Friday, February 25, 2011

Isra-Mart srl:Habitat banking "dangerous", warns WWF Brazil chief

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Schemes allowing companies to offset environmental damage by funding projects that encourage biodiversity and reforestation are "dangerous", according to the head of WWF Brazil.

Denise Hamú has worked to raise much-needed private sector cash for conservation projects since she became chief executive in 2003, through partnerships with companies such as HSBC and BskyB.

But Hamú told BusinessGreen she is very wary of tapping into more funds via so-called habitat banking mechanisms, an idea that has secured support from the UN and is currently being investigated by the British government.

Habitat banking would be loosely modelled on the carbon offset market, letting farmers, businesses or national agencies in biodiversity hotspots develop protection schemes that would allow them to sell credits to companies or developers whose activities damage the environment.

However, Hamú is concerned that without an established value for diversity akin to the price of carbon, habitat banking projects could quickly go awry.

"I think that we tend to think that since we compensate, things are done, but it's not," she said. "I'm not saying [compensation is] not an instrument, but it cannot be an answer to everything. Because we tend to think, 'Well, I paid for this, so I can really deforest – I can build huge things'."

Hamú is also concerned that habitat banking might lead to enclaves of protected areas far away from where the initial environmental damage is being done.

"You can't shift things from one province to another," she argued. "Where are we going to stop? I think that there must be other obligations – compensation is very dangerous in that you won't have the environment back."

However, despite her opposition to habitat banking, Hamú is keen to better involve the private sector in conservation efforts. Worldwide WWF's Climate Savers club, a scheme that imposes strict emissions and environmental performance standards on member companies in return for a stamp of approval, has already engaged around 50 firms and is looking for additional members.

Currently, members of the group are primarily from Europe, North America and Australia, with only one member, Brazilian cosmetic company Natura, hailing from South America.

Hamú said that WWF Brazil is stepping up its efforts to attract more companies from the region and is increasing the number of staff focused on businesses from zero to seven, but she admits the NGO faces a real challenge to raise public awareness.

"Businesses are much more aware of [environmental] responsibilities, but there's still a long way to go," she said. "We don't see Brazilians as engaged as Europeans."

However, three Brazilian companies are currently going through the process of joining the Climate Savers group and Hamú is convinced the picture is changing.

"[Natura] is ahead of time: it's using biodiversity to become very rich, a huge company," she said. "[The others] are behind, but now they have woken up to the respectability [membership] brings. It's a different way people perceive your company – it's not them saying we are the best; it's a very independent group that certifies that."

Hamú added that companies were increasingly realising the benefits of appealing to green consumers, a trend that presents an opportunity for WWF.

"We are not saying we are against money. We are not against people getting happy and rich, and we are not against development. But what WWF advocates is that we have to share this and respect local communities and leave the benefits for them," she said. "[Businesses] are realising they have to go to a new approach, and we see this as a good opportunity."

She added that deals with large organisations from developed nations show what can be achieved by working with the private sector.

For example, the Rainforest Rescue project with Sky offers local people in the western province of Acre £200 a year to protect the rainforest and aims to save one billion trees in the Amazonian rainforest.

Hamú calls the project "sustainable development at its best", but admited it would not be possible without the broadcaster's guaranteed funding of £2m to support WWF's in-depth local knowledge.

Private sector involvement in conservation projects is now inescapable, Hamú said, especially if more ambitious goals, such as sustainable management of forests, enhancement of forest carbon stocks and the UN-backed REDD+ mechanism, are to be delivered.

"We are not only talking about biodiversity any more – we are talking about footprint, and we are talking about how is this planet sustainable. This is the future of conservation; there is no way out of this model," she said. "We cannot do things alone. Without the market we cannot accomplish our mission."

Isra-Mart srl:Frito-Lay makes big noise over quieter compostable bag

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It was arguably the least impressive reason to drop a sustainability project, but last year Frito-Lay was forced to withdraw a new biodegradable chip bag after customers complained that it was too loud.

But now the company has returned to the idea of biodegradable packaging with a new chip packet that promises to be much quieter.

