The




                             Business agenda
                                   WBCSD Annual Review 2009




World Business Council for
Sustainable Development
The Green Race is On - The New Business Agenda - 2009
1




Contents

       Chairman’s Message                              3

       President’s Message                             5

       About the WBCSD                                 8

       A New Agenda for Business                       9

       Advocacy                                       10

       Focus Areas
       Business Role                                  12
       Development                                    16
       Energy & Climate                               20
       Ecosystems                                     24

       Projects
       Water                                          28
       Energy Ef¿ciency in Buildings                  30
       Sustainable Forest Products Industry           32
       Cement Sustainability Initiative               34
       Electricity Utilities                          36
       Tire Industry                                  38
       Sustainable Mobility                           40
       Mining, Minerals and Sustainable Development   42
       Chemicals                                      43

       Initiatives
       Eco-Patent Commons                             45
       Urban Infrastructure                           46
       Maritime                                       49

       Regional Network                               50

       Communications                                 56

       Partnerships and Alliances                     59

       Membership and Governance                      60
       Executive Committee                            62
       Member Companies and Council Members           63

       WBCSD Personnel                                67

       Publications Launched in 2009                  69
2




    Green jobs




                 Market signals




                                  Emerging technologies
Chairman’s message                3




Chairman’s message

In 2009 it was business as         unusual.
Despite the fragility of world economies, many of our WBCSD member
companies successfully anticipated the uncertainties and altered their strategies
in light of changing demands and resources. Not only were these companies
resilient amid the crisis, some even found opportunities to enter new markets
and grow their global market share, particularly in developing economies, which
are growing faster than their developed country counterparts. Not surprisingly,
these organizations are among the leaders in fully integrating sustainability into
their core business strategies and processes.

The challenging business environment also influenced the annual WBCSD                               Samuel A. DiPiazza, Jr.
                                                                                      Global CEO, PricewaterhouseCoopers
Council meeting in Washington DC, which despite economic pressures enjoyed
record attendance from around the world.

Sustainable development has clearly become a top priority for leaders of
governments, businesses and civil society. While there has been progress toward
government and business leaders working more closely in partnership, not enough
has been done to create the systemic changes necessary to successfully address
the global challenges of climate change, poverty and natural resource scarcity.

Our discussions in DC and in other leadership forums make us certain that now
is the opportune time for business leaders to create the coalitions necessary to
drive the kind of cross-border innovation and transformation that by 2050 will
allow 9 billion people to live well, within the limits of our planet.

In my view, the Council’s key initiative, Vision 2050, clearly sets out the
business priorities for the coming decade. We now understand that, in many
areas, society has the resources, science and technology to manage the global
challenges we face. However, our Vision 2050 work has revealed a lack of
motivation and leadership to make the necessary changes, a vacuum I believe
business, at least in part, can fill. As leaders of complex organizations, operating
across multiple borders and cultures, we have a significant opportunity to make
a real difference and to ensure a prosperous and more sustainable future for our
companies as well as for our children and grandchildren.

We learned from the global financial crisis that in times of dire need, it takes
only a few insightful, intelligent and trusted individuals to persuade countries
and companies to collaborate in ways they never once imagined.

I am confident that such individuals are engaged within the WBCSD and its
member companies. I look forward to seeing business lead the change we need
to create a more prosperous and sustainable future.
4




                                    1 Building and transforming...

                                                 b. Infrastructure

             a. Cities                                                                          c. Livelihoods &
                                                                                                  lifestyles
                                                     Energy                                     Tailored solutions for all markets
                                                     infrastructure:
       Building & space                                                                         Health: prevention and care
                                                       Smarter energy
       management                                      mix/renewables      Smarter              Education
                               Transportation                              mobility
       Urban planning/                                 Low-carbon-                              Consumer education/marketing
                               infrastructure
       design                                          ization &           Eco-housing          Making sustainable living easier
       Smarter appliances                              smartening of
                                                       energy systems                           Smarter product design
       Urban mobility
                                                                                                Product-sharing businesses
                                                                                                Products and services for aging
                                                                                                populations


                               Efficiency             Water
                               improvements          infrastructure:        Access to:
                               Land-use planning &               e           Water
       Food for cities         management              innovations &                            Natural literacy & partnerships
                                                                                    y
       Forest products         Recycling               solutions                      g         Resource-sharing enterprises
       Protecting &            Waste management                                           n     Worker training/education
       restoring nature        infrastructure          leveraging                   e
                                                       water waste                 h
                               Smarter water
                               systems                Water manage-                  y
                                                      ment with
                                                      forests

           2 Improving biocapacity
           and managing ecosystems
           Forest preservation and enhancement
           Avoided deforestation
           Soil erosion prevention
           Habitat and biodiversity conservation
           Restoration of degraded & abandoned land


           3 Helping change happen
           Building & managing complex coalitions               Labeling/product certification
           Financing, transparency & insurance                  Education & awareness-raising                                2050
           True-value accounting                                Research and influencing:
           Connecting through ICT

                                                                           s


                                                      2020



2010
President’s message         5




President’s message

The year 2009 proved pivotal, but not in the way we expected
We hoped the December climate talks in Copenhagen would deliver a clear new
framework to manage climate change. It did not. But the year did deliver a new
sense of the reality and urgency of the energy and climate agenda. Business
leaders realized that they must help lead society toward solutions, stepping into
political and diplomatic arenas previously alien to them.

At the same time, the Council’s own Vision 2050 Project began to document
the spectacular breadth of business opportunity inherent in pathways toward
sustainability. Prosperity lies in rapid change, while business-as-usual will bring
disaster.                                                                                               Bjorn Sigson
                                                                                                   President, WBCSD

The year also highlighted the overlap of agendas – energy, climate,
development, urbanization – in the real world and the need for systems thinking
and systems solutions to coordinate these agendas. The Council is responding
by linking its various Focus Areas, Projects and Initiatives. The Water Project is
working on the link between water and energy. The Development Focus Area
has an “energy for development” workstream. The Council will be working on
systems thinking and systems approaches in its future work, especially urban
systems, energy, water and development.

It was a year of change and turmoil: new leaders in the United States, the
European Union and Japan; an unsteady but closer alliance emerging between
the US and China; and positive movement in the economy, amid continued
bailouts and high unemployment.

Emerging economies continued to emerge, with an ongoing power shift from
West to East and from the old G8 to the newer, bolder G20. The future is one of
growth: of populations, cities and economic activity.

Business is being called upon to provide the innovations and solutions needed
to help manage that growth. In fact, business in general and the WBCSD in
particular are being handed ever more sustainable development responsibility,
ready or not. In 2009 I advised the US, Chinese and German governments on
sustainable development, low-carbon economics and climate change issues (see
Advocacy section). The WBCSD won an EU tender to develop a proposal on
how business can be formally involved in the climate change negotiations. This
suggests two things: that the WBCSD remains the preeminent business voice
on sustainability issues, and that governments need and appreciate a business
presence in their deliberations.

Despite the mixed results of the climate change meetings in Copenhagen, the
yearlong focus on the event caused governments to prepare legislation and
policies, to seriously debate complex issues such as carbon footprinting and
embedded carbon.

It inspired the WBCSD to sharpen its advocacy messages for Copenhagen and
beyond, to aggressively market its tough, peer-reviewed report on Energy
Efficiency in Buildings (EEB) and to develop an EEB Manifesto for members
to sign up to, demonstrating that this efficiency talk is being walked. It also
saw Sustainable Forest Products Industry group champion the inclusion of
sustainable forestry initiatives in the climate negotiations to sequester carbon.

The year saw governments working to re-invent “green jobs,” to seek solutions
in the form of smarter grids, new investments in energy supply and distribution.
6




    The Council and our members accelerated work on sustainable consumption,
    amid suggestions that consumers are beginning to look at their individual
    purchasing patterns and their impacts on the planet. Behavior shifted, but
    that may have been due to diminished discretionary spending caused by the
    recession and not heightened consciousness.

    Understanding of global, and local, water challenges increased, as did the
    public’s grasp of the links among water, energy, climate and food. The Council
    used high-profile water meetings to explain what our members were doing on
    the issue and to market the WBCSD Global Water Tool.

    The Development Focus Area built a new strategy to make it more nimble
    in dealing with the contradictory issues of rapid growth in economies and
    in consumer demand in countries like China and India, alongside a global
    population of some 4 billion poor people.

    WBCSD highlights included new and well-received publications in the areas of
    energy efficiency in buildings, corporate ecosystem valuation, water, energy and
    climate change and cement.

    Due to the pressing need to accelerate the development of advanced clean
    energy technologies in order to address the global challenges of energy security,
    climate change and sustainable development, the Cement Sustainability
    Initiative worked with the International Energy Agency (IEA) to develop the
    first industry-wide technology roadmap – for the cement industry. The IEA,
    in response to G8 ministers, is leading the effort to develop a set of 19 global
    technology roadmaps covering demand and supply-side technologies, under
    international guidance and in close consultation with industry. The overall aim
    is to advance global development and uptake of key technologies to reach a
    50% CO2 emissions reduction by 2050. The roadmaps will enable governments,
    industry and financial partners to identify steps needed and implement
    measures to accelerate required technology development and uptake.

    The Ecosystems Focus Area renewed its partnership with the International Union
    for the Conservation of Nature as both work with one another and various
    stakeholders to explore and promote new business opportunities associated with
    the sustainable management and stewardship of ecosystems and the creation of
    market mechanisms for ecosystem services.

    The Council held a Business Day at the Copenhagen climate conference of the
    Parties (COP), its biggest ever; it held a business event at the Stockholm Water
    Week and is planning an International Business and Ecosystems Day at COP 10
    of the Convention on Biological Diversity in Nagoya in 2010.
7




The WBCSD is putting more into, and getting more out of, its Regional Network
of 60 national Business Councils of Sustainable Development and partner
organizations, working with these to hold regional engagement meetings on
efforts such as Vision 2050 and the Greenhouse Gas Protocol. As the network
grows, it strengthens feedback loops between global and national policy work.

The 2009 Council Meeting was in Washington DC, and thanks to the deep
engagement of our US members it attracted speakers from the administration,
the Senate and the House of Representatives. A press conference by incoming
WBCSD Chairman Jorma Ollila filled a main meeting room of the National Press
Club and garnered extensive press coverage.

As the economic crisis unfolded at the end of 2008, we wondered how this would
affect membership. We did lose some members early in the year, but not the kind
of numbers we feared. Our existing members remained fully engaged, despite a
tough economic situation, and the rate of enquiries regarding membership barely
slowed, with 12 new members joining us in the course of the year. It has been
encouraging to see how many companies clearly regard sustainable development
as core to their business, and not a “nice to have” when times are good.

In summary, the green race is on – both among governments and companies.
Sustainability is now the key driver of innovation, and the sustainability
performance of a company is a measure of its management quality. Combining
these company drivers with government support for green innovation and
knowledge becomes a powerful business case and stimulus for the green race.

With this very much in mind, the Council is reworking its approach to
developing Strategy 2020 and taking advantage of the fact that the notion
of sustainable development seems to have reached a tipping point. The new
approach will highlight the Council’s role as the leading business advocate for
the right framework conditions for business to make an even more effective
contribution to sustainable human progress.

2010 marks the 15th anniversary of the founding of the WBCSD, and we are
developing many ways to celebrate. I want to thank all Members, Liaison
Delegates and staff for their hard work and sharp thinking in making those 15
years the success they have been.
8




The Leading Business Advocate
for Sustainable Development
                       The pursuit of sustainable development can help both companies and the
    Development        planet. This is the firm belief of WBCSD members, which have a combined
                       turnover of some US$ 7 trillion and employ more than 15 million people.
                       Business is a key provider of solutions; it has an opportunity and a responsibility
    Energy & Climate
                       to show that it can help lead society along sustainable paths of progress.

                       The WBCSD brings together some 200 leading international companies that
                       share a commitment to the principles of sustainable development via economic
                       growth, ecological balance and social progress. Members are drawn from 36
    Ecosystems         countries and 22 major industrial sectors. The Council benefits from a global
                       network of 60 national and regional business councils and regional partners.

                       The Council’s work is based on Focus Areas chosen by the members. These are
                       The Business Role, Development, Energy & Climate and Ecosystems. Each of
    Business Role
                       these has a Focus Area Core Team (FACT), working groups and workstreams. The
                       FACTs, typically consisting of about a dozen CEOs, guide the Focus Areas and act
                       as advisory boards. They meet at least once a year face-to-face and two to three
                       times in telephone conferences. Each Focus Area is led by at least two co-chairs.
    Regional Network
                       The working groups are made up of Liaison Delegates and specialists
                       appointed by members. They develop the intellectual capital and provide
                       content (cases, expertise, opinions), create deliverables, shape and engage in
                       advocacy, and take results back to the companies. Each Focus Area has different
                       workstreams examining different issues in the area.

                       Projects are a mix of action and advocacy, and some of their work connects
                       with the Focus Areas. For instance, Energy Efficiency in Buildings, Electricity
                       Utilities and the Cement Sustainability Initiative all have strong ties to the Energy
                       & Climate Focus Area, while the Sustainable Forest Products Industry is connected
                       to the Ecosystems Focus Area, and Mobility to the Development Focus Area.

                       Initiatives provide a test bed or laboratory space for the Council. They allow faster and
                       more flexible responses to emerging issues. In 2009, the Council began an Initiative on
                       urban infrastructure, given the rapid growth of cities to 2050. If there is a need for more
                       extensive activity on a topic, an Initiative can evolve into a Focus Area or Project, such as
                       the Sustainable Ecosystems Initiative, which became a Focus Area in 2007.
9




A New Agenda for Business
                                                                                          “It is no longer a question
                                                                                          of if we need to address
It is only in the past five years that thoughtful companies have begun to understand       sustainability, nor is it
the vast opportunities of moving toward a sustainable world, and that science
has made clear the global catastrophes inherent in un-sustainable development.            about what needs to be done.
                                                                                          The issues are HOW and
In 2005, the hundreds of scientists involved in the Millennium Ecosystem Assessment
warned that two-thirds of the ecosystem services upon which life depends are              WHEN.”
being degraded or used unsustainably. In 2007, the Intergovernmental Panel on                                   Bjorn Stigson
Climate Change warned of drastic, climate-related cuts in African farm yields in                            President, WBCSD
about a decade, and of floods and then droughts in Asia and Latin America.

Recently, many organizations have highlighted the business opportunities
inherent in building, rebuilding and retrofitting infrastructure so they work
within natural boundaries. Vast new built systems for energy, water and
transport are needed in the developing world, along with vast retrofitting and
rebuilding in the developed world.

The role of business is evident. Business is the main driving force for resource
efficiency in the economy, for technology deployment and development and
for infrastructure construction and providing financial services. But business can
fulfill its role only if the right regulations and government institutions are in place.
Maximizing the business role will require new forms of public-private partnerships
and doing more business with both governments and civil society organizations.

Business leaders will have to integrate systems thinking and systemic solutions
as never before, and also work more closely with governments than they are
used to, taking time from leading their companies to help create the space and
institutions in which those companies can be successful over the long haul in a
very different global environment.

Business’ time has come. It is up to business leaders to make the most of it.
10   Advocacy




                Advocacy
                The WBCSD places a high priority on advocacy. Previously, its main task was to
                get sustainable development higher on government and business agendas. That
                has been achieved. The goal now is to accelerate sustainability actions.

                The Council worked closely through the year with the Bonn Secretariat of the UN
                Framework Convention for Climate Change to get a business message into the
                Copenhagen deliberations and to host the Ministerial Breakfast in Copenhagen.

                The Ecosystems Focus Area renewed its partnership with the International
                Union for the Conservation of Nature (IUCN) to find market approaches to
                enhancing ecosystem services. It launched Building the case for Corporate
                Ecosystem Valuation and also works closely with The Economics of Ecosystems
                and Biodiversity (TEEB) study, launched by the Environmental Ministers of
                the G8+5 countries. 2010 is the Year of Biodiversity and the Council has
                begun, in collaboration with IUCN and the Nippon Keidanren, to organize an
                International Business and Ecosystems Day at the 10th Conference of Parties of
                the Biodiversity Convention in the autumn.

                The Vision 2050 Project finished its work in 2009 and launched it in early 2010.
                The Vision work provides a platform for dialogue with member companies and
                a wide range of our stakeholders — similar to what the Council did with the
                sustainability scenarios (FROG, Geopolity and Jazz) of 10 years ago.

                The Energy Efficiency in Buildings (EEB) project published its final report in 2009
                and gained the support of more than 50 companies for its Manifesto. The EEB
                has been planning a major advocacy drive based on these two reports.

                The International Energy Agency (IEA) has the mandate from the G8 to develop
                sectoral technology roadmaps for 17 industrial sectors and technologies. The
                first industry sector roadmap was developed and launched jointly by the IEA
                and the WBCSD Cement Sustainability Initiative (CSI) in early December. The
                Cement Roadmap will be an important advocacy tool during 2010, during
                which the IEA and the Council will also produce a roadmap for buildings.

                Much of the Council’s advocacy work is done through the President’s Office, as
                WBCSD President Björn Stigson plays a key role in a number of advisory bodies.
                In November, he presented to German Chancellor Angela Merkel the
Advocacy   11




conclusions of the German Peer Review on the German Sustainability Strategy,
which he chairs. In the same month, he and his co-chairs on the Low Carbon
Economy Task Force under the China Council for International Cooperation on
Environment and Development presented to the Council and the Chinese State
Council their report on “China’s Pathways to a Low Carbon Economy”, which
makes tough, detailed recommendations for the 12th 5-Year Plan.

Björn Stigson is the only international member on the America’s Climate Choices
panel, established by the US Congress, and at year’s end he was reviewing a
report to be presented by that panel to Congress.

Much advocacy is also done through partnerships with other organizations.
The Council has signed a memorandum of understanding (MOU) with the
The Global e-Sustainability Initiative on the information and communications
technology (ICT) sector to find ways to reduce greenhouse gas emissions
through the development of appropriate ICT services and technologies.

The World Resources Institute continued to be an invaluable partner in efforts
as different as advocating ways to measure greenhouse emissions to advocating
the sustainable sourcing of forest products. It is also a lead partner in efforts
by the Ecosystems Focus Area to develop the Guide to Corporate Ecosystem
Valuation, a collaboration that also includes IUCN, PricewaterhouseCoopers and
Environmental Resources Management.

