Companies admit ignorance on greenhouse gas emissions

Age
Tuesday 11/9/2007 Page: 2

ONLY one in 10 Australian companies know how much greenhouse gases they are producing and only a quarter have tried to save water, according to the biggest ever survey on environmental management in Australian industry. In a surprisingly frank self-assessment, most of the companies surveyed admitted they were poorly informed about how to cut their greenhouse gas emissions or how climate change might affect their bottom line. The better news was that the overwhelming majority (78 per cent) agreed they had a responsibility to reduce their greenhouse pollution, and were willing to do so even if it cost them money.

The survey of 810 manufacturing and construction companies, with a combined sales revenue of $41 billion and 56,000 employees, was carried out by the Australian Industry Group, with funding from Sustainability Victoria. Sustainability Victoria chief executive Geoff Mabbett said it was alarming that only 10 per cent of the companies said they knew enough about climate change to manage the risks to their businesses, but that the survey's findings could help industry and governments work together to improve their environmental management.

Awareness about the environment was typically much better among large companies than in small to medium businesses. While half the companies surveyed agreed that they had a community obligation to save water, only a quarter had done anything about it, with most of their efforts focused on staff kitchens and bathrooms and on complying with local water restrictions. About 60 per cent of companies - including 30 per cent of large firms - said they had not done anything to reduce their greenhouse pollution. Among those that had, most were still in the planning or research phase.

The vast majority also said they did not know anything about regulations or government support programs aimed at cutting greenhouse gas emissions from industry. Only 1 per cent of the companies bought renewable energy. The body representing sustainable businesses in Australia has released a study to support its call for binding greenhouse targets. Environment Business Australia claims it would be possible to cut national greenhouse gas emissions by at least 20 per cent by 2020, and by 60 per cent by 2050. It says the biggest savings could be delivered through energy efficiency, recycling, replacing coal-fired power plants with gas and co-generation, and more renewable energy including solar thermal power.