http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.21Change: -0.09
R/$ = 10.58Change: -0.06
Au 1305.25 $/ozChange: 2.73
Pt 1486.50 $/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 Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Aug 17, 2012

Firm identifies sustainability megaforces that will affect business

Back
SECURITY|Africa|Energy|KPMG|Resources|Security|Water|Africa|South Africa|Security|Energy|Food|Food Security|Security|Environmental|Neil Morris|Security|Water
SECURITY|Africa|Resources|Security|Water|Africa||Security|Energy|Security|Environmental|Security|Water
security|africa-company|energy-company|kpmg|resources|security-company|water-company|africa|south-africa|security-facility|energy|food|food-security|security-industry-term|environmental|neil-morris|security-person|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
© Reuse this Comment Guidelines
 
 
 
 
 
 
 
 
Other Climate Change News
Embodied carbon is increasingly becoming a more significant part of the overall carbon burden for properties and, as a result, the Royal Institution of Chartered Surveyors (Rics) has published a method to calculate embodied carbon for the full life cycle of the...
SPEED UP The aim of the Biopark is to accelerate the commercialisation of biotechnology
Phase 1 of the Innovation Hub’s Biopark@Gauteng is already filled to capacity, says Innovation Hub research, development and innovation GM Dr Boitumelo Semete-Makokotlela. The ten companies in Phase 1 of the Life Sciences Enterprise project will be able to move...
Members of the public have until July 6 to comment on the fourth National Greenhouse-Gas (GHG) Inventory for South Africa, covering 2000 to 2010, which revealed that the total GHG emissions in South Africa, excluding the land subsector, steadily increased by 24.9%...
Article contains comments
More
 
 
Latest News
Numsa general secretary Irvin Jim
South African engineering union Numsa has agreed to end a four-week strike after accepting a wage increase offer from employers, union leader Irvin Jim said on Monday. Numsa, South Africa's largest union, has accepted a 10% annual pay rise fixed for three years for...
Trade union Solidarity on Monday accepted the Steel and Engineering Industries Federation of South Africa’s (Seifsa’s) revised wage offer. The three-year wage agreement, settled within the Metal and Engineering Industries Bargaining Council (MEIBC), comprised...
Rob Davies
South Africa will use the upcoming US-Africa Leaders' Summit, which will also encompass the 2014 edition of the Africa Growth and Opportunity Act (Agoa) Forum, to appeal for a 15-year extension of the nonreciprocal trade arrangement, as well as South Africa’s...
More
 
 
Recent Research Reports
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
Real Economy Insight: Road and Rail 2014 (PDF Report)
This six-page brief covers key developments in the road and rail industries over the past 12 months, including details of South Africa’s road and rail network and prospects for both sectors.
Real Economy Insight: Steel 2014 (PDF Report)
This four-page brief covers key developments in the steel industry over the past 12 months. It provides an overview of the global and South African steel and stainless steel markets, South Africa’s major steel producers and events that have shaped these markets.
 
 
 
 
 
This Week's Magazine
Multinational semiconductor chipmaker corporation Intel announced its national campaign to further acquire partners to drive its She Will Connect programme, an initiative that aims to expand digital literacy skills to young women in developing countries, further into...
South Africa's MeerKAT radio telescope array programme should get back on schedule within a few months. This assurance has been given by SKA South Africa (SKA SA) associate director: science and technology Prof Justin Jonas. Early last month, Science and Technology...
The Passenger Rail Agency of South Africa’s (PRASA’s) Metrorail service will remain a subsidised service following its current multibillion-rand rolling stock, station, depot and signalling upgrade programme. PRASA group CEO Lucky Montana has allayed fears that...
GARYN RAPSON Contaminated Land Provisions in the National Environmental Management: Waste Act No 59 of 2008 will open the door for court battles to determine who will be held liable for the remediation
The uncertainties around the remediation of affected areas as addressed in the Contaminated Land Provisions in the National Environmental Management: Waste Act No 59 of 2008 will possibly spark litigation and disputes between landowners and businesses, contractors...
South Africa is currently the largest component of the African Development Bank’s (AfDB’s) active portfolio in Southern Africa, comprising 62.5% of the bank’s $7.9-billion exposure to the 12-country region – the second largest beneficiary is Mauritius, which...
 
 
 
 
 
 
 
 
 
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