Archive for the ‘Climate Nexus’ Category

Watts, Water and the power of a Billion Chinese Jump

March 28th, 2011

From Pua Mench, Director of Stakeholder Engagement, Asia:

At a recent talk Jonathan Watts, Asia environment correspondent for The Guardian and author of “When a Billion Chinese Jump: How China will Save Mankind – Or Destroy It”, gave disturbing summary of China’s environmental performance – and expressed hope for our collective future.

Watts’ book provides a poignant and informative glimpse into China’s deteriorating environment, from Yunnan Province to Inner Mongolia, which Watts playfully describes as a guide of places not to go. Watts, who is based in Beijing and has spent the past seven years in China, is frank but fair when describing the situation in China. He gives cautious praise to the country’s 12th Five-Year Plan, released in March 14, 2011 and says he is encouraged by the plan, which for the first time ever slightly reduces the pace of economic growth and expands the list of pollution targets. “Government is starting to recognize that there are finite limits on how far you can push the environment,” says Watts. But it remains to be seen whether or not government efforts will improve the situation.

Until a river expedition in search of the Baiji, or Yangtze River Dolphin – one of only five freshwater dolphin species in the world – Watts said he assumed that when mankind wholeheartedly turns his attention to problems he could fix them. The Baiji expedition represented such efforts. Well funded and with cutting edge technology and a leading team of scientists, the journey was forecast to be a success, yet not a single dolphin was found. At the trip’s end a creature that had been on earth for twenty million years was declared functionally extinct, most likely due to environmental stress caused by pollution, river traffic, dams and illegal fishing. Watts regards that story as the most important one he’ll ever write, one that powerfully illustrates the limits of human capability and irreversible and grave consequences of our actions.

In response to the apparent demise of the Baiji, Indian authorities announced plans earlier this year to make extraordinary efforts to save the country’s remaining population of the endangered Ganges river dolphin – of which authorities estimate less than 3,000 remain in the wild. 

Unfortunately, the deeper meaning behind tragedies like the demise of the Baiji is often lost, especially in China where 300 million people live without access to clean water supplies. “Water quality and quantity is by far the biggest concern in China,” says to Watts. Fifty percent of China’s water is not fit for human consumption and another third to a quarter is not fit for any use whatsoever, according to Ministry of Environmental Protection research. Air pollution and carbon dioxide emissions, largely stemming from coal-fired power plants, are also a huge problem in China, which over took the United States in 2007 to become the world’s biggest carbon dioxide emitter. Even with slightly lowered GDP growth targets, the country’s energy demands are set to skyrocket in the coming decades.

As Watts’ colleague Isabel Hilton noted:

The west invented unsustainable living; China has taken it up with enthusiasm.

We are barely three decades in to China’s industrial and consumption revolution. There are still hundreds of millions of poor Chinese who wish to prosper and consume in a country that wastes so much energy that its average per capita carbon emissions already equal those of France. The most worrying thing about the Chinese industrial revolution is not even the appalling damage that Watts meticulously chronicles, but the capacity for more that is still in the system.

“The good news is that government gets it,” says Watts, and is sincere because they are facing severe environmental crises and cannot avoid addressing them. But the solutions that are being put forth are engineered supply side solutions, like the massive South to North Water Transfer Project, which in many ways exhibits the same hubris as the expedition to save the Baiji.

China is now the world’s largest manufacturer of wind turbines and solar panels. Authorities aim for renewable sources to account for 8% of China’s energy supply by 2020. And even with the increase, two-thirds of Chinas’ energy supply will still come from coal (the remaining from nuclear and hydropower sources).

China has made huge investments in the clean tech sector (in fact, it was the country with the highest level of investment in the world in 2009) yet renewables will continue to represent just a fraction of China’s largely coal dominated energy mix.

Such investment and development strategies are ultimately band-aids to the underlying and much bigger problem identified by Watts, Western style consumption habits, which have readily been adopted by the Chinese. More consumption means greater energy and water demands, increased pollution, growing carbon dioxide emissions and fewer and fewer natural resources. “We may be approaching ecological limits to economic growth,” asserts Watts. “We [humans] resemble a swarm of locusts.” Pollution is not the biggest problem, because you can deal with pollution, what you cannot deal with is mankind’s widening appetite for “stuff” which is pushing the environment to its limits.

One of the constant arguments put forth by developing countries, particularly in relation to carbon emissions, is that they should be allowed to grow their economies without restrictions, just as developed countries did—the “develop now and clean up later” model. But this logic loses sight of the fact that we share one planet and finite resources. There may come a point in time at which the environment simply cannot support global consumption patterns. China, home to 1.3 billion people and “the world’s factory” is reaching that point. The extinction of the 20 million year old Baiji should serve as a cautionary tale of what happens when you push the environment beyond its healthy limits.