The Development Focus Area works with the Inter-American Development
Bank to spread sustainable business throughout Latin America and with the Asian
Development Bank to spread clean and affordable energy for development in Asia.
The Business Role Focus Area works with the European Business Schools Consortium
to spread the sustainability agenda among both companies and business students.

In 2010, the Council began to formalize key country “roadshows” in the United
States, Europe, Mexico, China, India, Australia, Japan and Brazil.

The UN plans to convene a major event in conjunction with a celebration
of Rio+20 (20 years since the Earth Summit in Brazil). The original Business
Council for Sustainable Development was formed to provide a business voice
for that 1992 meeting, and the Council played a major role in organizing
business activities at the 2002 World Summit on Sustainable Development
in Johannesburg. The Council is already laying the groundwork for a strong
business role in the 2012 series of meetings.

2010 marks the Council’s 15th anniversary. It will find many ways to mark those
15 eventful years.
12




     Sustainable world   by 2050
Focus Area The Business Role          13




The Business Role
                                                                                              “The Vision 2050
                                                                                          project has increased my
Business is being seriously affected by the sustainability challenges facing the world.   understanding of the
Studies showing that it is possible to develop solutions that meet carbon and
resource constraints also show that it will require massive change, starting now.         magnitude of the challenges
Business must therefore examine its various roles, improve them, and advocate
                                                                                          that the world needs to
change to other stakeholders: governments, consumers, investors, NGOs, and                manage, and of the multitude
academia. Sustainability considerations must be implemented and integrated
into business strategy and adopted as core business. The Business Role
                                                                                          of business opportunities that
Focus Area works through three approaches: exploring the role of business,                this will bring.”
influencing stakeholders and implementation.
                                                                                                                      Idar Kreutzer
                                                                                                                    CEO, Storebrand

Vision 2050
The WBCSD’s exploratory flagship is the Vision 2050 Project, in which member
companies have set out to develop a business view on making the world
sustainable by 2050 and beyond. The objective has been to create a new intellectual
platform for business thought leadership, one that can also engage governments
and civil society.

Twenty-nine companies, led by Alcoa, PricewaterhouseCoopers, Storebrand
and Syngenta, have come together to rethink what business must do over the
next few decades to help society toward sustainability. Vision 2050 has run a
Regional Engagement Program to ensure the project is informed and validated
by all regions of the world. WBCSD Regional Network partners and regional
representatives of participating companies were instrumental in this. The Vision
2050 report has been launched at the February World CEO Forum in Delhi, India.

Companies will use the results of Vision 2050 as a platform for reinventing
themselves and their products and services to get where they and society want to
be. In the outreach phase we will share the findings with policy-makers and other
key actors, through dedicated Vision 2050 CEO and policy-maker roundtables,
and broader outreach by the WBCSD, its member companies and media.


Influencing stakeholders
Business can better provide goods and services that promote sustainability if
market mechanisms are designed to promote sustainable development. The                          Consumer influence
Focus Area is trying to influence two key stakeholders – investors and consumers –
whose “framework setting” is crucial for how, an to what extent, Council
           mewo                              w, and
members and other companies can develop and d
           n      h      mpanies            p     deliver sustainable business.
                                                          susta

The financial crisis cre ed more scrutiny, mo disclosure, and m
           cial     created     e           more sclo e                anspar
                                                                more transparency
in the market. This has emphasize the importance o businesses and financial
 n     ma             as emphasized       m           of                nancial
 ns      o             tin         c      o            cii       verna
                                                                 v
institutions incorporating systemic environmental, social and governance factors
into fundamental financial analysis and business planning; it has forced businesses
  t     n               nc
                        n       y          u             i
                                                         in       fo
                                                                  f
an
and investors to rethink the basis for sustainable economic performance.
       v             h k            o      a         onom        rm

T 2 08
The 2008 Sustainable Consumptio Facts & Trends re r confirmed that
                     bl Consumption                    report         e h
sustainable consumption issues h
    ta nab
     a              mptii         have become core b i
                                            c                        e
                                                        business issues. In 2009,
the consumers and consumption workstream developed a framework of
 h              s      onsumption
                            mp              tr        el e           e     k
th
the roles of various a o in “enabling sustainable consumption”. It a
                 r    actors n n             u             sumption        also
developed a learning laboratory workshop format to explore sustainable
                earning aboratory
                            rat             o        t     xplor u          b
lifestyles i the cont t of a sustainable w
           in e context         st          world in 2
                                                     2050. Usin results from the
                                                            Using e         r
Vision 2050 project, the workshops were designed specifically f marketing,
           5 ro           e or h           e        ed ecifica for            k
communications and sustainabi
           ication    d sustainability professionals at WBCSD member companies.
                                          f               BCSD e              ompanies.
14   Focus Area The Business Role

       Lifestyle change




                                                                             Multimedia communication kiosk




                                    This all feeds into work to develop the business case for demand-side
                                    management and the consumer agenda. The Focus Area has been working
                                    with the relevant teams across the WBCSD work program to understand and
                                    coordinate efforts on demand-side management. The Focus Area will continue
                                    to advocate the WBCSD Sustainable Consumption report at retailer industry
                                    associations and on other dialogue platforms.

                                    The Focus Area has been working to provide input into the 2010 UN
                                    Commission on Sustainable Development’s focus on Sustainable Production &
                                    Consumption with the International Chamber of Commerce, the separate task
                                    forces of the Marrakech Process, and UNEP. It has also been scoping new ways
                                    to explore the consumer behavior shifts being revealed, the known triggers to
                                    behavior change and their relevance for sustainability.


                                    Implementing Sustainable Development
                                    The WBCSD’s Future Leaders Team (FLT), run by the Business Role Focus Area,
                                    helps younger business leaders become effective ambassadors for sustainable
                                    development through experiential learning, knowledge creation, and the
                                    building of networks and skills. Now in its eighth year, the FLT in 2009 worked
                                    closely with the Development Focus Area to explore the business contribution
                                    to development. They embarked on individual projects inside their companies
                                    using the WBCSD’s Measuring Impact Framework.

                                    After participating in a stakeholder dialogue training event in India, the team
                                    built the Inclusive Business Challenge, a tool for companies and organizations
                                    to raise awareness of how to do inclusive business. Designed for adaptation and
                                    customization by individual companies and organizations, it has already been
                                    picked up by a number of companies and NGOs.

                                    Over the past several years, the WBCSD has developed tools and training
                                    elements - including Chronos, an e-learning tutorial on the business case for
                                    sustainable development - to improve the capabilities of stakeholder groups.
                                    Companies continue to customize Chronos, with total licenses now at
                                    300,000 plus.

                                    In 2009, the WBCSD broadened the focus on capacity building to look
                                    strategically at issues around talent, skills and sustainability through a new
                                    workstream named “People Matter”. It first developed a deeper understanding
                                    of company priorities in the area. The Focus Area found that companies are
                                    concerned with short-term issues around integrating sustainability into the
Focus Area The Business Role   15




                                                  Touch tele monitoring diagnosis




business of people and understanding how sustainable development can
enhance the way they recruit, engage, incentivize, train and manage employees.

In the longer term, companies want to ensure future talent needs are met
and understand how companies can best influence stakeholders such as
governments and education institutions to build skills for a sustainable future.

Companies agreed to build a network of business experts to share experience
and develop thought leadership. In 2010 the network will help build the
business case for action while also providing companies with an opportunity
to profile their experience and collaborate with others. The key deliverable
will be four thought pieces on thematic issues around engaging and training
employees; aligning incentives, performance, recruitment and retention;
identifying future talent and leadership needs; and managing and measuring
organizational change.




Focus Area Core Team 2010
FACT members                                Company                     Country

Mohammad A. Zaidi Co-Chair                  Alcoa                       USAIdar
Kreutzer Co-Chair                           Storebrand                  Norway
Michael Diekmann                            Allianz                     Germany
Francoise Guichard                          GDF Suez                    France
Christian-Andre Weinberger                  Henkel                      Germany
Michael Hastings                            KPMG                        UK
Esko Aho                                    Nokia                       Finland
Irfan Qureshi                               Pakistan State Oil          Pakistan
Ian Powell                                  PricewaterhouseCoopers      USA
Ryoji Chubachi                              Sony                        Japan
Thomas Leysen                               Umicore                     Belgium
16   Focus Area Development
Focus Area Development        17




Development
                                                                                          “My co-chairmanship of
                                                                                     the Development Focus Area
The complex, rapidly changing developing world has overtaken the developed           has helped me make inclusive
countries as the generator of economic growth and opportunity. This is a trend
that is expected to accelerate. Almost all future population growth will happen      business a strategic, profitable
in the former.                                                                       part of GrupoNueva’s core
In 2009, the Development Focus Area reorganized its priorities and structure,        operations. It is also helping
continuing its efforts on doing business with poor communities while expanding
its scope to address the broader business role in sustainably improving the
                                                                                     me to reach out to my fellow
living standards of the growing and increasingly urbanized populations of the        CEOs in Latin America
developing world.
                                                                                     to spread inclusive business
This new structure offers members and partners more flexibility in developing         throughout the region. As
leading-edge thinking and messages; profiling best practices; engaging in
specific initiatives; accessing and influencing international processes and            it spreads, it can benefit our
initiatives; applying innovative WBCSD tools; and cooperating with the WBCSD’s       nations, our people and our
Regional Network partners in developing countries and emerging economies
                                                                                     businesses.”
The Focus Area’s role is to:                                                                                Roberto Salas
  Create awareness among business of risks and opportunities in the                                      CEO, GrupoNueva
  development context
  Define the business role in sustainably addressing key development
  challenges and advocate business perspectives to policy-makers and other
  relevant stakeholders
  Demonstrate leadership by promoting business-led action on the ground.

Bridging divides, promoting inclusive business and measuring
impacts
The Mobility for Development initiative raised awareness in three areas: the
importance of mobility as a driver for economic development; the urgent need to
narrow the mobility divide, and the search for sustainable mobility solutions for
rapidly growing cities in developing economies. Led by BP, Brisa, General Motors,
Michelin, Petrobras and Toyota, the group studied mobility in four such cities:
Bangalore, Dar es Salaam, São Paulo, and Shanghai. The final report concluded
that although mobility opportunities are increasing, overall mobility systems are
not sustainable and are deteriorating for poorer residents. The report’s findings
and messages are being disseminated at key international and regional events.

The Focus Area continues to be a member of the Steering Committee of the
Asian Development Bank’s Energy for All Partnership. Formally launched in June
2009, the initiative links private and public sectors in Asia to improve access to
energy by sharing information, resources and the flow of financing to projects
with appropriate technologies and proven business cases. It aims to provide
access for 100 million new users in Asia by 2015. The Focus Area is also part of
the Energy Poverty Action alliance, along with the World Economic Forum, the
World Energy Council, Vattenfall, Eskom and BC Hydro.
The Latin American Network of Inclusive Business Leaders, launched in 2009,
is led by Roberto Salas of GrupoNueva. Working in close collaboration with its
Regional Network partners, it is engaging forward-thinking CEOs across Latin
America, encouraging companies to get involved in business that benefits both
poor populations and companies. Six CEO-level gatherings were organized in
2009 in Colombia, Argentina, Ecuador, Chile, Brazil and Peru. The Focus Area
is also on the advisory board of the UNDP Growing Inclusive Markets initiative,
which aims to demonstrate the benefits of doing business with the poor and to
clarify the ways that businesses, governments and civil society organizations can
create value for all and inspire the private sector to action.
18   Focus Area Development




                              The Alliance for Inclusive Business, with SNV Netherlands Development
                              Organization and the WBCSD’s Regional Network partners in nine Central
                              American and Andean countries, has 40 inclusive business ventures being
                              implemented. The Alliance is producing a publication profiling its achievements
                              over its three-year history, capturing lessons learned for the business community,
                              governments and development agencies. The goal is to build on this successful
                              alliance by starting similar activities in Asia, Africa and the Middle East. Awareness-
                              raising activities have been held in Mozambique, Zimbabwe and Vietnam.

                              The Measuring Impact Framework (launched in 2008) helps companies
                              understand their contribution to society and use this understanding to
                              make better operational and long-term investment decisions and to have
                              better-informed conversations with stakeholders. The Focus Area spent 2009
                              supporting the Framework’s uptake among companies, organizing capacity-
                              building workshops with partners and presentations at key external events,
                              and compiling a summary of existing impact measurement initiatives. As the
                              only global business organization to develop a measurement framework built
                              by business for business, the WBCSD has become an important voice on the
                              issues around measuring business impacts. It has received requests to provide
                              input into external frameworks developed by the Business Call to Action on the
                              Millennium Development Goals and Oxfam, among others.

                              The WBCSD’s 2009 Future Leaders Team worked closely with the Development
                              Focus Area to explore the business contribution to development. Team
                              members applied the Measuring Impact Framework in their respective
                              companies, providing valuable insight into redefining measures of success and
                              demonstrating the contribution of business. The second phase of the program
                              was spent developing a simulation tool called The Inclusive Business Challenge.
                              (See also The Business Role Focus Area.)


                              Publications and case studies in 2009
                                Mobility for Development
                                The Inclusive Business Challenge – simulation tool developed by WBCSD
                                Future Leaders Team
                                Sustain magazine – Energizing development in a changing climate
                                Allianz case study – Reducing the risks of the poor through microinsurance
                                Newmont case study - Supporting local economic growth in Ghana
                                EcoSecurities case study - Measuring the development benefits of emissions
                                reduction
                                Some 50+ blog entries at www.inclusivebusiness.org
                                Monthly Business & Development e-newsletter (subscriptions grew by 2,000
                                to 14,000 total recipients).
Focus Area Development   19




Moving forward

The Focus Area will publish an advocacy document that builds on the
intellectual capital it has accumulated over the last few years and reflects its
new, broader scope.

It also intends to enhance its inclusive business initiatives in Latin America by
creating a public web platform and a “project management tool for the Latin
American Network of Inclusive Business Leaders, and by publishing a report of
cases and lessons learned from the WBCSD–SNV Alliance for Inclusive Business
in Latin America. The Focus Area will offer an e-learning program in cooperation
with the Argentine Base of the Pyramid Laboratory, and it plans to host two
CEO-level gatherings in Mexico and Panama. Efforts will also be made to
promote the replication of the inclusive business work in Africa and Asia.

Under the leadership of BG Group, the Focus Area has launched an initiative on
local content that aims to increase understanding of how to unlock the benefits
of large-scale investments for local socio-economic development. It will support
collaboration among companies and governments to maximize opportunities
for shared benefit from local content delivery.

The Focus Area will continue to promote the application of the Measuring
Impact Framework and other relevant WBCSD tools by publishing more
case studies on the use of the Framework, compiling a summary of existing
measurement tools and approaches, and completing and distributing the
Inclusive Business Simulation tool developed by the Future Leaders Team.

To advocate business messages and solutions, the Focus Area is organizing
business roundtables at the annual meeting of the IDB, supporting the Business
Call to Action on the Millennium Development Goals, providing input into the
Asian Development Bank’s Energy for All Partnership and the Energy Poverty
Action initiative, and offering business input to the United Nations Financing for
Development process and Development Cooperation Forum.

Focus Area Core Team 2010
FACT members                                Company                           Country

Robin Bidwell Co-Chair                      ERM                               UK
Roberto Salas Co-Chair                      Masisa                            Chile
Iain Conn                                   BP                                UK
Vasco de Mello                              Brisa Auto-Estradas de Portugal   Portugal
José Pablo Arellano                         Codelco                           Chile
John Rice                                   General Electric                  USA
Steven Stanbrook                            S.C. Johnson                      USA
Dr. Fujio Cho                               Toyota Motor Corporation          Japan
20   Focus Area Energy & Climate




                                                           connected systems




                                    realtime information




                      smart meter                            smart grid
Focus Area Energy & Climate              21




Energy & Climate
                                                                                            “It is important for
                                                                                        TEPCO that business input
The economy of the future will be a low-carbon economy, and it is in business’          to the negotiations has a focus.
best interests to guide society toward an economy that makes business sense –
one where business is able to efficiently provide the solutions that will enable         As an electricity company,
the necessary transition.                                                               technology is our lifeblood.
This transition requires solutions for the developed and developing world               Working with the WBCSD
alike. The next few years are critical for establishing policies, mechanisms and
institutions that address greenhouse gas (GHG) mitigation and adaptation to
                                                                                        has helped us develop a
climate impacts, but that also deal with the challenges of energy security and          relationship with the Expert
competitiveness. Delay in establishing a global framework that supports national
legislation will needlessly endanger the global society, exacerbate the societal        Group on Technology
challenge and increase the costs of dealing with climate change.                        Transfer, which provides our
Solutions to adapt to this new dynamic will include international cooperation,          company with a fantastic
new forms of public-private partnerships and clear roles for government,                opportunity to contribute to
business, consumers and civil society. An objective of the WBCSD energy and
climate work has been to develop an understanding of what business can do on            an agreement that enables
its own and what it can do with government and civil society to enhance its role.       greater technology diffusion
                                                                                        and creates greater business
Focusing on the negotiations                                                            opportunities.”
Efforts in 2009 centered on providing a business contribution to the UN climate                                   Teruaki Masumoto
                                                                                                                    Executive Advisor
change negotiations and particularly the major milestone of the Copenhagen                    The Tokyo Electric Power Company Inc.
meeting in December. The WBCSD has provided a business voice and
knowledge input to this process and an interpretation of what a new agreement
might mean for business. In parallel there has been a focus on ensuring that
business has the tools necessary to deliver the solutions.

The Focus Area identified four key areas of the negotiations for business focus:
energy efficiency and demand-side management, technology, carbon markets
and financing and sectoral approaches. In February, the Focus Area provided a
formal submission of the key recommendations from business in these four areas
to the United Nations Framework Convention on Climate Change (UNFCCC)
through official channels. This identified the issues that business believes to
be the most important elements of a future agreement. The submission was
supported in March by a public document, Towards a Low-carbon Economy: A
business contribution to the international energy and climate debate, aimed at the
broader business community as well as government negotiators.

