The Carbon disclosure Project in South Africa

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					The Carbon disclosure Project in
South Africa

       Yaw Afrane-Okese
       29 October 2007
NBI Members
The NBI on Climate Change

• Climate change is a defining challenge of the 21st century
  and one of the critical issues facing business today
• Requires a global response including business and
• NBI advocates for sustainable growth and development
  in South Africa through :
   – Policy engagement
   – Partnerships
   – Programmes and projects
The Carbon Disclosure Project
• Supported by 315 investors worth $ 41 trillion
• Launched in the UK in 2000 as the largest collaborated
  effort by investors to look at the business implications of
  climate change with the first report published in 2003
• Invites FT500 companies across the world to disclose
  and reflect on corporate awareness on management of
  climate change
• Influences companies to identify and understand their
  risks and opportunities associated with climate change
  and identify the need for a climate change strategy and
  management plan
• Included 2100 companies’ responses by 2006
Carbon Disclosure Project in South Africa
• Partnership between NBI, Incite Sustainability and
  Carbon Disclosure Project (UK) to invite the top 40 JSE
  listed companies to participate in the 5th CDP report – 1
  of 3 developing countries to do so
• Sponsorship by ABN Amro, Fraters Asset Management,
  First South Macquarie and Genesis-Analytics
• Media launch in May 2007
• Response rate of 71%
• International report launched in New York on the 24th
  September 2007
• South African Report to be launched on the 22nd
  November 2007
CIimate Change impacts on business: risks and

• Physical effects such as water scarcity, destruction of
  assets, disruption of services

• Government regulations to mitigate greenhouse gas
  emissions – local and international framework and
  associated market mechanisms; calls for policy signals

• Reputation and litigation : Shareholder and consumer
The Global Response: Lessons
• There is a continued growth of awareness
  about the financial and competitive
  implications of Climate Change, among
  corporations, investors and policy makers
• Climate Change and the various
  regulatory, policy and business responses
  to it are driving what amounts to a
  worldwide      economic    and     industrial
The South African response
• Commendable response rate from comparatively small sample – 7th
  highest of all regional reports for 2007
• Generally good understanding and awareness of climate change
• Lesser commitments to action though there are intentions to be more
  proactive in the future
• Lower levels of emissions disclosure
• Recognition of Climate change as a strategic and competitive issue
  and more positively attuned to opportunities than only focused on
• Recognition of possible water scarcity and energy challenges and
  plans to adapt to this
• Recognition by Banking and diversified financial sector of impacts of
  extreme weather patterns for their business
Potential Benefits to City of Joburg
• Improved image of the City of Joburg globally
• City of Joburg disclosure could result in commitment of
  different departments of the City to Greenhouse Gas
  Emission reduction targets
• More commitment to Energy Efficiency & Improved Air
  Quality leading to improved productivity for the City
• Continuous improvement in Risk Management and
  Strategies for Climate Change Mitigation and Adaptation
• Improved access to Greenhouse Gas Emission
• Effective collaboration with business in undertaking
  Climate Change initiatives
Potential Participation by City of Joburg
• The City can participate in disclosing its own Carbon
• The City can provide sponsorship of the various aspects
  of the Carbon Disclosure Project and gain the necessary
  recognition nationally and globally
• The CDP can collaborate with the City’s own Energy &
  Climate Programme and report on the City’s progress in
  the SA CDP report.
• The City and NBI could jointly organise a Dialogue on the
Way Forward
•   Continued partnership into 2008
•   Target : top 100 JSE listed companies
•   Preparatory engagement with companies
•   Support of collaborative effort
Telephone (011) 544 6000
Cabon Disclosure Project :