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Archive for environmental economics

Obama Administration Issues First National Climate Adaptation Strategy

The Obama administration set forth a national climate adaptation strategy

Source: US Fish, Wildlife, and Plants Climate Adaptation Strategy

Marking a milestone in US environmental and natural resource management policy, the Obama Administration on March 26 released a national strategy aimed at conserving, enhancing the resiliency, and making sustainable use of the nation’s natural resources in the face of climate change.

Drawing on input, resources, and expertise of federal, state, and tribal government agencies as well as non-profit sector organizations and the American public, the National Fish, Wildlife, and Plants (NFWP) Climate Adaptation Strategy, “provides a unified approach – reflecting shared principles and science-based practices – for reducing the negative impacts of climate change on fish, wildlife, plants, and the natural system upon which they depend.”
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New Support for the Interconnectedness of the Environment and the Economy

A mighty industrial society discharges its waste unchecked into the environment. New reports emphasize the importance of understanding the relationship between the environment and the economy. Two new reports reiterate the scientific veracity of anthropogenic climate change while reinforcing the interconnectedness of the economy and the environment. The World Economic Forum (WEF) Global Risks Report 2013 clearly points to the interrelationship between the environment and the economy.

A draft of the third National Climate Assessment Report indicates that climate change is both an environmental and economic issue. The draft report was prepared by a federal committee and offers a comprehensive analysis of the latest and best peer-reviewed science on the extent and impacts of global warming on the US. The report restates the fact that climate change will have a wide range of impacts ranging from agriculture to water.

The draft report was prepared by a Federal Advisory Committee known as the “National Climate Assessment and Development Advisory Committee” (NCADAC). The report was mandated by Congress in 1990 with the passage of the Global Change Research Act, which requires that a national climate assessment be conducted every four years and the results be issued to the President and Congress. As a consequence of the 1990 legislation, the US Global Change Research Program was formed, which is an inter-governmental body involving 13 federal agencies and departments. Read More→

The Facts on U.S. Green Job Growth

Despite the rhetoric from the GOP, green job growth is a principal driver in an otherwise lackluster economyDespite Republican subterfuge, the facts clearly show that the Obama administration’s support for green jobs has helped to improve the U.S. employment picture. Green job creation is a central part of a favorable employment trend. According to October data, unemployment has fallen to 7.8 percent, its lowest level in four years. The green economy has been a leading driver of job creation for several years now. The growth of green jobs is expected to continue, prompting economists to describe the 21st Century as the “Green Collar Era.”

While the Obama administration was creating jobs, the Republicans were pushing legislation that undermined green jobs. During the first 2012 presidential debate, Republican nominee Mitt Romney continued the GOP’s assault on green jobs.

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Green Investing Guidance

Kenneth Flats Offshore wind farm is an example of investment dollars used to build a sustainable green economyResponsible investing is a critically important way of driving social change and advancing environmental sustainability. Investing in environmentally and socially conscious businesses provide jobs and help the green economy to grow.

A judicious allocation of financial resources is essential in the face of environmental degradation, widespread scarcity, population expansion, accelerating consumption, climate change and unprecedented price volatility.

Investors have succeeded in pushing many companies to reduce the environmental footprint associated with their activities. It has been repeatedly demonstrated that investors can modify and control corporate behavior. They can help to grow the green economy and serve as valuable counterweights to unregulated free markets.

Financial institutions are also in a position to leverage their power over corporations. Providing financing to responsible firms while divesting from irresponsible corporations can go a long way to auger positive change.

Two of the best guidance documents on responsible investing come from the United Nations Environment Programme (UNEP) and the World Wildlife Fund (WWF).

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New CDP Report Points to the Growth of Corporate Sustainability

Companies begin to see sustainability efforts as key to their bottom lineThe CDP Global 500 Climate Change Report 2012 indicates that there has been an increase in corporate sustainability around the world. The CDP assesses corporate risks and opportunities on behalf of 655 institutional investors with $78 trillion in assets. The CDP harnesses the power of market forces to collect information from companies about their GHG emissions, water usage and other environmental impacts. The CDP has assembled the world’s largest collection of primary data on climate change and water. They use this data to help businesses develop strategies, make investments and craft policy.

The CDP are powerful advocates of transparency in environmental reporting and they champion corporate strategies designed to reduce CO2 and conserve water. The CDP is an international, not-for-profit organization providing the only global system for companies and cities to measure, disclose, manage and share vital environmental information. The 2012 CDP Global 500 Climate Change report was co-written with professional services firm PwC.

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