The Focus Area developed a close engagement with negotiators on technology
and related financing issues through the Expert Group on Technology Transfer
(EGTT), the platform for detailed discussions on technology issues under the
UNFCCC negotiations. This has helped the Council build momentum for the
idea that business should be a formal partner in these discussions. The EGTT
has approached the WBCSD about formalizing the engagement to ensure that
business knowledge and expertise are best represented in the development of
new frameworks and institutions for addressing technology diffusion.

The WBCSD has been awarded a contract by the European Commission to
deliver a project that will define options for the formal engagement of the
private sector in the UNFCCC process. It builds on the call that the WBCSD
has been making publicly for many years for greater business engagement in
the negotiations and reflects the sort of engagement the Focus Area is building
with the EGTT. The process will require engagement and workshops with
government, private sector, and other stakeholders in Europe, the US, China
and Brazil. It will also cooperate with a parallel Japanese study on a similar topic.
22   Focus Area Energy & Climate
                                                                              Intelligent systems

                                                                                                                       Smart meter




                    Solar energy fed back into the grid




                                         At December’s UN meeting in Copenhagen, the Focus Area organized the
                                         Copenhagen Business Day with the International Chamber of Commerce and
                                         Danish Industries. This event, attended by over 400 participants and involving
                                         25 CEOs, highlighted business’ role in defining the low-carbon future and its
                                         readiness to provide the right technologies, but also the challenges of delivery
                                         and the need to find effective ways to cooperate with governments.


                                         Other international activities
                                         The Focus Area played a leading role in supporting the organizers of the World
                                         Business Summit in Copenhagen in May, a major business gathering on climate
                                         change, where the WBCSD led discussions on technology and adaptation.
                                         It also led a high-level forum on low-carbon technologies around this year’s
                                         G8 meeting, and was closely involved in the G8 Business Forum and the G8
                                         Environment Ministers’ meeting.

                                         The Energy and Climate Focus Area led the Council’s continuing involvement
                                         in international dialogues, such as the OECD Roundtable on Sustainable
                                         Development. One roundtable focused on the potential implications for new
                                         national legislation and the possible effects of border tariffs.

                                         The WBCSD continued its collaboration with the World Resources Institute
                                         (WRI) to develop internationally accepted standards for product life cycle and
                                         corporate supply chain (Scope 3) GHG accounting and reporting. These two
                                         new standards are due to be completed by December 2010. The initiative
                                         provides a global, inclusive, multi-stakeholder process to design, disseminate
                                         and promote the use of the two new protocols. This currently includes
                                         over 1,000 participants from business, government, NGOs and academia,
                                         representing many countries and sectors.

                                         The World Bank invited the WBCSD to manage the selection of private sector
                                         observers to the World Bank’s Clean Investment Funds. These multibillion dollar
                                         funds are part of the international contribution to supporting clean technology
                                         diffusion, adaptation and forestry. The WBCSD has been invited to continue its role
                                         as the focal point for the private sector with the World Bank in 2010 and beyond.

                                         The WBCSD was instrumental in creating the Voluntary Carbon Standard,
                                         founded 3 years ago with the Climate Group, the International Emissions
                                         Trading Association and the World Economic Forum. It provides a robust, new
                                         global standard and program for the approval of credible voluntary offsets. It
                                         aims to standardize and provide transparency and credibility to the voluntary
                                         offset market, enhance business, consumer and government confidence in
Focus Area Energy & Climate    23




                                                                                  Offshore wind power




                                                                                                        New technology




voluntary offsets, and create a trusted and tradable voluntary offset credit: the
voluntary carbon unit. The first voluntary carbon units were issued in March
2009, and by December over 20 million had been issued.


International climate negotiations post-Copenhagen
While a legally binding climate agreement was the ambition of Copenhagen,
failure to achieve this was widely anticipated. Even so, the Copenhagen Accord
that was the fruit of two years of negotiations fell shorter than many of the most
pessimistic predictions. It leaves business without the clarity and stability that it
needs for a transformation to a low-carbon world.

As international negotiators continue to seek an agreement in Mexico at the end
of 2010 and national legislation becomes increasingly important and more clearly
defined, the Focus Area has refocused attention from policy recommendations
to business actions and solutions. Much of this work still falls within the context
of the international negotiations. Business has an important and valuable role in
contributing to the design and functionality of the institutions and mechanisms
that will be developed, particularly in the areas of technology and related
financing. This will require increased engagement with developing countries, as
well as building on existing relations with developed countries.

There is also an increasing need for business to find solutions as systems and not
as piecemeal or sector-specific problems and risks. The multi-sector engagement
in the Energy and Climate Focus Area provides an opportunity to work on some
of these systems solutions.

Focus Area Core Team 2010
FACT members                        Company                      Country

Mike Morris Co-Chair                American Electric Power      USA
Anne Lauvergeon                     Areva                        France
Lee McIntire                        CH2M Hill                    USA
Charles Taylor                      Chevron                      USA
Andrew Brandler                     CLP Holdings                 SAR Hong Kong (China)
Henrik Madsen                       Det Norske Veritas           Norway
Dave Kepler                         DOW Chemical                 USA
Christoph Dänzer-Vanotti            E.ON                         Germany
Svein Richard Brandtzaeg            Norsk Hydro                  Norway
Jorma Ollila                        Royal Dutch/Shell            Holland/UK
Wang Jiming                         Sinopec                      China
Richard George                      SUNCOR                       Canada
Teruaki Masumoto                    TEPCO                        Japan
Peter Bakker                        TNT                          Netherlands
Ditlev Engel                        Vestas Wind Systems          Denmark
Ernesta Ballard                     Weyerhaeuser                 USA
24   Focus Area Ecosystems




                                                                    connected systems




                                   realtime information




greening
                     smart meter                                       smart grid



                                                                  ecosystem services




                                                Urban ecosystem
Focus Area Ecosystems              25




Ecosystems
                                                                                        “Being a member of
                                                                                   the Ecosystem Focus Area
All sectors of society — including business – must recognize the real benefits      Core Team, and working on
of ecosystems and the need to account for and enhance ecosystem services.
Valuing and sustainably managing ecosystems must become a more integral            decision support tools like
part of economic planning and decision-making by society; otherwise nature         the Corporate Ecosystem
will always lose out to social and economic development.
                                                                                   Services Review and road
The Ecosystems Focus Area is working to achieve these aims by forming alliances
with other stakeholders that champion the positive role of business and the
                                                                                   testing the Corporate Guide
capacity of the marketplace, technology, and innovation in supporting the          to Ecosystem Valuation, has
sustainable management and use of ecosystems. Our main partners are the
World Resources Institute (WRI) and the International Union for Conservation       highlighted the importance
of Nature (IUCN), with which we signed a new four-year memorandum of               of ecosystems to our company.
understanding in 2009.
                                                                                   It is leading us to new ways
The Focus Area also leverages, supports and informs existing WBCSD work that       of thinking about how we
is associated with ecosystems management and use. It leads the development of
new decision support tools and focuses on consolidating and integrating existing   manage ecosystem risks in
business and ecosystem processes to facilitate learning between companies and      our operations and, most
across sectors by promoting the uptake of proven solutions and tools.
                                                                                   importantly, how we make
More specifically, the Focus Area and its member companies work to:
                                                                                   new business decisions.”
  Assess, measure and value the ecosystem impacts, dependence and assets of                                    Antonio Mexia
  member companies and broader business                                                                             CEO, EdP
  Reduce business impacts on ecosystems by scaling up mitigation, offsetting
  or finding sustainable-use solutions
  Explore and promote new business opportunities associated with sustainable
  management and stewardship of ecosystems and the creation of markets and
  payments for ecosystem services
  Advocate for ecosystem governance and policy frameworks that include
  flexible, innovative market-oriented approaches
  Promote the actions of leading member companies in addressing their
  ecosystems impacts and mobilizing their ecosystem assets.

The Focus Area has five workstreams: Ecosystem Valuation Initiative, Corporate
Ecosystem Services Review, Convention on Biological Diversity, communication
tools, and land use and climate change.


Ecosystem Valuation Initiative
Throughout the year the Focus Area built the business case for its Ecosystem
Valuation Initiative (EVI). Centered on corporate ecosystem valuation, both
ecosystem degradation and the benefits provided by ecosystems services are
explicitly accounted for with the intention of informing and improving business                        Vertical farming
decision-making.

In March a detailed scoping study on corporate ecosystem valuation was
discussed with members. In May an Issue Brief was released and the Focus Area
Core Team endorsed preparation of a Guide to Corporate Ecosystem Valuation
to be launched at the Convention on Biological Diversity meeting in Nagoya                food miles
in October 2010. To undertake this significant new initiative, the Focus Area
developed a partnership with IUCN, WRI, PricewaterhouseCoopers (PwC), and
Environmental Resources Management (ERM).

At the Washington DC meeting, the Focus Area released a comprehensive
advocacy publication – Corporate Ecosystem Valuation — Building the business


                                         Biofuel using enzymes
26   Focus Area Ecosystems




                             case — and by year end 16 member companies had signed up as “road testers”
                             to support development of the guide during 2010.

                             The Focus Area established close ties with The Economics of Ecosystems and
                             Biodiversity (TEEB) study, launched by the Environmental Ministers of the G8+5
                             countries in 2007. This is a major international initiative assessing the global
                             economic benefits of biodiversity and ecosystems as well as the growing costs
                             of biodiversity loss and ecosystem degradation. The WBCSD was chosen as a
                             chapter editor of the TEEB report for business.


                             Corporate Ecosystem Services Review
                             The Corporate Ecosystem Services Review (ESR) was launched in 2008, and efforts
                             in 2009 focused on conducting training sessions for member companies,
                             translating the guidelines into additional languages, and working with Regional
                             Network partners to champion ESR uptake at the local level.

                             Over 300 companies are thought to have used the tool, which is now available
                             in Spanish (supported by Telefonica and Holcim), Portuguese (Brisa and BCSD
                             Portugal), Japanese (Hitachi Chemical), French (EDF, Veolia, GDF SUEZ), and
                             Chinese. Demand for ESR training has accelerated, with sessions being held in
                             2009 in Tokyo, Argentina and Washington DC (the latter involving 15 Regional
                             Network partners).


                             Advocacy
                             The Focus Area scaled up its engagement with the Convention on Biological
                             Diversity (CBD), most notably by preparing for the 10th Conference of the
                             Parties to the Convention to be held in Nagoya in October 2010. The CBD
                             Secretariat has endorsed a proposal for an International Business and Ecosystems
                             Day sponsored by the WBCSD, IUCN and the Nippon Keidanren. The Day
                             would be embedded in the formal agenda of COP 10, and focus on substantive
                             actions by business and “smart” policy frameworks and mechanisms by
                             governments to reverse ecosystem degradation and loss of critical ecosystems
                             services.

                             The Ecosystems Focus Area established close links with other areas of work of
                             the WBCSD, such as the Water Project (a number of the EVI road tests will look
                             at water-related ecosystem services) and the Energy & Climate Focus Area, on
                             collecting member case studies on links between land use and climate change.
Focus Area Ecosystems       27




Members were surveyed on tools to assess the use and value of three
recent tools (Global Water Tool, the ESR, and the Sustainable Procurement
of Wood and Paper-Based Products Guide) associated with corporate use
of critical ecosystem services, and to get guidance on how the WBCSD can
better support its members to address corporate impacts on ecosystems.

The Focus Area helped launch the Ecosystem Services Experts Directory,
led by WRI, with IUCN and Earthwatch Institute. This is a public online
directory that allows business leaders and governments to locate and contact
specialists in ecosystem services. It is free and easy to use, allowing searches
for country-specific experts in a wide range of ecosystem disciplines.




Moving forward                                                                                 “WBCSD member
The Focus Area plans to provide business leadership on the expanding                       companies have the
ecosystems and business agenda through effective partnerships, advocacy at                 vision and the means to
key events and the development of policy positions reflecting member company
needs and capacities. Critical themes over the next few years include:                     bring new technological
  Ecosystem impact assessment and mitigation strategies by business, including assessing
  trade-offs that might exist between ecosystems and other sustainability issues
                                                                                           solutions to the market that
  Ecosystem valuation as an effective risk management and business                         increase productivity while
  development strategy
  The role of market mechanisms as a supplement to current policy frameworks               minimizing the impact on
  and regulatory approaches to biodiversity conservation and ecosystem management.         our limited natural resources.
The Focus Area will continue to promote the uptake and use of the Corporate Ecosystem      For Syngenta, the work
Services Review as the primary assessment tool to be used by member companies.             with the WBCSD is a way
It will, with support from PwC, ERM, IUCN, WRI and member companies,                       to improve the dialogue
implement the Ecosystems Valuation Initiative and develop and release the                  among all stakeholders for a
Guide on corporate ecosystem valuation.
                                                                                           sustainable future.”
It will organize with IUCN and Nippon Keidanren an International Business and
                                                                                                                  Michael Mack
Ecosystems Day at the CBD COP 10. The Focus Area is currently scoping out                                         CEO, Syngenta
two new publications: an issue brief on best practice public policy, regulatory
frameworks and market mechanisms for ecosystems and an electronic document
showcasing how companies are responding to the three core objectives of the CBD.

The Focus Area is also providing an e-publication of WBCSD member case studies
on links between land use and climate change, which will be updated regularly.

Focus Area Core Team 2010
FACT members                         Company                       Country
Bob Elton Co-Chair                   BC Hydro                      Canada
Antonio Mexia                        EdP – Energias de Portugal    Portugal
Yasuji Nagase                        Hitachi Chemical              Japan
Markus Akermann                      Holcim                        Switzerland
David Hathorn                        Mondi                         South Africa
Tom Albanese                         Rio Tinto                     UK
Christopher Kirk                     SGS                           Switzerland
Michael Mack                         Syngenta                      Switzerland

Associate members 2010
Associate members                    Organization                  Country
Luis Rochartre Alvares               BCSD Portugal                 Portugal
Christina Garcia-Orcoyen             BCSD Spain                    Spain
28    Project Water




                                              Hydro power




                                             Water
    “The Global Water Tool
gives a comprehensive picture
of our operations’ water                     Water is a critical sustainable development issue, right alongside energy, food
                                             and land security, and climate change. The fifth World Water Forum, held in
risks and projected exposure.                March 2009 in Istanbul with over 30,000 participants, pushed water higher up
It provides the basis for a                  the political agenda. The WBCSD has helped bring the issue firmly onto the
                                             corporate radar screen over the past 10 years, and is helping make it a higher
sustainable management of                    priority for governments and civil society.
our water footprint.”                        The WBCSD was at the Forum because it believes business must be part of the
                           Mark Garrett      solution to the world’s water crisis, and it worked closely with other business
          Chief Executive Officer, Borealis   organizations such as AquaFed, the International Chamber of Commerce
                                             and Regional Network partner BCSD Turkey. The Council provided a strong
                                             business voice by facilitating corporate participation in many sessions, including
                                             Ministerial Roundtables, and having a pavilion. Business’ participation and
                                             messages were officially recognized.


                                             Action

                                             The Water Project launched the report Water, Energy and Climate Change:
                                             A contribution from the business community in early 2009 to encourage the
                                             linking of water and energy in the global climate negotiations. It demonstrates,
                                             through 25 case studies from such members as ITT, Royal Dutch Shell, Suncor
                                             Energy and GHD, that companies are already connecting these issues across
                                             their operations. From dry cooling in water-scarce power plants to sewage heat
                                             recovery, business is already tapping into the innovations and opportunities
                                             these challenges present.

                                             The WBCSD co-convened the Water and Climate days at the Stockholm World
                                             Water Week in August and supported the closing statement urging experts
                                             to consider water at the Copenhagen climate meetings. Water has a role to
                                             play in adaptation to climate change, as well as in mitigation as it is required
                                             to produce all forms of energy and will become the limiting factor in energy
                                             generation. The water intensity of energy must be included in energy selection.
Project Water          29




                                                                                                          Energy and water systems




water treatment




    About 30 member companies attended the Istanbul Forum and the Stockholm
    World Water Week, including Kimberly-Clark, PricewaterhouseCoopers, Procter
    and Gamble and The Dow Chemical Company.

    More companies are more stringently accounting for and reporting on their
    water use and impacts. Many new global initiatives have emerged to take on
    the water challenge, driven by civil society groups, governments and business.
    To facilitate business engagement and promote joint action, the WBCSD
    launched “Water for Business: Initiatives guiding sustainable water management
    in the private sector” with the International Union for Conservation of Nature
    (IUCN) in Stockholm. It identifies 16 approaches, ranging from guidelines
    and measurement methodologies to reporting and stewardship schemes or
    standards. One of these is the WBCSD’s Global Water Tool, developed by CH2M
    HILL, which helps companies manage their water-related risks.

    As a founding partner of the Water Footprint Network, the WBCSD co-convened
    a workshop to share experience from business applications and explore links
    with policy development. A handful of members — Borealis, PepsiCo, The
    Coca-Cola Company and Unilever — are already trying out the methodology.
    Simultaneously, the International Organization for Standardization (ISO) has
    launched a process to develop a new water standard.


    Moving forward
    The Water Project will be playing a critical role in bringing members’ needs
    and inputs to these strategic, political and technical debates in 2010. The
    project will help collect and consolidate learnings from Water Footprint pilot
    testers to ensure that tools are applicable for the business community at large,
    and will promote a holistic approach to water, carbon and other ecological
    “footprinting” methods.

    It will continue to advocate for water to be better included in the global energy
    and climate negotiations (related to both mitigation and adaptation) and
    demonstrate the importance of water’s links with other sustainable development
    issues, in particular food security and land use.