The firm has been researching a re-engineered compostable bag ever since withdrawing the unacceptably loud version last year and has now developed a different adhesive to put together the two layers of its chip bags, which its packaging experts say will help to insulate sound from the bag.

Reports suggest that the new bags will be around 15 per cent quieter than the old ones.

Last October, the PepsiCo-owned firm withdrew the earlier biodegradable bag after the noise it made when opened, around 85-95 dB, annoyed consumers so much that it prompted a Facebook campaign calling on the company to drop the new bags. Some likened it to a "revving motorcycle", while others went to the extent of measuring it with a sound meter.

Customers also implored theatre owners never to sell Frito-Lay snacks in their establishments, lest they disturb movie watchers' enjoyment.

The original bags, which were introduced in April 2009, were made from corn-based biopolymers and decomposed in around three months.

The company is reintroducing compostable bags for its line of plain-flavoured chips. This was the only one of its varieties that did not switch back to plastic bags. It will wait for customer feedback before rolling out the packaging to other flavours.

Isra-Mart srl:Saudi crisis talks aim to calm soaring oil prices

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Oil prices appeared to be calming this morning after hitting a peak of almost $120 a barrel yesterday, following commitments from the Opec cartel that it will cover any shortfall in supplies resulting from the ongoing conflict in Libya.

Yesterday prices of Brent crude hit their highest level since August 2008, before falling back to $111 a barrel and settling at around $112 a barrel this morning.

Prices had spiked as reports emerged yesterday that opposition groups have taken control of oilfields in southern Libya and blocked all exports. Estimates ranged from 25 to 75 per cent of the country's oil production being disrupted.

The reports coincided with emergency talks between Saudi Arabian and European refiners that prompted a pledge from Saudi officials that Opec would make up any shortfall in supply resulting from the Libyan crisis.

One Saudi official told news agency Reuters that there was now "no reason for the price to go higher".

"Some Opec countries have started looking at ways to divert their crude to Europe," he added. "We are in active talks with European refineries to find out what quality they want, and we are ready to ship it as soon as they need it."

Oil prices have now risen 15 per cent in the past four days, with some analysts predicting that prices could top $200 a barrel if the uprisings in Egypt, Tunisia and Libya spread to other oil producing countries.

Meanwhile, the International Energy Agency has warned that rising oil prices could derail the fragile global economic recovery, while business leaders have begun to publicly call for moves that would reduce dependence on oil supplies.

In related news, International Airlines Group, the aviation giant created by the merger of British Airways and Iberia, today raised the prospect of cutting back its schedules if oil prices continue to increase.

Meanwhile, British plans to expand oil drilling in the North Sea were thrown into doubt after a High Court judge said he would hear a legal challenge from Greenpeace that could see deep water drilling licenses revoked.

Isra-Mart srl:Sime Darby plans £1.2bn sustainable palm oil expansion in Cameroon

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The chief executive of the world's largest producer of sustainable certified palm oil has revealed the company is actively seeking to acquire land in Cameroon as part of a MYR6bn (£1.2bn) investment programme designed to bolster the company's presence in western Africa.

Mohd Bakke Salleh, president and group chief executive of Malaysian conglomerate Sime Darby, told reporters in Kuala Lumpur earlier today that the group has identified 300,000 hectares (ha) of land in Cameroon that could be suitable for palm oil plantation.

He insisted no deals have yet been signed, but confirmed Sime Darby is in the process of meeting with village elders and community heads to discuss the potential for development. He added that the company hopes to finalise a deal "in the next few years", after which it would plant 5,000 ha in the first year, followed by a programme to plant tranches of between 10,000 to 15,000 ha annually.

"Cameroon is our second preferred choice after Liberia," he said. "We're looking at potential areas in Cameroon and the development formula is to work closely with the local communities [...] but nothing has been concluded yet. It's all just pure discussion at this stage."

A move into Cameroon would represent the next stage of Sime Darby's expansion into western Africa, following plans for a 63-year, 220,000-ha concession it owns in Liberia where planting is scheduled to start next month. Bakke revealed that the company is also considering plantations in Ghana.

