This document discusses factors that contribute to an organization investing in carbon offset projects. It explores why compliance with environmental regulations is a main driver, but also discusses additional motivations like increasing energy efficiency, improving shareholder value, responding to consumer and market pressures, boosting competitiveness, and fulfilling corporate social responsibility. The document also provides context on carbon markets and trading, and outlines the research methodology used, which was a literature review.
In today's milieu we all are facing an issue of global warming. Global warming occurs when carbon dioxide (CO2) and other air pollutants collect in the atmosphere and absorb sunlight and solar radiation that have bounced off the earth’s surface. Normally, this radiation would escape into space—but these pollutants, which can last for years to centuries in the atmosphere, trap the heat and cause the planet to get hotter. So, To combat with this issue a KYOTO PROTOCOL agrrement signed in 1977.
Carbon Impacts of paper manufacture literature review by RMITChristopher Sewell
Carbon impacts of paper manufacture literature review study undertaken by RMIT Centre of Design on behalf of The Gaia Partnership for use in the emission calculator, The CO2counter.
“The methodology and carbon factors used to measure the resulting CO2 calculation in the commercial printing section of the CO2counter are based on best practice independent and published academic research. The carbon factors used for the paper component of the calculation is also based on a Gaia commissioned review conducted by Centre for Design RMIT University Melbourne Australia in July 2009".
Personal carbon allowances (PCAs) are a policy idea where each individual is given an equal, annually declining carbon allowance to cover their household and transportation emissions. PCAs would be tradable to accommodate different lifestyles. While this idea gained political attention in the UK in the 2000s, research found issues with cost and public acceptability. The concept has since lost political and media focus. However, proponents argue PCAs could effectively and equitably reduce emissions if researched further and implemented when political and social conditions are receptive to bold climate policies.
Will social media advertising be a sustainable development marketing strategy...Christopher Sewell
This document summarizes research on the environmental sustainability of social media marketing. It finds that while online advertising is growing rapidly, many customers view traditional online ads negatively. However, attitudes toward social media ads are more neutral or positive. The document then calculates the carbon emissions from social media ads on Facebook based on data usage, electricity usage, and number of impressions. It finds that for a photo ad seen by 1 million people, around 1.4 tonnes of carbon dioxide would be released, equivalent to emissions from driving a car for over 2 days. Therefore, the environmental impact of social media marketing requires further examination.
A Carbon Audit measures and records the carbon dioxide (CO2) emissions of an organization. It is the first step in developing a Carbon Strategy to manage and reduce emissions over the long term. Reasons to do a Carbon Audit include addressing global warming, meeting government targets, saving energy costs, and improving brand reputation. The audit calculates core emissions from power usage and transportation as well as wider emissions from waste, materials, and employee commuting. Organizations can then select options like offsets, funding, or trading to reduce emissions and work towards creating a carbon-conscious culture.
Policy and projects reduction of carbon emissions in the manufacturing industryAlexander Decker
This document analyzes carbon emission reduction policies and projects in South Asian manufacturing industries under the Clean Development Mechanism (CDM) of the Kyoto Protocol's Emissions Trading System. It finds that most (90%) CDM projects are in India, focusing on fuel switching and energy efficiency in cement and brick industries. The study also finds unstable trends in Certified Emission Reductions compared to Estimated Emission Reductions, with low correlations. It recommends setting specific emission reduction targets for manufacturing industries to maximize credits from emissions trading going forward.
The carbon audit report summarizes TEKA Media's 2009 carbon footprint. Natural gas consumption accounted for 89.86% of emissions, totaling 6,164.85 tCO2e. Vehicle fleet emissions contributed 7.29% (500.40 tCO2e) and electricity 2.67% (183.26 tCO2e). Employee commuting had negligible emissions at 0.18% (12.04 tCO2e). In total, TEKA Media emitted 6,860.55 tCO2e in 2009. The report recommends improving data collection and expanding emission scopes. It suggests reducing natural gas usage through solar water heating, pipe insulation, and alternative fuels. Improving equipment efficiency and encouraging carpooling
This document appears to be a capstone project submitted by Priyankur Dhar to the Institute for Technology and Management for a Post Graduate Diploma in Management between 2013-2015. The project is titled "A Study on Carbon Finance & Analysis on Carbon Credits (INDIA)". It includes sections on the introduction, literature review, carbon finance, analysis of data, conclusion, and recommendations. It also includes declarations by the student and faculty guide, acknowledgements, table of contents, and references. The project aims to study carbon finance and carbon credits markets in India through empirical analysis of relevant factors.
In today's milieu we all are facing an issue of global warming. Global warming occurs when carbon dioxide (CO2) and other air pollutants collect in the atmosphere and absorb sunlight and solar radiation that have bounced off the earth’s surface. Normally, this radiation would escape into space—but these pollutants, which can last for years to centuries in the atmosphere, trap the heat and cause the planet to get hotter. So, To combat with this issue a KYOTO PROTOCOL agrrement signed in 1977.
Carbon Impacts of paper manufacture literature review by RMITChristopher Sewell
Carbon impacts of paper manufacture literature review study undertaken by RMIT Centre of Design on behalf of The Gaia Partnership for use in the emission calculator, The CO2counter.
“The methodology and carbon factors used to measure the resulting CO2 calculation in the commercial printing section of the CO2counter are based on best practice independent and published academic research. The carbon factors used for the paper component of the calculation is also based on a Gaia commissioned review conducted by Centre for Design RMIT University Melbourne Australia in July 2009".
Personal carbon allowances (PCAs) are a policy idea where each individual is given an equal, annually declining carbon allowance to cover their household and transportation emissions. PCAs would be tradable to accommodate different lifestyles. While this idea gained political attention in the UK in the 2000s, research found issues with cost and public acceptability. The concept has since lost political and media focus. However, proponents argue PCAs could effectively and equitably reduce emissions if researched further and implemented when political and social conditions are receptive to bold climate policies.
Will social media advertising be a sustainable development marketing strategy...Christopher Sewell
This document summarizes research on the environmental sustainability of social media marketing. It finds that while online advertising is growing rapidly, many customers view traditional online ads negatively. However, attitudes toward social media ads are more neutral or positive. The document then calculates the carbon emissions from social media ads on Facebook based on data usage, electricity usage, and number of impressions. It finds that for a photo ad seen by 1 million people, around 1.4 tonnes of carbon dioxide would be released, equivalent to emissions from driving a car for over 2 days. Therefore, the environmental impact of social media marketing requires further examination.
A Carbon Audit measures and records the carbon dioxide (CO2) emissions of an organization. It is the first step in developing a Carbon Strategy to manage and reduce emissions over the long term. Reasons to do a Carbon Audit include addressing global warming, meeting government targets, saving energy costs, and improving brand reputation. The audit calculates core emissions from power usage and transportation as well as wider emissions from waste, materials, and employee commuting. Organizations can then select options like offsets, funding, or trading to reduce emissions and work towards creating a carbon-conscious culture.
Policy and projects reduction of carbon emissions in the manufacturing industryAlexander Decker
This document analyzes carbon emission reduction policies and projects in South Asian manufacturing industries under the Clean Development Mechanism (CDM) of the Kyoto Protocol's Emissions Trading System. It finds that most (90%) CDM projects are in India, focusing on fuel switching and energy efficiency in cement and brick industries. The study also finds unstable trends in Certified Emission Reductions compared to Estimated Emission Reductions, with low correlations. It recommends setting specific emission reduction targets for manufacturing industries to maximize credits from emissions trading going forward.
The carbon audit report summarizes TEKA Media's 2009 carbon footprint. Natural gas consumption accounted for 89.86% of emissions, totaling 6,164.85 tCO2e. Vehicle fleet emissions contributed 7.29% (500.40 tCO2e) and electricity 2.67% (183.26 tCO2e). Employee commuting had negligible emissions at 0.18% (12.04 tCO2e). In total, TEKA Media emitted 6,860.55 tCO2e in 2009. The report recommends improving data collection and expanding emission scopes. It suggests reducing natural gas usage through solar water heating, pipe insulation, and alternative fuels. Improving equipment efficiency and encouraging carpooling
This document appears to be a capstone project submitted by Priyankur Dhar to the Institute for Technology and Management for a Post Graduate Diploma in Management between 2013-2015. The project is titled "A Study on Carbon Finance & Analysis on Carbon Credits (INDIA)". It includes sections on the introduction, literature review, carbon finance, analysis of data, conclusion, and recommendations. It also includes declarations by the student and faculty guide, acknowledgements, table of contents, and references. The project aims to study carbon finance and carbon credits markets in India through empirical analysis of relevant factors.
As the Coalition Government promises to tear out large sections of the rulebook and relax targets in an attempt to ease the strain on struggling UK businesses, it is tempting to conclude that environmental sustainability initiatives can be put on a backburner. In crisis mode, the country and its commercial entities surely have more pressing concerns?
Keeping the lights on remains one of them and this demands that organisations can continue to balance their books. Evidence has shown that there is a direct correlation between energy efficiency and cost efficiency for a business. As a result, the attention paid to carbon emissions monitoring and management is no longer something that is automatically handed over to corporate social responsibility and marketing teams.