    The Stockholm Industry Water Award recognizes best practice in sustainable
    water management from all business sectors. As a founder of the award,
    the Water Project will market the tool so that it becomes more globally
    recognized as the business water award. (See www.industrywateraward.org for         Co-chair 2010              Company
    more information.) And the group will, as usual, take on leading roles in the       Mark Garrett               Borealis
    Stockholm World Water Week in September 2010.                                       Steven Loranger            ITT Corporation
30    Project Energy Efficiency in Buildings
                                                               Retrofit




                                                                                                 Renewable




                                            Energy Efficiency in
                                            Buildings
     “Inside UTC the results
of the work had a favorable                 Buildings represent nearly 40% of final energy used globally. If the energy consumed
                                            in building construction is included, this number grows to more than 50%.
impact on our company’s
awareness of building energy                However, large and attractive opportunities exist to reduce buildings’ energy
                                            use, at a lower societal cost and a higher return than in other sectors. Many
and CO2 emissions and our                   of these are favorable investment opportunities even over the short term. The
understanding of market                     International Energy Agency (IEA) estimates in its World Energy Outlook 2009
                                            that energy efficiency could account for more than 60% of global CO2 emissions
perceptions for efficient                   reductions until 2030. A significant part of this will need to come from buildings.
buildings, has increased
                                            The Energy Efficiency in Buildings (EEB) project, established to respond to these
the emphasis of the topic in                realities, had four major results:
                                              It provided a market assessment of the challenges, opportunities, and
our communications and                        perceptions of energy efficiency in buildings
advocacy efforts, and has                     It performed a thorough qualitative and quantitative assessment of how the
                                              market could respond to energy issues in buildings based on various market
reshaped certain aspects of our               and regulatory mechanisms, including codes and regulations, finance and
strategic thinking.”                          price signals, technology and behavior
                                              It gained commitment from the WBCSD members to do more to improve
                           George David       energy use in their own buildings.
          United Technologies Corporation     The work of the Energy Efficiency in Buildings project was reviewed by the
                                              prestigious, Washington-based Peterson Institute for International Economics.


                                            Action
                                            The project launched its key report, Transforming the Market, in April 2009. It
                                            contains recommendations for various building segments, with an interactive
                                            Roadmap addressing most stakeholders. EEB translated its report into Chinese,
                                            French, Japanese, Korean, Russian and Spanish, and launched it through a
                                            communications strategy that included a press conference led by member
                                            company CEOs and chairpersons. This strategy resulted in more than 140
                                            published articles worldwide on the project, and 22,000 website downloads.
Project Energy Efficiency in Buildings            31




                                      Holistic planning




Commercial center




                                                                                           Passive house




  EEB developed a unique simulation model and commissioned universities
  to gather input data to demonstrate the effects of policy changes and other
  mechanisms on creating energy-efficient buildings in different markets.

  The scope includes new and existing buildings in Brazil, China, India, Western
  Europe, the US and Japan, a combination of countries and regions that covers
  about 80% of the world’s energy used in existing buildings and about 80% of
  all expected new construction.                                                             “The conclusions of
  For the time horizon used, now to 2050, the project calculated the global             the Energy Efficiency in
  energy use and CO2 emissions from the sector based on the most likely
  implementation and adoption of energy-efficiency measures.
                                                                                        Buildings project have
                                                                                        confirmed the importance of
  EEB focused attention on the huge amount of energy used in buildings during
  their operations, making them the largest sector emitting CO2 worldwide. In
                                                                                        the decision made many years
  2009, it shared its findings with the US Department of Energy, the Chinese             ago by LAFARGE to increase
  Ministry of Construction, the European Parliament and the European
  Commission. The European Commission is considering recasting the European             our effort on energy efficiency
  Directive on Energy Performance in Buildings (requesting zero net energy              in the manufacturing process
  buildings by 2019).
                                                                                        and to develop new products
  The EEB encouraged actions by WBCSD member companies through a Manifesto              and construction systems that
  and an Implementation Guide, sent to Council members in late 2009. By
  agreeing to the Manifesto, the companies will help push major increases in the        make buildings more energy
  energy efficiency of their buildings and have an impact on local building markets.
                                                                                        efficient during their life time.
                                                                                        Within LAFARGE, many
  Moving forward                                                                        more people have now a better
  The project is moving into an “advocacy and implementation phase”. Interested         understanding on how our
  WBCSD member companies, including former EEB core group members and
  partner organizations will call for action on its findings.
                                                                                        materials contribute today
                                                                                        and will contribute tomorrow
  The Manifesto initiative will be actively promoted and its implementation at
  company level will be supported by a “help point”. The EEB database and
                                                                                        to saving energy in buildings”
  simulation model will be used by the core group companies and WBCSD                                                   Bruno Lafont
  members in their own business strategy development. They will be available to                            Chairman and CEO, LAFARGE
  other organizations on certain conditions.

  Finally, the WBCSD is planning to produce a joint roadmap for the building
  sector together with the International Energy Agency in early 2011.
32   Project Sustainable Forest Products Industry




                                                              Reforestation




Sustainable Forest Products
Industry
                                     Forests cover 30% of the world’s land area, are powerful symbols of nature and
                                     biodiversity, and provide a wide range of goods and services to meet essential
                                     needs, such as climate regulation and water quality, and everyday needs such as
                                     timber and paper.

                                     Deforestation and the permanent loss of forest cover – mainly clearing forest for
                                     farmland in developing countries – is the opposite of sustainable development.
                                     Global forestry and forest product companies can lead innovation in sustainable
                                     forest management and the sustainable production, use and reuse of forest
                                     products, including wood and paper products, renewable energy and
                                     ecosystem services.


                                     Action
                                     The recession hit the forestry industry hard, so the Sustainable Forest Products
                                     Industry (SFPI) working group implemented a focused program for 2009 that
                                     targeted four stakeholder groups: customers, investors, non-business forest
                                     stakeholders and climate change negotiators.

                                     The group, with the World Resources Institute (WRI), completed the first
                                     online update of the Sustainable Procurement Guide to the purchase of wood
                                     and paper-based products and website. These materials cover more than
                                     30 approaches to the responsible procurement of sustainably sourced forest
                                     products.

                                     Promoted by the WBCSD and WRI, the guide and resource kit were downloaded
                                     nearly 28,000 times. The Guide is also available in Chinese and Spanish and has
                                     been downloaded some 1,500 times. The WBCSD and WRI will update these
                                     materials annually.

                                     Led by PricewaterhouseCoopers (PwC), the SFPI prepared a Sustainable Forest
                                     Finance Toolkit targeting the banking and finance sector. The toolkit, which
                                     will be available online in early 2010, provides banks with decision support
Project Sustainable Forest Products Industry        33

tools and investment filters to help them screen investment proposals for
forestry and processing operations.

The SFPI continued to resource, support and participate in events organized
and led by The Forests Dialogue (TFD), including processes focused on:



  implementation for climate change negotiators and the Informal


  Ghana in November, looking at capacity building and governance issues


  Nepal and Panama to look at investment constraints and opportunities
  associated with small private forest owners and forests managed by
  communities and indigenous people.




To ensure that the UNFCCC optimizes climate mitigation and adaptation                    “The strong partnership
opportunties afforded by sustainably managed forests, the SFPI assisted in the
release of the TFD’s recomendataions on investment in REDD projects during          between the WBCSD’s
the UNFCCC Bangkok Climate Change Talks in October.                                 Sustainable Forest Products
These recommendations encourage negotiatiors to take a “REDD plus”                  Industry working group and
approach to encourage a broader range of forest management activties, and
they argue for a phased approach to implementation, with three distinctive
                                                                                    the World Resources Institute
steps: 1) preparation, 2) policy changes leading to 3) performance-based            has enabled the development
payments. SFPI companies also helped promote these messages at the
Copenhagen climate talks.                                                           of a highly credible, easy-to-
                                                                                    use sustainable procurement
Working with the International Council of Forest and Paper Associations, the
SFPI developed recommendations for negotiators to include the carbon benefits        guide for wood and paper-
of harvested wood products in the texts considered in Copenhagen.                   based products, which has
Moving forward                                                                      quickly become the state-of-
                                                                                    art information source on
The SFPI will continue its involvement in all REDD Readiness dialogues organized
by the TFD, including the further development of key messages. It will support      responsible procurement within
a new TFD workstream looking at the free, prior and informed consent of             our sector. Updated on an
indigenous peoples involved in forest management.
                                                                                    annual basis to keep pace with
The SFPI will roll out the PwC WBCSD Sustainable Finance Tool kit, and continue     developments, this sales support
to work with WRI to promote and update the sustainable procurement guides.
                                                                                    tool allows customers to buy
The Copenhagen Accord clearly recognized the crucial role of reducing emissions
from deforestation and forest degradation (REDD) in addressing climate change
                                                                                    forest products with even greater
and confirmed the establishment of a “REDD plus” mechanism to provide                confidence by selected existing
positive financial incentives for forest conservation, sustainable management of
forests and enhancement of forest carbon sinks in developing countries.             approaches that meet their
                                                                                    geographic location, product
The SFPI will continue its advocacy work on international framework conditions
and regional and national policy measures that will enable the sector to maximize   mix and company values.”
its contribution to tackling climate change by: expanding sustainable forest
                                                                                                                John Luke Jr.
management practices; growing markets for wood, paper and biomass energy                             Chairman and CEO, MWV
from sustainably managed, renewable sources; increasing its capture and use of
recycled fiber for products and energy; and improving energy efficiency and the
uptake of new low-carbon and carbon-neutral processing technology solutions
throughout its value chain. This will be done directly with climate and forestry
policy-makers and via multi-stakeholder processes such as The Forests Dialogue.

                                                                                    John Luke, Jr          MWV
34   Project Cement Sustainability Initiative




Cement Sustainability Initiative

                                      The Cement Sustainability Initiative (CSI) brings together 21 leading cement
                                      producers with operations in more than 100 countries. Collectively, these
                                      companies account for about 40% of the world’s cement production. Over
                                      its 10-year history, the CSI has focused on understanding, managing and
                                      minimizing the impacts of cement production and use by addressing issues such
                                      as climate change, fuel use, employee health and safety, airborne emissions,
                                      concrete recycling and quarry management.

                                      The CSI explores what sustainable development means for the cement industry
                                      and indentifies actions cement companies can take, individually and as a group,
                                      to accelerate progress toward sustainable development. It provides a framework
                                      for other cement companies to become involved, and it creates the content and
                                      context for further stakeholder engagement. More recently, the initiative has
                                      started looking at the sustainability of the industry’s main end-product, concrete.


                                      Action
                                      The CSI has worked to expand its membership to emerging markets, particularly
                                      China and India, where more than half of cement production takes place. In
                                      2009 three Chinese cement companies joined the CSI - CNBM, Tianrui, Sinoma.
                                      Two Indian companies, Grasim and Shree Cement, have been CSI members for
                                      several years.

                                      The year also saw much CSI work on climate with the publication of the report on
                                      the Getting the Numbers Right (GNR) database (CO2 and energy performance of the
                                      sector), the sectoral approach modeling results, the International Energy Agency
                                      technology roadmap, and the submission of a new Clean Development Mechanism
                                      (CDM) benchmarking methodology. The CSI shows how an industry sector can help
                                      develop policy for climate mitigation; it is increasingly solicited to share its views
                                      at industry events, as well as with other audiences outside of the sector.

                                      The sectoral approach has to do with the cement industry taking part in
                                      the global climate regime as a unified industrial sector (albeit with different
Project Cement Sustainability Initiative     35




implementation practices determined by national governments). The
modeling project helped improve understanding of the impacts of different
carbon policies on potential emissions reductions, global trade and regional
market shares in the cement sector. The CSI presented the study at the
United Nations climate change meetings in Copenhagen last December.

The CSI’s formulation of how a sectoral approach could work in practice,
backed by data and modeling of alternative policies, has been praised
by key stakeholders, notably the European Commission. Yet substantial
misunderstanding of the term “sectoral approach” remains, with
developing countries in particular seeing it as requiring them to adopt
emission caps, which could limit their growth. In fact, this is not the case,
because the sectoral approach envisions developing economies taking up
emissions efficiency goals, not absolute caps on emissions.




In June, the CSI published a report on its CO2 and energy performance database
for the cement industry, in which over 50 producers worldwide participate and
contribute data into the system, covering more than 800 cement installations.
The CSI has also published regional breakdowns, in part as a response to a
request by the United Nations Framework Convention on Climate Change
(UNFCCC) Clean Development Mechanism (CDM) Executive Board.

In April, the CSI submitted a new sectoral CDM benchmarking methodology to
the Board. It uses simple, standardized sector-specific benchmarks to improve
the CDM’s transparency and credibility while maintaining environmental
effectiveness and sound business incentives to participate.

In partnership with the International Energy Agency, the CSI launched a cement
technology roadmap, the first industry-specific roadmap, in December. It
outlines all existing and potential technologies in the cement sector that could
contribute to CO2 emissions reductions.

The CSI’s safety task force published guidelines to improve the safety of
drivers and contractors, an issue identified as a particular risk for the industry.
Companies have signed up to a 5-year implementation plan.

The CSI published its report on concrete recycling in July 2009, expanding
its scope beyond cement production. The report, the vision of which is “zero
landfill” of concrete, recommends improved data collection on construction and
demolition waste and better policy incentives for recycling.

The CSI launched a new task force on concrete sustainability. It is preparing a
work plan to investigate the sustainability benefits of concrete in construction.

Moving forward
In 2010 the CSI will help the new Chinese members integrate into the Initiative,
including capacity building for emissions measurement and reporting. The CSI
aims to expand the coverage of the GNR database to over half of global cement
production by 2012 (from about 30% currently).

The CSI will refine the sectoral approach proposal, continue monitoring the climate
change debate and, where necessary, develop positions on relevant topics such as
standardization and offsets. It will encourage the implementation of the safety initiatives by
its members, and it will develop a work program on concrete sustainability.
                                                                                                 Co-chairs 2010        Company
It plans to review its mission and structure after 10 years of successful work, in
                                                                                                 Albert Manifold       CRH
order to set the right priorities and appropriate working modalities for the next                Bruno Lafont          Lafarge
decade, particularly taking into account its increasingly global membership base.                Kan Trakulhoon        Siam Cement Group
36              Electricity Utilities
        Project Cement Sustainability Initiative




                        Power cuts




     “As part of the WBCSD
Electricity Utilities project,
we have the opportunity to
                                              Electricity Utilities
engage with international
power generation companies
to collectively move forward in
                                              Electricity is at the heart of the global energy challenge. Its share of overall
addressing climate change. We                 energy use is rising as it brings crucial societal value to the economies of
cannot solve this challenge in                all countries. It is a driver of development and productivity; yet significant
                                              sustainability issues face the sector, from cutting greenhouse gas emissions to
isolation - it is after all, global           reaching those without electricity.
warming - and we need to work
                                              The Electricity Utilities Project brings together nine leading utilities from around
with our peers around the world               the world to develop a deeper and more concrete understanding of these
                                              challenges and explore policy needs and the potential business contribution to
to find effective solutions.                  solutions.


By engaging in international
                                              Action
dialogues with multiple
                                              The report, Power to Change: A business contribution to a low-carbon electricity
stakeholders, we have had                     future was released in December 2008 and was well received by international
the opportunity to debate the                 climate negotiators as providing a good example of the solutions that can
                                              be delivered by a sectoral approach, with the level of detail of the steps
necessary technology solutions                necessary to achieve this. It has served as a centerpiece for the project’s work.
and policy needs to decarbonize               The companies have refined the topics of the report, ranging from securing
                                              investments in infrastructure and increasing end-use efficiency to diversifying
the electricity utilities sector              and decarbonizing the fuel mix, accelerating R&D, and reinforcing and
within the US and globally. The               smartening the grids.

involvement of the WBCSD                      In April 2009, a successful dialogue was convened in Washington DC based
has promoted the credibility                  on the report. Over 100 energy and climate experts, including senior business
                                              executives, key policy-makers, experts and NGOs, were engaged. Participants
and acceptance which allows                   shared their insights on the technology and financial policies needed to address
                                              climate change, as well as the challenges of dealing with global trade and
stakeholders to participate in                competitiveness.
such an excellent exchange.”
     Mike Morris Chairman, President & CEO
                American Electric Power Co.
Project Electricity Utilities   37




The Project members also worked with the International Energy Agency to
contribute to its publication on Sectoral Approaches in Electricity.

Moving forward
Ideas for the next work phase have been discussed with the member companies
and consolidated into a work plan. Further cooperation has been identified
with the International Energy Agency Climate Change team around sectoral
approaches. Project members also agreed to work on projects focused on
implementation, such as smart grids.




                                                                              Co-chair 2010            Company
                                                                              Joe Hogan                ABB Lt
38   Project Electricity Utilities
             Tires




                                     Tire Industry Project
                                     The Tire Industry Project (TIP) has been evaluating potential health and
                                     environmental impacts of chemicals commonly used in tire making and also
                                     looking at the impacts of tire wear particles generated during normal tire use.

                                     The first phase of field research – collecting tire wear particles (TWP) and
                                     analyzing their physical and chemical properties - was completed in mid-2008,
                                     and this preliminary sampling identified no significant health or environmental
                                     risks from TWP.

                                     The group has also worked on the management of end-of-life tires (ELTs).
                                     In 2008, TIP companies developed a summary brochure and extended web
                                     brochure on ELTs, outlining current management practices around the world.


                                     Action
                                     ELT work continued during 2009, in consultation with trade associations and
                                     others working in this area, to try to bring together global experiences around
                                     ELT management systems, learning and then sharing lessons in countries
                                     or regions where little or no ELT management exists. The working group
                                     developed an overview of ELT management processes in major mature markets
                                     and in key emerging markets.

                                     The TWP group completed in 2009 its third year of a planned six-year effort (up
                                     to 2012). The member companies provided resources and internal expertise to
                                     work with a toxicology specialist on TWP testing. When completed, this research
                                     is expected to provide comprehensive data for industry and stakeholders on the
                                     human and environmental impacts of tires.
Project Tire Industry Project
                                                                                                       Project Tires       39




Moving forward
In early 2010, the investigations into the human and ecological risks related
to TWP finer particles (less than 10um) will conclude. The effectiveness of a
marker to quantify TWP in the environment will be determined, enabling the
tire industry to establish reliable analytical techniques for future TWP research.
The project intends to develop an understanding of potential human toxicity of
TWP relative to other particles in the air, allowing the tire industry to develop
a platform for dialogue regarding the risk management measures of TWP and
other particles.

The project will move into its next phase: field monitoring to quantify the
amount of TWP in the environment, a necessary step for any credible risk
assessment. It will work to identify and fill major remaining data gaps for human
health risk assessment, enabling the industry and its stakeholders to set future
research priorities.

