Many corporations have amassed data that shows sustainability benefits their bottom lines. A January 2019 paper from Brookings titled Global Economic and Environmental Outcomes of the Paris Agreement shows that broader macroeconomic trends also have a significant impact on economic outcomes.

The Brookings paper concludes that countries that unilaterally withdraw from the Paris Agreement are worse off than those who stay in. Although there are gross costs associated with participating in emissions reductions this is offset by net benefits.

Almost all economists agree that climate change will hurt the economy. This view was presented in a 2018 article in the Bulletin of Atomic Scientists, titled, Benefits of curbing climate change far outweigh costs, by Dana Nuccitelli.

Carbon can be cut cheaply, Nuccitelli says and she points to a study by Regional Economic Models, Inc. and Synapse Energy Economics, Inc. which explored the merits of carbon pricing. Nuccitelli found that growth would only be marginally affected by transitioning to a low carbon economy and she summarized the findings as follows:

"[A] steadily-rising carbon tax whose revenues were all returned equally to American households would grow the economy, with a net GDP increase of $1.3 trillion over 20 years. Among economists with expertise in climate, there’s also a 95 percent consensus that the US government should commit to cutting carbon pollution, with 81 percent favoring a market-based solution like a carbon tax. And the Intergovernmental Panel on Climate Change 2014 report found that meeting the Paris targets would only slow annual economic growth by 0.06 percent—in other words, rather than increasing by say 2.3 percent per year, global GDP would increase by 2.24 percent per year."

Here are three examples of papers that conclude global warming undermines economic growth. The first is a 2012 paper in the American Economic Journal and the second is a 2015 study by Stanford scientists published in Nature Climate Change and the third is 2015 research also published in Nature.

In a letter, published in Nature, Marshall Burke and a team of scientists quantified economic costs of higher temperatures. Jackson summarized the research as follows:
"limiting global warming to 1.5 degrees Celsius would likely save the global economy more than $20 trillion by the year 2100 as compared to 2 degrees Celsius warming—at a cost of about $300 billion. That means the benefits of curbing climate change would exceed the costs by about 70-to-1. The study also only accounts for temperature effects on GDP and not other damaging factors like sea level rise, and is thus likely a conservative estimate....global warming of 3 degrees Celsius above pre-industrial temperatures in 2100 would reduce global GDP by about 10 percent as compared to 2 degrees Celsius global warming. A temperature of 4-to-5 degrees Celsius would make us 10 percent poorer yet, as compared to 3 degrees Celsius. Those would be massive economic losses that could exceed $100 trillion. And it wouldn’t just impact poor countries—a working paper recently published by the Federal Reserve Bank of Richmond found that global warming could significantly hamper economic growth in the United States as well, especially in the hotter Southern states. The paper found that if we meet the 2 degrees Celsius Paris climate target, US economic growth will only slow by about 5-to-10 percent, but global warming of 3-to-3.5 degrees Celsius would dampen the American economy by twice as much—10-to-20 percent."
Although the values people assign to environmental variables vary, the overwhelming logic of emissions reduction is beyond reproach. Most of the data points to a net savings associated with climate action. No matter how you look at the problem the costs of inaction are far greater than the costs of action. The benefits of reducing greenhouse gas emissions outweigh the costs of runaway climate change.

With benefits outweighing costs by as much as 70-1, cost benefit analyses make a powerful economic case that is hard to refute with facts. The IPCC, PwC, Citibank and many others have put forward economic assessments that support climate action. In the final analysis our economy and the survival of life on Earth is dependent on the health of the planet.

"Acting on climate change will have costs but the costs of not acting will be far, far larger. Better that we come together and manage a fair and effective transition than continuing to delay and pay a much, much greater bill later," Jackson says and he points out that explaining the costs of acting will be less than many expect because, "people and markets can innovate faster than they often expect".

There is no doubt that change is difficult, there will be costs and there will be losers. However, if reason prevails the overwhelming logic of climate action will supersede those with suicidal tendencies who argue that we can't afford to act.

"It will take an immense effort to meet the Paris targets, but not a terribly costly one, relatively speaking. In fact, the opposite is true—failing to curb climate change would cripple the global economy. That’s why the benefits of climate policies far outweigh their costs," Jackson said.