At more astute companies, the discipline is now firmly on the radar of the finance department. If international pledges and government targets around global warming have done anything positive for businesses, it is to encourage them to measure and gain an appreciation for just how much wastage goes on in companies – and how much this is costing them.
The following white paper assesses the current landscape for carbon emission monitoring, exploring not only companies’ regulatory responsibilities for behaving in a more environmentally sustainable way but also how, through systematic, integrated measuring and reporting, they can substantially reduce their internal costs at a time when energy prices and other business costs are escalating at a punishing rate.
To find out more about our carbon accounting solutions please contact us on 01582 714 810.
Stakeholder Debate in Policy Implementation: An Evaluation of Bangladesh Leat...Shahadat Hossain Shakil
This paper focuses on stakeholder debate and conflict during policy implementation. In doing so it analyzed the reason behind the implementation snag of Bangladesh leather processing industry relocation policy, which is extreme stakeholder negotiation. Relevant stakeholders have been identified and their influence over the policy measure has been formulated. Underlying interactions among the stakeholders has been conceptually depicted to retrieve an image of the extreme stakeholder dispute behind this policy failure. Finally, based on the empirical evidence this policy measure has been evaluated in light of the effective participation of the concerned stakeholders.
The document summarizes discussions from a CSR conference in Asia. It describes China's rapid economic growth and resulting environmental issues like air and water pollution. It then outlines CSR practices in different Asian countries, including government environmental policies in China, product certifications in India, collective efforts in Hong Kong, and a company in South Korea that considers suppliers' environmental standards. Main conference discussions centered around defining green GDP and whether CSR should focus on social contributions or public relations for corporations.
Green Commodities: A market-based approach to Sustainable DevelopmentSasin SEC
The document discusses the UNDP's Green Commodities Facility (GCF), a market-based approach to promoting sustainable development. It notes that commodity production is a major sector in developing economies, but often comes with environmental and social costs. The GCF aims to leverage markets to integrate sustainability into commodity production and catalyze markets for premium "green" commodities. Through country programs, the GCF provides support like extension services, financing, and technical assistance to farmers and businesses to produce commodities sustainably and profitably while benefiting the environment and communities.
Stakeholder Debate in Policy Implementation:An Evaluation of Bangladesh Leat...Shahadat Hossain Shakil
This paper focuses on stakeholder debate and conflict during policy implementation. In doing so it analyzed the reason behind the implementation snag of Bangladesh leather processing industry relocation policy, which is extreme stakeholder negotiation. Relevant stakeholders have been identified and their influence over the policy measure has been formulated. Underlying interactions among the stakeholders has been conceptually depicted to retrieve an image of the extreme stakeholder dispute behind this policy failure. Finally, based on the empirical evidence this policy measure has been evaluated in light of the effective participation of the concerned stakeholders.
This document provides an overview of carbon finance and the World Bank's Carbon Finance Business. It discusses the costs of climate change and mitigation efforts, international responses to climate change including the Kyoto Protocol, and how the World Bank works to facilitate carbon market projects through carbon funds. The World Bank manages over $2 billion for carbon finance projects focused on energy efficiency, industrial emissions, and reforestation. The funds provide upfront financing to developing countries in exchange for verified emissions reductions.
Over 1000 companies now disclose using or planning to use internal carbon pricing to address climate change risks and opportunities. The number of companies reporting an internal carbon price has tripled since last year, with especially large increases in the US, Canada, Asia, and Africa. Companies apply internal carbon prices ranging from $2-150/ton to inform investment decisions and transition to low-carbon operations. Growing use of carbon pricing signals it is now standard practice for mainstream business decision-making.
Addressing HFCs Under the Montreal Protocol and Indo-US Task Force on HFCsUNEP OzonAction
The document discusses addressing HFCs under the Montreal Protocol and the Indo-U.S. Task Force on HFCs. It notes the projected growth of HFCs as replacements for ozone depleting substances and highlights alternatives that are available now or in development. It outlines the North American proposal to phase down HFCs and control HFC-23 byproduct emissions, which could potentially reduce greenhouse gas emissions by over 87,000 million metric tons by 2050. An Indo-U.S. workshop was held to discuss transitioning away from HCFCs in key sectors to lower global warming potential alternatives.
Conceptual Framework for Carbon foot printing a Bank’s Operations: A Case of ...Alfred Bimha
The paper was presented at the 4th International Conference on Financial Services (Previously known as the International Banking Conference). It was held from the 2nd to the 4th of October 2013 at the Sun International Wild Coast Sun, South Africa. The Theme of the Conference was 'Critical Transition in Financial Services'
This document discusses several topics related to climate change, including:
1. Research on Ireland's potential storage capacity for carbon dioxide emissions, totaling up to 93,000 megatons but with a practical storage potential of 1,505 megatons.
2. Phenology research on how plants and animals are responding to increasing temperatures, such as earlier leafing and flowering dates in trees and earlier arrival dates for migrating birds.
3. A Teagasc research program studying opportunities to make farming practices in Ireland more carbon efficient through approaches like improving nutrient efficiency and using clover crops. The program aims to reduce greenhouse gas emissions without negatively impacting agricultural productivity.
Doi center in kisti(english 20100315(for sending)KISTI
This document discusses KISTI's DOI Center and its efforts to promote Korean scientific journals internationally through DOI assignment and deposition. It provides an overview of the status of Korean scientific publishing, KISTI's methodology for working with publishers and distributors, business models, membership details, activities in 2009 like DOI assignment, CrossRef deposition, and response page management, and plans for 2010 including expanding DOI assignment and deposition and global database registration. The goal is to increase global access, usage, and citation of Korean scholarly journals.
Session 1 monteiro regional trade agreements and the environmentOECD Environment
This document provides an overview of environmental provisions in regional trade agreements (RTAs). Some key points:
- 278 out of 284 RTAs notified to the WTO between 1957-2017 include some environment-related provisions.
- There are over 60 different types of environmental provisions that have been identified, covering issues like domestic environmental laws, multilateral environmental agreements, environmental goods and services, natural resource management, and dispute settlement.
- The frequency and scope of environmental provisions has increased over time, especially in more recent RTAs. Developed countries tend to have more extensive environmental provisions compared to developing countries.
- Common types of provisions relate to enforcing domestic environmental laws, upholding obligations under multilateral environmental agreements
The Science Based Targets initiative champions science-based target setting as a powerful way of boosting companies’ competitive advantage in the transition to the low-carbon economy.
Since officially launching in June, 2015, up to 23 June 2017:
279 Companies Part of SBTi Call to Action
157 Committed companies have submitted targets
51 Approved and listed targets
2.6 Companies joining the initiative on average every week
Corporate Social Responsibility (CSR) – Environmental Protection or Creating ...Shahadat Hossain Shakil
Corporate Social Responsibility (CSR) – Environmental Protection or Creating Disguise?
The promotion of environmental responsibility amongst transnational corporations (TNCs) has become an important topic of debate in recent years. While government regulation might achieve environmental goals in a blunt manner, business community argues that voluntary measures can achieve them in a more efficient way (Utting and Marques 2010; Clapp 2005). One of the commercial drivers of private forms of (self) regulation, such as ISO 14001 standards, is desired to keep smaller firms out of profitable markets by raising the barrier to entry and increasing the costs of compliance with standards (Clapp, 1998, cited in Newell and Levy 2006).
Tobacco companies for instance claim that they are engaged in CSR because of being concerned corporate citizens. In reality, CSR activities cost tobacco companies very little in relation to their annual profits. In 2009, British American Tobacco (BAT) spent USD $22.3 million on CSR compared to the USD $4.8 billion it earned in profits (TFK 2011).
BAT runs several CSR program in Bangladesh notably, Afforestation Program - to offset the deforestation (30% of the country total; TFK, 2011) caused during tobacco drying and Sustainable Agriculture - to minimize the environmental degradation (BATB 2010; Ahmed 2012). Which are greatly outweighed by the detrimental effects of smoking and now illegal in Bangladesh as a signatory of Framework Convention on Tobacco Control (WHO 2013).
On the other hand, ‘[c]corporations performed as shapers and negotiators of environmental rules as well as play central position in informal governance of the environment that derives from their daily operations. Corporations play multiple and potentially conflicting roles as lobbyists, experts, (self) regulators and providers of the capital and technologies necessary to realize environmental policy goals’ (Newell and Levy 2006).
In contrast, recent years have seen a number of cases of ‘accidental’ or ‘unintentional’ releases of genetically modified organisms (StarLink, Bt10 maize, Liberty Link RICE 601). Behavior of the firms responsible for the illegal releases in these three cases raises important questions about the effectiveness of voluntary corporate responsibility measures. Which demands strong regulatory rules to incorporate regular external monitoring and oversight by governments, as well as more stringent penalties and assignment of legal liability, alongside voluntary codes (Clapp 2008).
This document summarizes research conducted by Imperial College London University on the socio-economic impacts of carbon offsetting. The research found that for every 1 tonne of CO2 reduced through an offset project, an additional $664 of benefits are delivered in the form of economic, social and environmental benefits to local communities. These benefits include job creation, household savings, health benefits, and environmental conservation. The research also found that carbon offsetting provides tangible business benefits for companies participating in offset programs, such as improved reputation, increased employee engagement, and market differentiation. Companies are willing to pay a premium for offsets that have verified social, economic and environmental co-benefits.