The TIP CEOs will meet in May 2010 to review progress and to discuss
future work areas, for example potential joint work on nanomaterials in tire
manufacture. The ELT Working Group will complete an ELT management
manual and will put a proposal to CEOs for TIP collaboration on initiating an ELT
management system in one of the BRICS countries (Brazil, Russia, India, China
and South Africa).




                                                                                     Co-chairs 2010          Company
                                                                                     Shoshi Arakawa          Bridgestone
                                                                                     Robert Keegan           Goodyear
                                                                                     Michel Rollier          Michelin
40           Sustainable Mobility
     Project Tire Industry Project




                    Electric car




                                     Sustainable Mobility

                                     Mobility in all of its forms gives rise both to sustainability issues – emissions,
                                     carbon, energy use – and plain old efficiency issues; in some places transport
                                     appears to be grinding to a halt. The Sustainable Mobility Project was
                                     established to consider how global mobility can be made more sustainable,
                                     efficient and equitable by 2030 and beyond. What strategies exist, and what is
                                     required to enable these strategies to succeed?

                                     The Project was guided by 12 companies representing 75% of global car
                                     manufacturing capacity. It released a comprehensive report, Mobility 2030, that
                                     proposed seven goals to make mobility more sustainable (see www.wbcsd.org/
                                     web/mobility.htm).


                                     Action
                                     These goals continue to inform the efforts of our member companies, which
                                     now drive sustainable mobility as an advocacy project. Members are working
                                     on the development of hybrids, clean diesel and fuel cells, as well as on fuel-
                                     efficiency improvements. One specific goal is to significantly reduce the total
                                     number of road vehicle related deaths and serious injuries. The companies
                                     are pursuing this goal through their participation in the Global Road Safety
                                     Initiative.

                                     Members are also contributing to transport sustainability by their participation
                                     in our Energy & Climate Focus Area, which has marked transport a megatrend.
                                     They completed work on how governments can get the best out of the mobility
                                     sector, but transport sector emissions and energy trends to 2050 remain
                                     particularly alarming. Up to half again more energy will be required in the sector
                                     to sustain economic growth.

                                     Years of strong economic growth have strengthened transport demand in
                                     the rapidly developing world. The Mobility for Development workstream of
                                     the Development Focus Area addressed the challenges of making mobility in
                                     developing countries more efficient and more accessible to all. Its regional
Project Sustainable Mobility       41




                                                                                                        i car




dialogues in four cities, results of which were published in 2009 in the report
Mobility for Development, and case studies help to underscore the ways in which
mobility helps all nations develop.


Moving forward
Business and governments must work together to establish a long-term
framework now to drive mobility resource allocations, with business providing
management and technology skills. The Council prepared negotiating points
on such issues for the climate negotiations leading to the Copenhagen climate
change meetings at the end of 2009.

Today members are not only advocating those goals, but are working on the
development of hybrids, all-electric cars, clean diesel and fuel cells, as well as on
fuel-efficiency improvements.




                                                                                        Note: The Sustainable Mobility Project
                                                                                        is now in an advocacy phase. The
                                                                                        WBCSD draws on the messages and
                                                                                        recommendations arising from this
                                                                                        body of work.
42     Project Sustainable Mobility Sustainable Development
               Mining, Minerals and




Mining, Minerals and
Sustainable Development
                                     Until the economic downturn, mining and minerals were enjoying their part
                                     of the commodities boom – all the more reason to assure their social and
                                     environmental sustainability. This global sector can create sharp local impacts.
                                     It also creates opportunity, employing more than 30 million people; some 34
                                     countries rely on minerals for at least one-quarter of all their exports.

                                     Action
                                     Nine mining and minerals companies originally approached the WBCSD to
                                     create the Mining, Minerals and Sustainable Development (MMSD) Project in
                                     1999 to better understand their sustainability challenges.

                                     They presented their final report, Breaking New Ground: Mining, Minerals, and
                                     Sustainable Development, at a conference in Toronto, Canada, in May 2002. In
                                     it, they offer an agenda for change and outline key sustainable development
                                     challenges facing the sector: ensuring the long-term viability of the minerals
                                     industry; control, use and management of land; using minerals to assist with
                                     economic development; making a positive impact on local communities; and
                                     managing the environmental impact of mines.

                                     Their report recommends the creation of clear spheres of rights and
                                     responsibilities for NGOs, indigenous people, labor and commercial players. It
                                     advises firms to develop a consistent system of reporting guidelines to ensure
                                     that key aspects of company practices and performance are publicly reported
                                     and verified.

                                     The International Council on Mining & Metals (ICMM) was established to
Note: The Mining and Minerals and    continue leadership on improving the industry’s sustainable development
Sustainable Development project      performance. Its work plan includes a partnership with the International
is now in an advocacy phase. The     Union for Conservation of Nature (IUCN) on biodiversity issues and with the
WBCSD draws on the messages          World Bank on community concerns, and ongoing research support from the
and recommendations arising from     International Institute for Environment and Development.
this body of work and ongoing
ICMM work.
Initiative Chemicals   43




Chemicals

What would a sustainable, global chemicals regime look like in a globalized
market, with appropriate testing and cradle-to-grave management of chemicals
and all the ingredients and processes that go into making them? Over the
years, front-page stories of contaminants have made companies, the public and
regulatory agencies more sensitive to the need for such a regime.

Developments in science and technology have improved our understanding of
the sources, pathways and implications of particular chemicals. Combined with
growing sensitivity to environmental and health issues within the public at large,
the consequences of these shifts are profound. What were once environmental
issues are becoming health and safety issues. And what were once compliance
issues for companies have become reputational risk issues.

Action
During 2007 members of the project completing a scoping study, analyzing
over 30 chemical sector initiatives and have been discussing opportunities to
use the findings. The study helps companies better understand existing sector
initiatives and stakeholder concerns.

The findings have provided new insights that will be used by the industry, its
members and associations to further improve efforts for a more sustainable
chemical industry. Chemicals are essential to sustainable development, and the
sustainability agenda represents a huge opportunity for the industry. Only a
fraction of chemicals are seen as an issue, and most global chemical companies
operate with international standards consistent with the highest regulatory
standards, often outperforming local requirements.

However, problems exist with hazard control from chemical production and
transport, both in the developing world and pockets of the developed world. Where
is the boundary of responsibility for large, multinational chemical companies?
44     Project Chemicals
       Initiative Chemicals




                                    Most stakeholders thought that global companies could make a stronger effort
                                    to develop solutions for the major problems and that they need to find ways
                                    to assist small and medium enterprises and state-owned enterprises around
                                    the world to implement better processes. Member companies and associations
                                    are taking the results of this work and integrating it into their actions as they
                                    continue their deliberations.




Note: The Chemicals project is
now in an advocacy phase. The
WBCSD draws on the messages and
recommendations arising from this
body of work.
Initiative Eco-Patent Commons   45




Eco-Patent Commons
The Eco-Patent Commons Initiative, launched in early 2008, started slowly but
rapidly gained momentum in 2009. It provides a method for companies to
place environmentally beneficial patents into the public domain, and it creates
a space for companies to identify areas of common interest and may promote
cross-fertilization among business.

Founder member companies were IBM, Nokia, Pitney Bowes, and Sony, in
partnership with the WBCSD. Initiative members pledge not to assert selected
patents from their portfolios when others use them to address environmental
concerns. Anyone who wants to bring environmental benefits to market can use
these patents to protect the environment.

The objectives of the Eco-Patent Commons are to:
  Provide an avenue by which innovations and solutions may be easily shared
  to accelerate and facilitate implementation to protect the environment and
  perhaps lead to further innovation
  Promote and encourage cooperation and collaboration between businesses
  that pledge patents and potential users to foster further joint innovations and the
  advancement and development of solutions that benefit the environment.

Action
Four leading companies – Ricoh, Taisei, Dow, and Fuji Xerox – joined the Eco-Patent
Commons in 2009. Thus a total of 11 companies – Bosch, DuPont and Xerox,
having joined in 2008 – have pledged 100 eco-friendly patents. In the two years
since its launch, the Initiative has tripled both membership and patents pledged.

During the past two years, many of the patent holders have been contacted directly to
enquire about their patents, and at least three patents have already been used by others.

Moving forward
The Eco-Patent Commons is seeking more members and a critical mass of
environmentally beneficial technologies. We are seeking the support of more
of our regional partners in promoting the use of the pledged patents. In 2010,
members will continue to explore ways to broaden the appeal of the Commons.
The WBCSD and the Eco-Patent Commons members hope the Commons can
contribute to sharing innovative solutions that will help the environment.
46   Initiative Urban Infrastructure




                                       Real-time information
Initiative Urban Infrastructure Initiative
                                                                                         Initiative Urban Infrastructure         47




Urban Infrastructure Initiative
                                                                                             “The WBCSD Urban
                                                                                        Infrastructure Initiative
Today more than half of the world’s population lives in cities, and most of the         provides the opportunity to
projected population increase of around 3 billion up to 2050 is expected to
be urban.                                                                               combine the expertise of diverse
Virtually all of this urban growth will be in the developing world, while
                                                                                        industries and contribute
developed world cities must be retrofitted and rebuilt to manage climate                 integral solutions to promote
change and new energy and water systems. Today cities already consume more
than 75% of the world’s resources. Clearly the battle for global sustainability
                                                                                        the sustainable development
will be won or lost in the cities, and clearly business has a bigger role in            of cities. This new effort will
systematically tackling this new urban agenda.
                                                                                        help improve the quality of life
                                                                                        of the people who live in these
Action                                                                                  communities, and it offers an
The WBCSD’s members feel that the urban environment can benefit from                     innovative path to continue
systems thinking and integrated approaches. Thus a group of companies has
come together to develop the Urban Infrastructure Initiative (UII). This initiative     moving forward towards an
builds upon the conviction that business should get involved earlier in a city’s        increasingly sustainable future”
decision-making processes. It combines work the Council has already done in
areas such as energy and climate, development, energy efficiency in buildings,                                     Lorenzo Zambrano
water electricity, and mobility, along with the capacities of individual companies.        Chairman and Chief Executive Officer, CEMEX


The Energy Efficiency in Buildings project taught the Council that focusing on
and even subsidising subsystems in the building sector have little effect on the
overall performance of the sector stock. Transformation requires new types of
instruments linked to the overall performance.

UII’s holistic approaches are not restricted to technology and policy
development. They will promote cooperation among the business community
and cities’ governments, networks and stakeholders. The WBCSD can make a
difference by starting with the needs of the cities and adopting an integrated
approach and seeking cross-sectoral solutions.

During 2009, the UII attracted the interest of over 90 member companies.
At year’s end the initiative team was working out a UII approach with
15-20 member companies forming a core group representing urban planning,
buildings, infrastructure, transport, energy, water, communications technology
and ecosystems. The WBCSD is also recruiting new members to create a
balanced group.

UII will focus on cities’ needs. The objective is to get involved at the beginning
of the strategy discussion to explore how to solve the varied sustainable
urbanization challenges: urban mobility, resource efficiency,
socio- economic and environmental challenges. It will involve various
stakeholders, including mayors, urban planners, community representatives,
architects, property developers, local business, etc.

It is clear that no one company can manage the many different disciplines involved
in a systemic approach, which explains why so many companies are coming
together in this initiative, focusing on complementary expertise, but seeking to
develop uniting, over-arching business responses to the needs of the cities.
48       Initiative Urban Infrastructure




                                    Public transport




                                               The WBCSD infrastructure initiative will play three different roles:

                                               1 As a trusted advisor, acting as a bridge between business and cities at various
                                                 levels
                                               2 As a transformer, offering recommendations to transform cities effectively and
                                                 propose pragmatic business operations to meet urban challenges
                                               3 As an activator, offering cost-efficient sustainable urban solutions.

                                               Member companies expect to use the initiative to work directly with
                                               implementation and to develop new business responses, with cities becoming,
                                               in effect, UII customers.

                                               The UII will create an Assurance Group: a third party that secures the highest
                                               level of project integrity, quality, independence and accountability.




Co-chairs 2010           Company
Armando Garcia-Segovia   CEMEX
Gérard Mestrallet        GDF SUEZ
Andreas Schiereabeck     Siemens
Initiative Maritime         49




Maritime Initiative
About 90% of world trade, measured in tonne-miles, goes by sea, and almost
all products contain some sea transport in their value chain. Many studies                 “Within the shipping
show that ocean shipping is a comparatively environmentally friendly form of
transport, but there is substantial room for improvement and the industry faces       fleet, we can reduce energy
increased pressure to reduce C02 emissions.                                           use and hence C02 by 15%....
                                                                                      The WBCSD Maritime
Action                                                                                Project helps companies like
This initiative aims to:                                                              ours integrate the thinking
  Lead a sector transformation that increases energy efficiency and reduces            around the full operational
  CO2 emissions from ship transport
  Stimulate innovative thinking and new business models affecting market              and logistics value chain into
  demand and the supply chain
  Communicate this transformation widely.
                                                                                      operations, thereby saving
                                                                                      valuable time and money.”
Analysis shows that the world fleet can increase energy efficiency by at least
15-20%, thereby reducing CO2 emissions, at no net cost through various                                           Henrik Madsen
                                                                                                          CEO, Det Norske Veritas
intermodal structural, operational and technical adaptations. As new ships are
being built and phased into service, the potential for energy saving increases.
However, the most efficient way of triggering substantial energy efficiencies and
corresponding emission reductions is to engage in a business-driven initiative
where sea transport providers and leading transport users partner to identify
where and how savings can be realized.


Moving forward
This initiative, although still in its scoping phase, seeks to position its work in
the broader context of the carbon challenges within the full value chains of
products. Workstreams being scoped include:
  An information platform on best practices and latest research focused on
  energy efficiency and greenhouse gas reduction measures from maritime
  transport and related logistics
  A business solutions platform that identifies bottlenecks currently hindering
  more energy-efficient maritime transport solutions, and explores how best to         Co-chairs 2010           Company
  address these at a commercial level.                                                Henrik Madsen            Det Norske Veritas
                                                                                      Thor Jørgen Guttonmsen   Leif Höegh
50      Regional Network




BCSD


                                     Regional Network
                                     The Regional Network: Thinking globally, acting locally
                                     The WBCSD’s Regional Network is an alliance of 60 CEO-led business
                                     organizations united by a shared commitment to providing business leadership
                                     for sustainable development in their respective countries or regions.

                                     By adding perspectives from around the world, the network enhances the
                                     legitimacy of the WBCSD as a truly worldwide organization. It helps to validate
                                     the WBCSD’s results and messages – and to spread them around the globe. It
                                     also provides a platform to connect with local authorities and opinion leaders, to
                                     implement pilot projects on the ground and to engage with small and medium
                                     enterprises (SMEs).

                                     The network has expanded steadily ever since the first Business Council for
                                     Sustainable Development (BCSD) was established in Argentina right after the 1992
                                     Rio Earth Summit. Since the creation of the WBCSD in 1995, the Regional Network
                                     has grown from a dozen to its present 60 BCSDs and partner organizations.


 Council of Great Lakes Industries   Accion RSE                                BCSD Croatia
 The EXCEL Partnership               AED Costa Rica                            BCSD Hungary
 US BCSD                             BCSD Argentina                            BCSD Portugal
                                     BCSD Bolivia                              BCSD Turkey
                                     BCSD Bolivia                              BCSD UK
                                     BCSD Colombia                             Business Europe
                                     BCSD Ecuador                              Danish CSB
                                     BCSD El Salvador                          econsense
                                     BCSD Honduras                             EpE
                                     BCSD Mexico                               FFA
                                     BCSD Nicaragua                            Fundación Entorno
                                     BCSD Uruguay                              NHO
                                     BCSD Venezuela                            respACT
                                     CentraRSE                                 BCSD Poland
                                     Curaçao BCSD                              SEV-BCSD Greece
                                     PERU 2021                                 Vernadsky Foundation
                                     REDES
                                     SumaRSE
Regional Network         51




                                                                                                “Holcim actively
                                                                                            participates in Regional
     This year, three new partners joined: the United Arab Emirates BCSD, BCSD              Network partner organizations
     Curaçao (in the Netherlands Antilles) and the Responsible Business Forum from
     Poland. Efforts continue to establish BCSDs in Vietnam, Indonesia and Nepal.
                                                                                            in Asia, Europe and in
                                                                                            the Americas to share best
     Through their numerous activities, the Regional Network partner organizations
     strongly complemented the WBCSD’s global initiatives throughout 2009. Below a          practices with other business
     small sample of activities covering a wide variety of themes and issues is provided.   leaders and to jointly drive the
                                                                                            sustainability agenda in the
     Scope and diversity of the Regional Network’s activities                               respective countries.”
     The Regional Network is a key conduit to spread WBCSD messages and share                                    Markus Akermann
     knowledge, such as at key international sustainable development-related                                          CEO, Holcim
     events. For instance, the WBCSD cooperated with BCSD Turkey in providing
     business input to the World Water Forum in March in Istanbul. SEV-BCSD
     Greece organized an International Symposium in October entitled “Sustainable
     development and water: A global challenge for local actions”, and BCSD United
     Kingdom held a workshop on “Water as a critical resource”.

     Several network partners were involved in capacity building. Recognizing the
     importance of training future leaders on sustainability issues, BCSD Portugal


APEQUE (Algeria)                                   BCSD Korea                                           BCA
AEEC (Egypt)                                       BCSD Malaysia                                        NZBCSD
BCSD Zimbabwe                                      BCSD Mongolia
FEMA (Mozambique)                                  BCSD Pakistan
NBI (South Africa)                                 BCSD Sri Lanka
                                                   BCSD Taiwan
                                                   BCSD Thailand
                                                   BCSD UAE
                                                   BEC
                                                   China BCSD
                                                   CII
                                                   Kazakhstan BCSD
                                                   Nippon Keidanren
                                                   PBE
                                                   TERI-BCSD India
52   Regional Network


                        designed a program for young, high-potential employees. Fundación Entorno-
                        BCSD Spain established a similar program, which focused on “Corporate
                        solutions to sustainable development”. Other capacity building examples
                        include AccionRSE Chile and Peru2021, which provide intensive courses in
                        Corporate Social Responsibility (CSR). Similar initiatives were being explored
                        with the BCSDs in Turkey and Malaysia.