If responding to an existential threat and contributing to the survival of myriad species is not sufficient justification, there are also relative material benefits that may encourage the recalcitrant to embrace climate action.

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Corporations Need to Get Over their Fear of Reporting Failure

Corporations, particularly those who purport to be interested in sustainability, need to bravely report where no reports have gone before. Many firms instinctively shield their failures from the public, however, forward looking corporations know that even here there is value to transparency.  

Although it is hard to avoid getting defensive about shortcomings, being forthcoming about weakness augurs transformative opportunities. Those who have the courage to honestly acknowledge the facts are in a position to change the paradigm. Problems are transformed into an exercise in problem-solving. Identifying weakness becomes an invitation to improve. 

PR guru Lou Hoffman says that transparency pays. Hoffman is the founder of PR firm The Hoffman Agency. "[A] company can garner goodwill from the public for being honest, transparent, and accountable," Hoffman said in an EcoBusiness interview at the recent Asia 360 conference in Singapore.

"In the earnest, fact-based world of sustainability communications there is no room for spin, but companies need to be brave enough to talk about failure." Companies hate talking about their failures, especially when it comes to sustainability. According to Hoffman, being open about their weaknesses as well their achievements might help firms avoid one of the biggest corporate communications sins - being boring. A company that has been forthright about their shortcomings will build trust so that consumers will be more forgiving if things go wrong.

Missteps are part of a good sustainability story. Having problems is not the problem while failing to report them in a clear and accurate way can be. However, disclosing weaknesses in the absence of corrective action is a recipe for disaster. Companies can redeem themselves if they are  prepared to respond. As explained by Hoffman.

"If a company doesn’t have a solution, it would be risky. But if the company has taken the right steps and has addressed the issue, then it’s no longer in question whether or not they will do the right thing."

The key proviso here is sincerity, an organization that is truly earnest will benefit from transparency. Hoffman says that by admitting mistakes companies can bank goodwill and that can pay lucrative dividends when something goes seriously wrong.

Event - GRI Global Conference 2016

The fifth GRI Global Conference will take place on May 18 - 20, 2016 in Amsterdam, the Netherlands. Up to 1,500 sustainability leaders from around the globe will be present to exchange leading-edge knowledge on best practices, innovations and trends that are empowering sustainable decisions and changing the world. GRI is  the globally accepted standard for enabling business, governments and other organizations to understand and communicate their impacts on critical sustainability issues.

The Conference will be an inclusive platform to inspire and engage a truly global network of sustainability leaders. As we move towards a new era of sustainability, it is clear that for information to truly empower decision making it must be more accessible, comparable and available in real time. The focus of the GRI 2016 Conference is to embrace this new era and accelerate progress by delivering innovative sustainability content and by building capability. Those in attendance will help shape the future of sustainable decision making.

Why Attend?

The 5th GRI Conference will create an inclusive platform to inspire and engage a truly global network of sustainability leaders. GRI’s focus at the 2016 Conference is to deliver innovative sustainability content that embraces this new era, enable capacity building, networking, and peer-to-peer learning.

Be inspired and contribute to solutions for sustainability challenges and build your own knowledge; exchange thought leadership in session discussions, share experiences and triumphs through peer to peer learning and take away tools from engaging master classes.

Consider new ways to approach solutions, see a showcase of global commitments, services and products in the marketplace.

Gain access to GRI’s global network and engage with sustainability leaders to bring their insights into your initiatives, seek new and lasting collaborations with potential clients and partners.

About GRI

GRI pioneered sustainability reporting in the late 1990’s and today provides the architecture for sustainability information through GRI Sustainability Reporting Standards, the engine for this data. GRI Standards are foundational to the organization’s work towards its vision of a future where sustainability is integral to every organization’s decision-making process. This enables business, governments and other organizations to understand and communicate their impacts on critical sustainability issues.

To see the program click here.
To register click here.

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New GRI Sustainability Reporting Tools and Resources

The Global Reporting Initiative (GRI) is a leader in sustainability reporting and they continue to provide resources to help companies to track their performance. GRI's latest contribution is another helpful installment in this rapidly growing field. This fast moving and increasingly complex realm has seen the proliferation of a number of tools and resources to help companies rise to the challenge.

