Steadily more companies are reporting the impact of their activities on the environment, but progress is slow while the standards expected are rising
ENVIRONMENTAL PERFORMANCE
Business environmental performance could soon be measured using detailed and standardised methods similar to those applied to financial performance, according to a report published by the Ashridge Management College. Environment-Related Performance Measures in Business examines the growing pressure on companies from stakeholders, banks, regulators and environmentalists, and finds that current measurement tools are largely inadequate. Most focus on efficiency, emissions and waste and not on the overall impact of the company’s activities and their implications for sustainable development. The report profiles several companies which have already adopted a “second generation” of measurement activities, including AT&T, Digital, Polaroid and Union Carbide, and calls for a move towards measures which link environment with business advantage and strategic objectives. Contact Peter James, Ashridge Management Research Group, on 0442 843491
WICE GUIDELINES
The Paris-based World Industry Council for the Environment published a managers guide to environmental reporting on July 12, to help the evolution of criteria to be used alongside statutory financial requirements. WICE is a global coalition of approximately 90 enterprises from 21 countries and believes that business is best left free to decide what is most suitable for its needs. Recognising the pressure from different sources for information, the Guide sets out the reasons for reporting, possible contents and sources of further information. Contact WICE on 010 33 1 49 53 28 91
BT ENVIRONMENTAL REPORT
BT published its third environmental report on July 15 which, for the first time, was externally audited in the style of financial report. The previous two reports have won the ACCA award for environmental reporting. This year, there are three further improvements: the calendar for environmental reporting is synchronised with the financial year end, it is subjected to verification by auditors, Touche Ross, and the reporting framework is restructured to highlight BT’s main environmental effects and risks.
Targets are compared with actual outcomes for each of the last three years, distinguishing between those addressing a long term objective and those covering preliminary work such as reviewing current practice. Among the details reported by BT are reductions in energy consumption, increases in the recovery of waste material and a switch from petrol to diesel vehicles. Contact Chris Tuppen, BT, on 071 356 5000
GREEN POLICY GROWS
Figures from the Department of the Environment, published on July 14, show that the proportion of companies with an environmental policy has risen from 46% in 1992 to 58% this year, while those with an energy policy rose from 34% to 46%. Contact DoE on
COMMUNICATING POLICY
Representatives from Unilever, Anglian Water, Shell UK, British Steel, BICC, consultants and journalists gathered in London on June 30 to discuss the communication of environmental policy. The conference, sponsored by Norsk Hydro UK, examined the difficulties of communicating policy to investors, the media, government and environmentalists. Contact Lisa Parkinson, BICS International, on 071 336 7911
CBI SCHOOL GUIDELINES
Too many firms provide schools with environmental materials which are irrelevant and badly targeted, according to the CBI, which published a set of guidelines on working with schools on July 7. Environment and Business in Schools, sponsored by RTZ and Groundwork, urges companies to find out what schools want before producing materials. It gives advice on setting up links with schools, identifying environmental schemes and getting feedback. Contact CBI on 071 379 7400 or John Senior, RTZ, on 071 930 2399
GREEN-IT
Green-It, Groundwork’s environmental programme sponsored by RTZ and the Department of the Environment, has involved over 2,000 children in the improvement of 86 acres of neglected industrial land during its first year. The programme has created 164 school-industry links, enlisting the participation of British Gas, Croda Chemicals, South West Water and the Post Office as well as local companies. Contact Dave Bettis, Groundwork, on 021 236 8565
RTZ SPONSORS YOUNG ENTERPRISE
RTZ has sponsored the production of a Young Enterprise brochure outlining the environmental responsibilities of companies. It covers material resource consumption, energy use, transport, waste management, pollution prevention and packaging, and will be issued to the 30,000 students who take part in the scheme every year. Contact John Capstick, Young Enterprise, on 0865 311180
PROJECT CATALYST
The results of Project Catalyst, jointly funded by the DTI and the BOC Foundation for the Environment were published on June 27. Fourteen companies in the North West took part in the project, identifying almost 400 ways in which to save waste including raw materials, energy and water, having made over £2.3 million of savings. The findings will now be used to show how environmental performance and competitiveness go hand in hand. Contact The Environmental Hotline on 0800 585794
BEST OF BETTER BRITAIN AWARDS
The Shell Better Britain Campaign’s annual Best of Better Britain Awards took place on June 15, marking outstanding achievements by voluntary groups working to improve their environment. Ten winners were selected from over 500 groups that received a grant form the Campaign during 1992. Contact Nicola Newman, Shell Better Britain Campaign, on 021 358 0744
PRG REPORT PUBLISHED
The Producer Responsibility Group published a summary on June 30 of the comments made on its plan, Real Value from Packaging Waste, which aims to double recovery of packaging waste by the year 2000. The main criticism concerned the lack of end-use markets for recycled materials. A report on the financing of the scheme by Sir Sydney Lipworth will be published shortly. Contact PRG on 071 823 8666
SAVINGS FROM WASTE REDUCTIONS
The adoption of waste minimisation techniques could result in large savings as well as reduced pollution, according to a CBI report on a trial project. The Aire and Calder project was set up in 1992 by the BOC Foundation for the Environment, HM Inspectorate of Pollution, the National Rivers Authority and the DoE and involved 11 companies. A CBI conference on July 13 heard that the firms had saved £2 million a year already, with further potential savings of £2 million per year. A tenth of the changes were made without incurring cost, while another two thirds had a one year payback. Contact CBI on 071 379 7400
ENVIRONMENTAL TECHNOLOGY BEST PRACTICE PROGRAMME
A joint DTI/DoE initiative, the Environmental Technology Best Practice Programme, was launched on June 29. The £16 million programme aims to encourage UK industry and commerce to adopt the best environmental technology and techniques over the next five years. It will promote waste minimalisation and cost effective cleaner technology and will focus on specific industry sectors and pollutant areas. Contact Environmental Helpline on 0800 585 794.
Comment
Exactly a year ago, Community Affairs Briefing published SustainAbility’s excellent “Twenty Green Reporting Tips”. That was based on a study of more than 70 companies. It identified five stages in the evolution of environmental reporting, starting with green glossies (stage 1), moving through annual reporting based on a management system (stage 3), to a whole procedure linked to the critical components of sustainable development (stage 5). On this scale, the Ashridge report is pressing towards the stage 5 summit, award-winning BT (after much hard work) is moving up beyond stage 3, but the WICE voluntarist approach is still in the foot-hills.
It is good to see that more companies are voluntarily drawing up environmental policies, although many fewer report these in a meaningful way. The voluntarist approach has clear limitations. Ultimately it will only work if most companies freely chose to do what they are reluctant to be forced to do! So far, too few have followed BT’s lead by making the investment of time, effort and resources to produce anything impressive enough to satisfy pressure from community stakeholders.
COMMENTS