                        The successful pilot project with SNV (Netherlands Development Organization)
                        and the BCSDs in Bolivia, Colombia, Ecuador, El Salvador, Panama,
                        Honduras, Nicaragua and Peru is being expanded. The goal is to expand
                        the project, which promotes business ventures with high socioeconomic
                        benefits, into Africa and Asia. The BCSDs in Zimbabwe and Mozambique
                        are cooperating with the local SNV offices in introducing inclusive business as
                        a collaborative approach for companies, governments, donors and NGOs to
                        reduce poverty sustainably. The concept is also being replicated in Vietnam,
                        where a national BCSD is being established.

                        In France, Entreprises pour l’Environnement (EpE) developed scenarios for transition
                        toward a low-carbon world in 2050. The study explores how major industrial sectors
                        will be affected by stabilizing atmospheric CO2 concentrations at 450 ppm.

                        Building on the existing information portal, the Demographic Risk Map,
                        econsense in Germany launched its “Demographic Risk Atlas”, a tool that
                        provides detailed information on the demographic location of risk in the
                        European Union.

                        BCSD Turkey launched “Sonra”, the first publication uniquely about sustainable
                        development in Turkey, which aims to push the issue higher up the agenda for
                        Turkish business.

                        The Responsible Business Forum in Poland gathered in its annual report the 88
                        most interesting corporate good practices in four areas: workplace, marketplace,
                        community and environment.

                        The Argentine BCSD is promoting the implementation of WBCSD’s Measuring
                        Impact Framework among a group of member companies.

                        In the area of cooperating with smaller enterprises, RespACT BCSD Austria
                        produced handbooks on the implementation of CSR for SMEs. Likewise, BCSD
                        Mongolia promoted energy efficiency among SMEs.

                        Issues related to sustainable consumption have gained in relevance this year
                        among the regional partners. Fundación Entorno-BCSD Spain, the Spanish
                        Environmental Ministry and the British Embassy organized a joint Seminar
                        on Sustainable Products and Services. AccionRSE Chile and some company
                        representatives came together to discuss sustainable consumption.


                        Focus on the BRICS
                        Due to their economic, geopolitical, and environmental significance for the
                        sustainability of the planet, Brazil, Russia, India, China and South Africa (BRICS)
                        are of particular importance to the WBCSD. This is reflected in a continued
                        emphasis on enhancing cooperation with our partners in these countries.

                        In India and China, the WBCSD participated in high-level advisory bodies:
                        the India Council for Sustainable Development and the China Council for
                        International Cooperation on Environment and Development (CCICED). In
                        the latter, the WBCSD’s president co-chaired a taskforce that came up with
                        recommendations to the government on how to embark on a path toward a
                        low-carbon economy that were handed over to Premier Wen Jiabao following
                        the annual meeting of CCICED in November 2009.

                        A WBCSD flagship advocacy event in the BRICS is the CEO Forum organized as
                        the official curtain raiser of the Delhi Sustainable Development Summit (DSDS),
                        in cooperation with TERI BCSD India. The DSDS 2009, entitled “Towards
Regional Network   53


Copenhagen: an equitable and ethical approach”, explored framework
options for a future climate regime and addressed adaptation and mitigation
challenges. The WBCSD also participated in the 4th Sustainability Summit
organized by its other Indian partner organization, the Confederation of Indian
Industry (CII).

Several other WBCSD projects operated in the BRICS. The Cement Sustainability
Initiative has been focusing on China and India, which account for approximately
60% of the world’s cement consumption. The Energy Efficiency in Buildings
project held seminars in China, Brazil, India and Russia. In addition, dialogues
were conducted on mobility challenges and on how to sustainably satisfy the
demand for energy in China, India, Brazil and South Africa.

The National Business Initiative in South Africa, the Vernadsky Foundation
in Russia, the CII in India and the BCSDs in China and India organized local
workshops on the WBCSD’s Vision 2050 Project. The final report will be
launched at the CEO Forum prior to the DSDS 2010.

The WBCSD participated in BCSD Brazil’s bi-annual Sustentavel congress and
conducted a CEO Forum on Inclusive Business and a seminar on Energy and
Climate in that country.

The WBCSD continued promoting the Greenhouse Gas (GHG) Protocol, a tool
jointly developed with the World Resources Institute to measure GHGs in a
standardized way, in cooperation with the BCSDs and partners in Brazil, China,
India, Mexico and the Philippines.


Moving forward
Priorities for the Regional Network in 2010 include strengthening the
cooperation with G20 partner organizations, including a series of WBCSD
“roadshows” in key countries such as China, India, Brazil, Mexico, Australia,
Japan, South Africa and the US. It will engage more with the business
community in the Middle East, given the importance of the region for global
stability and energy supply.

The Regional Network will also replicate successful pilot projects, such as the
Latin American inclusive business initiatives, and will promote worldwide
application of WBCSD tools, including the GHG Protocol, the Corporate
Ecosystems Services Review, Measuring Impact Framework, and the Global
Water Tool.
54   Regional Network


                                                                       Confederation of Indian Industry
                        Regional Network contact list                  Seema Arora
                        (by region, as at January 2010)                seema.arora@ciionline.org
                                                                       www.sustainabledevelopment.in
                        AFRICA
                                                                       Korea BCSD
                                                                       Sonia Hong
                        Association pour la Promotion de
                                                                       soniahong@kbcsd.or.kr
                        l’Eco-efficacité et de la Qualité en
                                                                       www.kbcsd.or.kr
                        Entreprises -Algeria
                        Tewfik Hasni
                        tewfikdz2001@yahoo.fr                           Nippon Keidanren
                                                                       (Japan Business Federation)
                                                                       Chika Mashiko
                        Association of Enterprises for Environmental
                                                                       mashikoc@keidanren.or.jp
                        Conservation - Egypt
                                                                       www.keidanren.or.jp
                        Mohamed Kamal
                        kamaleldin@usa.net
                                                                       Philippine Business for the Environment
                        BCSD Zimbabwe                                  Lisa Inez Antonio
                        Nikki Foot                                     mypbe@yahoo.com
                        footmail@zol.co.zw                             www.pbe.org.ph

                        FEMA - BCSD Mozambique                         TERI - BCSD India
                        João C.P Viseu                                 Annapurna Vancheswaran
                        joaov@carrfoundation.org                       avanche@teri.res.in
                        www.fema.org.mz                                www.bcsd.teri.res.in

                        National Business Initiative - South Africa    Vietnam BCSD
                        Marianne Scott                                 (in the process of being created)
                        scott.marianne@nbi.org.za                      Vinh Nguyen Quang
                        www.nbi.org.za                                 vinhnq@vcci.com.vn


                        ASIA
                                                                       EUROPE
                        BCSD Kazakhstan
                        Gulsara Edilbaeva
                                                                       BCSD Croatia
                        g_edilbaeva@kz.enrc.com
                                                                       Mirjana Matesic
                        www.kap.kz
                                                                       mirjana.matesic@hrpsor.hr
                                                                       www.hrpsor.hr
                        BCSD Malaysia
                        Seng Choon Chew
                                                                       BCSD Hungary
                        chewscd@yahoo.com
                                                                       Màté Kriza
                        www.bcsdm.com.my
                                                                       mate.kriza@bcsdh.hu
                                                                       www.bcsdh.hu
                        BCSD Mongolia
                        Sambuu Demberel
                                                                       BCSD Portugal
                        demberel@mongolchamber.mn
                                                                       Luís Rochartre Álvares
                        www.mongolchamber.mn
                                                                       luis.rochartre@bcsdportugal.org
                                                                       www.bcsdportugal.org
                        BCSD Pakistan
                        Amjad Parvez Janjua
                                                                       BCSD Turkey
                        Amjad.P.Janjua@psopk.com                       Engin Guvenc
                                                                       enging@tbcsd.org
                        BCSD Sri Lanka                                 www.tbcsd.org
                        Chandra J. Embuldeniya
                        chandrae@slt.lk                                BCSD United Kingdom
                                                                       David Middleton
                        BCSD Taiwan                                    davidm@ebc-info.co.uk
                        Niven (Cheng Chung) Huang                      www.bcsd-uk.co.uk
                        bcsd.roc@msa.hinet.net
                        www.bcsd.org.tw                                BusinessEurope
                                                                       Daniel Cloquet
                        BCSD Thailand                                  d.cloquet@businesseurope.eu
                        Chotichanathawewong Qwanrudee                  www.businesseurope.eu
                        Qwan@tei.or.th
                        www.tei.or.th/tbcsd                            Confederation of Norwegian Enterprises
                                                                       (NHO)
                        BCSD United Arab Emirates                      Cecilie Hultmann
                        Mohamed Juma Al Musharakh                      cecilie.hultmann@nho.no
                        mjuma@sharjah.gov.ae                           www.nho.no

                        Business Environment Council –Hong Kong        Danish BCSD
                        Andrew Thomson                                 Preben Kristensen
                        athomson@bec.org.hk                            pk@prebenk.dk
                        www.bec.org.hk                                 www.rbenet.dk

                        China BCSD                                     econsense – Germany
                        Zhai Qi                                        Kurt-Christian Scheel
                        zhaiq@sinopec.com.cn                           info@econsense.de
                        www.cbcsd.org.cn                               www.econsense.de
Regional Network   55


Entreprises pour l’Environnement –France   BCSD Guatemala (CentraRSE)
Claire Tutenuit                            Guillermo E. Monroy
ctutenuit@epe-asso.org                     director@centrarse.org
www.epe-asso.org                           www.centrarse.org

Fundación Entorno – BCSD Spain             BCSD Honduras (CEHDES)
Cristina García-Orcoyen                    Roberto J. Leiva
cgo@fundacionentorno.org                   jrleiva@cehdes.org
www.fundacionentorno.org                   www.cehdes.org

Fundacio Fórum Ambiental – Spain           BCSD Mexico (CESPEDES)
Pepe Tarifa Calvet                         Alejandro Lorea Hernandez
pep@forumambiental.org                     alorea@cce.org.mx
www.forumambiental.com                     www.cce.org.mx/cespedes

respACT Austrian BCSD                      BCSD Paraguay (REDES)
Roman Mesicek                              Diana de Bareiro
r.mesicek@respact.at                       diana@serimax.com.py
www.abcsd.at
                                           BCSD Venezuela (CEVEDES)
Responsible Business Forum (RBF) –Poland   Gerardo Tálamo
Mirella Panek-Owsianska                    cevedes@gmail.com
mirella@fob.org.pl
www.responsiblebusiness.pl                 Curaçao BCSD-Bedrijven Platform Milieu
                                           Karel Tujeehut
SEV BCSD Greece                            BPMCuracao@netscape.net
Michalis Vassilopoulos
vassilopoulos@sev.org.gr                   DERES – Uruguay
www.sev.org.gr                             Eduardo Shaw
                                           eshaw@deres.org.uy
Vernadsky Foundation – Russia              www.deres.org.uy
Kirill A. Stepanov
stepanov@vernadsky.ru                      SumaRSE – Panama
www.vernadsky.ru                           Teresa de Alfaro
                                           talfaro@integrarse.org.pa
                                           www.integrarse.org.pa

LATIN AMERICA
                                           Peru 2021
                                           Henri Le Bienvenu
Acción RSE – Chile                         henrilebienvenu@peru2021.org
Rafael Quiroga                             www.peru2021.org
rafael.quiroga@accionrse.cl
www.accionrse.cl
                                           uniRSE – Nicaragua
                                           Matthias Dietrich
Asociación de Empresarios para             dr.dietrich@unirse.org
el Desarollo – Costa Rica                  www.unirse.org
Olga Sauma Uribe
olgasauma@aedcr.com
www.aedcr.com
                                           NORTH AMERICA
BCSD Argentina (CEADS)
Sebastián Anibal Bigorito                  Council of Great Lakes Industries –Canada/
sbigorito@ceads.org.ar                     United States of America
www.ceads.org.ar                           George H. Kuper
                                           ghk@cgli.org
                                           www.cgli.org
BCSD Bolivia (CEDES)
Maria Claudia Dabdoub
mcdabdoub@cedesbolivia.org                 The EXCEL Partnership – Canada
www.cedesbolivia.org                       Christopher Henderson
                                           chenderson@delphi.ca
                                           www.excelpartnership.ca
BCSD Brazil (CEBDS)
Beatriz Bulhões
beatriz.bulhoes@cebds.org                  United States BCSD
www.cebds.org                              Andrew Mangan
                                           Mangan@usbcsd.org
                                           www.usbcsd.org
BCSD Colombia (CECODES)
Santiago Madriñán
smadrinan@cecodes.org.co
www.cecodes.org.co                         OCEANIA
BCSD Ecuador (CEMDES)                      BCSD New Zealand
Jimmy Andrade                              Graeme Colman
jandrade@cig.org.ec                        graeme.colman@nzbcsd.org.nz
www.cemdes.org                             www.nzbcsd.org.nz

BCSD El Salvador (CEDES)                   Business Council of Australia
Luís López Lindo                           Maria Tarrant
llopez@cedes.org.sv                        maria.tarrant@bca.com.au
www.cedes.org.sv                           www.bca.com.au
56
Communications   57




Communications

2009 may well be remembered as the year that sustainable development
captured the attention of the world’s news media. The confluence of concerns
about the world’s changing climate, and its ailing economy, brought a flurry of
news reports and articles about the green economy and how to achieve it. This,
of course, means that the need for clear, consistent communications is more
important than ever.

The WBCSD’s communications team works not only to communicate but also
to help the Council’s Focus Areas, Projects and Initiatives advocate solutions,
reaching out to governments, civil society, business leaders and the general
public. To oversee this advocacy, and provide strategic guidance, the WBCSD has
established an Advocacy Team. This team complements the Communications
Department, the staff of which continues to manage the publications, reports
and documents, including the writing, editing, design, printing and distribution
of documents, as well as a comprehensive website, seven e-newsletters of diverse
and informative content, and an active media relations outreach.

Getting the messages out
Another 24 reports and other documents were added to the list of publications
the WBCSD has produced, some in partnership with other organizations, such
as the Cement Technology Roadmap 2009: Carbon emissions reductions up to 2050
with the International Energy Agency.

Among other new publications were:
 Towards a Low-Carbon Economy: A business contribution to the international energy
 & climate debate, aimed at sharing business experience in technology development
 and deployment, finance and carbon markets, cooperative sectoral approaches and
 adaptation and proposes policy recommendations for a future agreement
 Transforming the Market: Energy Efficiency in Buildings, the final report of the
 Energy Efficiency in Buildings project
 Corporate Ecosystem Valuation, which builds the business case for companies
 to employ corporate ecosystem valuation as a decision-support tool.
58   Communications


                      We also released an updated interactive CD-ROM cataloguing all of the Council’s
                      publications from its founding in 1995, including all available translations.

                      Sustain
                      In cooperation with the Energy and Climate and Development Focus Areas we
                      produced another special double issue of Sustain, our flagship magazine. With
                      the theme “Energizing Development in a Changing Climate”, the magazine
                      highlights the important links between energy, climate and development, and
                      includes case studies showing how companies are supporting development
                      while spurring a move toward a global low-carbon economy.

                      Elevating our media profile
                      The WBCSD has been in the news throughout the year; indeed, our media
                      monitoring service tracked more than 5,000 mentions of the Council, its staff or
                      work. The strategy through the year has been to maintain our strong links with
                      trade publications, business publications, environmental and business websites,
                      and policy journals. However, we also embarked upon sustained outreach to
                      mainstream news media and have been rewarded with mentions in the Wall
                      Street Journal, the Financial Times, the New York Times, the Guardian, Time,
                      Forbes, Fortune, Reuters, Bloomberg, Dow Jones Newswire the International Herald
                      Tribune, CNN, CNBC, BBC, Le Monde, Agence France Presse, the People’s Daily,
                      Business Week, Europe’s World, the Sunday Times, and many others, including a
                      significant amount of media in languages other than English.

                      www.wbcsd.org
                      The leading resource on business and sustainable development, www.wbcsd.org
                      informs about the WBCSD’s activities, publications and tools. It also portrays WBCSD
                      member achievements against the backdrop of a rich selection of international
                      media news related to sustainable development. WBCSD electronic newsletters
                      continue to enjoy double-digit growth with some 115,000 total subscriptions.

                      To build on the website’s success and further its outreach, a comprehensive
                      re-development and re-design was initiated in 2009 and is due for completion in 2010.
                      Other channels, such as the WBCSD’s YouTube channel and our blogs, The
                      President’s blog, the EEB (Energy Efficiency in Buildings) blog and the Inclusive
                      Business blog, also contribute to expanding and reinforcing the WBCSD’s messages.


                      WBCSD and Com+
                      The Com+ Alliance, a grouping of professional communicators who work for
                      sustainable development around the world, was co-founded by the WBCSD
                      in 2003. The WBCSD hosts and manages the COM+ website, and was
                      instrumental in the site’s redesign this year.