GRI is working to expand its scope with the aim of advancing sustainability reporting by assisting organizations with their decision making processes.

To improve the quality of sustainability reporting, GRI has restructured its services and created what is known as the GRI Support Suite. This includes a range of tools and services that can help both those who compile reports and those who read them.

The GRI Support Suite offers guidance throughout the entire reporting process. The four categories in the GRI Support Suite are Preparation, which helps those responsible with preparing the report. Alignment which helps to ensure that the report is aligned with GRI guidelines. Communication which helps to share results with a broader audience and Analysis which can help provide insight into sustainability data.

To go to the GRI Support Suite click here.

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Course - Introduction to Financial Models and Metrics for Renewable Energy

This course takes place on 25—26 November 2013, London, UK (Day 1: 09:00 - 17:00 // Day 2: 09:00 – 16.00). It enables participants to learn the basic principles required to read and understand financial statements and performance, and create models to analyse cash flows, business performance and investment returns. 

Course description Aimed specifically at those with limited or no prior exposure to financial statements, this excellent and time effective course demystifies all the key financial terminologies and enables attendees to build simple financial models from the ground up. Learn to speak the language of finance!

The focus is on the aspects of financial modelling of most relevance in renewable and other energy organisations, both in terms of the topics covered and the case studies used to illustrate the taught principles. The course provides an excellent foundation or revision before more advanced financial planning courses, or simply an invaluable introduction to the essentials of finance for those in non-financial job roles.

Key Learning Objectives

•Understand the key terminology used in corporate finance and financial modelling
•Learn how to read and create financial statements and models (Excel-based practical sessions) and use them for business planning and forecasting
•Analyse the key inputs and outputs into such models
•Appreciate the differences between cash and non-cash financial measures
•Understand how company performance, expected investor returns and business risks are evaluated and how they affect your business model
•Why a company’s capital structure matters and how it is described
•How financial models lead to company valuations and exit strategies

Who Should Attend?

Given the importance of finance and financial planning to the renewable energy (or any other) business, a basic knowledge is of high relevance and career value to a wide variety of roles, including:

•Technicians and Engineers
•Project Planners Legal Representatives
•Policy Makers and Policy Analysts
•Market Analysts
•Marketing & Sales Directors

From:

•Energy Utilities
•Power Generators including IPPs
•Power Project Developers
•Technology Vendors
•Engineering Contractors and EPCs
•Governments and Policymakers Market and Management Consultants
•Investment & Insurance Firms
•Law Firms

Training level and delivery

Led by an experienced financial professional with experience in a variety of sectors, renewable energy included, this course is aimed at the wide variety of personnel who will benefit from a thorough grounding in the fundamentals of finance. It is not aimed at those already actively engaged in financial roles.

Learning is delivered by way of informal, friendly and interactive sessions allowing plenty of time for questions and discussion within a small-sized group. In addition the concepts taught will be demonstrated and quantified using Excel-based models and exercises to allow hands-on application of the concepts learned.

No prior financial qualifications or experience are required for this course, since all concepts are explained from first principles.

Supporting materials you will receive •A comprehensive reading list for further study after the course •Hard and soft copies of presentation materials, including any excel tools and data used in the exercises and group work •Strategic planning, leadership and team-building tools that they can apply within their own workplace •A certificate of attendance Approximate Timings (include lunch plus morning and afternoon refreshment breaks):

About your trainer

John Freeman is a qualified accountant and currently Director of a biofuels company, where he: creates financial models based on the business plan, to demonstrate ROI and evaluate and mitigate investment risks; identifies funding (from banks to private equity and VCs) for scaling up the business and financing their industrial capacity; advises on financial best practice with a prime focus on developing, producing and monetising their product within a sustainable, environmental framework.

John’s extensive and diverse prior experience includes the Palm Oil industry, the UK public sector (defence) and London’s international law firms.

