Chiquita executives must face claims over Colombian torture
Executives at Chiquita, the banana label owner that pleaded guilty in 2007 to making payments to Colombian paramilitary groups, have been ordered to face US lawsuits claiming they played a role in the torture or killings of thousands of Colombians. Relatives of victims claim Chiquita paid $1.7 million to the United Self Defense Forces of Colombia (AUC), to quell labour unrest and prevent leftist sympathisers from infiltrating banana-plantation unions. US District Judge Kenneth Marra said the complaint offered a “reasonable inference” that the executives approved the company’s support of the AUC. “This support was given in order to reduce the company’s operating costs in the production of bananas, knowing that violent deaths of thousands of civilians in banana-growing regions of Colombia would be at least a collateral by-product of its support, if not an intended result,” Marra said. (Bloomberg)
Responsible Investment
Companies ignoring climate deal could face increased bankruptcy risk, economists warn
Companies that fail to plan how they will operate in a low-carbon economy risk decline or even bankruptcy, according to a new submission from the Grantham Research Institute on Climate Change. In the paper, authors Lord Stern and Dimitri Zenghelis said there is a major gap between valuations of carbon-intensive companies on stock markets today and their valuation if the commitments made in the Paris Agreement on climate change are taken seriously. These differences have serious consequences for investors, they argue. “This gap should alarm policy-makers and central bankers: it suggests either asymmetric information or a lack of credibility in policies,” the papers states. It also argues firms should carry out stress tests for forward-looking business risks associated with climate change, while disclosing strategies for dealing with these risks to investors. (Business Green)
Supply Chain
Norway becomes first country in the world to commit to zero deforestation
Norway has become the first country in the world to commit to zero deforestation, after the country’s parliament pledged the government’s public procurement policy will become deforestation-free. An MPs’ committee also called for the commitment to be reflected in investments made by Norges Bank Investment Management. “This is an important victory in the fight to protect the rainforest. Over the last few years, a number of companies have committed to cease the procurement of goods that can be linked to destruction of the rainforest. Until now, this has not been matched by similar commitments from governments”, said Nils Hermann Ranum, head of Policy and Campaign at Rainforest Foundation Norway. (Independent)
Corruption
Report: Illegal mining of Afghanistan’s “blue treasure” fuels Taliban
A two-year-long investigation by the campaigning NGO Global Witness shows that the profits from the trade in the gemstone lapis lazuli, one of Afghanistan’s greatest treasures, are being funnelled into the pockets of senior politicians and top officials, and have also become a major source of income for the Taliban. Global Witness says that “an extraordinary national treasure that should be a powerful resource for reconstruction and development has become a major source of conflict and grievance.” What is happening to lapis is a “microcosm” of the entire Afghan mining sector. Afghanistan has nearly $1trillion in untapped mineral deposits, but illegal mining, operated with the connivance of senior politicians and insurgent groups, is robbing the country of this incredible wealth. The United Nations has estimated that the income from minerals including is now the Taliban’s second largest source of income after opium. (BBC)
Energy
IEA: There are now more than one million electric cars on the world’s roads
The rapid growth of the electric car industry means that it is now the only technology sector on track to meet the International EnergyAgency’s (IEA) 2˚C scenario. This is the conclusion of the IEA’s Energy Technology Perspectives 2016 report, which analyses the technologies that will determine the future rate of global emissions, including renewables, nuclear, CCS and coal. The IEA’s 2DS scenario sets out a pathway that would lead to a 50 per cent chance of limiting global average temperature rise. “Electric cars are roughly 10 years behind wind and solar in terms of deployment and technology development. Still, electric car technology is also gathering momentum. Electric cars increasingly capture the consumer’s imagination,” said IEA’s chief economist Laszlo Varro. (Eco-business)
Image source: Lapis Lazuli by Enric / Public Domain
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