Carbon Footprint Assessment of Textile IndustryIRJET Journal
This document discusses carbon footprint assessment of the textile industry. It begins by providing background on global warming, climate change, and carbon footprints. It then discusses how calculating carbon footprints is important for understanding an organization's environmental impact and finding ways to reduce emissions. The document focuses on assessing the carbon footprint of a textile company in India called Baldev Textile Mills Pvt. Ltd. It discusses methods for reducing carbon footprints, including becoming carbon neutral through offsets and investing in renewable energy and energy efficiency. Government policies in India aiming to reduce emissions and companies pledging to go carbon free by certain deadlines are also mentioned.
Datang International is a major Chinese power company that discloses carbon information in its social responsibility reports. The summary analyzes:
1) Datang International's carbon disclosure includes monetary information like environmental fees and subsidies, and non-monetary strategies, measures, and goals.
2) Disclosed strategies commit to green development and increasing clean energy, but some details are lacking.
3) Carbon reduction measures focus on upgrading generator units, developing clean energy, and conserving resources. However, some financial data is not reported.
This document provides an overview of consumption-based greenhouse gas emission inventories (CBEIs) for local governments. It discusses that CBEIs account for emissions generated outside a city's borders to produce goods and services for residents, which can be significant and equal to on-border emissions. CBEIs reveal where local consumption causes offshore emissions and suggest additional emission reduction opportunities. The document describes methods for developing CBEIs using spending or physical data and input-output models or life cycle analyses, and considerations for choosing approaches based on purpose, audience, data availability, and policy relevance.
FOR CS PROFESSIONAL, CA, CMA
Sustainable Development
• Role of Business in Sustainable Development
• Sustainability Terminologies
• Corporate Sustainability
• Corporate Sustainability and Corporate Social Responsibility
• KYOSEI & TRIPLE BOTTOM LINE (TBL)
• One of the fundamental characteristics of a corporate is perpetuity. In the eyes of law, it is treated as a separate legal entity which can hold assets and bear liabilities, can sue and be sued.
• The word sustainable is derived from sustain or sustained. The synonyms of the word sustained as per the Collins Thesaurus include perpetual, prolonged, steady.
• Sustainable development is a broad, concept that balances the need for economic growth with environmental protection and social equity.
• WCED recognized that the achievement of sustainable development could not be simply left to government regulators and policy makers. It recognized that industry has a significant role to play.
• Four fundamental Principle of Sustainable Development- Principle of Intergenerational equity; Principle of sustainable use; Principle of equitable use or intergenerational equity; Principle of integration.
• Corporate Sustainability is a business approach that creates long-term shareholder value by embracing opportunities and managing risks deriving from economic, environmental and social developments. corporate sustainability describes business practices built around social and environmental considerations • Key drivers need to be garnered to ensure sustainability - Internal Capacity Building strength; Social impact assessment; Repositioning capability; Corporate sustainability.
• Kyosei philosophy reflects a confluence of social, environmental, technological and political solutions. It works in five stages-- First is economic survival of the company. Second is cooperating with labour. Third is cooperating outside the company. Fourth is global activism, and fifth is making the government/s a Kyosei partner
• In 1999 Elkington developed the concept of the Triple Bottom Line which proposed that business goals were inseparable from the societies and environments within which they operate.
• The emergence of corporate responsibility, from being a niche interest of environmentalist and pressure groups to one public. Concern, has in part, stemmed from the realization that corporate governance and social and environmental performance are important elements of sustained financial profitability.
- Advanced Distribution is an electrical distributor based in Portsmouth that commissioned Grogan's Green Generation to produce a carbon footprint report for 2012-2013.
- The report found a total of 106.599 tonnes of CO2e emissions, with Scope 1 emissions accounting for 37% of the total, Scope 2 emissions accounting for 30%, and Scope 3 emissions accounting for 33%.
- Within Scope 1, natural gas and company-owned vehicles were the largest contributors to emissions. The report provides breakdowns of emissions sources to help Advanced Distribution identify areas for reducing its carbon footprint.
1. The document discusses carbon emissions and carbon credits in Iraq, including tools and software to help companies track and reduce emissions.
2. It outlines four work axes: reducing carbon emissions, managing methane reductions, software solutions, and carbon offsets/markets.
3. Carbon credits represent the right to emit one ton of carbon dioxide and can be traded. Investing in reducing emissions through carbon credits generates financial returns and helps transition to a low-carbon economy.
The document discusses the history and development of social and environmental assurance engagements. It notes that such engagements arose in the 1980s due to increasing pressure on companies to report on their social and environmental impacts. Various standards and regulations were introduced over subsequent decades in the UK and US. The role of auditors in providing assurance on social and environmental reporting is expected to continue increasing given the emphasis on issues like carbon emissions and environmental damage caused by businesses.
As the Coalition Government promises to tear out large sections of the rulebook and relax targets in an attempt to ease the strain on struggling UK businesses, it is tempting to conclude that environmental sustainability initiatives can be put on a backburner. In crisis mode, the country and its commercial entities surely have more pressing concerns?
Keeping the lights on remains one of them and this demands that organisations can continue to balance their books. Evidence has shown that there is a direct correlation between energy efficiency and cost efficiency for a business. As a result, the attention paid to carbon emissions monitoring and management is no longer something that is automatically handed over to corporate social responsibility and marketing teams.
At more astute companies, the discipline is now firmly on the radar of the finance department. If international pledges and government targets around global warming have done anything positive for businesses, it is to encourage them to measure and gain an appreciation for just how much wastage goes on in companies – and how much this is costing them.
The following white paper assesses the current landscape for carbon emission monitoring, exploring not only companies’ regulatory responsibilities for behaving in a more environmentally sustainable way but also how, through systematic, integrated measuring and reporting, they can substantially reduce their internal costs at a time when energy prices and other business costs are escalating at a punishing rate.
To find out more about our carbon accounting solutions please contact us on 01582 714 810.
Stakeholder Debate in Policy Implementation: An Evaluation of Bangladesh Leat...Shahadat Hossain Shakil
This paper focuses on stakeholder debate and conflict during policy implementation. In doing so it analyzed the reason behind the implementation snag of Bangladesh leather processing industry relocation policy, which is extreme stakeholder negotiation. Relevant stakeholders have been identified and their influence over the policy measure has been formulated. Underlying interactions among the stakeholders has been conceptually depicted to retrieve an image of the extreme stakeholder dispute behind this policy failure. Finally, based on the empirical evidence this policy measure has been evaluated in light of the effective participation of the concerned stakeholders.
The document summarizes discussions from a CSR conference in Asia. It describes China's rapid economic growth and resulting environmental issues like air and water pollution. It then outlines CSR practices in different Asian countries, including government environmental policies in China, product certifications in India, collective efforts in Hong Kong, and a company in South Korea that considers suppliers' environmental standards. Main conference discussions centered around defining green GDP and whether CSR should focus on social contributions or public relations for corporations.
Green Commodities: A market-based approach to Sustainable DevelopmentSasin SEC
The document discusses the UNDP's Green Commodities Facility (GCF), a market-based approach to promoting sustainable development. It notes that commodity production is a major sector in developing economies, but often comes with environmental and social costs. The GCF aims to leverage markets to integrate sustainability into commodity production and catalyze markets for premium "green" commodities. Through country programs, the GCF provides support like extension services, financing, and technical assistance to farmers and businesses to produce commodities sustainably and profitably while benefiting the environment and communities.
Stakeholder Debate in Policy Implementation:An Evaluation of Bangladesh Leat...Shahadat Hossain Shakil
This paper focuses on stakeholder debate and conflict during policy implementation. In doing so it analyzed the reason behind the implementation snag of Bangladesh leather processing industry relocation policy, which is extreme stakeholder negotiation. Relevant stakeholders have been identified and their influence over the policy measure has been formulated. Underlying interactions among the stakeholders has been conceptually depicted to retrieve an image of the extreme stakeholder dispute behind this policy failure. Finally, based on the empirical evidence this policy measure has been evaluated in light of the effective participation of the concerned stakeholders.
This document provides an overview of carbon finance and the World Bank's Carbon Finance Business. It discusses the costs of climate change and mitigation efforts, international responses to climate change including the Kyoto Protocol, and how the World Bank works to facilitate carbon market projects through carbon funds. The World Bank manages over $2 billion for carbon finance projects focused on energy efficiency, industrial emissions, and reforestation. The funds provide upfront financing to developing countries in exchange for verified emissions reductions.
Over 1000 companies now disclose using or planning to use internal carbon pricing to address climate change risks and opportunities. The number of companies reporting an internal carbon price has tripled since last year, with especially large increases in the US, Canada, Asia, and Africa. Companies apply internal carbon prices ranging from $2-150/ton to inform investment decisions and transition to low-carbon operations. Growing use of carbon pricing signals it is now standard practice for mainstream business decision-making.