AGENDA

Day 1, Background

•Creating a Financial Model of your Business
•The International Reporting framework
•Understanding financial statements to identify and evaluate potential hidden items
•Example: detailed review of a Biofuel company’s income, balance sheet and supporting statements
•Benchmarking exercise—comparison with similar renewable companies
Introducing Financial Models and Statements
•Accounts structure and models key inputs
•Practical: Excel model provided, Attendees set up Income statement, Balance sheet and cash flow
•Practical: Add Excel Financial functions to the Model (PMT,NPV,IRR,FV, Look up, graphs)
•Practical: Liquidity and Solvency including Unlevered After Tax Cash Flow, Debt and Principal cover
•EBITDA EBIT and their role in providing control and comparison
•Practical: Using model to forecast and test scenarios

Time Value and Discounting

•Discounted cash flow
•Producing a project and equity NPV
•Equity IRR versus Project IRR
Costs: Cash and non-cash Inputs
•Project evaluation: determining relevant and irrelevant costs
•Capex/Opex/Direct and Indirect costs/Variable and Fixed costs
•Fuel & feedstock costs
•Tax allowances, business benefits
•Depletion depreciation and Amortisation: rules and methodologies
•Balance Sheet Revaluation of Biological Assets (IAS 41)
•Accounting Procedure for Impairments to Fixed Assets
•Accounting for Intangible Assets (Brand, IP, Goodwill etc.)
•Debt Service Reserve Accounts
•Unlevered Free Cash Flow

Day 2, Finance: Sources and Impacts on the Model

•Funding and capital structure
•Loans, Equity and Mezzanine Finance
•Practical: Beta Calculation

Determining and Presenting a company’s proposed capital structure

•VC’s Returns Expectation
•Perspective of Funder
•Challenges to Expectations
•Better Presentation
•Types of funds
•Limited Recourse or Balance Sheet
•Gearing Definition
•Leverage Definition
•Cost of Capital
•CAPM
•WACC
•Practical: Cash payments effect on Balance sheet; Dividends, Debt, Principle, interest, cash sweeps
•Off-balance sheet financing

Practical: Key Ratios and Metrics

•The use of ratios, trends, and performance forecasts in operating the organisational resources
•Using ratios to analyse performance
•Accounting ratios - profitability, liquidity, efficiency, structure
•Loan life / project life ratio
•Residual cover
•Annual debt service ratio
•Principal and debt cover
Policy and Renewable Models
•Policy mechanisms and their inclusion in financial models
•Renewable Energy Pricing (Feed-in-Tariffs, PPAs)
•Green certificates and carbon pricing
•Accelerated Tax Depreciation
•Investment Tax Credits
•Production Tax Credits

Financial Planning and Forecasting from the Model

•Capital investment appraisal including payback and the return on investment
•Concepts and terminology used in making financial decisions
•The use of appraisal methods in practice including explaining NPV and IRR
•When and how to adjust benchmarks
•Working capital management
•Measurement of Risk using Traditional Finance Theory
Using Financial Models for Valuation and Growth
•The elements and factors that determine value creation
•Reasons for share valuations
•Asset valuation bases
•Earnings valuation bases
•Cash flow valuation methods
•Evaluating acquisition and divestiture opportunities
•International investment appraisal

Click here to register.

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GRI G4 and Other Sustainability Reporting Guidelines Briefing

For all those for whom CR reporting or sustainability communications are important, the Ethical Corporation has compiled an excellent complimentary analysis. The 5 page report addresses the pro's and con's of the GRI G4 Guidelines. It also offers a thorough overview of other sustainability reporting guidelines (IIRC, SASB etc) which can help you choose the most material and relevant CR disclosure model, in line with your business.

This newly published analysis contains a detailed critique of recent Global Reporting Initiative (GRI) G4 guidelines. In addition to a review of GRI G4 advantages and disadvantages you will also get an understanding how GRI stacks up against other institutions.

This analysis reviews other reporting models including the International Integrated Reporting Council (IIRC) and a newly launched American alternative the Sustainability Accounting Standards Board (SASB).

Valuable Learning Opportunity:

  • What CR reporting model to choose to reflect materiality of your business - Get a thorough overview of how key institutions setting CR disclosure strategies can assist you in your CR disclosure journey. Discover the main differences plus advantages and disadvantages of reporting against the IIRC, the GRI and SASB guidelines 
  • How to drive your business forward by making the most of the GRI G4 Guidelines. Everything you need to know about application of the guidelines with a detailed breakdown on materiality, application levels, new areas of disclosure, indexes to use, assurance and harmonizing with the other standards.