The news is likely to raise fresh concerns amongst green groups that an expansion of Africa's palm oil industry could drive deforestation.

Sime Darby insists it does not locate palm oil plantations on virgin forest land and has strict environmental and social policies, which it hopes will set a benchmark for new companies seeking investment.

"Some of these African countries are actually calling us to come in and open up plantations because of our good track record and sustainability practices," said Franki Anthony Das, executive vice president of Sime Darby's plantation division.

Sime Darby claims to be the leader in sustainable palm oil, boasting operating practices which go beyond certification standards set by the voluntary certification body The Round Table on Sustainable Palm Oil (RSPO).

For example, Sime Darby is in the process of completing a detailed environmental impact assessment of the first 10,000-ha tranche in Liberia, where the first seed is slated to be planted by president Ellen Johnson Sirleaf in May. The company says it has strict policy to avoid developing peat land virgin forests. It also has a zero-burning replanting technique, uses integrated pest management to avoid pesticides, and composts empty fruit bunches to avoid methane produced by palm oil mill effluent.

In addition, the company says it is committed, through its MYR70m pledged investment in Liberia, to ensuring that small holders develop sustainable practices, particularly thorough the Small Holder Acceleration and REDD Plan (SHARP), which will see Sime Darby provide 22,000 landowners in Liberia with high-grade seeds, education and technical help.

The success of the programme will be measured by a range of NGOs and financial project partners including the UK's Department for Food, Environment and Rural Affairs, Conservation International, and the International Finance Corporation (IFC).

However, some environmental groups have argued that while palm oil plantations that adhere to sustainability standards are preferable to uncertified plantations, there are still risks that the expansion of the industry will have a knock-on effect on land use in neighbouring forested areas.

Sime Darby's move into Africa is part of the company's wider plans to aquire arable land outside of Asia in order to grow its market share, increase yields, and reduce transportation costs to Europe.

But despite the huge opportunities presented by its proposed African plantations, it remains to be seen if the company will be able to adapt to the risks posed to its plants by new pests and diseases, as well as the political instability of some western African states.

Isra-Mart srl:Ontario boosts green powerhouse status with raft of project approvals

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Ontario has this week underlined its status as one of North America's leading clean energy hubs, granting incentives to 40 large-scale renewable energy projects which combined are expected to deliver 872MW of clean energy.

The provincial government announced yesterday that the solar, wind and hydro projects have been granted access to Ontario's feed-in tariff incentive scheme, providing them with guaranteed above-market rates for the energy they produce.

The move is expected to spark C3bn ($3.06bn) of investment and create up to 7,000 jobs across the province's booming clean energy industry. It follows last year's feed-in tariff approval for 180 projects boasting 2.4GW of capacity.

The latest round of projects will result in 35 solar developments providing 257MW of capacity, four large wind farms promising 615MW and one 500kw hydroelectric project.

The government said that a third round of feed-in tariff contracts for smaller projects with less than 500kw of capacity will be signed in the coming months.

The feed-in tariff scheme is at the heart of Ontario's drive to shut all its coal-fired power plants by 2014, a move that has allowed the province to distance itself from Canada's national government and its controversial plans to expand carbon-intensive tar sands projects in the country.

In related news, US solar firm SunPower Corp announced this week that it has gained county-level approval for a flagship solar plant in central California that is expected to become one of the world's largest solar farms.

The proposed California Valley Solar Ranch is expected to produce enough power for around 100,000 homes while also creating 350 jobs during the construction phase.

California has approved a raft of solar farms in recent months, but many developments are still facing opposition from local and environmental groups concerned about the impact of such facilities on desert habitats.

Isra-Mart srl:IT industry steps up conflict minerals crackdown

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A coalition of leading IT firms is accelerating efforts to ensure they do not source so-called 'conflict minerals' ahead of the introduction of new US legislation designed to tackle the trade in minerals from the Democratic Republic of Congo, which is widely blamed for fuelling conflict in the war-torn state.