Addressing HFCs Under the Montreal Protocol and Indo-US Task Force on HFCsUNEP OzonAction
The document discusses addressing HFCs under the Montreal Protocol and the Indo-U.S. Task Force on HFCs. It notes the projected growth of HFCs as replacements for ozone depleting substances and highlights alternatives that are available now or in development. It outlines the North American proposal to phase down HFCs and control HFC-23 byproduct emissions, which could potentially reduce greenhouse gas emissions by over 87,000 million metric tons by 2050. An Indo-U.S. workshop was held to discuss transitioning away from HCFCs in key sectors to lower global warming potential alternatives.
Conceptual Framework for Carbon foot printing a Bank’s Operations: A Case of ...Alfred Bimha
The paper was presented at the 4th International Conference on Financial Services (Previously known as the International Banking Conference). It was held from the 2nd to the 4th of October 2013 at the Sun International Wild Coast Sun, South Africa. The Theme of the Conference was 'Critical Transition in Financial Services'
This document discusses several topics related to climate change, including:
1. Research on Ireland's potential storage capacity for carbon dioxide emissions, totaling up to 93,000 megatons but with a practical storage potential of 1,505 megatons.
2. Phenology research on how plants and animals are responding to increasing temperatures, such as earlier leafing and flowering dates in trees and earlier arrival dates for migrating birds.
3. A Teagasc research program studying opportunities to make farming practices in Ireland more carbon efficient through approaches like improving nutrient efficiency and using clover crops. The program aims to reduce greenhouse gas emissions without negatively impacting agricultural productivity.
Doi center in kisti(english 20100315(for sending)KISTI
This document discusses KISTI's DOI Center and its efforts to promote Korean scientific journals internationally through DOI assignment and deposition. It provides an overview of the status of Korean scientific publishing, KISTI's methodology for working with publishers and distributors, business models, membership details, activities in 2009 like DOI assignment, CrossRef deposition, and response page management, and plans for 2010 including expanding DOI assignment and deposition and global database registration. The goal is to increase global access, usage, and citation of Korean scholarly journals.
Session 1 monteiro regional trade agreements and the environmentOECD Environment
This document provides an overview of environmental provisions in regional trade agreements (RTAs). Some key points:
- 278 out of 284 RTAs notified to the WTO between 1957-2017 include some environment-related provisions.
- There are over 60 different types of environmental provisions that have been identified, covering issues like domestic environmental laws, multilateral environmental agreements, environmental goods and services, natural resource management, and dispute settlement.
- The frequency and scope of environmental provisions has increased over time, especially in more recent RTAs. Developed countries tend to have more extensive environmental provisions compared to developing countries.
- Common types of provisions relate to enforcing domestic environmental laws, upholding obligations under multilateral environmental agreements
The Science Based Targets initiative champions science-based target setting as a powerful way of boosting companies’ competitive advantage in the transition to the low-carbon economy.
Since officially launching in June, 2015, up to 23 June 2017:
279 Companies Part of SBTi Call to Action
157 Committed companies have submitted targets
51 Approved and listed targets
2.6 Companies joining the initiative on average every week
Corporate Social Responsibility (CSR) – Environmental Protection or Creating ...Shahadat Hossain Shakil
Corporate Social Responsibility (CSR) – Environmental Protection or Creating Disguise?
The promotion of environmental responsibility amongst transnational corporations (TNCs) has become an important topic of debate in recent years. While government regulation might achieve environmental goals in a blunt manner, business community argues that voluntary measures can achieve them in a more efficient way (Utting and Marques 2010; Clapp 2005). One of the commercial drivers of private forms of (self) regulation, such as ISO 14001 standards, is desired to keep smaller firms out of profitable markets by raising the barrier to entry and increasing the costs of compliance with standards (Clapp, 1998, cited in Newell and Levy 2006).
Tobacco companies for instance claim that they are engaged in CSR because of being concerned corporate citizens. In reality, CSR activities cost tobacco companies very little in relation to their annual profits. In 2009, British American Tobacco (BAT) spent USD $22.3 million on CSR compared to the USD $4.8 billion it earned in profits (TFK 2011).
BAT runs several CSR program in Bangladesh notably, Afforestation Program - to offset the deforestation (30% of the country total; TFK, 2011) caused during tobacco drying and Sustainable Agriculture - to minimize the environmental degradation (BATB 2010; Ahmed 2012). Which are greatly outweighed by the detrimental effects of smoking and now illegal in Bangladesh as a signatory of Framework Convention on Tobacco Control (WHO 2013).
On the other hand, ‘[c]corporations performed as shapers and negotiators of environmental rules as well as play central position in informal governance of the environment that derives from their daily operations. Corporations play multiple and potentially conflicting roles as lobbyists, experts, (self) regulators and providers of the capital and technologies necessary to realize environmental policy goals’ (Newell and Levy 2006).
In contrast, recent years have seen a number of cases of ‘accidental’ or ‘unintentional’ releases of genetically modified organisms (StarLink, Bt10 maize, Liberty Link RICE 601). Behavior of the firms responsible for the illegal releases in these three cases raises important questions about the effectiveness of voluntary corporate responsibility measures. Which demands strong regulatory rules to incorporate regular external monitoring and oversight by governments, as well as more stringent penalties and assignment of legal liability, alongside voluntary codes (Clapp 2008).
This document summarizes research conducted by Imperial College London University on the socio-economic impacts of carbon offsetting. The research found that for every 1 tonne of CO2 reduced through an offset project, an additional $664 of benefits are delivered in the form of economic, social and environmental benefits to local communities. These benefits include job creation, household savings, health benefits, and environmental conservation. The research also found that carbon offsetting provides tangible business benefits for companies participating in offset programs, such as improved reputation, increased employee engagement, and market differentiation. Companies are willing to pay a premium for offsets that have verified social, economic and environmental co-benefits.
Carbon Footprint Assessment of Textile IndustryIRJET Journal
This document discusses carbon footprint assessment of the textile industry. It begins by providing background on global warming, climate change, and carbon footprints. It then discusses how calculating carbon footprints is important for understanding an organization's environmental impact and finding ways to reduce emissions. The document focuses on assessing the carbon footprint of a textile company in India called Baldev Textile Mills Pvt. Ltd. It discusses methods for reducing carbon footprints, including becoming carbon neutral through offsets and investing in renewable energy and energy efficiency. Government policies in India aiming to reduce emissions and companies pledging to go carbon free by certain deadlines are also mentioned.
Datang International is a major Chinese power company that discloses carbon information in its social responsibility reports. The summary analyzes:
1) Datang International's carbon disclosure includes monetary information like environmental fees and subsidies, and non-monetary strategies, measures, and goals.
2) Disclosed strategies commit to green development and increasing clean energy, but some details are lacking.
3) Carbon reduction measures focus on upgrading generator units, developing clean energy, and conserving resources. However, some financial data is not reported.
This document provides an overview of consumption-based greenhouse gas emission inventories (CBEIs) for local governments. It discusses that CBEIs account for emissions generated outside a city's borders to produce goods and services for residents, which can be significant and equal to on-border emissions. CBEIs reveal where local consumption causes offshore emissions and suggest additional emission reduction opportunities. The document describes methods for developing CBEIs using spending or physical data and input-output models or life cycle analyses, and considerations for choosing approaches based on purpose, audience, data availability, and policy relevance.
FOR CS PROFESSIONAL, CA, CMA
Sustainable Development
• Role of Business in Sustainable Development
• Sustainability Terminologies
• Corporate Sustainability
• Corporate Sustainability and Corporate Social Responsibility
• KYOSEI & TRIPLE BOTTOM LINE (TBL)
• One of the fundamental characteristics of a corporate is perpetuity. In the eyes of law, it is treated as a separate legal entity which can hold assets and bear liabilities, can sue and be sued.
• The word sustainable is derived from sustain or sustained. The synonyms of the word sustained as per the Collins Thesaurus include perpetual, prolonged, steady.
• Sustainable development is a broad, concept that balances the need for economic growth with environmental protection and social equity.
• WCED recognized that the achievement of sustainable development could not be simply left to government regulators and policy makers. It recognized that industry has a significant role to play.
• Four fundamental Principle of Sustainable Development- Principle of Intergenerational equity; Principle of sustainable use; Principle of equitable use or intergenerational equity; Principle of integration.
• Corporate Sustainability is a business approach that creates long-term shareholder value by embracing opportunities and managing risks deriving from economic, environmental and social developments. corporate sustainability describes business practices built around social and environmental considerations • Key drivers need to be garnered to ensure sustainability - Internal Capacity Building strength; Social impact assessment; Repositioning capability; Corporate sustainability.
• Kyosei philosophy reflects a confluence of social, environmental, technological and political solutions. It works in five stages-- First is economic survival of the company. Second is cooperating with labour. Third is cooperating outside the company. Fourth is global activism, and fifth is making the government/s a Kyosei partner
• In 1999 Elkington developed the concept of the Triple Bottom Line which proposed that business goals were inseparable from the societies and environments within which they operate.
• The emergence of corporate responsibility, from being a niche interest of environmentalist and pressure groups to one public. Concern, has in part, stemmed from the realization that corporate governance and social and environmental performance are important elements of sustained financial profitability.