Gain Insight:

  • How the G4 can assist companies to improve their CR reporting and sustainability communication practices to ensure the key stakeholders are fully engaged with your CR work?
  • How the guidelines can address industry specific needs to make sure you report against issues material to your business?

Ethical Corporation provides business intelligence for sustainability to more than 3,000 multinational companies every year. They publish the leading responsible business magazine, website, and research reports. Their conferences are widely recognized as the best in the field of corporate responsibility and sustainability.

Click here to download your complimentary briefing so that you can stay ahead of the changes in sustainability reporting.  

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Event - The New Metrics of Sustainable Business Conference 2013

The New Metrics in Sustainable Business event will take place on September 24 and 25, 2013 in Philadelphia, Pennsylvania. Explore the future of sustainable business metrics at the Sustainable Brands event. Learn from over 60 current change agents. More than 30 plenaries and breakout discussions including up to the minute trends, drivers and examples of the most successful ways businesses are creating and capturing entirely new forms of value, or quantifying previously-ignored existing economic, social and environmental impacts.

As the definition of value continues to evolve, the demand for business to demonstrate its ability to create value of various forms for all stakeholders – and not just profit for shareholders – is increasing, and the question of how this value is identified, measured and communicated becomes paramount. This 2-day, in-depth discussion with some of sustainability's top minds will examine leading-edge work that is expanding the way business creates, quantifies, and manages the value it delivers through the metrics it adopts.

The conference will explore the latest advances in capturing traditionally ignored social and environmental risks throughout the value chain, opportunities in creating and measuring shared value with all stakeholders in mind, the very tangible value of human capital and employee engagement, as well as the increasingly sophisticated science of assessing natural capital. We will check in for the latest on competing sustainability performance and reporting standards, and launch a search for new metrics on trust, reputation and 21st century brand value.

The conference will also examine new forms of value, or newly-quantified existing economic, social and environmental impacts, on three fundamental levels:

•Product & Service Value: New forms of value delivered through innovation for sustainability on the product or service level, as well as updates in environmental and social impact assessment methodologies. Key topics include life cycle assessment, certification, labeling, supply chain tracking, and consumer-facing communication of complex data.

•Organizational Value: New metrics reflecting company-level performance assessment and valuation, featuring the latest in sustainability reporting, ratings and rankings allowing comparisons across organizations, measures of employee contribution, and studies of 'green' brand value.

•Societal Value: A look at how business creates shared value for communities, cities and entire countries throughout its supply chain, with an eye toward new methods for exchanging economic value and robust measures of happiness.

For the conference program or to register click here.

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Webinar - Why GRI G4 Will Trigger New Directions In Sustainability Reporting

The Verdantix webinar, "Why GRI G4 Will Trigger New Directions In Sustainability Reporting," will take place on Thursday, May 30, 2013. In this complimentary webinar you will learn the new best practices for sustainability reporting and how to link mandatory reporting, voluntary frameworks and financial reporting.

Based on multiple Verdantix benchmarks covering stock exchanges, responsible supply chain assessments and a global survey of 250 heads of sustainability, this webinar helps heads of sustainability to chart out the best practices for sustainability reporting in a post GRI G4 world.

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Report - Corporate Sustainability Reporting Budgets And Priorities

Sustainability reporting is an important pillar of corporate sustainability programmes and firms seek to communicate progress and meet stakeholders’ demands for sustainability disclosure. This report helps executives in sustainability, marketing and communications roles and firms selling into these functions, to understand where responsibility and budgets lie for corporate sustainability reporting activities.

Verdantix spoke to 250 sustainability leaders in 13 countries across 21 industries. This report delves into responsibility, budgets and priorities with regard to corporate sustainability reporting and segments data by industry and region.

Click here to register for access to this report.

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Whitepaper - Top 5 Energy Reporting Mistakes

Energy reporting is a crucial process for energy managers. There is no standard procedure for energy reporting and yet there are common mistakes which can lead to bad decisions and missed opportunities. Solid energy reporting can shed light on real performance leading to intelligent and measurable decisions which result in substantial savings. Don't let a tedious energy reporting process lead to common mistakes which effect decision making and impact the bottom line.

