http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.93Change: 0.00
R/$ = 12.70Change: -0.04
Au 1095.99 $/ozChange: 0.81
Pt 983.00 $/ozChange: 1.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Mar 18, 2010

Lack of clarity on climate regime ‘not good for business’

Back
ERM senior consultant Simon Clarke and PwC governance and sustainability manager Thabani Mlilo discuss business attitudes to the physical risks of climate change. Video cameraperson: Nicholas Boyd Video editing by: Darlene Creamer
 
 
 
Port|Africa|Gas|Resources|Water|Africa|Products|Environmental|Water|Operations
Port|Africa|Gas|Resources|Water|Africa|Products|Environmental|Water|Operations
port|africa-company|gas|resources|water-company|africa|products|environmental|water|operations
© Reuse this



The Department of Environmental Affairs (DEA) has acceded that the lack of clarity with regard to the international climate change regime was "not good for business".

"The future of the Kyoto Protocol is not clear, hence the future of the clean development mechanism is unclear," Water and Environmental Affairs Minister Buyelwa Sonjica said in a speech, which was read at a conference by her climate change adviser Xolisa Ngwadla.

However, it was also stated that numerous government policies and action plans were in agreement that a shift towards a cleaner ‘green' and low carbon economy in South Africa were inevitable and would have benefits. Thus investment in this area would not be misplaced.

At a national level, the DEA encouraged business to participate in climate change policy creation and governmental processes, as this was a far-reaching issue. The department has indicated that it will release a climate change green paper for public comment by June 2010, while the White Paper on climate change was expected by December 2010.

The release of the document has been delayed, also largely because the national department was hoping for clarity on the international climate change regime from the global climate change conference in Copenhagen in December 2009, although this was not forthcoming.

Commentators from business present at the Merchantec Carbon conference in Bryanston on Thursday indicated that they had not been very thoroughly consulted on the government's climate change plans for the future.

A particular concern was just how South Africa would reduce its greenhouse gas emissions by 34% below the business as usual scenario by 2020. Whether or not this would be further broken down into sectoral targets and what individual companies would be obliged to do in this scenario were questions that business felt should be clearly articulated by government.

Ngwadla said that the green paper on climate change would likely address these issues. He also noted that this document would largely build on work done and documentation produced at the March 2009 Climate Change Summit that was held in Johannesburg.

The national climate change committee was also considering inputs from various stakeholders such as business, civil society and academic institutions.

BUSINESS ACTION ON CLIMATE CHANGE

Environmental Resources Management (ERM) senior consultant Simon Clarke noted that besides the potential regulatory risks and tightening of legislation, which was acting as a driver for business to consider outlining a climate change strategy, there were also physical risks from extreme weather events causing asset damage, as well as competitive and reputational risks for a company.

He added that South African companies had "a way to go" on climate change strategy planning, and a major challenge was the fact that climate change is perceived as a long-term issue, while companies often focused on short-term growth and targets.

"Making the links between the physical impacts and the financial bottom line," was important.

Clarke explained that the physical risks could be related back to financial terms, for example, if an exporter used port terminals and extreme storms cause port closures that meant not exporting products for a certain number of days, which would mean a loss of a certain amount of money.

"Physical risks are something that are starting to become front and centre in the debate," added PricewaterhouseCoopers governance and sustainability manager Thabani Mlilo - noting that insurance companies, for example, were starting to factor it in to operations.

 

Edited by: Mariaan Webb
Creamer Media Senior Researcher and Deputy Editor Online
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
 
Latest News
Transport Minister Dipuo Peters
Updated 41 minutes ago Transport Minister Dipuo Peters has asked the auditor general’s (AG) office to conduct a forensic investigation into allegations of financial mismanagement at the Passenger Rail Agency of South Africa (PRASA). Peters has commissioned the AG’s office – a Chapter Nine...
Embattled South African steel producer ArcelorMittal South Africa (AMSA) has offered insight into the “fair pricing model” it has tabled before government in return for tariff protection and a government stipulation that locally manufactured steel be designated for...
Telecommunications group Telkom on Friday said it had posted a 1.7% uptick in net revenue for the three months to June 30, on the back of a strong performance by mobile on data revenue and higher fixed-line subscription revenue. Mobile net revenue for the first three...
More
 
 
Recent Research Reports
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
Real Economy Insight: Automotive 2015 (PDF Report)
Creamer Media’s Real Economy Year Book comprises separate reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, gold, iron-ore and platinum sectors.
Real Economy Insight: Water 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Construction 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Electricity 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Road and Rail 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
 
 
 
 
 
This Week's Magazine
Daimler truck test engineer Dirk Stranz pushes one button, and then retracts his hands from the steering wheel of the Mercedes-Benz Future Truck 2025. “And now the truck is driving itself.”
The statutory body responsible for skills development and support in the banking sector, BANKSETA, was investing R68-million in the capacity building project of the University of Venda (UniVen), announced Bankseta company secretary Caroline King at a media event in...
LIONEL MOYAL Cloud services providers must compete against other cloud services providers for business by providing up-to-date systems and services
Legacy information technology (IT) systems are becoming increasingly obsolete because of the maturity, efficiencies and cost effectiveness of cloud-based IT services, says information and communication technology major T-Systems subsidiary Intervate head Lionel...
ARMANDÉ KRUGER Balancing the collection and processing of data must be aligned to strategy
Many complementary services enable companies to derive broad value from data inside and outside them. The complexity of data management means that companies’ strategies determine the various data systems and functions they will use, says PBT Group regional sales...
The South African Civil Aviation Authority (SACAA) has announced that it had awarded the country’s first remotely piloted aircraft systems (RPAS) pilot’s licence. It was issued on Friday, July 10, to SACAA employee and qualified commercial pilot Nicole Swart,...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96