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Sunday, November 19, 2006

THE GREEN WAVE




GREEN. It’s all over the place these days. You can feel and see it everywhere. This new green movement, this Green Wave, is popping up in all sectors of our lives, from the political arena to social organizations to corporate America.

Politically, changes are occurring at the local and state level. For example, the Mayors Climate Protection Act includes over 700 mayors that pledge to reduce greenhouse gas emissions as outlined by the Kyoto Treaty. Governor Schwarzenegger and California have passed a bill to cut greenhouse gas emissions by 25% by 2020, and Florida's Republican governor recently followed suit. Idaho recently put in place a plan that gives the utilities a share of what it saves customers through efficiency measures. That share, in the case of Pacific Gas & Electric in California, was $50 million a year. Also in California, the County of Alameda commissioned a 2.3 megawatt power plant on roofs spread throughout the county. The utility paid for half of it; it will save the county $700,000 a year. These are just a few examples of what local and state governments are doing to mitigate climate change.

The international community is leading the way even more vigorously. Denmark has pledged to get 60% of its energy from renewable sources by the year 2010. The Kyoto Treaty was signed by all the leading international powers except for the US, a sign that the world is ready for alternative sources of energy to greenhouse gases. The Intergovernmental Panel on Climate Change published an internationally accepted report that not only declared the scientific reality of man-made climate change, but also the financially profitability of taking action to combat it.

Green organizations and programs are setting industry standards for sustainability and energy efficiency. The United States Green Building Council with its Leadership in Energy and Environmental Design program has revolutionized the construction and design industry. Toyota and Honda are forcing competitors to get serious about hybrid cars. Wal-Mart is even jumping on the bandwagon and proving that there is a serious market for affordable organics. This controversial company is now driving sustainability up its supply chain, in part because they want to reduce the cost of people not trusting them, in part because they see the competitive advantage of being a socially responsible company in a carbon-constrained world.

Companies are learning that they can increase their profits significantly by being more energy efficient, less wasteful, and generally better environmental and social corporate citizens. Dupont recently announced it was going to cut its emissions of greenhouse gases 65% below its 1990 levels by 2010. And over the same time frame, Dupont plans to get 10% of its energy and a quarter of its feedstocks from renewable sources. They made this announcement in the name of increasing shareholder value. And they've done reasonably well, kept energy use the same, and increased production 30%. They've already hit their target globally, and they've saved $3 billion doing it. SP has pledged over the same time frame to be carbon neutral: zero net emissions of CO2 with a 40-fold increase in production. It has taken them from the number 12 chip maker in the world to the number 6. So they have set even more ambitious renewable energy goals, they have won awards, and they will have saved about $1 billion by the time they are done. Companies like these are creating value and building a competitive advantage by setting themselves apart from their wasteful competitors; They are proving that being green is great PR and is financially profitable.

In addition, there has been an enormous boom in Clean Tech investments. Worldwide, venture capital investments in clean technology surged to $1.1 billion in the first half of 2007 alone, according to Ernst & Young's first annual "Clean Technology Global Trends and Insights Report." It’s no joke when a guy like Richard Branson personally dedicates $3 billion to help solve the climate crisis. You know he believes in the cause and knows there is a lot of money to be made. He is right in both. Google has created a heavily funded philanthropic arm called Google.org and has chosen against non-profit status in favor of using the funds from its profitable ventures to improve global poverty, the environment, and the energy issue. GE has an Ecomagination component that works on innovative solutions to the energy crisis. Honda has an Environmentology program that explores new technologies that focus on lower emissions, higher fuel efficiency, and alternative sources of energy. These forward-thinking companies have an astute vision for our society's next economic shift and are already profiting from being the leaders of the green economy.

Listen to the names of the people and organizations that are getting involved now: Google, Bill Gates, Richard Branson, Bill Clinton, GE, Dupont, Hewlett Packard, the former CEO of Goldman Sachs and current Secretary of Treasury Henry Paulson. These are the biggest of the big guys. This is not just a grassroots movement and mission anymore (although the need for the grassroots groups is still undeniable). The movers and shakers of the world are getting on board and leading the way. We’re talking about some of the brightest minds and most successful companies we have, and they see it.

The exciting thing is that we are naturally moving in this direction. We are starting to see how profitable the Green Wave can be and that it can make a significant positive impact at the same time. But we can do more. We’ve got all these inspiring organizations, companies, non-profits, and individuals doing incredible things to make this planet a better place. We have true hope for the future, and we believe that our society has the ability to make it sustainable and profitable. We must bring all these organizations, companies, and individuals together under one common banner -- ENVIROLUTION -- to usher in a sustainable world in which we all live in more harmony with this Earth and with each other. By uniting together with a louder voice, we will advance, facilitate and expedite this movement, so that we can start making a bigger difference sooner. As a generation, let’s embrace sustainability and prepare ourselves for the future. Let's use Envirolution to educate ourselves and take action so that we are not left behind.

The Green Wave is here; let’s ride it.