 Noesis consulted their users and in-house experts to build this short e-book designed to help awareness and avoidance of these common mistakes. Use the resourceful information in this book to your advantage.

Be sure to download it so you don’t get caught making these common energy reporting mistakes.

To download the whitepaper click here.

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Event - Smarter Sustainability Reporting

This event will take place on February 5th 2013 at Faversham House in London, UK. This is a must attend event for anyone looking to improve upon the quality and communication of their sustainability report. Following the success of the inaugural Smarter Sustainability Reporting Conference, the 2nd annual event will address the growing complexity facing companies as they seek to improve the quality of their sustainability reports.

It will address the myriad of frameworks and guidelines available, involve direct input from stakeholders, explore the thought processes behind global award-winning reports and finally help shape the future of sustainability reporting. It is a must-attend event for anyone producing and/or making decisions based on sustainability reports.

Chaired by: Elaine Cohen, Chief Executive Officer, Beyond Business

Expert speakers include:
  • Carolyn Panzer, Sustainability and Responsibility Director, Diageo
  • Alberto Andreu Pinillos, Global Managing Director of Public Affairs, Telefónica
  • Alexandra Palt, Director, Corporate Social Responsibility and Sustainability, L'Oréal
  • Dr Steve Waygood, Chief Responsible Investment Officer, Aviva Investors
  • Michael Beutler, Sustainability Operations Director, PPR
Continued Professional Development This conference has been certified for CPD purposes and all attendees are eligible to receive a certificate of their attendance.

For more information click here.

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Global Risks Report 2013: Interconnectedness of the Economy and the Environment

The World Economic Forum (WEF) released the eighth edition of its Global Risks Report 2013 which ranks climate change from rising greenhouse gas emissions as a major global threats. Also high on the list is the failure of governments and businesses to mitigate or adapt to climate change. The 2013 report indicates that ongoing economic weakness detracts from our ability to tackle environmental challenges.

The WEF works with governments to develop mechanisms for managing risk. The report rates the top global risks based on a survey of over 1000 experts from industry, government and academia. The 2013 report sampled respondents from more than 100 countries, although the majority came from Europe and North America. A total of 40 percent of respondents came from a business background.

One of the major findings of the report is the fact that risks are interconnected including the strong relationship between the environment and the economy.

At the report’s launch, John Drzik, the CEO of the risk and insurance services group Oliver Wyman, said, “We see two big risks coming together, one is an environmental storm and the other is an economic storm, and we see them on a collision course.” Climate change poses a very significant cost to governments. As Drzik pointed out governments are having to step in to help those impacted by extreme weather events. However, economic difficulties put constraints on government response. However, the failure to mitigate and adapt to climate change will incur much greater costs.

Although the report does not present solutions, it does provide valuable insight into important issues that will be addressed at its annual meeting in Davos at the end of January and for wider debate.

To review the report click here.

© 2013, Richard Matthews. All rights reserved.

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More Evidence for Anthropogenic Climate Change from the 2013 US National Climate Assessment Draft Report

A draft report released on January 11 suggests that the evidence for anthropogenic climate change is stronger than ever. The 1,146 page draft was prepared by a US federal committee.  It offers a comprehensive analysis of the latest and best peer-reviewed science on global warming. The National Climate Assessment report reiterates the widely understood fact that climate change will have a wide range of impacts ranging from agriculture to water. The report further indicates that the US requires better national plans for adaptation to a changing climate.

The Global Change 2013 report was prepared by a Federal Advisory Committee know as the "National Climate Assessment and Development Advisory Committee" or NCADAC. The report is mandated by the Global Change Research Act of 1990, which requires that a national climate assessment be conducted every four years and the results be issued to the President and Congress. As a consequence of the 1990 legislation the US Global Change Research Program was formed. This is an inter-governmental body involving 13 federal agencies and departments.

In 2000 when the first report was published it was attacked by conservatives and the Bush administration suppressed its findings.

"Climate change presents a major challenge for society," the committee's leadership said in a letter addressed to the American people. "This report and the sustained assessment process that is being developed represent steps forward in advancing our understanding of that challenge and its far-reaching implications for our nation and the world."