The group, which includes Apple, Dell, HP, and Microsoft, as well as a number of investment and engineering firms such as Trillium Asset Management and General Electric, is working on a new supply chain mechanism whereby minerals sourced from mines that adhere to ethical and sustainability standards will be suitably labelled, and purchasers will only use smelters that have been certified as being 'conflict-free'.

Speaking to BusinessGreen, Tim Mohin, co-chair of the multi-stakeholder group and director for corporate responsibility at chip giant AMD, said the new system aims to provide a standardised approach for tracking minerals such as tantalum, tin, gold and tungsten, many of which are used in electronic equipment. Manufacturers will then be able to demonstrate that they are only sourcing minerals from conflict-free smelters.

The move comes as new legislation passed in the US last year as part of the Dodd-Frank Wall Street Reform Act is poised to come into effect in the coming financial year.

The new rules require firms to disclose their due diligence efforts when sourcing minerals from conflict zones. Securities and Exchange Commission (SEC) filings will have to include this information.

Mohin said the rules would not block firms from sourcing conflict minerals, but he predicted that the majority of firms would look to improve their supply chain management and due diligence measures to avoid complaints from human rights groups and investors. "The pressure of the sunshine will be there," he said, adding that IT firms were now leading the way in attempting to tackle the problem.

In related news, the Enough group, which campaigns against human rights abuses, last week delivered a petition with over 26,000 signatures to the SEC urging it to ensure that the final version of the conflict minerals regulations are robust and adequately enforced.

Isra-Mart srl:Mutloses Klein-Klein bei Erneuerbaren Energien im Wärmebereich

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Schwarz-Gelb hat die Chance verpasst, die Förderung Erneuerbarer Energien durch das Europarechtsanpassungsgesetz entscheidend voranzutreiben. Anstatt die Erneuerbaren Energien im Wärmebereich zu stärken und die Solarförderung bereits heute für die Zukunft zu rüsten, gibt sich die Koalition mit einem mutlosen Klein-Klein an Maßnahmen zufrieden. Die konstruktiven Beiträge der SPD-Bundestagsfraktion ignoriert sie. Dabei hätte sie so einfach bei uns abschreiben können“, sagte der zuständige Berichterstatter der SPD-Bundestagsfraktion Dirk Becker zum Beschluss des Europarechtsanpassungsgesetzes Erneuerbare Energien im Umweltausschuss.

Becker weiter: Angesichts des letztjährigen Zubau-Booms bei der Photovoltaik und die dadurch entstandenen Kosten für Stromverbraucher, benötigen wir eine grundsätzliche Neuregelung bei der Förderung, auf die sich Hersteller, Handwerker und Investoren für die kommenden zwei Jahre verlassen können. Eine quartalsweise Absenkung der Vergütung für Solarstrom in Höhe von vier beziehungsweise 4,5 Prozent würde die Kosten für kleine Dachanlagen bis 2013 auf Haushaltsstromniveau senken und sie stetig in Richtung Wettbewerbsfähigkeit führen. Genau das ist unser Ziel. Hier reicht es nicht, den EEG-Erfahrungsbericht abzuwarten. Provoziert die Koalition mit ihrer heute im Umweltausschuss beschlossenen vorgezogenen Einmalabsenkung zum Juli eine erneute Torschlusspanik mit einem massiven Zubau in 2011, ist der Weg der Koalition hin zu Zubau-Obergrenzen nicht mehr weit. Damit wäre die Axt ans Erneuerbare-Energien-Gesetz gelegt, was die SPD-Bundestagsfraktion mit allen Mitteln verhindern will.

Mit der Novellierung des Erneuerbare-Energien-Wärmegesetzes bleibt die Koalition weit hinter den Anforderungen aus der Erneuerbaren Energien-Richtlinie der EU zurück. Aus der notwendigen Vorbildfunktion öffentlicher Bestandsgebäude bei der Nutzung von Erneuerbaren Energien bleibt mit dem beschlossenen Gesetz lediglich ein bunter Mix aus Umgehungstatbeständen für die gesetzliche Nutzungspflicht.