                      News and content partnerships 2010
                      AFP - Agence France Presse                   Paris, France
                      Africa Renewal                               New York, United States
                      CSR China                                    Hong Kong, China
                      E&E Publishing                               Washington, D.C., United States
                      ENDS Europe Daily                            London, United Kingdom
                      Environmental Finance                        London, United Kingdom
                      EurActiv.com                                 Brussels, Belgium
                      Financial Times                              London United Kingdom
                      GreenBiz.com                                 Washington, DC, United States
                      GLOBE-Net                                    Vancouver, Canada
                      ICTSD                                        Geneva, Switzerland
                      International Trade Forum                    Geneva, Switzerland
                      IPS - Inter Press Service Europa             Berlin, Germany
                      IRIN - Integrated Regional                   Geneva, Switzerland
                      Information Networks
                      Lexis Nexis                                  Munster, Germany
                      PointCarbon                                  Washington D.C., USA
                      Science and Development Network              London, United Kingdom
                      Socialfunds                                  Brattleboro, VT, United States
                      Sustainable Development International        London, United Kingdom
                      Thomson Reuters                              London, United Kingdom
Partnerships and Alliances   59


Partnerships and Alliances
Business organizations
Aquafed                                                Paris, France
Arab Union for Cement & Building Materials             Damascus, Syria
Business Action for Water                              Paris, France
Business and Industry Advisory Committee (BIAC)        Paris, France
Business Europe                                        Brussels, Belgium
Confederation of European Paper Industries             Brussels, Belgium
European Chemical Industry Council (CEFIC)             Brussels, Belgium
European Roundtable                                    Brussels, Belgium
Fundación Latinoamérica Posible                        San José, Costa Rica
Global e-Sustainability Initiative                     Brussels, Belgium
International Aluminum Institute (IAI)                 London UK
International Business Leaders Forum (IBLF)            London, UK
International Chamber of Commerce (ICC)                Paris, France
International Council of Forest and                    Sao Paulo, Brazil
Paper Associations (ICFPA)
International Emissions Trading Association (IETA)     Geneva, Switzerland
World Energy Council (WEC)                             London, UK
World Steel Association                                Brussels, Belgium


Forums
Copenhagen Climate Council                             Copenhagen, Denmark
The Conference Board                                   New York, USA
United Nations Forum on Forests (UNFF)                 New York, USA
World Economic Forum (WEF)                             Geneva, Switzerland


Governmental and intergovernmental organizations
Asia-Pacific Partnership                                Washington, DC, US
European Union                                         Brussels, Belgium
Intergovernmental Panel on Climate Change (IPCC)       Geneva, Switzerland
International Energy Agency (IEA)                      Paris, France
International Finance Corporation (IFC)                Washington, DC, USA
Inter-American Development Bank (IDB)                  Washington, DC, USA
Organization for Economic Cooperation                  Paris, France
& Development (OECD)
SNV Netherlands Development Organization               The Hague, Netherlands
United Nations Convention on Biological                Montreal, Canada
Diversity (UN CBD)
United Nations Development Programme (UNDP)            New York, USA
United Nations Environment Programme (UNEP)            Geneva, Switzerland
United Nations Framework Convention on                 Bonn, Germany
Climate Change (UNFCCC)
United Nations Global Compact                          New York, USA
UN-Water                                               Rome, Italy
The World Bank                                         Washington, DC, USA
World Health Organization (WHO)                        Geneva, Switzerland
World Trade Organization (WTO)                         Geneva, Switzerland


Institutes, universities and initiatives
Com+ Alliance                                          Moravia, Costa Rica
The German Marshall Fund of the United States          Washington, DC, USA
Global Footprint Network (GFN)                         Oakland, USA
Global Reporting Initiative (GRI)                      Amsterdam, Netherlands
International Institute for Environment and            London, UK
Development (IIED)
International Institute for Sustainable Development    Winnipeg, Canada
International Organization for Standardization (ISO)   Geneva, Switzerland
International Risk Governance Council (IRGC)           Geneva, Switzerland
Lawrence Berkeley National Laboratory                  Berkeley, USA
Peterson Institute for International Economics         Washington, DC, USA
Stockholm International Water Institute (SIWI)         Stockholm, Sweden
United Nations Foundation                              New York, USA
Voluntary Carbon Standard                              Washington, DC, USA
Water Footprint Network                                Enschede, Netherlands
World Resources Institute (WRI)                        Washington, DC, USA
Yale University School of Forestry and                 New Haven, USA
Environmental Studies


Non-governmental organizations
AccountAbility                                         London, UK
Conservation International                             Arlington, USA
Earthwatch Institute                                   Oxford, UK
The Forests Dialogue (TFD)                             New Haven, USA
The International Union for the                        (IUCN)
Conservation of Nature                                 Gland, Switzerland
The Nature Conservancy (TNC)                           Arlington, USA
Oxfam                                                  Oxford, UK
WWF International                                      Gland, Switzerland
60
Membership and Governance   61




Membership and
Governance
As a global CEO-led business coalition of some 200 companies, our mission is to
catalyze the kind of change that will move us to a sustainable path and thereby
support the business licence to operate, innovate and grow.

Member companies work with governments and civil society to create the
framework conditions that will enable business to develop innovative solutions
with the speed and scale needed. Encompassing a wide range of industries,
the WBCSD is perfectly positioned to explore the intersections between some
of the world’s toughest problems and to seek integrated, systemic solutions to
complex sustainability challenges.

In addition to providing a business perspective on sustainable development,
members also work with other companies and sectors to better integrate
sustainability into their strategy and operations. They look at a broad spectrum
of solutions: at the product and company level, within and across sectors,
including the full value chain from suppliers to customers.



Membership

Membership in the WBCSD is by invitation of the Executive Committee,
comprising 13 member company CEOs and 3 honorary members. They seek
a rich geographic and sectoral mix of companies to help us tap a deeper seam
of understanding and solutions to sustainability challenges. At an individual
company level, they look for a clear commitment to sustainable development
and the capacity to advance our agenda and enhance our reputation.

As economic, demographic and geopolitical shifts from the G8 to the G20 gain
momentum, we continue to focus on strengthening the membership in key
emerging economies, with a particular emphasis on the BRICS (Brazil, Russia,
India, China and South Africa), together with the Middle East and Asia.

Members collaborate by contributing time, brains and experience, driving our agenda
through hands-on engagement and through initiating new areas of investigation and
advocacy. They do this through active involvement in working groups, or by providing
secondments and associates to the WBCSD on a full or part time basis.

Our work is shaped by the personal commitment of Council Members (CEOs
or equivalent), who influence policy positions and steer the strategic direction
of each focus area and project. They meet once a year to assess the vital issues
linking business and sustainable development and to fine-tune our priorities.

They are supported by Liaison Delegates, senior executives who implement
the work program and ensure that ideas, tools and practices generated by the
WBCSD are taken up and used by the company.



Governance

The WBCSD is governed by the Executive Committee, elected by Council
Members from among their peers, including a Chairman and Vice Chairmen.

Responsibility for the management of the WBCSD and the implementation of its
strategy and work program lies with the President and the secretariat staff of 46
people, including one part-time and one full-time secondment and three part time
associates from member companies, and one full-time secondment from IUCN.
62   Executive Committee




                           Executive Committee                                                                     2010




                             Honorary Committee
                             Charles O. Holliday, Jr.                                                                  USA
                             Stephan Schmidheiny                                                               Switzerland
                             Dr. Shoichiro Toyoda                                                                    Japan



                             Chairman
                             Jorma Ollila
                             Chairman, Royal Dutch Shell                                                                UK




                             Vice Chairmen
                             Markus Akermann
                             Chief Executive Officer, Holcim Ltd                                                Switzerland

                             Mukesh Ambani
                             Chairman and Managing Director, Reliance Industries Limited                              India

                             James E. Rogers
                             Chairman, President and Chief Executive Officer, Duke Energy Corporation                  USA

                             Masataka Shimizu
                             President, Tokyo Electric Power Company                                                 Japan



                             Members
                             Fujio Cho
                             Chairman & Representative Director, Toyota Motor Corporation                            Japan

                             José Manuel Entrecanales
                             Chairman and CEO, ACCIONA                                                               Spain

                             Anne Lauvergeon
                             Chairman of the Executive Board, AREVA                                                 France

                             Jacob Maroga*
                             Chief Executive, Eskom Holdings Ltd.                                      Rep. of South Africa

                             Michael Morris
                             Chairman, President and CEO, American Electric Power                                     USA

                             Julio Moura
                             Chairman, Natura International Committee                                                Brazil

                             Paul Polman
                             Chief Executive Officer, Unilever                                                           UK

                             Wang Jiming
                             Vice Chairman, China Petrochemical Corporation (Sinopec)                                China



                             Ex officio
                             Rajat Kumar Gupta
                             Vice-Chairman, International Chamber of Commerce                                       France

                             * In transition to the new chief executive
Member Companies and Council Members   63




Member Companies and
Council Members                                                     by region and country, January 2010




AFRICA

South Africa
Eskom Holdings Limited                      To be announced
Mondi                                       Hathorn, David



ASIA

China
Baosteel Group Corporation                  Madame Xie Qihua
China Ocean Shipping (Group) Company        Capt. Wei Jiafu
China Petrochemical Corporation (Sinopec)   Wang Jiming
CLP Holdings Limited                        Brandler, Andrew


Chinese Taipei
Chunghwa Telecom Co., Ltd.                  Lu, Shyue-Ching
CPC Corporation                             Chu, Shao-Hua


India
Infosys Technologies Limited                Gopalakrishnan, Kris
Reliance Industries Limited                 Ambani, Mukesh

Indonesia
APRIL Group                                 Devanesan, A.J.

Japan
AGC Group                                   Ishimura, Kazuhiko
Bridgestone Corporation                     Arakawa, Shoshi
Canon Inc.                                  Mitarai, Fujio
Chubu Electric Power Co., Inc.              Miyaike, Yoshihito
DENSO Corporation                           Fukaya, Koichi
Hitachi Chemical Co., Ltd.                  Nagase, Yasuji
Honda Motor Co., Ltd.                       Fukui, Takeo
Kikkoman Corporation                        Mogi, Yuzaburo
Mitsubishi Chemical Holding Corporation     Kobayashi, Yoshimitsu
Mitsubishi Corporation                      Ueno, Yukio
Nippon Paper Group, Inc.                    Nakamura, Masatomo
Nippon Telegraph & Telephone Corporation    Uji, Noritaka
Nissan Motor Co., Ltd                       Shinohara, Minoru
Osaka Gas Co., Ltd.                         Ozaki, Hiroshi
Seiko Holdings Corporation                  Hanaoka, Seiji
Sompo Japan Insurance Inc.                  Sato, Masatoshi
Sony Corporation                            Chubachi, Ryoji
Sumitomo Chemical Company, Ltd.             Yonekura, Hiromasa
Sumitomo Rubber Industries, Ltd.            Mino, Tetsuji
Taiheiyo Cement Corporation                 Sameshima, Fumio
The Kansai Electric Power Co., Inc.         Fujii, Masumi
The Tokyo Electric Power Company Inc.       Shimizu, Masataka
The Yokohama Rubber Co., Ltd.               Nagumo, Tadanobu
Toyo Tire & Rubber Co., Ltd.                Nakakura, Kenji
Toyota Motor Corporation                    Cho, Fujio

Korea
GS Caltex Corporation                       Hur, Dong-Soo
Hankook Tire Co., Ltd.                      Cho, Choong Hwan
Kumho Tire Co., Inc.                        Kim, Jong-Ho
POSCO                                       To be announced
Samsung Electronics Co.                     Lee, Yoon-Woo

Pakistan
Pakistan State Oil Company Limited          Qureshi, Irfan K.
64   Member Companies and Council Members


                                 Thailand
                                 PTT Public Company Limited            Bunsumpun, Prasert
                                 Siam Cement Group (SCG)               Trakulhoon, Kan



                                 EUROPE

                                 Austria
                                 Borealis AG                           Garrett, Mark
                                 Swarovski                             Langes-Swarovski, Markus


                                 Belgium
                                 Umicore                               Leysen, Thomas


                                 Denmark
                                 DONG Energy                           Eldrup, Anders
                                 Grundfos                              Bjerg, Carsten
                                 Novo Nordisk A/S                      Kingo, Lise
                                 Novozymes A/S                         Riisgaard, Steen
                                 Vestas Wind Systems A/S               Engel, Ditlev


                                 Finland
                                 Fortum Corporation                    Brunila Anne
                                 KONE Oyj                              Alahuhta, Matti
                                 Metsäliitto Group                     Jordan, Kari
                                 Nokia                                 Aho, Esko


                                 France
                                 Alstom                                Kron, Patrick
                                 AREVA                                 Lauvergeon, Anne
                                 Dassault Systèmes                     Charlès, Bernard
                                 EDF Group                             To be announced
                                 GDF Suez                              Guichard, Françoise
                                 Havas Group                           Rodes, Fernando
                                 Lafarge SA                            Lafont, Bruno
                                 L’Oréal                               Dautresme, Béatrice
                                 Michelin                              Rollier, Michel
                                 Veolia Environnement                  Proglio, Henri


                                 Germany
                                 adidas AG                             Dassler, Frank A.
                                 Allianz SE                            Diekmann, Michael
                                 BASF SE                               Schwager, Harald
                                 Bayer A.G.                            Wenning, Werner
                                 Continental AG                        Setzer, Nikolai
                                 Deutsche Bank AG                      Ackermann, Josef
                                 Deutsche Post DHL                     Appel, Frank
                                 E.ON AG                               Dänzer-Vanotti, Christoph
                                 Evonik Industries AG                  Engel, Klaus
                                 HeidelbergCement                      Scheifele, Bernd
                                 Henkel AG & Co. KGaA                  Weinberger, Christian-Andre
                                 Robert Bosch GmbH                     Marks, Peter J.
                                 Siemens AG                            Kux, Barbara
                                 Volkswagen AG                         Leohold, Jürgen


                                 Greece
                                 Public Power Corporation (PPC S.A.)   Zervos, Arthouros
                                 Titan Cement Company S.A.             Papalexopoulos, Dimitri


                                 Ireland
                                 CRH plc                               Manifold, Albert


                                 Italy
                                 Eni S.p.A                             Scaroni, Paolo
                                 Italcementi Group                     Pesenti, Carlo
                                 Pirelli Tyre S.p.A.                   Tronchetti Provera, Marco
                                 Telecom Italia S.p.A.                 Galateri di Genola, Gabriele


                                 Luxemburg
                                 ArcelorMittal S.A.                    Mittal, Lakshmi


                                 The Netherlands
                                 Akzo Nobel nv                         Wijers, G.J.(Hans)
                                 DSM N.V.                              Sijbesma, Feike
                                 Royal Philips Electronics N.V.        Provoost, Rudy
                                 TNT N.V.                              Bakker, Peter
Member Companies and Council Members   65


Norway
Det Norske Veritas                         Madsen, Henrik O.
DnB NOR ASA                                Bjerke, Rune
Grieg International                        Grieg, Elisabeth
Leif Höegh & Co. AS                        Höegh, Westye
Norsk Hydro ASA                            Brandtzäg, Svein Richard
Statkraft AS                               Mikkelsen, Bard
StatoilHydro                               Nes, Helga
Storebrand ASA                             Kreutzer, Idar


Portugal
Brisa Auto-Estradas de Portugal, S.A.      de Mello, Vasco
CIMPOR                                     Bayão Horta, Ricardo
EDP - Energias de Portugal, S.A.           Mexia, Antonio
Portucel Soporcel Group                    Queiroz Pereira, Pedro
Sonae SGPS, SA                             Bianchi de Aguiar, Carlos


Russia
Basic Element                              Deripaska, Oleg V.
JSC Gazprom                                Rusakova, Vlada V.


Spain
ACCIONA S.A.                               Entrecanales, José Manuel
Repsol YPF                                 Brufau Niubó, Antonio


Sweden
Skanska AB                                 Karlström, Johan
Stora Enso Oyj                             Björklund, Elisabet Salander
Vattenfall AB                              Josefsson, Lars G.


Switzerland
ABB Ltd.                                   Steel, Gary
F. Hoffmann-La Roche AG                    Humer, Franz B.
Firmenich SA                               Firmenich, Patrick
Holcim Ltd.                                Akermann, Markus
Novartis                                   Jiminez, Joseph
SGS S.A.                                   Kirk, Christopher
Syngenta International AG                  Mack, Michael


Turkey
Borusan Holding                             g
                                           U˘ur, Agah
ECZACIBASI HOLDING                         Karamercan, Erdal


United Kingdom
Anglo American plc                         To be announced
BG Group plc.                              Bland, Charles
BP plc.                                    Conn, Iain C.
Environmental Resources Management Group   Bidwell, CBE, Robin
KPMG                                       Hastings, Michael
PA Consulting Group                        Middleton, Alan
Royal Dutch Shell plc.                     Ollila, Jorma
Rio Tinto plc                              Albanese, Tom
Unilever N.V.                              Berger, Geneviève
Vodafone Group Plc                         To be announced


LATIN AMERICA

Brazil
Abril Group                                Civita, Roberto
Cimentos Liz                               Ramos Vasconcelos, Paulo Alexandre
Fibria                                     Penido, José Luciano
Natura Cosméticos S.A.                     Moura, Julio
Petrobras - Petroleo Brasiliero S.A.       Gabrielli de Azevedo, José Sergio
Suzano Papel e Celulose SA                 Maciel Neto, Antonio
Vale                                       Batista da Silva, Eliezer
Votorantim Group                           Ermírio de Moraes, Fabio


Chile
Codelco                                    Arellano, José Pablo
Masisa                                     Salas, Roberto


Mexico
CEMEX                                      Zambrano, Lorenzo H.


Panama
Panamá Canal Authority                     Alemán Zubieta, Alberto
66   Member Companies and Council Members


                                 MIDDLE EAST

                                 Saudi Arabia
                                 ALJ Co. Ltd.                         Jameel, Mohammed Abdul Latif



                                 NORTH AMERICA

                                 Canada
                                 BC Hydro                             Elton, Bob
                                 Suncor Energy Inc                    George, Richard L.


                                 United States
                                 3M                                   Palensky, Frederick J.
                                 Accenture                            Green, William
                                 AECOM Technology Corporation         Dionisio, John M.
                                 Alcoa                                Zaidi, Mohammad A.
                                 American Electric Power              Morris, Michael
                                 Caterpillar Inc.                     Owens, James W.
                                 CH2M HILL                            McIntire, Lee A.
                                 Chevron Corporation                  Taylor, Charles (Chuck) A.
                                 ConocoPhillips                       To be announced
                                 Constellation Energy Group Inc       Shattuck III, Mayo A.
                                 Cooper Tire & Rubber Company         Armes, Roy V.
                                 Deloitte Touche Tohmatsu             Raimi, Amadou
                                 Duke Energy Corporation              Rogers, James E.
                                 DuPont                               Kullman, Ellen
                                 EcoSecurities Ltd                    To be announced
                                 Entergy Corporation                  Leonard, J. Wayne
                                 Ernst & Young LLP                    Turley, Jim S.
                                 Exelon Corporation                   Rowe, John W.
                                 General Electric Company             Rice, John G.
                                 Greif, Inc.                          Gasser, Michael J.
                                 IBM Corporation                      Kern, Frank
                                 ITT Corporation                      Loranger, Steven R.
                                 Johnson & Johnson                    To be announced
                                 Kimberly-Clark Corporation           Spencer, Jan B. C.
                                 MeadWestvaco Corporation             Luke, Jr., John A.
                                 Newmont Mining Corporation           O’Brien, Richard
                                 Oracle Corporation                   Le Guisquet, Loic
                                 PepsiCo, Inc.                        Nooyi, Indra
                                 PricewaterhouseCoopers LLP           Powell, Ian
                                 S.C. Johnson & Son, Inc.             Stanbrook, Steven
                                 SunGard                              Conde, Cristóbal
                                 The Boeing Company                   Hill, Shephard
                                 The Boston Consulting Group          Heuskel, Dieter
                                 The Coca-Cola Company                To be announced
                                 The Dow Chemical Company             Liveris, Andrew N.
                                 The Goodyear Tire & Rubber Company   Keegan, Robert J.
                                 The Procter & Gamble Company         Geissler, Werner
                                 United Technologies Corporation      David, George
                                 Weyerhaeuser Company                 Ballard, Ernesta



                                 OCEANIA

                                 Australia
                                 BHP Billiton Limited                 To be announced
                                 Commonwealth Bank of Australia       Chapman, Barbara
                                 GHD Pty Ltd                          Shepherd, Ian
                                 Insurance Australia Group            Wilkins, Michael
                                 Lend Lease Corporation               McCann, Steve
                                 Woodside Energy Ltd.                 Voelte, Donald R.


