All the latest sustainability news
Storm warning
“Given the exposure of key financial and manufacturing centres, the occurrence of a major event would be very likely to have significant impacts on the total economic output of these countries, as well as foreign business,” says Maplecroft’s Helen Hodge. Recent examples include the 2011 floods in Thailand, which caused major disruption to electronics manufacturing and losses for companies such as Apple, Intel and Sony, and this year’s floods in the Philippines, which have forced the shutdown of call centres used by rich-world firms.
Conflict minerals targeted
The US Securities and Exchange Commission has, after much deliberation, ruled on the conflict minerals provision contained in the Dodd-Frank Act, which reformed Wall Street and provided greater consumer protection following the recent financial crises. US companies will now have to publicly disclose their use of tin, tantalum, tungsten and gold originating in the Democratic Republic of the Congo or certain adjoining countries. Activists have generally welcomed the ruling, but some point out that the process has taken some time and suggest that the reporting requirements in the SEC’s ruling could be stronger.
Emissions surprise
Carbon dioxide emissions from energy consumption in the United States dropped nearly 8% in the first quarter of 2012, compared to the same period in 2011, surprising many analysts. A report from the US Energy Information Administration shows that emissions were down to their lowest level since 1992. A mild winter leading to lower fuel consumption played its part, but the main factor was the ongoing switch in the US from coal to gas as an energy source, in particular because of the availability of cheap natural gas from hydraulic fracturing, or fracking, operations. Top climatologist Michael Mann of Penn State University says the data shows that on global warming “ultimately people follow their wallets”.
Attention to detail
French companies from 2013 will be the first in the world to be required to disclose their use of nanomaterials, under a new law published by the French government. Nanomaterials – or substances at nanometre scale – are considered to offer new, highly efficient manufacturing opportunities, but there are concerns about their environmental and health impacts. Nanomaterials are increasingly used in products such as cosmetics, plastics and medicines. French nanomaterial users must say what they are doing with the substances, or face fines of up to €3,000 (£2,350), plus a sum for each day the law is not complied with.
Cold comfort
Britain’s supermarkets are speeding up the shift to climate-friendly refrigeration, but not all are moving as fast as they could, according to NGO the Environmental Investigation Agency (EIA). Marks & Spencer, Sainsbury’s and Waitrose are in the vanguard in phasing out refrigeration units that use ozone-depleting and global-warming hydrofluorocarbons (HFCs), but Tesco is falling behind, the EIA says. Tesco aimed to have 150 HFC-free stores by 2012 but managed only 60. “At a time when retailers are going to considerable lengths to reduce their carbon footprints, running cooling systems on highly potent greenhouse gases simply makes no sense,” the EIA’s Natasha Hurley says.
Greener dealers
The benefits for the financial bottom line of energy efficiency have been shown once again by a joint project between Ford and the Carbon Trust. The project identifies £11m in savings across Ford’s 550-strong network of car dealers in the UK. The savings were mostly realised through better lighting, heating and ventilation, and could easily be reproduced in other car dealerships, the Carbon Trust says. Savings could exceed 25% with “modest investment” according to a guide produced by the Carbon Trust and the Society of Motor Manufacturers and Traders.
Fishy business
A US court in August convicted one of New Zealand’s largest and oldest fishing companies for illegally discharging bilge waste and trying to cover it up when one of its ships entered port in American Samoa. The court also found the company’s chief engineer accountable, and will sentence both him and the company in November. It is not the first time that the company, Sanford Limited, has been in trouble. An investigation by Businessweek magazine in early 2012 found evidence of high seas “slavery” aboard Chinese vessels contracted to Sanford, though the company says it had “not found evidence to substantiate those allegations”. Sanford, New Zealand’s oldest continually operating company, caught £240m worth of fish in 2011, about 90% of which was exported.
Bone of contention
A year-long dispute between General Motors and sacked Colombian autoworkers has escalated, with five of the workers going on hunger strike, sewing their lips together and protesting outside the US embassy in Bogota. The workers claim they were summarily dismissed after developing work-related conditions as a result of repetitive movements and heavy lifting. The occupational injuries have left them unable to work, condemning their families to poverty, the workers say. Talks between GM and union Asotrecol, which backs the sacked workers, have broken down. GM says that it has not sacked any worker for health reasons, and its Colombian operation “is respectful of the law and has never put the health or the well-being of its employees at risk”.
Ethical financing updated
A group of financial institutions that has established guidelines on the environmental and social risks of funding for large projects has published a draft update of its framework for consultation. The Equator Principles are backed by 77 banks and are intended to support responsible decision-making on financing for projects with capital costs of at least $10m. The principles were first published in 2003, and promoted by banks such as Barclays, Citi, Credit Suisse First Boston and Royal Bank of Scotland. The draft update is out for consultation until October 2012.