- Advanced Distribution is an electrical distributor based in Portsmouth that commissioned Grogan's Green Generation to produce a carbon footprint report for 2012-2013.
- The report found a total of 106.599 tonnes of CO2e emissions, with Scope 1 emissions accounting for 37% of the total, Scope 2 emissions accounting for 30%, and Scope 3 emissions accounting for 33%.
- Within Scope 1, natural gas and company-owned vehicles were the largest contributors to emissions. The report provides breakdowns of emissions sources to help Advanced Distribution identify areas for reducing its carbon footprint.
1. The document discusses carbon emissions and carbon credits in Iraq, including tools and software to help companies track and reduce emissions.
2. It outlines four work axes: reducing carbon emissions, managing methane reductions, software solutions, and carbon offsets/markets.
3. Carbon credits represent the right to emit one ton of carbon dioxide and can be traded. Investing in reducing emissions through carbon credits generates financial returns and helps transition to a low-carbon economy.
The document discusses the history and development of social and environmental assurance engagements. It notes that such engagements arose in the 1980s due to increasing pressure on companies to report on their social and environmental impacts. Various standards and regulations were introduced over subsequent decades in the UK and US. The role of auditors in providing assurance on social and environmental reporting is expected to continue increasing given the emphasis on issues like carbon emissions and environmental damage caused by businesses.
LO 8.3 Explain the current initiatives in environmental andGerard Ilott
The document discusses current initiatives in environmental and sustainability accounting. It mentions the International Integrated Reporting Committee (IIRC) which was formed in 2010 and aims to make integrated reporting the global corporate reporting standard. While integrated reporting has grown in popularity, it has not replaced IFRS. The document also discusses accounting for externalities, climate change responses, economic responses like cap and trade systems and carbon taxes, and the use of social audits by organizations to review their social and environmental performance and impact.
Curb it balance it emission management &cc using sap (2)Prakash Wagh
The document discusses strategies for businesses to reduce their carbon emissions and improve their carbon footprint. It recommends a "Curb it, Balance it" strategy of both reducing direct emissions and offsetting remaining emissions through carbon credits. A six-step approach is outlined: 1) understand compliance obligations, 2) develop an emissions strategy, 3) create short and long-term plans, 4) operationalize plans, 5) generate reports and dashboards, and 6) continuously review and improve. Integrated IT systems and cross-functional collaboration are important to effectively manage emissions compliance.
Summary of Views of International Nongovernmental StakeholdersObama White House
European industry groups have generally supported their governments' climate change policies and the Kyoto Protocol framework. While some companies oppose restrictions on market mechanisms and want developing country participation, most have not openly opposed the treaty. UK industry is most engaged due to government policies. Major corporations like BP and Shell support market mechanisms and have set emissions reduction targets. European environmental groups prefer command-and-control over market mechanisms and view the Kyoto targets as too modest.
Corporate Social Responsibility review n.2 (August2015)Snam
The document discusses various topics related to corporate social responsibility (CSR). It discusses Snam's CSR strategies around supply chain management and sustainability reporting. It also discusses Deutsche Bank's employee volunteering initiatives and green bonds as a growing market. Lastly, it summarizes an international CSR conference, the G7 summit agreement on climate change, and opportunities in the sharing economy.
Environmental economics is an area of economics that studies the financial impact of environmental policies. Environmental economists perform studies to determine the theoretical or empirical effects of environmental policies on the economy. This helps governments design appropriate environmental policies and analyze the effects and merits of existing or proposed policies. Environmental economics studies the impact of environmental policies and devises solutions to problems resulting from them. Environmental economics can either be prescriptive based or incentive based. A major subject of environmental economics is externalities, the additional costs of doing business that are not paid by the business or its consumers. Another major subject of environmental economics is placing a value on public goods, such as clean air, and calculating the costs of losing those goods. Since some environmental goods are not limited to a single country, environmental economics often requires a transnational approach. Dr. Shahina Parvin "Environmental Economics - A Review" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-6 | Issue-5 , August 2022, URL: https://www.ijtsrd.com/papers/ijtsrd51699.pdf Paper URL: https://www.ijtsrd.com/economics/other/51699/environmental-economics--a-review/dr-shahina-parvin
There is growing momentum for carbon pricing among governments and companies worldwide. Over 60 companies have now aligned with the Business Leadership Criteria on Carbon Pricing, committing to set an internal carbon price, advocate for carbon pricing policies, and report on progress. Companies are exploring carbon pricing to prepare for regulations, meet emissions targets, and respond to investor demands. While carbon pricing can be complex, companies generally take one of three approaches to internal carbon pricing: implicit pricing, shadow pricing, or internal taxes/fees. This guide provides best practices to help companies implement the criteria and leverage carbon pricing as a strategic tool.
Companies can set science-based climate targets to prepare for risks and opportunities from climate change. The new Sectoral Decarbonization Approach (SDA) methodology divides the remaining global carbon budget between sectors based on their mitigation potential. It then sets targets for companies based on their sector's emissions trajectory. Over 100 major companies have already committed to setting science-based targets using this approach.
This position paper from the Ecodesign Centre discusses links between Wales' proposed Sustainable Development Bill and Innovation Strategy. It argues that ecodesign can play a key role by helping businesses reduce costs and risks from rising resource prices while driving innovation. The paper outlines several strategic levers where ecodesign links the two policies, such as addressing energy demand and facilitating sustainable consumption. It recommends actions for the Welsh government, including leveraging procurement to create sustainable markets and aligning R&D funding to support sustainable products and services.
Letter from global investor networks to the governments of the worlds largest...Dr Lendy Spires
This letter is from several global institutional investor networks representing over $22.5 trillion in assets to the governments of major economies. It calls for a new dialogue between investors and governments on climate policy to reduce climate risk and encourage low-carbon investment. Specifically, the letter urges governments to implement strong, predictable policies that incentivize low-carbon investments through mechanisms like emissions reductions targets and carbon pricing, while also phasing out fossil fuel subsidies. Investors note they are already taking action on climate change but governments must do more to transition economies to low-carbon through supportive policy frameworks.
Going Green: A Holistic Approach to Transform Business IJMIT JOURNAL
In recent years environmental and energy conservation issues have taken the central theme in the global business arena. The reality of rising energy cost and their impact on international affairs coupled with the different kinds of environmental issues has shifted the social and economic consciousness of the business community. Hence, the business community is now in search of an eco-friendly business model. This paper highlights the concept of green business and their needs in the current global scenario.
There is increasing pressure on energy producers from climate risks. One key concept which is gaining prominence in lieu of the risks is “Carbon Bubble” and the related impact of divestment movement. As a part of the Paris climate agreement, 192 countries reaffirmed their commitment to reduce emissions and limiting the global temperature increase to less than 20C. Energy producing companies are under scrutiny from investors, shareholders, employees and customers and other related stakeholders to reduce carbon footprint and to demonstrate that their business are aligned to help build an efficient “Low Carbon Portfolio”. The goal is to channelize investments, assess climate risks and opportunities and mitigate future climate change trajectories, align it as key service for fossil fuel energy divestment, portfolio and asset management.
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FACTORS CONTRIBUTING AN ORGANIZATION TO INVEST IN CARBON OFFSET PROJECTS-IJMSS
1. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
International Journal in Management and Social Science (Impact Factor- 4.358)
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International Journal in Management and Social Science
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FACTORS CONTRIBUTING AN ORGANIZATION TO INVEST IN CARBON OFFSET PROJECTS
Batro Nakoli Ngilangwa
Conservation & Community Development Field Manager
Friedkin Conservation Fund,
P.o.Box 2782, Arusha, Tanzania, East Africa
Abstract.
The increase of climate change impacts such as floods, rise of sea level and long drought periods has
forced many countries to formulate and enforce effectively environmental regulations. However it is
through undertaking carbon offset projects that help to reduce these impacts. This has been enabled
many organization to comply with these environmental regulations. The study explores why an
organization can be interested in investing in carbon offset projects. Based from the empirical literature
review, findings of the study argued that compliance to the environmental regulations are the main
driving force for an organization to invest in carbon offsetting projects. However, an organization can go
beyond voluntarily to invest in order to increase energy efficiency and its supply sustainability. Moreover,
an organization can undertake carbon offset projects due to rise of the cost of raw materials, improving
values of shareholders, market pressure from the consumers, to increase product competition and as a
corporative social responsibility.
Key words: Carbon offset project, Carbon trading, corporate social responsibility, compliance carbon
offsetting, voluntary carbon offsetting.
Introduction
Carbon offset is a reduction of greenhouse gas in the atmosphere being produced by an organization
directly or compensate that is produced somewhere by another organization (Lovell et al.2009). Since
the adoption of Kyoto protocol in 1997, there is a growing interest of both individual and organization to
participate in reducing the greenhouse gas emissions. Therefore the study will discuss what factors can
results an organization to be interested in investing in carbon-offset project. I argue that under climate
change regime, an organization can undertaking carbon offsetting project being motivated or driven and
is inevitable. Due to currently international climate change policies and business competitiveness, an
organization find in motion of even going beyond its internal environments. Many organizations
currently are seeking to achieve production efficiency by reducing consumption of energy, corporative
social responsibility and seeking value to shareholders. Furthermore in long run this makes an
organization environmental proactive which build trust and positive image to the society and also
improves its financial performances and sustainability for an organization.