The 2013 NCADAC report, which engaged more than 240 authors, indicated that one of the salient reasons given for the rapidly changing climate is the copious burning of fossil fuels. Following two consecutive years of extreme weather, the report makes a stronger connection between increased incidence of extreme weather and anthropogenic climate change.

In an emailed statement, Gene Karpinski, the president of the League of Conservation Voters, said the report confirms what many Americans already know. "Hurricane Sandy and the historic droughts, floods and heat waves happening across the country aren't a fluke, but the result of a climate warming much faster than previously thought," he said. "If we put off action on climate change, the costs of addressing its impacts will only rise and this extreme weather will be just the beginning. This report should serve as a wake-up call that it's time to act."

The committee's letter also said, "Summers are longer and hotter, and periods of extreme heat last longer than any living American has ever experienced. Winters are generally shorter and warmer. Rain comes in heavier downpours, though in many regions there are longer dry spells in between." The letter references dramatic flooding, drier weather, wildfires and receding sea ice. The report also states that sea levels are expected to "rise by another 1 to 4 feet in this century". 

"These and other observed climatic changes are having wide-ranging impacts in every region of our country and most sectors of our economy," the committee letter concluded.

"This draft report sends a warning to all of us," said Sen. Barbara Boxer, the California Democrat and chairwoman of the Environment and Public Works Committee, in an emailed statement. "We must act in a comprehensive fashion to reduce carbon pollution or expose our people and communities to continuing devastation from extreme weather events and their aftermath."

The report clearly indicates that the Obama administration's efforts to reduce emissions are “not close to sufficient” to prevent the most severe consequences of climate change.

The report states that not only is the US getting hotter (projected to be as much as 11 degrees), the climate is changing, it goes on to say that these changes are attributable to human activities. The report provides elaborate explanations on mitigation and adaptation, as well as how to improve scientific understanding and concludes that Americans must face the necessity of reducing greenhouse gas emissions. However, the report also concludes that this effort "paves the way for economic opportunities".

To download the full report click here.

© 2013, Richard Matthews. All rights reserved.

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SkyTruth’s Top 10 Posts on Environmental Impacts of Large-Footprint Industrial Activities in 2012

SkyTruth provides up-to-date information on pollution incidents and reveals the truth about the environmental impacts of large-footprint industrial activities such as mining, drilling, commercial fishing, etc. They work to support scientifically credible research and policy decisions that will help us understand and manage our planet’s natural resources in the best way possible. Here are SkyTruth's “Top 10″ most viewed blog posts from 2012.

10. Gas Drilling Time Series Analysis in Pennsylvania

Using aerial survey images from the U.S. Dept. of Agriculture’s (USDA) National Agricultural Imaging Program (NAIP), we looked at the way new wells and infrastructure are changing the landscape in rural southwestern Pennsylvania. Using aerial images to track development of natural resources and compare with information from state and industry sources is at the very core of what we do here at SkyTruth.

9. Wildfires and Gas Wells—Pine Ridge Fire, Colorado

As wildfire season kicked off in the Western U.S., we were particularly interested in the proximity of gas wells to active wildfires. While natural gas infrastructure is notoriously leaky, the Grand Junction Sentinel reported that gas operators in the Pine Ridge area shut in their wells as the fire approached so as not to risk adding to the blaze.

8. Before-After Aerial Photography Shows Damage, Shoreline Changes from Hurricane Sandy

In order to coordinate relief efforts and assess damages, the National Oceanic and Atmospheric Administration (NOAA) coordinates aerial image surveys after natural disasters like Hurricane Sandy. These images are made available to the public as soon as they are processed, and we compiled a few sets of images that illustrated the sheer power of the storm. While the twisted, submerged wreckage of a roller coaster hints at the power of the storm, nothing quite tells the story like seeing the complete rearrangement of the landscape from our perspective in the sky.

7. Gas Well Blowout in the North Sea

A blowout at an off-shore rig drilling for natural gas in the Elgin field (located in the North Sea between Scotland and Norway) garnered some attention in March. The leak turned out to be on the rig itself, not underwater, but we observed some kind of spill on the surface around the rig. The spill is most likely gas condensate, a significant byproduct of drilling in that region of the North Sea.

