Climate change awareness yet to translate into action………Our Bureau MUMBAI
CLIMATE change is an important issue for most Indian businesses, but more than half of the firms surveyed in a report on the matter said they do not have a clear strategy in place to tackle the challenge. Despite awareness, among 83% of the business leaders that consulting major KPMG spoke to, only 21% said they have measured carbon footprints. Measuring footprints is one of the strategies used to deal with the issue.
The report says that the global market for low carbon energy efficient technologies will be $3 trillion by 2050. This could also open up avenues of commercial interest for various industries such as renewable energy, waste management and water treatment. These industries will be worth $700 billion globally by 2010, on par with the value of the global aerospace industry.
The KPMG survey was carried out across 70 business leaders with 26% of them being from the automobile and power sector and metal and gas being the second major contributor. About 42% of these leaders claimed to be in the process of developing their carbon strategy, while about 46% of them believed that climate change was important, but not on the top of their agenda. Some firms believed that climate change did not affect businesses.
The Kyoto Protocol, which was introduced in February 2005, also offers companies in developing countries such as India the opportunity to reduce their emissions with the technological and financing support of entities in developed countries.
Business leaders said the government should play the lead role in bringing about the change. Treaties such as the Kyoto Protocol are likely to result in businesses taking positive steps, said 86% of the survey respondents. However, leaders believe that India hasnt been taking necessary action to deal with climate change.
Over 80% of the leaders are exploring business opportunities resulting from climate change in the fields of energy efficiency and clean technologies. Another 40% will look to exploit the green building space, said the report.
Currently, the European Union is leading in the corrective measures taken to combat climate change. The EU expects to conclude negotiations on an ambitious climate change action plan for the 27 nationblock by end of 2008, aimed at meeting this goal. This could place Europe in a strong position to set the standard in Copenhagen in late 2009, said the report.
The US too is under mounting international pressure for binding emission targets. It is likely to take on greater commitments to reduce its emissions. While corporates will look to exploit the market space for climate change related businesses, only 41% of them have indicated having some quantified goals for carbon reduction that is to be achieved by 2010, even in the absence of government regulations.
EMISSION BLUES
According to a survey by consulting major KPMG, among 83% of the business leaders that the firm spoke to, only 21% had measured carbon footprints
EMISSION BLUES
According to a survey by consulting major KPMG, among 83% of the business leaders that the firm spoke to, only 21% had measured carbon footprints
The report says the global market for low carbon energy efficient technologies will be $3 trillion by 2050, which could open up avenues of commercial interest for various industries