An organization can be interested to invest in carbon offset projects through being motivated and
driven by external pressures such as national regulations and non-governmental organizations but also
to increase profit (Okereke 2007 and Vithessonthi 2009). Chan (2005) added that due to increasing
demand of green products, most firms are motivated to undertake carbon management that increases
2. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
International Journal in Management and Social Science (Impact Factor- 4.358)
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International Journal in Management and Social Science
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energy efficiency and profits. Through being motivation or driven an organization can adopt several
measures in undertaking carbon management projects. Okereke (2007) pointed out some of the
measures that a firm can adopt such as offsetting schemes that are mainly done through Clean
Development Mechanism, Joint Implementation and Emission Trading. In order to increase efficiency
and cost of operation, an organization can opt to use renewable energy such as solar or biofuels instead
of using fossil fuels. Furthermore an organization can change new equipment and searching for
substitutes of the carbon efficiency product. The investment through environmental education and
awareness rising to the community is also one of the measures towards climate change where an
organization can undertake. Current most of organizations are producing brochures and advertising
through their websites or media on climate change impacts and how to avoid. Furthermore many
organizations are advertising to the public how they are committed on reducing greenhouse gases
through their production activities (Okereke 2007).
Research material and Methods
Research design
Robson (1993) and Moran – Ellis (1994) have argued that research design draws on information for
answering research questions which will give overview of the study and its conclusion. Like wise the
design of the study comprises three parts namely purpose of study, research questions and the method
used for collecting data.
The purpose of the study undertaken is to evaluate why an organization can be interested in
undertaking carbon-offset projects. The study will also cover on the factors that motivate and limit the
firm to undertake carbon offset projects.
Research question
Based on the general research question, several questions have been structured which used for
answering the main essay question. These questions are,
1. What factors motivate or drive an organization to undertake carbon offset project?
2. What are the advantages and disadvantages for the firm to invest in carbon offset projects?
3. What are the cost effective ways for an organization to undertake carbon offset projects?
4. What are the constraints and criticism of carbon offset projects?
Research methodology
Literature review was the only methodology used for collecting data that used to answer the research
questions of the study. Through an intensive literature review the collection of relevant journals, reports
and information from official websites were used. Among the journals used were journal of business
review, Harvard Business Review, The journal of Business Strategy, The Corporation Ethics and the
environment, Natural Resources Journals and Journal of management. Moreover the official website
used during the collection of data was REDD+, UNFCCC, IPCC, WBCSD and NGER.
3. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
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International Journal in Management and Social Science
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Empirical literature review
Carbon market
Under Kyoto protocol carbon is regarded as a product being sold and purchased in the market. However
it differs from other commodities of being not tangible whereby buyers or consumer do not receive
directly during the transaction process. Therefore the product (carbon) brings signification and
financially worth through media advertisement, certificates, circulars, booklets and through receiving
compensated packaged products. Moreover the United Nation Framework Convention on Climate
change (UNFCCC) (Kyoto Protocol) carbon market deals with six Kyoto Protocol greenhouse gases, which
are carbon dioxide (CO2), methane (CH4), Nitrous oxide (N2O), Sulfur hexafluoride (SF6), Hydro
fluorocarbons (HFCs) and Per fluorocarbons (PFCS) (IPCC 2007). However because carbon dioxide is the
most common and abundant anthropogenic greenhouse gas, all other Kyoto protocol greenhouse gases
are calculate in tones of carbon dioxide equivalent (tCO2e) (Bumpus 2011). Bailey and Maresh (2009)
have argued that through the use of Global Warming Potential (GW) of 1 tone of carbon, carbon dioxide
is being used as a baseline indicator to all other greenhouse gases of Kyoto protocol.
Carbon trading
Carbon trading by definition is the market based tool that is used for the aim of reducing emissions of
greenhouse gases through trading of emissions of all six Kyoto protocol gases (Perdan and Azapagic
2011). Therefore through carbon trading schemes, an organization can effectively offset carbon
mandatorily or voluntarily based (IPCC 2007). There has been several mandatory carbon trading scheme
that are operating currently in different regional and countries. According to the UNFCC (1998)
worldwide the current operating mandatory carbon trading are the European Union Emission Trading
System (EU ETS), the Regional Greenhouse Gas Initiative (RGGI), New Zealand Emission Trading Scheme,
Tokyo Metropolitan Trading Scheme and the New South Wales Greenhouse Gas Abatement Scheme
(Australia). Despite of the fact that voluntary carbon offset currently is unregulated (Lovell et al.2009),
worldwide there are several voluntary carbon trading schemes.
Since 1997 in Kyoto Japan during the UNFCCC conference, the carbon market became possible by
voluntarily agreement with over 30 industrialized countries, which adopted the greenhouse gases
emissions reduction initiatives (IPCC 2007). Carbon market is gaining interest and growing rapidly since
1997 whereby apart from reducing greenhouse gases emissions, the projects helps to achieve
sustainable development by reducing the rural poverty in developing countries (Thomas et al. 2010,
Yowel & Ferrell 2005 and Bumpus 2011). Carbon markets depend highly on both national and
international political decisions on environmental regulations and laws. Under the cap and trade
scheme, carbon markets operates through production of emissions reductions by either using project
based transaction or emission allowance based trading of the greenhouse gases.
0peration of the carbon offset projects
Carbon offset projects aimed to minimize or remove the greenhouse gases emissions in order either to
compensate the emissions made by the organization itself or made elsewhere. Carbon offset provides a
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link between an organization, the natural environment (ecology) and social- economic activities
(Bumpus 2011 and Bailey & Maresh 2009). It is also operated through the carbon markets using cap and
trade or emission reduction allowances. According to the Intergovernmental Panel on Climate Change
(IPCC 2007) through Kyoto protocol the binding emission allowances are set and agreed to each country
to be reached at a specific period of time. Furthermore at national level the climate policies set and the
government issue the achievable emission allowances cap or goal that will be achievable by every
organization that in long term will be summed up to the total reduction target of the country to the
Kyoto protocol commitments. The organization is required to emit the amount of greenhouse gases of
equal or less than the permitted emissions allowances and these emissions permits are issued in the
open market (IPCC 2007).
Furthermore if an organization failed to meet the required emissions reduction and emitted in excess,
has to buy certified offset credits to recover the excess emissions while if reduced emissions successfully
even below the allowed cap, the company can sell the emission permits in the open market or bank in
for future uses. Each country has to undertake on going compliance monitoring at regular intervals
example the National Greenhouse gases and Energy Reporting (NGER) in Australia.
Findings and Discussion
During evaluation of factors that either motivate or drive an organization to be interested investing in
carbon offset projects, six findings emerged. These are (1) compliance carbon offsets (2) voluntary
carbon offsets (3) growing relationship between an organization activity and natural environment (4)
corporate social responsibility (5) Increases of public pressure towards climate change impacts and
mitigations measures and (6) rise in the cost of raw materials and energy as well as maintaining the
sustainability supply of energy.
Figure 1: Internal and external factors that motivate or drive an organization to undertake carbon-offset
project.
Source: Author’s design, 2015
N.B: The study identified that voluntary carbon offset can be pre step to compliance scheme.
5. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
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Compliance (regulatory) carbon offsetting
According to the United Nations Framework Convention on Climate Change (UNFCCC), compliance
carbon market is the legal binding between the Kyoto protocol and all ratified developed countries of
Annex 1 and economies in transition to reduce their greenhouse gases emissions. With example during
2008 – 2012 they signed to reduce by 5 percent of their greenhouse gases emissions. However these
countries meet their target through three Kyoto flexible mechanisms namely Clean Development
Mechanism (CDM), Joint Implementation (JI) and Emissions Trading (ET)(Caney 2010). The Clean
Development Mechanism is the most effective and efficient with cost effective way of reducing
greenhouse gases emission than the other mechanisms (Bernstein et al. 2010). By using flexible
mechanisms organizations from ratified countries uses carbon credits under legal framework to
reducing the greenhouse gases emissions. Moreover compliance credits are offered under international
regulations and being utilized essentially by nation, state, offset organization and carbon entrepreneurs
who already have experience about it (Lovell et al.2009).
Pinkse and Kolk (2005) described that climate change policies has motivated and driven many
organizations to identify business strategies that help to respond to climate change and to enhance their
financial performances. Organizations undertake climate change mitigation initiatives while undertaking
their business strategic alternatives as well. The flexible mechanisms for reducing greenhouse gas
emissions seems to be very effectively adopted by an organization in attaining emission reduction
strategies through carbon offset projects (Eberlin and Matten 2009). Due to the flexibility of greenhouse
gas reduction schemes, an organization can either buy emission credit or improve its facilities by
adopting new environmental innovation that can results into greenhouse gas emission reduction (Caney
2010).
