Page 25 - EngineerIT May 2022

OUR ENVIRONMENT: COMMENT

It's now or never:

Why businesses must prioritise

environmental action

limate change is an undeniable
fact. According to a recent United
CNations’ report, even if all carbon-
cutting plans are fully implemented,
the planet will still warm by 3.2 degrees
Celsius this century. This means the
earth will experience extraordinary
climate weather events such as heat
waves, storms and water shortages.
According to the UN study, if we
want to restrict global warming to 1.5
degrees, now is the time to act. The
protection of the planet is a shared
responsibility among all humans. There’s
a chance we can preserve the planet but Shaw Mabuto Zuko Mdwaba
there’s no time to wait.
Addressing climate change should According to Shaw Mabuto, partner and ESG officer at SPEAR Capital, a private
be at the top of every company’s equity firm, “many historic business practices have proven to be damaging to people and
priority list. It is no longer acceptable the planet. In a bid to change that, many investors have started demanding that their
to dismiss it as someone else’s problem portfolio companies meet ESG standards or that they operate in line with the United
or to minimise efforts. Businesses must Nations’ Sustainable Development Goals (SDGs). That’s unlikely to change anytime soon.”
help reduce global GHG emissions by Ultimately, companies that want to stand out will have to operate in line with the more
half by 2030 and aim to achieve “net ambitious SDGs.
zero” emissions by 2050, which means Africa is ripe with opportunities for sustainable investment, adds Mabuto. “With
releasing no more carbon into the most forms of renewable energy now cheaper than fossil fuels and African countries
atmosphere than is removed. particularly vulnerable to climate change, there is incredible potential for sustainable
In this article, we speak with investment in this sector.”
industry experts and ask them why
businesses should, and how they can, Disclose carbon emissions
prioritise sustainability. As climate change impacts everyone and everything, we need to embrace every solution and
act together. “Reducing emissions and ultimately reaching net zero emissions is the most
Operate in line with sustainable critical step for businesses serious about tackling the climate crisis,” says Zuko Mdwaba,
development goals area vice president at Salesforce South Africa. Salesforce has already achieved net zero
All around the globe, investors are emissions and uses 100 percent renewable energy for its global operations.
demanding more from companies than According to Mdwaba, all business leaders must explore ways to reduce their
just returns. In fact, with environmental, company’s environmental and social effects and achieve net zero status. “On this path,
social and governance (ESG)-based every company must disclose carbon emissions in a clear and consistent manner. With
assets on track to reach US$53- transformational solutions and trusted data, they can accelerate their efforts and prove
trillion by 2025, everyone is keen to that business can be the greatest platform for change,” he says.
demonstrate their ESG credentials. Just as the global pandemic highlighted the need for transparency in building trust,
Additionally, nation-states and major there will be no progress in addressing the climate disaster until information is shared.
investment vehicles (such as pension “Collaborative tools are critical for training employees about sustainable behaviours,
funds) are placing increasingly strict from recycling to alternative means of transportation. Additionally, these platforms
conditions on companies when it comes are assisting businesses in scaling their carbon reduction efforts with suppliers and
to sustainability and governance. establishing industry-specific, data driven climate action plans. By having visibility over

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