Edition No. 16
Creating a Sustainable Future
by Greg Chambers, Director, Business Development, Sterling Planet, Inc.
Rapid economic, social and environmental changes challenge our ability to sustainably manage our businesses and communities. Understanding the opportunities and risks these changes present is critical to creating a sustainable future. It is becoming more important that business and community sustainability management systems evolve and identify how to interconnect with each other jointly profiling the opportunities and risks, all while setting measures of progress that inform and perpetuate their efforts and educate the ever-growing arena of stakeholders.
Additionally, many U.S.-based professionals find themselves working for non-U.S.- based corporations whose host countries are more involved or knowledgeable about sustainable development and how it should guide the actions of the enterprise. This article introduces the background and provides a general overview of how what we know today as sustainable development evolved. It sets the context for additional articles in this multi-part series.
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Background
In 1972, the first United Nations Conference on the Human Environment took place in Stockholm, Sweden. This conference focused attention to the need "for a common outlook and for common principles to inspire and guide the peoples of the world in the preservation and enhancement of the human environment." It also led to the development of the U.N. Environmental Programme (UNEP).
The United Nations established the World Commission on Environment and Development in 1983 to address the nexus between economic development and environmental issues. Headed by Gro Brundtland, currently Director-General of the World Health Organization (WHO), this group commissioned over 75 expert studies to examine the world’s critical environment and economic development problems and to formulate proposals to solve them.
The consensus that came out of this effort is the famous Brundtland Commission report entitled, “Our Common Future” that links the three components of sustainable development: economic growth, environmental protection and social equity. The Brundtland Commission recommended that the UN sponsor a global conference on current economic and development practices and their impact on the environment. Also included in this report is the oft-cited definition of sustainable development, “Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”
The second UN Conference on Environment and Development (UNCED) was in Rio de Janeiro Brazil in June 1992. A result of this conference was that over 178 governments adopted: 1) Agenda 21 as a global blueprint and plan of action for sustainable development in the 21st century; 2) The Rio Declaration on Environment and Development; and 3)The statement of principles for the Sustainable Management of Forests. While Agenda 21 was ratified by the United States, few people nationally seem to know of its existence. Agenda 21, a consensus of 178 governments and a comprehensive plan of action for governments, industry and communities, warrants more review than it may have received.
The Commission on Sustainable Development (CSD) was created in December 1992 to ensure effective follow-up of UNCED to monitor and report on implementation of the agreements at the local, national, regional and international levels. Since then, numerous organizations, corporations, universities and others have started to wrestle with the dialogue, continued study and implementation of global sustainable development.
A tremendous development occurred in 1999 with the emergence of The Dow Jones Sustainability Group Index, which advanced another definition of sustainable development, which is, "a business approach to create long term shareholder value by embracing opportunities and managing risks deriving from economic, environmental and social developments." In partnership with Sustainable Asset Management, Dow Jones seeks to invest in companies with superior performance related to a company’s commitment to five corporate sustainability principles: Technology, Governance, Shareholders, Industry and Society. This bold move essentially put sustainability in the boardroom as an investment opportunity. But it also served notice that sustainability is as much about how a company evaluates and manages the risks and opportunities in its business strategies, operations, investments, etc.
The third UN Conference on Environment and Development more appropriately entitled the World Summit on Sustainable Development (WSSD) was held in Johannesburg, South Africa in 2002 where the full implementation of Agenda 21, the Programme for Further Implementation of Agenda 21 and the Commitments to the Rio principles, were strongly reaffirmed.
Current Events
The next session of the UN Commission on Sustainable Development (CSD-14) will convene at UN Headquarters in New York from 1-12 May 2006. As the first year of the second implementation cycle, CSD-14 will review progress in the following areas: Energy for Sustainable Development; Industrial Development; Air pollution/ Atmosphere; and Climate Change.
While much has occurred globally, there are worthy developments here in the U.S. Mayors from a total of 205 Cities from 38 States with a total population of 42 million have signed on to address climate change. Eighteen States have Renewable Portfolio Standards (RPS) to steer their states towards increasing investment into renewable energy. Another 5 states are actively considering RPS. US EPA Green Power Partnership lists the over 600 governmental agencies, the military, universities, and non-profit organizations who are annually purchasing green power and the number is growing. And just recently a federal appeals court on behalf of the District of Columbia and 14 States has validated matters of public health by upholding elements of the EPA Clean Air Act New Source Review over the proposed weakening of these requirements, which would have allowed increased air pollution and climate change impacts from coal-fired power plants.
Sustainability is a growing interest among corporations, state governors and mayors, governmental agencies, the military, universities, non-profits and individual citizens that have taken action to address climate change through their support of their own climate change programs and/or their investments in renewable energy, increasing energy diversity and security, supporting local jobs and economies.
Many senior level Environmental Health and Safety (EHS) executives grapple with what sustainability means for them, their departments, their company’s products and facilities, an ever-growing list of stakeholders and the communities and global marketplace in which they operate. There is good work to be done as we confront the economic, social and environmental changes that challenge our ability to "sustainably" manage our businesses and communities.
This is the first in a series of articles on sustainable development. We invite you to provide feedback or comment to gchambers@sterlingplanet.com or call Greg Chambers directly at 916-847-9146. Additionally, Mr. Chambers will be teaching a course entitled, "The Sustainability Case for Business and Communities" through U.C. Berkeley Extension Management Program April 26-27, 2006. Registration information is available at: http://www.unex.berkeley.edu/cat/course1062.html
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