However the adoption and applicability of greenhouse gases emission reduction policies by an
organization is highly influenced by the commitment of politicians toward national climate change
policies (Pinkse and Kolk 2005). With example of European Union where “cap and trade” scheme is
more adopted by the energy intense industries. Through the cap and trade scheme an industry can be
allowed to emit a certain amount of greenhouse gas which helps the country to achieve its international
commitment of reducing emission. Whereby in the United States of America, voluntary carbon offset is
more developed for motivating companies to reduce or compensate reduction of greenhouse gases.
However despite of an organization undertaking carbon offset projects to comply with the current or
anticipate the future environmental regulations, the presence of market based incentives plays an
important role on motivation. Khanna et al. (2007) argued that on the other side of environmental
regulations compliance, an organization can be motivated to undertake carbon offset projects due to
the presence of market based incentives for enhancing environmental friendly performances.
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Beyond environmental regulation compliance
Voluntary (unregulated) carbon offset
Figure 2: Voluntary carbon offset outcomes
Source: Author’s design 2015
Lovell et al. (2009) argued that voluntary offset projects are smaller projects having cost effect on
transaction costs, efficient and immediately in reducing greenhouse gas emission in the atmosphere. It
is the fast developing carbon-offset option that motivates more individuals and corporations in reducing
greenhouse gas emission (Bernstein et al. 2010). Like the clean development mechanism, voluntary
carbon offset projects do not enhance greenhouse gases reduction but also enhance sustainable
development through poverty alleviation in developing countries. Moreover voluntary carbon offset
projects are flexible and focuses more on sustainable development and being operated in unregulated
way. Furthermore, Bumpus (2011) added that the voluntary carbon offset credits are accredited to one
or more private organization standards and are utilized by individuals or an organization. It is the most
effective way in reducing greenhouse gas emission after identifying that the “command and control”
cannot be the only means to overcome climate changes impacts and has some limits (Lovell et al. 2009).
The voluntary carbon offset schemes has made the Unites States of America to be one the most country
to be environmental proactive and resulted into formulation of many climate change regulations such as
the “Clean Air Act” and “Climate bill S.1733” (Dorothy et al. 2003 and Pierre 2010).
Pinkse & Kolk (2005) and Bernstein et al. (2010) have argued that just like from its name (voluntary) the
operation of voluntary carbon offset is voluntarily based to the individual or an organization. Normally
individual, company or any emitter volunteer to offset its greenhouse gases emission through
purchasing emissions credits from authorized company or individual and the money received will be
used to implement project that will help to reduce greenhouse gases such as tree planting, renewable
energy and energy efficiency. It provides an individual or company with flexible options in reducing the
greenhouse gases in the atmosphere.
Voluntary offset
projects
Environmental management
commitment
Corporative social responsibility
Economic responsibility
7. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
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Organizations normally buy offsets in order either to build positive public image, relationship, gain
financial opportunities or to be carbon neutral. Perdan and Azapagic (2011) outlined several voluntary
carbon trading schemes in several countries such as Japan, China, South Korea, Australia and United
States of America such as California voluntary carbon market. Like in clean development mechanism
projects, voluntary carbon offset projects its integrity and quality are well monitored and assessed.
Bernstein et al. (2010) and Pierre (2010) mentioned several known standards that keep tracking these
projects such as the Gold standard, Panda standard (China), Climate, Community and Biodiversity
(CCBS), the climate action reverse protocol and the voluntary carbon standard.
Relationship between an organization’s activities and the natural environment
Increasing effects of global warming has resulted a growing concern for many organizations on reducing
the impacts of their activities to the environment. Moreover as pointed out by Chan (2005) that there
has been also a raising concern on formulating environmental regulations at national and international
level that has been fueled by what he called “environmentalism”.
Based on the concept model of Natural Resource- Based View (NRBV), currently the sustainability of the
firm is much influenced by its natural environment (Hart 1995 and Hart & Dowell 2010). Apart from
improving internal factors of an organization that improves financial performance, external factors such
as maintaining the natural environment is the major key agenda among the investors. Porter and Van
der Linde (1995), Cronin et al. (2011) and Eiadat et al. (2008) both have pointed that caring about the
environment is inevitable for any organization despite of the fact that there are several challenges. The
consideration is needed from accessing raw material up to the consumer level. There has been a
growing concern of environmental friendly production the scientists and researchers especially during
designing and innovating processing machines that can result into reduction of pollution. Hart (1995)
added that designing competitive advantage of an organization must be focused on three aspects
namely, high quality product or service, reducing negative externalities through processing and caring
about the future of the firm and the environment. Moreover with regard to the above mentioned
aspects together with either compliance or voluntarily commitment on reducing the greenhouse gas
emission from an organization, carbon offset projects becomes more likely to be invested by an
organization.
Hart (1995) mentioned three components of the natural resource based view as pollution prevention,
product stewardship and sustainable development that are inter-related to one another. These three
components drive an organization into better and sustainable financial performance. The natural
resource based view enables an organization to be proactive in balancing the three aspects of economic,
social and environment (Hart & Dowen 2011, Michael and Stinchfield 2010 and Victor et al. 2012).
Carbon offset projects can be undertaken when an organization is preventing or controlling pollution in
its production. However pollution prevention involves replacement or improvement of
production/services system, which enhance production efficiency, and also improves product
stewardship (Hart and Dowell 2011). Chan (2005) added that the current emerging economy of an
organization is linked with the Natural Resource Based View. Amores and EBook Corporation (2013)
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have argued that the efficient environmental innovation of an organization leads to better firm
performance and sustainability in its business, therefore motivates more an organization to invest in
carbon offset projects.
It is obvious that currently an organization is much interested to go beyond even the compliance in
order to achieve more profit. Product stewardship that involves product design and innovation attract
more consumers while also help to improve pollution reduction as argued by Hart and Dowell (2011).
Therefore in doing so an organization achieves dual goals of improving the natural environment and
enhancing its financial condition (Johannson 2006 and Judge & Douglas 1998). Sustainable development
as the third component of natural resource based view of the firm brings the firm more closely to the
environment and the society (Hart 1995). Apart from making the firm sustainable in its function more
concern is also focused to the society and reducing the environmental impact. Therefore due to
influence of natural environments towards an organization, an organization is likely to be interested in
investing carbon offset projects.
Corporate social responsibility
Several researchers have been defined the term Corporate Social Responsibility (CSR) into different
ways. However according to the World Business Council for Sustainable Development (WBCSD),
Corporative Social Responsibility is defined as “The commitment of a business to contribute to
sustainable economic development, working with employees, their families, the local community and
society at large to improve the business and their quality of life”. Through undertaking corporative social
responsibility, the firm improves advertisement of its products or services and also helps to shape the
firm to reduce or stop any activity that will results into negative impacts to all stakeholders involved.
Moreover corporative social responsibility creates a sustainable future for the business, society and the
environment (Hart 1995).
Despite of the fact that the core objective of any firm is to make as much profit as possible together with
sustaining the business, however there is a growing concern for many firm to involve corporative social
responsibility in the production process. Corporative social responsibility enable the firm to develop
positive consideration and values to the firm’s shareholders as well as other stakeholders including the
society in general, hence improves financial performance of the firm. Because of growing awareness and
concern of firm’s corporative social responsibility, firm concern on undertaking offsetting projects also
increases because the firms want to have a positive reputation to all stakeholders. Chan (2005) argued
that the growing concern of corporative social responsibilities have also increased the demand for the
firm to undertake intensive environmental management strategies that help to reduce pollution and
other environmental impacts produced by the firm.
Moreover Hart (1995) and Sroufe et al. (2000) have argued that due to raising competition in the
business industry that has been fueled by globalization, has resulted a growing awareness among the
consumers to demand green products that automatically force the firm to undertake carbon-offsetting
projects. Shrivastava (1995) also added that corporation are the major driving wheel for the firm and in
the society by motivating people to buy and use green products in an environmentally friendly way.
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Therefore through undertaking carbon offset projects, the firm build positive image towards the society.
Chan(2005) show that there is a great inter-relationship between corporative social responsibility,
financial performance and reducing environmental impact from the firm’s activities.
Okereke (2007) addressed the key role played by corporative carbon reduction program towards climate
change. More organizations are being motivated to work in a corporate way which also helps to
understand better environmental regulations and act accordingly. Through creating strong corporative
social responsibilities, improves firms core values which stimulates purchasing behavior to the consumer
hence improves firm’s financial performances. Corporative social responsibilities enable the firm to get
involved into a wide spectrum through involving different sectors and stakeholders into operation.
Through corporative environmental transformation, firms are very proactive towards environmental
issues even than the command and control model that undertake environmental problems in a
disintegrated way (Shrivastava and Hart 1994).
Furthermore a corporative social responsibility plays a key role for the firm to achieve ecological
sustainability (Hart 1995). Since the adoption of Kyoto protocol, there has been an increasing
responsibility for both individual, companies, country and regional to make sure that emission of
greenhouse gases are reduced as much as possible for every activity (Johansson 2006). Moreover under
the firm perspectives, the raising awareness of the impact of greenhouse gas emission in the
atmosphere has triggered positively many firms to make sure that their activities are not impacting the
environment (Judge and Douglas 1998). Through corporate social responsibility an organization achieve
ecological sustainability that helps to go beyond compliance and attain societal obligations.