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CSR Asia Summit – Embrace Innovation & Go Local

September 16th, 2010

Posted by Pua Mench, Future 500 Manager for Stakeholder Engagement – Asia

Day two of the CSR Asia Summit in Hong Kong saw the conference halls buzzing with activity.  My primary focus in the Asia region is water—a hot topic on many levels, and one that’s left some companies scratching their heads—so I made a beeline to the session entitled: “Water—the next carbon?” where Peter White, Director of Global Sustainability for Procter and Gamble (P&G), gave a compelling talk on the validity of this statement, and what P&G is doing about water.

The big difference between carbon and water, according to White, is that while carbon is global in scope “water is a local issue that occurs globally.” With carbon you can draw upon existing vetted methodologies to create a global carbon budget, as some organizations like World Wide Fund for Nature have done, you cannot simply add up water to create a global water budget.

P&G is taking a look at its entire water footprint, in part by using the World Business Council for Sustainable Development’s (WBCSD) Global Water Tool. P&G said that by far the largest component of their footprint is the water use attached to its products. To this end P&G is designing products that are both more efficient to manufacture and require less water for end-use, like “Ariel” and “Downy One Rinse.”

Discussion around local challenges and solutions for resource use was not limited to water. Graham Clewer, Director of Ethical Trade for the Body Shop International, made a point to emphasize local engagement during a lively session on sustainable ingredients. “If you do not manage ingredients on the local level you will have problems,“ said Clewer. “Body Shop reaches out and constantly addresses a vast network of NGOs.”

One thing that’s struck me at this conference is the innovation springing forth from companies facing ever-increasing external pressure to be sustainable. Granted CSR conferences tend to be a bit of a corporate love-in, it is inspiring to hear so many stories of lemonade being made of lemons—and P&G is far from the only one doing so. At the end of the day many are discovering it’s just plain good business sense to run cleaner, leaner and greener operations.

Graham Clewer perhaps put it best, “What we used to see as risk we now see as value.”

The business argument for sustainability is something the World Wide Fund for Nature (WWF) understands well. And when Adam Tomasek, director of WWF’s Heart of Borneo Initiative, addressed this topic I was very happy to (finally) hear an NGO-voice.

Tomasek described how WWF collaborated with Cargill to look at the economics of palm oil production at plantations. Their research showed that companies are able to produce sustainable palm oil at the same cost as unsustainable palm oil, minus all of the social and environmental issues attached—essentially making it “cheaper” to produce sustainable palm oil. Backed by research and a corporate partner, WWF now has the confidence to engage with companies globally.

The session moderator, who sits on the Roundtable of the Sustainable Palm Oil in Malaysia, observed that even though companies are willing to work with NGOs no “real” partnerships exist in the palm oil sector and present relationships are “weak.”  – an observation that points to a tremendous opportunity to both sides to develop meaningful and productive relationships.

Genevieve Hilton of the German chemical company BASF, reminded companies to carefully consider what is meant by “greener” when responding to external pressure. She advised the audience to not just depend on what’s visible to the consumer when assessing environmental impact, and that in the long-run it’s “better to be influenced by the latest science and not the latest trend.” Comparing the eco-impact of product x versus product y is often more complex than one would assume.

The BASF presentation also included the following: “when you talk about how green a product is you need to consider how green compared to what? What are the alternatives?” A valid point but also a sensitive topic, as one member of the audience, representing the NGO-sector, offered: “Bad is still bad, even if there is no immediate better solution.”

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Good To The Last Drop – Water & Climate Stakeholders Unite

January 12th, 2010
From Erik Wohlgemuth, our VP of Strategic Operations:

In the U.S. during the Bush administration, we saw a significant reduction in federal funding for water infrastructure and for enforcement of clean water standards.  As often happens, the NGO sector mobilized to fill the void left by government, to raise awareness of worsening infrastructure and poor enforcement. 

Citizen suits were filed against the most newsworthy corporate and municipal violators.  Activist NGOs mobilized and joined forces with shareholders and mainstream environmental advocacy groups to mount campaigns against brand-name companies, effectively influencing perceptions of the media, consumers and regulators. 

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Water Futures: Finding Common Ground

January 6th, 2010
From Matt Turner, Director, Global Stakeholder Initiatives, Water Program:

Discussions on water issues are likely to gain prominence in 2010 as the world’s focus shifts away from the climate change policy questions that dominated 2009 in the run up to the Copenhagen summit.  

While government, business and civil society will continue to grapple with national and international climate policy in the coming year, the affects of the water crisis on business, supply chains and impacted populations are widely acknowledged and being felt right now. Calls for more corporate reporting on water and accountability from civil society actors is certain to increase.

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