Unilever says its socially responsible brands outperform the rest
Four years into its ambitious and wide-ranging Sustainable Living Plan, consumer goods maker Unilever says its brands that most fully embrace its CEO’s passion for sustainability perform the best, adding fuel to its oft-repeated argument that social responsibility is good for business. Of the more than 400 brands Unilever sells, those with the strongest sustainability credentials, such as Dove, Lifebuoy, Ben & Jerry’s and Comfort, are achieving above average growth. “These brands accounted for half the company’s growth in 2014 and grew twice the rate of the rest of the business”, said Unilever CEO Paul Polman. He added that consumers are “increasingly demanding responsible business and responsible brands”. The company confirmed that it is on track to meet most of the Unilever Sustainable Living Plan goals, which it set out in 2010, including sourcing all agricultural materials sustainably and improving the health and wellbeing of over 1 billion people by 2020. (Reuters; Unilever)
Volkswagen revs up bid to become world’s greenest carmaker
German carmaker Volkswagen has released its 2014 Sustainability Report, revealing remarkable progress towards its plan to become “the world’s most sustainable automobile company”. Emissions and energy use per vehicle have fallen, while a higher percentage of waste is being recycled. “As one of the world’s largest industrial companies, we bear a special responsibility,” said chairman of Volkswagen’s board of management Dr. Martin Winterkorn. “For us, sustainability is not a ‘nice to have’. Sustainability is a real, measurable value driver for our business.” The headline figure from the report is a 36 percent drop in scope 1 emission per vehicle compared to a 2010 baseline. Volkswagen has committed to using its position in the transport sector to reduce the impact of travel. In that spirit, it has pledged to continue supporting low-carbon fuels such as renewable electricity for electric vehicles and bio-fuels generated from organic waste. (Edie)
Tax
McDonald’s faces potential €1bn EU tax avoidance probe
US fast-food giant McDonald’s could be facing a European Commission investigation into its tax affairs. EU competition commissioner Margrethe Vestager said she is looking into trade union allegations that the restaurant chain avoided paying more than €1 billion in corporate taxes between 2009 and 2013. A coalition of European and US unions claim McDonald’s diverted nearly €4 billion of revenues into a Luxembourg subsidiary staffed by 13 people. McDonald’s has rejected the claims and maintains that it has complied fully with EU tax law. The EU has been cracking down on what it sees as aggressive tax avoidance by multinational companies, last year opening investigations into Apple in Ireland, Starbucks in the Netherlands, and Amazon in Luxembourg. (BBC)
Environment
Greenpeace slammed over fracking claims
Greenpeace has been banned from claiming that fracking for shale gas will not cut energy bills, after its adverts were contested by Labour peer Lord Lipsey. The UK’s Advertising Standards Authority (ASA) said Greenpeace misled the public when it produced adverts claiming “experts agree” that fracking would not cut energy bills. The advert’s claim was ruled as misleading because a quote to the contrary from Prime Minister David Cameron proved opinion was divided. Greenpeace has dismissed the ruling as “baseless” and accused the advertising watchdog of bias because its chairman also works for shale gas companies. In responding to the accusations, Greenpeace sent 22 quotes from experts, including UK Secretary of State for Energy Ed Davey and three representatives from the fracking industry. The ASA found Greenpeace had breached advertising standards by presenting the argument to be settled. (Guardian; Business Green)
China issues guidelines on environmental development
China’s cabinet has published guidelines on improving the country’s environmental conditions, pledging “major progress” in the area by 2020. In the 35-clause roadmap, the State Council stresses the need to consider environmental protection in planning, to raise public awareness about the environment, and to make more economical and efficient use of resources. Targets include a reduction of carbon dioxide emissions by 40 to 45 percent from 2005 levels by 2020, and a 15 percent increase in the share of non-fossil fuels in primary energy consumption. The guidelines also emphasise efforts to promote green urbanisation, strengthen the protection of ocean resources and steady improvement in water and soil quality. Decades of breakneck growth in China have dried up resources and left the country saddled with problems including smog and contaminated waterways. Analysts expect more detailed regulations to follow. (Eco-Business)
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