Kibert and Ebook Corporation (2012) both have argued that the relationship between firm and
shareholders drives the firm toward environmental sustainability. While the firm is struggling on
performing better financially for shareholders, there is also an increasing concern on providing
competent well being as a social responsibility. Shareholders are expecting to get return to what they
have invested in the firm at the same time they want to see the firm has a positive reputation to the
society that is an integral part in enhancing financial performance for the firm (Chan 2005). Moreover
Buysse and Verbeke (2003) added that the firm need to be environmental proactive through
formulation and implementing good environmental design and regulation that can lead to produce
green product or services under green supply chain. However the firm its self cant achieve green
product and supply chain unless it plays corporate social responsibility in a wide spectrum from
accessing raw materials, product processing, packaging, supply (transportation) and packaging for the
consumers (Johansson 2006). Therefore as the firms engage more in manufacturing/providing green
product and supply, it builds more trust to the society hence and positive image which in turn increases
purchasing power.
Eiadat et al. (2008) argued that apart from the increasing relationship between the firm and its
shareholders as stated above, the emergence relationship between green products and competition is
another aspect that motivates firm to undertake carbon offset projects. The accelerating rates in the
relationship between green products and completion, many firms are investing in the research of
10. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
International Journal in Management and Social Science (Impact Factor- 4.358)
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efficient new product development produced in appropriate environment (Pujari et al. 2003).
Consumers and all stakeholders needed to be assured about the safety of the product while at the same
time the firm needs to inform them towards its commitments in reducing greenhouse gases emissions
which is undertaken through carbon offset projects.
Shrivastava and Hart (1994) have added that for many decades environmental responsibility was
considered to be expensive and most of the firm have been taking as an advantage of not committing
towards it through their activities. However the rise of environmentalism and strong environmental
regulations during the 1990’s have made many firms to start focusing on it (Pinkse and Kolk 2005).
Through making strong commitments on environmental responsibilities it bring closer the firm to the
consumers, build good image and improves competitiveness of the firm (Eiadat et al. 2008).
Increase of Public pressure toward climate change impacts and its mitigation measures.
Cronin et al. (2011) argued that the increases of public awareness on the impacts of climate changes and
its mitigations has been driving indirectly an organization to invest in carbon offsetting projects.
However the pressure comes as results of communities to access well environmental education from
non-governmental organizations and individual environmental frontiers. Public pressure can be
demonstrated well during 2010 from an example pointed out by Cronin et al. (2011) of oil leakage from
BP ship in the Mexican gulf that resulted into large damage of the environment including marine
organism. During that time BP consumers but both government, non government organizations and the
community demanded BP to undertake an immediate strategic actions to rescue the environment.
The undertaking of carbon offset projects has a positive feedback to its consumers as noted by Khann et
al. (2007) who argued that, the public pressure has developed the triple bottom line of competition,
sustainability and consumers awareness. The rise of consumer’s environmental education and
awareness has increased purchasing decision power which now is more focused on environmental
friendly produced products example of banana and coffee from organic farming (Galbreth and Ghosh
2010). The rising of public pressure towards climate change mitigation has also increased consumer’s
willingness to pay even beyond the normal prices for some goods from organizations that are
committed in climate change mitigations. Khann et al. (2007) provide an example of hotels in Costa Rica
that acquired certification for superior environmental management performance whereby their sales
and profits increased. This has been a results of consumers being willing to pay higher prices which
improved the competitive advantages and differentiate the organization from others. Therefore in turn
this motivates more for organizations to invest in carbon offset projects.
The sustainability concept of an organization is not mainly depends on sustaining their business or
services but also maintaining the planet and the people through corporative social responsibility (Lubin
and Esty 2010). While the investors and directors are focusing in the cash flow of an organization to
make sure they receive their return, there is a rising concept of sustaining the natural environmental
through designing environmental friendly production. As argued by Chan (2005), Buysse & Verbeke
(2003) and Lovell et al. (2009) that carbon offset initiatives can be undertaken by an organization
through the use of renewable energy, controlling or reducing wastes and the design and use of energy
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International Journal in Management and Social Science (Impact Factor- 4.358)
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efficiency equipment. All these carbon offset options improves the organization performances in
profits, planet and the people.
Rise in the cost of raw materials and energy, and maintaining the sustainability of energy supply.
As noted above that the main aim of a business organization is to generate more profit. However the
profit will depend on the cost of production inputs such as capital, labor, raw materials and energy
(fossil fuels) (Held et al. 2009). While the cost for capita and labor depends on intensive Research and
Development (R&D) as well as stock exchange markets, the cost for raw material and energy changes
with time and depends on its availability. However due to the current high demand of energy especially
fossil fuels has resulted into raising its cost that affect the financial performance of an organization and
its sustainability (Paul 2011).
Moreover the rising of energy cost has a negative feedback to the price of raw material through
increasing its price due to increases price of fuels that is used for material transportation and pre
product processing. The sustainability of energy supply under high demand poses a big challenge and
motivating many organizations to look for a sustainable source of energy supply. Kinrade (2007) argued
that sustainable use of energy will only come from renewable energy and not otherwise. Therefore the
rise cost of raw material and energy prices motivates many organizations to invest on carbon offsetting
projects like renewable energy and energy efficiency that reduce its cost and greenhouse gas emissions.
Despite of the interest showed by many organizations to invest in emission reduction projects, the
government has to motivate them through designing market based incentives like tax subsidies (Annan
2002).
Challenges and Criticism towards undertaking carbon offset projects.
Despite of the raising interest for an organization to invest in carbon offset projects and all climate
change mitigation initiatives; there are several challenges, and criticisms that mainly based on the how
the system operates. Moreover financial aspect seems to be the limiting factor not only for an
organization but also for the government.
Thomas et al. (2010) pointed out that despite the Clean Development Mechanism which seems to be
very active than any other Kyoto mechanisms are being faced with financial constraints particularly cash
flow, high transaction costs and return time frame of the projects such as reforestation projects. IPCC
I2007) argued that with example of reforestation projects, the gain return of the project can be
hindered by fire, floods, long drought period, soil issues and species characteristics and adaptations.
Furthermore Palm et al. (2009) added that the provision of Certified Emission Reduction (CERs) involves
a lot of bureaucracies and limitations that takes more time for approval and is a barrier to the firms.
Furthermore Shin et al. (2009) argued that in the developing countries where the clean development
mechanism project operates are faced by incompetent human resources with poor skills and insufficient
knowledge to undertake these projects. However carbon offset projects has been criticized that the
projects operates under aspect of business as usual that also affect its return. The other criticism comes
from the aspect of additionality in sense that the implementation of these projects results into lower
12. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
International Journal in Management and Social Science (Impact Factor- 4.358)
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International Journal in Management and Social Science
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greenhouse gases emissions than before without the project and the issue of permanence that the
reduction of greenhouse gases can not be reversed (Palm et al.2009).
In an organization the implementations of environmental management initiatives requires sufficient
amount of fund which in one way or another is a limiting factor. Reducing greenhouse gas emissions by
an organization needs sufficient funds, time through research and development which all these can limit
the implementation (Shrivastava and Hart 1994). As noted earlier by Pierre (2010) that during
implementation of environmental regulations for making an organization to comply with environmental
regulations has a limit however through the pressure from the consumers can help to force the firm to
comply.
Moreover the increase of environmental deterioration and commitment of the country to mitigate it
have increased the formulation of more effective environmental regulations that affect organization
performance. With example from China as pointed by Chan (2005) that China being the major emitter of
greenhouse gases and ozone depleting particles, has enhanced environmental regulations together with
upgrading its National Environmental Protection Administration (NEPA). Therefore due to the
reinforcement has created a big challenge among the organization. Chan (2005) argued that between
1996 to 1999 about 15 most polluting industries closed down the business due to tightening and
improved enforcement and administration of environmental management regulations. In long run this
has an impact to the national economy. However Dorothy et al. (2003), Hart (1995) and Shrivastava and
Hart (1994) argued that an organization could successfully implement environmental strategies into
their short and long term business strategic plan but also the government has to support it.
Conclusion
Undertaking carbon offset projects seems to be the most cost effective way of reducing greenhouse gas
emission and reducing the climate change consequences. Compliance, which is done by command and
control, has a limit to enforce the environmental regulations. However the study findings shows that
voluntary carbon offset schemes play an important role on reducing emissions of greenhouse gas and
contributing to poverty alleviation in developing countries. Moreover the government has also to design
flexible and effective market based incentives to motivate organizations and help to reduce the cost and
bureaucracy during undertaking these projects.
Acknowledgement
I am very much grateful to Dr. Paul Dargusch and Sebastian Thomas from the school of Geography,
Planning and Environmental Management, University of Queensland for providing comments to
improve this work. They also make me well motivated, inspiring and keeping me on track. I do
appreciate the support of fund for this work research from Friedkin Conservation Fund, Tanzania.
13. IJMSS Vol.03 Issue-10 (October, 2015) ISSN: 2321-1784
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*Corresponding Author: Batro Nakoli Ngilangwa* Department of Community Development, Friedkin
Conservation Fund, P.o.Box 2782, Arusha, Tanzania