Seeing the cold light of sustainable development

New scientific evidence published this month in Science magazine points to a thinning of the ice shelf in Antarctica. This follows recent confirmation of a 40 per cent thinning of ice levels in the Arctic, generally attributed to the effects of global warming in the northern hemisphere. If the newly confirmed thinning of the west Antarctic glacier continues at the present rate, worldwide sea levels could rise by 5m, flooding coastal plains and cities all around the world.

This 'doomsday' scenario will not happen tomorrow, or in anybody's lifetime, but it should focus the minds of even the most vociferous sceptics of global warming. If not, then the forthcoming Climate Change Levy will at least help to keep the debate on the boil. For all its inconsistencies (see below), the CCL is a recognition that coercion could prove a better instrument for change than industry self-regulation. We shall be reporting on the CCL in more detail next month in advance of its implementation in April, but according to the environmental consultancy Entec, its introduction 'should stimulate businesses to improve their performance'.

Just how far businesses have to improve is graphically illustrated in a recent survey commissioned by Entec. Looking at 104 companies across seven major industry sectors, the survey revealed that nearly half (45 per cent) of the directors and chief executives of these companies had not even heard of sustainable development. On the bright side, however, over a third of those questioned claimed their companies were considering sustainable development at a strategic level and 28 per cent could see the business advantages to be gained from improved 'customer, supplier and stakeholder relations'.

In the main, however, Entec's associate director, Jim Kersey, says the respondents' views 'seem to be driven very much from compliance and not from the opportunity to create advantage'. Many process companies, certainly in the chemicals sector, are already seizing those opportunities, but we still have a long way to go.

David Green, director of the CHPA, writes to clarify the position of CHP vis-a-vis the Climate Change Levy:

Dear Sir: I thought it would be helpful to clarify the position of CHP (combined heat and power) in relation to the Climate Change Levy in follow up to Stuart Nathan's article in your December issue.

Whilst the Chancellor of the Exchequer did announce that CHP would be exempt from the Climate Change Levy, the way in which HM Customs & Excise have drawn up the regulations means that the levy will be applied to CHP-generated power where it is sold via a licensed supplier.

As power sales via a local supplier is one of the most common forms of CHP power securing a route to market, the result is that many customers will effectively be denied the choice of the levy-free power that CHP produces, unless the customer has the benefit of an on-site CHP system.

The Combined Heat & Power Association is continuing to press the Government to remedy this. For regular up-dates on developments, visit our web pages at www.chpa.co.uk

Yours sincerely,

David GreenDirector, CHPA