http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.27Change: -0.13
R/$ = 12.18Change: -0.12
Au 1185.45 $/ozChange: -1.15
Pt 1117.50 $/ozChange: -2.00
 
 
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  
 
 
Aug 17, 2012

Firm identifies sustainability megaforces that will affect business

Back
Africa|Building|KPMG|Resources|SECURITY|Water|Africa|South Africa|Energy|Food|Food Security|Services|Environmental|Neil Morris|Water
Africa|Building|Resources|SECURITY|Water|Africa||Energy|Services|Environmental|Water
africa-company|building|kpmg|resources|security|water-company|africa|south-africa|energy|food|food-security|services|environmental|neil-morris|water
© Reuse this



Business has, over the past 20 years, recognised how it impacts on the world, but only recently has it become evident how the world affects the way in which companies do business, reports professional services firm KPMG.

The firm highlights that decoupling human progress from the use of resources, as well as environmental decline, is a central challenge. This challenge will also be one of the greatest sources of future success.

In its report, ‘Expect the unexpected: building business value in a changing world’, released in February, KPMG identified ten sustainability megaforces that will affect businesses between now and 2035.

The ten megaforces are deforestation, climate change, energy and fuel, material resource scarcity, water scarcity, population growth, wealth, food security, urbanisation and the decline of the ecosystem.

Wealth
KPMG climate change and sustainability director Neil Morris believes that wealth, in particular, will have a significant impact on the way businesses operate in future.

“Wealth is a key driver for many governments. Many aspects of South Africa’s National Development Plan are geared towards growing our middle class,” he says.

The global middle class is predicted to grow by 172% between 2010 and 2030. The challenge for businesses will be to serve this new middle-class market at a time when resources are likely to be scarcer and more costly.

“For example, if someone moves from a low-income household to a higher-income household, the person will inevitably start changing his or her diet.

“On a low income, the person will maintain the staple diet of the country he or she lives in but, as soon as the person moves up the income scale, he or she will require more water and food, placing increased strain on food security,” he points out.

Morris adds that this will likely increase the inflation of food prices to between 70% and 90% by 2030.

He reiterates that many people are striving to become wealthier.

“I do not disagree that wealth is a way out and a key leverage to solving our social challenges but this is highly interconnected to many other challenges that we face,” explains Morris.

Role of Businesses
Morris believes that businesses can help by engaging with governments about the challenges they face, so that more informed environmental policymaking decisions are made.

It is also important that these policies are informed by fact-based research. In the absence of this, policies may be poorly designed and have unintended consequences.

Action Plans
As a strategy to help businesses be more sensitive about their environmental impact, KPMG has introduced a carbon-optimisation programme, which is aimed at helping companies understand carbon in their processes.

A detailed analysis of carbon in one’s business allows for an informed discussion with National Treasury on the proposed carbon tax for industry.

Morris believes that it is important for KPMG to engage on a one-on-one basis with its clients to understand carbon better in order to reduce the carbon emissions in industry.

“It’s all about trying to find the right balance of instruments, which may include carbon tax, that will change the behaviour of industry to reduce carbon emissions,” he concludes.

Edited by: Chanel de Bruyn
Creamer Media Senior Deputy Editor Online
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Climate Change News
If your country were responsible for only 0.05% of the world's climate-changing emissions, you might not think it worth making a plan to curb that pollution – especially when you still need to get electricity to much of your population. But the Gambian government...
Glencore chairperson Tony Hayward
Rich countries should help developing countries like India limit their carbon emissions by supporting the building of more expensive but cleaner energy plants, Glencore chairman Tony Hayward said on Thursday. Hayward said that India, where hundreds of millions of...
Article contains comments
Ministers from governments across Africa have renewed their call for a strong, new universal climate-change agreement and increased flows of funds, including through market and finance opportunities, sufficient to fulfil Africa’s development aspirations, at the...
Article contains comments
More
 
 
Latest News
Updated 10 minutes ago Vertically integrated steel and vanadium slag producer Evraz Highveld Steel and Vanadium’s business rescue practitioners (BRPs) have appointed nonexecutive director Andrew Phillip Maralack acting CFO of the company, with immediate effect. Maralack was a qualified...
Airbus A350XWB
Updated 23 minutes ago Airliner manufacturer Airbus continues to seek to improve its production efficiency. This was highlighted to aviation journalists from around the world on Thursday at Airbus' Innovation Day 2015 by company COO Tom Williams. "The main issue for us is commitments," he...
Seifsa chief economist Henk Langenhoven
Updated 37 minutes ago The level of intermediate inputs imported by South Africa’s metals and engineering sector has risen strongly from around 22% 20 years ago to over 35% currently, Steel and Engineering Industries Federation of Southern Africa (Seifsa) research shows. Speaking at the...
More
 
 
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
 
 
 
 
 
This Week's Magazine
While economic forecasts for the African continent are most favourable, African airlines may not be able to benefit from the expected growth in the region’s gross domestic product (GDP), International Air Transport Association VP: Africa Raphael Kuuchi has warned....
The Automotive Production and Development Programme (APDP) will need to change substantially post 2020, says Metair Investments South African operations COO Ken Lello. “We must not make tweaks. We have to change. What we are doing is not sustainable.”
Banking group Absa’s forecast is for the rand to end the year at around R13 against the dollar, weakening further to R13.50 by 2016, says Absa sectoral analyst Jacques du Toit. He warns that possible interest rate hikes in the US may see capital being pulled from...
The Dispute Resolution Centre at the Bargaining Council for the Civil Engineering Industry (BCCEI) is now open to handle party-to-party disputes. The BCCEI represents the interests of all level four to nine Construction Industry Development Board companies.
FREDRIK JEJDLING Sustainability becomes an important part of a business’ decision-making process
Communications technology firm Ericsson sub-Saharan Africa head Fredrik Jejdling says the company’s commitment to sustainability and corporate responsibility has been integrated into all facets of its operations, which has provided it with sustainable revenue...
 
 
 
 
 
 
 
 
 
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