What is Sustainability?

1. What is Sustainability? " Sustainabilityismeeting the needs of the present without compromising the ability of future generations to meet their own needs"1 But how do we get there? 1Brundtland, G.H., , 1987, Our Common Future: The World Commission on Environment and Development, Oxford, England, Oxford University Press.

2. up a smokestack, into a trash can or out through a sewer A Simple Calculus of Sustainability Every dollar of product going …

3. ...is a dollar not going into the pockets of shareholders! So Pollution Is Waste!!! As such, adoption of the idea that pollution is economic waste means the energy firm’s effect on the natural environment is changing from a regulatory/compliance issue to a strategicbusiness issue.

4. Sustainability Questions in Different Industries Challenges to sustainability include: • How do you become sustainable in an extractive industry? • How do you tell what is the correct science? • How do you address the “triple bottom line” issues of economics, environment, and society? • How do you disentangle the political issues from the scientific and economic issues of sustainability? • How do you address the negative perception of the industry in society?

5. BP-Amoco’s Greenhouse Gas Emission Audit Program

6. Exxon/Mobil ISO 14001 Certified Facilities As of early 1999, the following operations have satisfied the requirements for external certification of their environmental management systems to the ISO 14001 standard: Tsing Yi complex, China Singapore marketing Egypt terminals and service stations Nigeria fuels terminal Nordic Group lubricants (Denmark, Finland, Norway, Sweden) Dunkirk lubes refinery, France Gravenchon lubes refinery, France Neuhof lubes refinery, Germany

7. Exxon’s Reaction to the Bush Administration Change on C02 In our view, it is time to move beyond Kyoto and to focus on technology research and development, fundamental gaps on climate science, economically sensible voluntary actions and an international approach that addresses all of the world's people, not just the fraction covered by Kyoto.

8. Conoco’s Commitment to Sustainable Development • Conoco is committed to achieving sustainable growth by embodying the principle of sustainable development

9. Definitions The "environment" refers to the biosphere within which all life on earth exists (e.g. Schmidheiny, 1992). "The Total Environmental FootprintFor each processing step, emissions from producing the chemicals, materials, paper, fuels and lubricants used within each step, emissions from power supplied to the operation and all waste disposal. . . (including) all shutdown, salvage, entombment, cleanup and final waste disposal" ( Ellington et. al, p286-287). "

10. Strategic Environmental Management • Key Principles • Pollution is waste! • Can be used offensively/strategically • Performance as competitive advantage • Used to meet specs or requirements • Can be used defensively • Cost control • Establishing barriers to entry • ISO 14000 • Multi-national participation and world-wide consensus • Strong institution pressure

11. The record is 12. What I mean is that in one week 12 of our major customers sent us some form of questionnaire regarding our environmental performance or management. We are closing in on that record however, I just finished number 11 for this week and have not opened today’s mail • Environmental manager from a major US manufacturer

12. Examples of Countries with Packaging Takeback Programs Country Status Austria Increasing required levels of beverage containers, transport and misc. packaging France State subsidized recycling companies (Eco- Emballages) modest requirements, mainly voluntary for consumer and industrial packaging Germany Strict requirements for industrial and consumer packaging takeback, state subsidized system (Duales Systems Deutschland) Great Britain Specific targets for consumers, manufacturers and retailers, small to medium firms now includied Japan Emphasis on consumer packaging, quotas for industrial packaging still under development U.S.A. Very limited regulations on consumer recycling done at the local level - no unitary federal regs.

13. Examples of National Product Takeback Programs Country Status France Govt. pushing negotiated agreements with industry - mainly computers and appliances Germany Regulations on autos in place with electronics and computers being worked on Japan Legislation introduced on TVs, major appliances and autos Spain Govt./industry partnership projects for electronics started Sweden Legislation proposed on autos and passed for electronics Taiwan Regs. in place on computers and appliances UK Govt. pushing industry based initiatives US A Some state legislation pending, EPA pushing voluntary industry programs

14. Examples of NewLegislation • European Union-wide electronics regulations (WEEE – Waste Electronics and Electrical Equipment) • EU allows members states to pass stricter environmental laws as needed e.g. Dutch groundwater regulations • Taiwan comprehensive regulations contain proposed requirements for: • Cleaner production methods • Preferred purchasing • Tax incentives • Argentina begins to study national recycling goals and packaging regulations.

15. Examples of Company-Specific Coercive/Mimetic Programs CompanyType of Program Anheuser-Busch Guidelines and voluntary programs Baxter Medical Suppliers are audited under formal program Ford Requirements for ISO 14001 certification Hitachi Currently voluntary, formal guidelines coming Matsushita Guidelines under development Siemens Formal guidelines in place Sony Formal program for office and material suppliers Toshiba Voluntary program Volvo Guidelines plus “black and gray” chemicals lists