Archive for Climate Change

Another Day, Another Crisis

Either I’m getting older and more sensitive to the state of the world, or we are truly lurching from crisis to crisis.

Petrol prices in Australia are $6.00 a gallon. China is digging out from under a killer earthquake. Iowa is flooded and the price of corn and soybeans has shot up. (Iowa is a “breadbasket” state that is now a “basket case” state.)

Then this morning on ABC Radio National came an interview with author Maude Barlow. She’s just released a book, Blue Covenant. Here she outlines the globe’s water shortages and predicts massive dislocation and conflict over access to clean water.

 Blue Covenant - Water is Scarce!

Seems our grade school lessons of constantly recycling water were false (remember condensation, rain, condensation, rain?).  Groundwater is being sucked faster than it can be replaced. Mexico City is sinking as a result. Pollution has made most of Northern China’s water non-potable and it’s beyond recovery.

Dead Fish in China’s Rivers

So add this to the list of concerns that imperil our life. Kind of makes me wish I’d slept in today - after all it is reaining and it is cold and the world is coming to an end.

As a member of the human race I do probe crisis issues like the lack of water. But I switch off if there’s no solution. I don’t expect anything simple like a magic trick - Voila! - however the dominoes of doom crashing over and over feel unstoppable.

Can’t we just get Mother Earth safely out of this mess with a little smoke and mirror? On the count of three, everyone say “Abracadabra!” Problem solved? Or is that a sleight of hand to make us feel a little better…

A Week Is A Long Time in Politics

The old saying that a week is a long time in politics is as true as ever.  Yesterday Australia’s new government was sworn in. Prime Minister Kevin Rudd has ratified Kyoto. The new cabinet includes a Minister for Climate Change and Water. Industrial relations laws will be rolled back.  

Former Prime Minister John Howard not only lost the election for the Liberal Party - he lost his own seat. The losing Liberal Party is in tatters with new leadership and the loss of senior leaders. This once dominant party has lost almost all power - the Mayor of Brisbane holds the senior-most elected Liberal post.

And the economy is experiencing inflation, reduced corporate profits and a likely rise in interest rates (again). 

It promises to be a rocky road for Kevin Rudd and his team - we all hope his team has the skills and determination to make the change while continuing Australia’s strong economic record. 

Ghosts and Footprints in the Sand

Yes - it is this beautiful here in PhuketWe’re staying two weeks in Thailand for family holidays.  After a few days in Bangkok we’re beach-side in Phuket.  Our room is 10 metres from the beach on the ground floor.  It was re-built after the tsunami as this hotel lost everything on the ground floor.

It’s hard to forget the tsunami when you come to Phuket.  There are few visible signs any more - that was three years ago.  What are new are the signs showing tsunami evacuation routes and the towers with loudspeakers on the beach. 

My first night I dreamed of the giant wave.  By the third day it was hard to remember anything ever happened.  Does lightning strike twice in the same place? I go to LA and still think of earthquakes.  Maybe it’s the oddity of massive natural forces.

Adjacent to our hotel is a hillside.  (Note to self: This flight has one emergency exit.)  On top are a series of road-side shrines.  These don’t commemorate automotive fatalities.  When we drove by all the adults in the car noticed and one began to say something.  The rest cut them off with nods of the head and wise “I know”s.  We didn’t want the children to hear. 

This morning we walked the length of the beach.  On our return lap I noticed the waves had wiped away all our footprints.  Yet every once in awhile I found sand-ground tiles or concrete chunks.  The ocean took away great segments of Phuket and is now offering them back bit by bit by bit. 

Day Three: The Public Voice - Panel

I’ve got issues! (Credit to artist www.StephaniesyJuco.com)Panel discussion on corporate social responsibility.  Chaired by Diane Osgood, Business for Social Responsibility.  It inludes the following professionals:

Why the California experience with its increasing public voice - is this new, and can we expect it to be duplicated in the USA?

Wendy: If you follow the Page tenet and manage for the future, you do need to watch California.  What’s undertaken here will spread to other parts of the nation.  We’re a state of innovators - and we have a large population (in the USA, 1 in 8 kids live in California).  CA remains on the forefront of public policy. 

Saving California’s unique environmentTom: California has always taken the lead on environmental issues.  Once we adopt standards other states follow.  First state to regulate greenhouse gas emissions from cars.  Given the stalemate in Washington, DC many other states implement standards from California.  The business community os getting more engaged - and those that deal with the envionment successfully will make money and be leaders.  Detroit is flatering and in CA Tessler is developing electric cars. ”GreenTech” investments are reaching $2 billion each year - investments to curb carbon is the wave of the future.  Some of the largest environmental programs are funded by venture capital funds.  GreenTech is the third wave - after HiTech and BioTech. 

William: CALPERs listens to a number of important causes, such as those represented in the room.   They invest in over 8,000 securities and we’re long-term holders.  But we’re on the phone every day with the companies we own.  CALERs believes strongly in transparency and disclosure.  We use dedicated forums for the 1.5 million members we represent.  One emphasis is CEO remuneration and we engage companies behind the scenes. 

Question: How advise companies on engaging NGOs on public policy alliances?

China and the Water Equation

40% of China’s water cannot be used - and is beyond salvage“The single biggest obstacle to China’s growth is the physical environment,” said University of Michigan’s’s Dr. Lieberthal in Q&A time this morning.  Environmental pollution can be reversed but it takes time, investment and the willingness to change.  Compare Pittsburgh’s air quality today with Pittsburgh 40 years ago.

For China the greatest constraint is the lack of usable water.  In China the water table has dropped three feet every year since 1960.  In Northern China - where 40% of the population love and 40% of the manufacturing takes place - the water table has dropped 12 feet in the past year alone. 

What water is left is seriously compromised.  In China 40% of the water cannot be used - it is beyond salvage given the high levels of pollution.  Water is critical to civilisation.  It cannot be imported. 

Major infrastructure has been developed - but they are not being used because the treatment plants cost money. 

This leads to serious questions: Can North China maintain manufacturing and population beyond five years? There needs to be fundamental changes in the water culture which is not occurring - there are no NGOs able to push for change, and not an adequate legal system.  The incentive is purely for short-term gain. 

The lack of potable water will lead to serious social unrest in China - and we need to factor in the water equation into China’s growth potential. 

Getting a Message Across Effectively

Black BalloonsNever underestimate the power of words.  The pen is mightier than the sword is a stock quote many repeat.  Yet I am also driven by powerful imagery - especially when it condenses complex thoughts into immediately undertandable terms. 

Watch this short video for a stunning example of powerful communications.  (Thanks to my friends at Carbon Planet.) 

V8 Supercars Go Green!

Our client V8 Supercars announced a bold and innovative environmental initiative yesterday. 

V8 Supercars will plant thousands of trees this year with local schools across Australia.  The number of trees was calculated to offset the carbon emissions from the season of car racing.  These will be planted throughout the racing season in conjunction with visits to local schools.  This adds a great education element by raising awareness among school children (who then bring the message home).  In addition the fuel used for this year’s racing season will include 5% ethanol. 

Of course the Australian media loved the announcement - and Federal Minister for the Environment Malcolm Turnbull was there to endorse the news. 

Way to go V8 Supercars!