Senior executives from the internet giant Google are to be recalled before UK MPs to answer allegations that they misled Parliament over their tax affairs. Matt Brittin, Google’s vice-president for Northern Europe, told the Public Accounts Committee that all his company’s sales team were based in Ireland and that the job of its UK staff was merely to market Google as an advertising space. The distinction allowed the company to pay just £6m of tax on £2.6bn of profits derived in the UK in 2011. However, a recent investigation has suggested that many of Google’s UK staff have jobs which “actually target, negotiate and close sales of Google’s advertising products to its customers”. (Independent)
Environment
UK Government is breaching pollution laws
The UK will be forced to improve its plans for tackling air pollution after the Supreme Court yesterday ruled the British Government has breached the law in drawing up inadequate plans to tackle high levels of nitrogen dioxide. In a landmark ruling, five judges declared for the first time that the Department of Environment, Food and Rural Affairs (Defra) has breached the EU's Air Quality Directive because its plans will fail to ensure the country meets legal EU limits for nitrogen dioxide levels by 2015. The ruling stated that the declaration opens the way to "immediate enforcement action at national or European level". (Business Green)
Revised palm oil standards a positive step forward
WWF has welcomed revised standards for sustainable palm oil that were endorsed by the Roundtable for Sustainable Palm Oil (RSPO) at its General Assembly in Kuala Lumpur. While the revision of the RSPO Principles and Criteria for Sustainable Palm Oil Production (P&Cs) did not result in all changes hoped for by a number of organisations including Greenpeace, it is thought that the revised P&Cs are better than the earlier version at addressing the challenges facing the palm oil industry. WWF participated in the review, advocating for stronger environmental and social safeguards governing greenhouse gas emissions, planting on peatland and the use of hazardous chemicals among other issues. (CSR Asia, WWF)
Supply Chain
BT cuts supply chain CO2 footprint
UK communications company BT says it has cut its supply chain carbon dioxide impact by more than 30,000 metric tons over the last year. BT established its Better Future Supplier Forum (BFSF) in April 2012 as an effort to drive innovation in sustainability throughout its supply chain. BT technical experts worked with the suppliers’ to review approaches and performance and provide guidance on how to make improvements. Two of BT’s suppliers of electronic devices, Huawei and SGW Global, which took part in the first-year pilot, have received silver status BFSF awards for cutting CO2 across their manufacturing processes and reducing their products’ carbon footprints. (Environmental Leader)
Indices & Rankings
Taxes can drive sustainability efforts
KPMG, the international accountancy firm, has released finding from its inaugural KPMG Green Tax Index which measures how countries are using taxes to influence corporate sustainability behaviour. The index, which ranks each country’s green-tax incentives and tax penalties, shows which areas of the world are the most tax-friendly for corporate sustainability initiatives. Comprised of data concerning 21 countries, the survey found that "all of them have green tax systems that warrant attention from corporate tax and sustainability teams." The survey unearthed over 200 individual tax incentives and penalties tied to corporate sustainability. KPMG say that the index satisfies corporate inquisitiveness over which countries would be the best investment for their sustainability efforts. (CFO)
Sustainable restaurant rankings go global
Diners all over the globe will soon be able to find out just how sustainable their meals are, after a new international rating system was launched yesterday. The method developed by the Sustainable Restaurant Association (SRA) scores restaurants on how they manage their energy, waste and water, as well as their sourcing of local food and treatment of staff. Since its launch in the UK in 2010, the SRA has rated more than 500 restaurants using its three-star system. The organisation said that some of the best restaurants in the world have already completed the SRA rating and several others have committed to doing so. (Business Green)
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