6. Meet the Frack Family

Our next most popular post was not documenting a spill, but was about a fictitious Pennsylvania family. Based on data from a voluntary industry report about the chemicals used in a typical hydraulic fracturing job in the Marcellus Shale, we created a 3D visualization of volume of various chemicals used in the process. We also pointed out the substantial number of chemicals which industry claims are “trade secrets” and were not identified at all - symbolized by the large quantity of red barrels.

5. Water, Water, Everywhere: 20 Months of Frackwater in the U.S.

Following up on our work with voluntary industry reports on the chemicals used in hydraulic fracturing, we compiled all of the data voluntarily reported to the industry-funded disclosure website FracFocus.org. Adding up the millions of gallons of water, we found that it would take over 24 hours for all of the water reportedly used for hydraulic fracturing to flow over one of North America’s Seven Natural wonders: Niagara Falls. This was also reposted to our partners at EcoWatch.org, where we used this calculation to represent Central Park covered by 240 feet of toxic waste-water.

4. Chevron Blowout and Rig Fire off Nigeria—Small Slick Visible on Radar Today

A blowout off the coast of Nigeria got some major attention, but thankfully the natural gas well did not produce as large a spill as was possible. We noted the heat of the burning rig on infrared composite images, but radar satellite images showed only a small slick. Not all of the data we use is available to the general public for free, but some images, such as this infrared composite, are freely available from NASA for anyone to look at.

3. SkyTruth Releases Fracking Chemical Database

We heavily promoted the release of our fracking chemical database to the national media and to our partners. This resource will greatly aid policy discussion about disclosure regulations and aid in research on the impacts of hydraulic fracturing across a wide-range of disciplines. While the database is most useful to researchers and decision makers, this database enables everyone to sign up for SkyTruth Alerts whenever new fracking chemical reports are uploaded to FracFocus.org.

2. Satellite Images Shows Heat From Chevron Drill Rig, Offshore Nigeria

Our most popular posts are usually related to pollution incidents, and the rig fire off the coast of Nigeria in January was no exception. While our report on the 20th of January (#4 on this list) had more detailed analysis of the incident, this preliminary post gained over 500 more views. Not only do we have the capacity for detailed tracking of environmental incidents, rapid access to satellite images allows us to respond quickly to breaking news. Unfortunately, one of our best resources, the European Space Agency’s Envisat, unexpectedly went silent in April. We are looking forward to the launch of its replacement, Sentinel 1, sometime this coming year.

1. Bakken Shale-Oil Drilling and Flaring Lights Up the Night Sky

Our most viewed post of 2012 was nightime imagery of natural gas flaring in North Dakota’s Bakken Oil Shale. Because the main focus of drilling in the Bakken is for highly profitable oil, most of the natural gas that’s also being produced is flared off (burned) as a waste product. Much better options are to inject it back into the reservoir, or capture it for sale. After all, why are we drilling and fracking for natural gas in the Rockies and the mid-Atlantic, while we’re just wasting it in North Dakota? Expect to see more from us on the issue of flaring in 2013 as we work with a new dataset of nighttime light detection from NASA.

Source: SkyTruth

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GRI Canada Conference 2012 (Event)

GRI’s first Canada Conference will take place on October 16 and 17, in Toronto, Ontario. The Conference is a result of the partnership between GRI Focal Point USA, Sustainalytics, the Toronto Stock Exchange and York University’s Schulich School of Business.

October 16
GRI Master Classes at the TSX on 10/16 Open reception for attendees and guests VIP Reception & Dinner at CN Tower

October 17
GRI Canada Conference - a full-day of expert sustainability content from all parts of the Canadian economy; global perspectives from GRI's Chief Executive; deep dives into measurement, management, reporting and assurance

GRI Master Classes will be held at the Toronto Stock Exchange on the 16th, followed by a reception and VIP dinner. A full-day sustainability reporting conference will be held on the 17th at the Schulich School of Business.

GRI’s own Chief Executive, Ernst Ligteringen will give the keynote, which will provide a global view of the latest sustainability reporting trends, as well as a view of the developments around the next generation of the GRI Guidelines – G4.

For program and registration details click here

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