Bali Talks – Outcomes
December 15, 2007The link sumarises the outcomes of the Bali round of talks. While all parties agree to the need and extent of action required the sticking point that US is championing, and probably most agree (my guess not fact), is that China and India may not be on board for cuts in the time required. Check the link and you be the judge.
Externalities hit the Balance Sheet
December 14, 2007With in next 24 months, most of the industrialised world will be costing their enviromental business impacts into their statements of financial position. This will happen because governments that are signatories to the Bali Environmental Framework and subsequent green house gas emission reduction agreements, will impose either a carbon tax or a carbon offset credit impost on emmision generating activities within their economies. This will, for the first time and en masse, make the enviromental cost impact transparent and shift the burden of environmetal cost from the community back to the cost base of the pollution generating business. It is reasonable to expect the manufacturers will seek to then pass these costs back to the market via their pricing mechanims. This will have the enormous and far reaching effect of making many products that were previously attractive, uncompetitive and vis versa. Steel roof cladding vs concrete roof tiles is one simple example. Steel prices will rise faster that concrete as there are more greenhouse nasties generated during steel production than during concrete production. Steel production is centalised and relies largely on road transport as the back bone of its distribution system (high fuel use = greenhouse gas = tax or offset credit cost = more cost), where as concrete tile plants are small and decentalised and are closer to their markets with lower transport costs (less fuel = less geenhouse gas = etc etc). Steel price goes up more than concrete and market dynamics change. Now consider this, by 2015 the actors in each economy will have become accustomed to the notion of shifting external costs back into the business. This does happen to at the moment articularly in the area of Occpational Health and Safety legislation and at times through costly and tortuous processes of litigation – ask any tobacco industry player. But if communities demand that manufactucters become more accountable for the social impacts of their products and become very use to, and capable of influencing governments (think about the election of the Australian Rudd Labor government and the immedate change in stance on enviromental policy – who will replace Bush in US and what will be their stance?) so that they apply social/environmental inputs cost on businesses, then the business world and the product and services currently on offer will radically change. Think of the opportunities and threats, potential winners and losers and how this can be leveraged from a business perspective…….makes you think….makes you reposition……gallp13
Beyond GDP – Your Thoughts Please
November 27, 2007Check ot the video below. Gallp13 welcomes all comments, ideas and randoms thoughts on alternative measures to GDP. Let’s get some chat flowing!
Time to Give up Our Cars?
November 27, 2007CO2 emissions and pollution are just two of the accusatory fingers pointed at the world’s favorite form of transport: the car. Should we be looking at a car-free future? While car ownership rises steadily in Europe and America, it’s set to soar elsewhere. In China last year, there were 22 million privately owned cars. That figure is set to climb to 55 million by 2010, says China’s National Development and Reform Commission, and could explode to 140 million by 2020. Environmental campaigners say the world’s atmosphere can’t take that kind of CO2 increase, which comes both from more cars on the roads and from manufacturing processes. Pollution is also taking its toll. Officials in Beijing were forced to take 1.3 million cars off the capital’s streets in August this year, in an attempt to improve air quality. With global warming rising on the planet’s agenda, peak oil approaching and concern mounting about atmospheric levels of greenhouse gases, we ask: is it time we shut the door on the age of the automobile and gave our four-wheeled friend the boot?Source: CNN 5 November 2007
USA the Only Developed Nation not Committed to Greenhouse Gas Reduction – Breath Taking!
November 26, 2007The election of the Rudd Goverment in Australia last week will soon see Australia sign the Kyoto Protocol. This will leave America as the only developed Nation on the Planet that has not signed the agreement to reduce greenhouse gases by 2012. Given the contribution America makes to global warming and the leadership that America is capable of providing the world, this state affairs is nothing short of breath taking. Come on America step up and have a go!
Posted by gallp13