                                 New Zealand
                                 The Warehouse Group Limited          Tindall, Stephen
WBCSD Personnel                 67




WBCSD Personnel                                                         January 2010


Executive Team
Björn Stigson                          President
Margaret Flaherty                      Chief of Staff
Per Sandberg                           The Business Role
Marcel Engel                           Development, Regional Network
Matthew Bateson                        Energy and Climate
James Griffiths                         Ecosystems

President’s Office                                                                  Anne-Catherine Werner, Philip Reuchlin,
                                                                                   Carolyne Cyr


Programs                               Program Management                          Program Support/Research

Focus Areas
The Business Role                      Per Sandberg                                Nour Chaabane, Kija Kummer
                                                                                   Katherine Madden
Development                            Marcel Engel                                Filippo Veglio
Energy & Climate                       Matthew Bateson                             Barbara Black, Andrea Brown, Antonia Gawel
                                                                                   Estelle Geisinger, Bernhard Grünauer
                                                                                   Maria Mendiluce, Varun Vats
Ecosystems                             James Griffiths                              Mikkel Kallesoe, Eva Zabey


Projects
Water                                  James Griffiths                              Anne-Léonore Boffi, Eva Zabey
Energy Efficiency in Buildings          Christian Kornevall                         Claudia Schweizer
Sustainable Forest Products Industry   James Griffiths                              Eva Zabey
Cement Sustainability Initiative       Howard Klee                                 Roland Hunziker, Caroline Twigg
Electricity Utilities Project          Matthew Bateson                             Antonia Gawel, Bernhard Gruenauer
Tire Sector Project                    Howard Klee                                 Caroline Twigg
Sustainable Mobility Project           Christian Kornevall
Mining, Minerals & S.D.                James Griffiths
Chemicals                              Howard Klee


Initiatives
Eco-Patent Commons                     Matthew Bateson
Urban Infrastructure Initiative        Christian Kornevall                         Claudia Schweizer
Maritime Initiative                    Margaret Flaherty


Regional Network
Regional Network                       Marcel Engel                                Virginie Bonnell


Communications
Communications                         Margaret Flaherty (ad interim)              Olivier Borie (Online), Danielle Carpenter Sprüngli,
                                                                                   Christa Kaenzig (Publications), Anouk Pasquier,
                                                                                   Michael Martin (Design)
                                                                                   Mireille Debiol


Member Relations
Member Relations                       Beatrice Otto
Member Administration                  Catherine Morel                             Giuliana Ammirati, Dominique Rose


Finance & Administration
Finance & Administration               Eric Dérobert                               Christa Kaenzig, Marie Loriot (Reception),
                                                                                   Fabienne Lenders, Mireille Louviot (Accounts),
                                                                                   Béatrice Paccard (HR & Accounts)
IT Management                          Nadja Crettol                               Salih Brysam
68   WBCSD Personnel


                       Member companies provide an additional and highly valued contribution in
                       the form of personnel resources. We have the benefit of full-time secondments,
                       joining us at the WBCSD offices in Geneva, as well as part-time associates,
                       working primarily from their company offices.

                       Work activities can include short-term assignments with dedicated outputs, as
                       well as assignments involving longer term strategy and thought leadership.


                       Secondments (as of January 2010)
                       E.ON                   Bernhard Grünauer     Energy and Climate Focus Area
                       Pakistan State Oil     Amjad Parvez Janjua   Regional Network


                       In addition, Mikkel Kallesoe has been seconded to the WBCSD from IUCN,
                       working with the Ecosystems Focus Area.

                       We would also like to thank Li Li Leong from PricewaterhouseCoopers for her
                       contributions to the Business Role Focus Area/Vision 2050 project during 2009.


                       Associates (as of January 2010)
                       Eskom                  Mandy Rambharos       Energy and Climate Focus Area


                       We would also like to recognize the contributions of the following Associates
                       during 2009:
                         Nijma Khan from Accenture on the work of the Business Role Focus Area/
                         Vision 2050

                         and Climate Focus Area

                         Climate Focus Area
Publications   69




Publications                                  released in 2009


General
WBCSD Annual Review 2008 - What a way to run the world
“What a way to run the world” is the title of the WBCSD’s Annual Review 2008.
The theme was chosen almost a year ago, well before the financial meltdown
proved just how badly the world was being run. As WBCSD’s Chairman, Samuel
DiPiazza Jr. points out: “economic crises must remind us that sustainable
development is not just about environmental or social issues but also about
sound economic development.”


Publications catalogue
This interactive CD-ROM catalogues all of the Council’s publications from its
founding in 1995. Regularly updated, the CD-ROM also includes all available
translations.


Sustain #31 – Energizing Development in a Changing Climate
The WBCSD recognizes the urgent need for companies to support development
while spurring a move toward a global low-carbon economy, the economy of
the future. This edition of Sustain highlights the important links between energy,
climate and development.




Regional Network
The Regional Network - Thinking globally, acting locally
The Regional Network is an alliance of some 60 CEO-led partner organizations
around the world, united by a shared commitment to promoting the business
contribution to sustainable development in their respective countries and
regions.




Focus Areas

The Business Role
Inclusive Business Challenge
This presentation and simulation tool, developed by WBCSD Future Leaders
Team, aims to help companies and non-business stakeholders understand,
identify and implement inclusive business models.


Development
Inclusive Business Challenge
This presentation and simulation tool, developed by WBCSD Future Leaders
Team, aims to help companies and non-business stakeholders understand,
identify and implement inclusive business models.


Mobility for Development
Today’s mobility systems in rapidly developing cities are not sustainable and
the situation is deteriorating, although opportunities are increasing and are an
important driver of economic development, concludes the WBCSD’s Mobility for
Development final report.
70   Publications


                    Mobility for Development - Executive summary
                    The WBCSD studied the state of mobility in four rapidly growing cities in the
                    developing world – Bangalore, Dar es Salaam, São Paulo and Shanghai. Its
                    final report concludes that although mobility opportunities are increasing and
                    are an important driver of economic development in all cities, overall mobility
                    systems are not sustainable and for poorer residents the mobility situation is
                    deteriorating.


                    Energy & Climate
                    Tackling climate change on the ground: Corporate case studies on land use
                    and climate change
                    Land-use activities are a major source and sink of global greenhouse gas
                    (GHG) emissions. Curbing deforestation and applying sustainable land-use
                    management practices can reduce GHG emissions, while planting trees and
                    managing forests can help remove GHGs (mainly CO2) from the atmosphere
                    by sequestering them in plants and vegetation. This publication highlights
                    the relationship between land use and climate change and uses corporate
                    case studies to show how business is contributing solutions to address these
                    challenges.


                    Towards a Low-carbon Economy - A business contribution to the
                    international energy & climate debate
                    This publication aims to share business experience in technology development
                    and deployment, finance and carbon markets, cooperative sectoral approaches
                    and adaptation and proposes policy recommendations for a future agreement.


                    Ecosystems
                    Corporate Ecosystem Valuation: Building the business case
                    The world’s ecosystems are under threat. Most types of natural habitats are
                    showing signs of severe degradation, wild populations of fauna and flora are
                    declining, and land, air and water are all becoming more and more polluted.
                    This publication builds the business case for companies to employ corporate
                    ecosystem valuation as a decision-support tool to improve operational efficiency
                    and/or develop new business opportunities while reducing their environmental
                    impacts or ecological “footprint” or building up their ecosystem assets.

                    Corporate Ecosystem Valuation: A scoping report
                    This scoping study report reaches the conclusion that any attempt to advance
                    corporate ecosystem valuation should focus on new ways of valuing ecosystem
                    dependencies and impacts and incorporating these values within existing
                    financial and business planning tools, drawing where relevant on the existing
                    methods that have been developed specifically to value ecosystem services.

                    Corporate Ecosystem Valuation: Issue brief
                    All businesses, regardless of their location on the value chain, both impact
                    and depend on ecosystems and ecosystem services. Any attempt to advance
                    corporate ecosystem valuation should focus on new ways of valuing ecosystem
                    dependencies and impacts and incorporating these values within existing
                    financial and business planning tools, drawing where relevant on the existing
                    methods that have been developed specifically to value ecosystem services.

                    Tackling climate change on the ground: Corporate case studies on land use
                    and climate change
                    Land-use activities are a major source and sink of global greenhouse gas (GHG)
                    emissions. Curbing deforestation and applying sustainable land use management
                    practices can reduce GHG emissions, while planting trees and managing forests
                    can help remove GHGs (mainly CO2) from the atmosphere by sequestering them
                    in plants and vegetation. This publication highlights the relationship between
                    land use and climate change and uses corporate case studies to show how
                    business is contributing solutions to address these challenges.
Publications   71



Projects

Water
Water for Business: Initiatives guiding sustainable water management in
the private sector
“Water for Business: Initiatives Guiding Sustainable Water Management in the
Private Sector”, jointly developed by the World Business Council for Sustainable
Development (WBCSD) and the International Union for Conservation of Nature
(IUCN) identifies 16 initiatives or tools, driven by business leaders, civil society
and governments, which have emerged since 2006.

Water, Energy and Climate Change
Water, energy and climate change are inextricably linked. The paper lists five
important policy recommendations from business to climate negotiators and
policy-makers and includes 25 case studies showing how business is already
linking water, energy and climate across their operations.


Water Facts and Trends - Updated
This working document provides an overview of some basic facts and
societal challenges related to water. It has been developed by the WBCSD
secretariat and is intended to support the ongoing dialogue within the WBCSD
membership and with other stakeholders in civil society and government.


Energy Efficiency in Buildings
Transforming the Market: Energy Efficiency in Buildings
Modeling by the WBCSD shows how energy use in buildings can be cut by
60% by 2050 – essential to meeting global climate change targets – but this
will require immediate action to transform the building sector. This is the central
message of the report from the WBCSD’s four-year, US$ 15 million Energy
Efficiency in Buildings (EEB) research project, the most rigorous study ever
conducted on the subject.


Cement Sustainability Initiative
Cement Industry Energy and CO2 Performance “Getting the Numbers
Right”
The Getting the Numbers Right (GNR) system is a sector-wide global
information database that provides accurate, verified data on the cement
industry’s CO2 emissions and energy performance. In addition to Cement
Sustainability Initiative members, CEMBUREAU, the European Cement
Association, collects information from non-CSI cement plants in Europe,
ensuring nearly complete coverage of all cement installations there.

Cement Technology Roadmap 2009 - Carbon emissions reductions up to
2050
This report calls for strong national policies to activate known CO2 mitigation
actions that the cement industry can take now to reduce its emissions. It also
issues a call to action to develop commercially viable carbon capture and
storage technologies as a method for further reducing global CO2 emissions
from the cement industry.


Recommended Good Practice for Contractor Safety
Cement Sustainability Initiative member companies are committed to giving
contractor safety and employee safety equal priority. This document sets forth
the commitment of Cement Sustainability Initiative members to setting an
example for contractor safety management through their own activities and
contract management and offers good practices that are effective in reducing
contractor incidents within the cement and other industries.
72   Publications


                     Recommended Good Practice for Driving Safety
                     CSI member companies are committed to giving contractor safety and
                     employee safety equal priority. This document sets forth CSI member company
                     commitment to eliminating driving-related injuries and fatalities and offers good
                     practices that are effective in reducing road incidents within and outside the
                     cement industry.



                     Recycling Concrete - Full report and summary report
                     This report argues that recycling concrete reduces natural resource exploitation
                     and waste going to landfill. It asks for an ultimate goal of “zero landfill” of
                     concrete.




                     A Sectoral Approach: Greenhouse gas mitigation in the cement industry
                     This economic and policy modeling project is designed to improve
                     understanding of the impacts of different carbon policies on emissions
                     reductions, global trade and regional market shares in the cement sector. The
                     results of the study show that cement production is likely to more than double
                     by 2030, based on current demand forecasts.




     Photo credits   P14-15: Philips Vision of the future, Flickr, IADB fair trade tea
                     P18-19: Bryan Christie, Flickr, Curt Carnemark
                     P20: GE Smart meter, Arup Real-time information (Urban transport system), Philips lighting
                     P21: Conoco-Phillips
                     P22: GE
                     P24: V2 studios, Arup The greening of Manchester, Novozymes Bio fuel, Syngenta International AG
                     P26-27: Flickr, Unilever Water use
                     P28-29: Flickr, IBM Smarter planet UK (water / energy)
                     P30-31: Sonae Sierra, Flickr, Lafarge
                     P32-33: Flickr
                     P34-35: Thierry Bogaert Environment architecture, CEMEX, Holcim
                     P36-37: ABB, GE
                     P40-41: Toyota, BP, GE, Boeing Dream Liner 787
                     P42: Rio Tinto
                     P43: Aventis, Syngenta International AG
                     P44 Flickr, Arup Urban infrastructure, Sustainable Singapore.gov.sg
                     P45: Philips lighting
                     P48: Flickr
                     P49: Sky sails, Future shipping
                     P50-51: John Yunker www.bytelevel.com
                     P57: UNFCCC



     Copyright       © World Business Council for Sustainable Development,
                     March 2010

     ISBN            978-3-940388-58-2

     Printer         Atar Roto Presse SA, Switzerland Printed on paper containing
                     50% recycled content and 50% from mainly certified forests
                     (FSC and PEFC). 100% chlorine free.
Secretariat
4, chemin de Conches        Tel: +41 (0)22 839 31 00   E-mail: info@wbcsd.org
CH-1231 Conches-Geneva      Fax: +41 (0)22 839 31 31   Web: www.wbcsd.org
Switzerland

WBCSD North America Office   Tel: +1 202 420 77 45      E-mail: washington@wbcsd.org
1744 R Street NW            Fax: +1 202 265 16 62
Washington, DC 20009

WBCSD Brussels Office                                   E-mail: brussels@wbcsd.org
c/o Umicore
Broekstraat 31
B-1000 Brussels
Belgium

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The Green Race is On - The New Business Agenda - 2009

  • 1. The Business agenda WBCSD Annual Review 2009 World Business Council for Sustainable Development
  • 3. 1 Contents Chairman’s Message 3 President’s Message 5 About the WBCSD 8 A New Agenda for Business 9 Advocacy 10 Focus Areas Business Role 12 Development 16 Energy & Climate 20 Ecosystems 24 Projects Water 28 Energy Ef¿ciency in Buildings 30 Sustainable Forest Products Industry 32 Cement Sustainability Initiative 34 Electricity Utilities 36 Tire Industry 38 Sustainable Mobility 40 Mining, Minerals and Sustainable Development 42 Chemicals 43 Initiatives Eco-Patent Commons 45 Urban Infrastructure 46 Maritime 49 Regional Network 50 Communications 56 Partnerships and Alliances 59 Membership and Governance 60 Executive Committee 62 Member Companies and Council Members 63 WBCSD Personnel 67 Publications Launched in 2009 69
  • 4. 2 Green jobs Market signals Emerging technologies
  • 5. Chairman’s message 3 Chairman’s message In 2009 it was business as unusual. Despite the fragility of world economies, many of our WBCSD member companies successfully anticipated the uncertainties and altered their strategies in light of changing demands and resources. Not only were these companies resilient amid the crisis, some even found opportunities to enter new markets and grow their global market share, particularly in developing economies, which are growing faster than their developed country counterparts. Not surprisingly, these organizations are among the leaders in fully integrating sustainability into their core business strategies and processes. The challenging business environment also influenced the annual WBCSD Samuel A. DiPiazza, Jr. Global CEO, PricewaterhouseCoopers Council meeting in Washington DC, which despite economic pressures enjoyed record attendance from around the world. Sustainable development has clearly become a top priority for leaders of governments, businesses and civil society. While there has been progress toward government and business leaders working more closely in partnership, not enough has been done to create the systemic changes necessary to successfully address the global challenges of climate change, poverty and natural resource scarcity. Our discussions in DC and in other leadership forums make us certain that now is the opportune time for business leaders to create the coalitions necessary to drive the kind of cross-border innovation and transformation that by 2050 will allow 9 billion people to live well, within the limits of our planet. In my view, the Council’s key initiative, Vision 2050, clearly sets out the business priorities for the coming decade. We now understand that, in many areas, society has the resources, science and technology to manage the global challenges we face. However, our Vision 2050 work has revealed a lack of motivation and leadership to make the necessary changes, a vacuum I believe business, at least in part, can fill. As leaders of complex organizations, operating across multiple borders and cultures, we have a significant opportunity to make a real difference and to ensure a prosperous and more sustainable future for our companies as well as for our children and grandchildren. We learned from the global financial crisis that in times of dire need, it takes only a few insightful, intelligent and trusted individuals to persuade countries and companies to collaborate in ways they never once imagined. I am confident that such individuals are engaged within the WBCSD and its member companies. I look forward to seeing business lead the change we need to create a more prosperous and sustainable future.
  • 6. 4 1 Building and transforming... b. Infrastructure a. Cities c. Livelihoods & lifestyles Energy Tailored solutions for all markets infrastructure: Building & space Health: prevention and care Smarter energy management mix/renewables Smarter Education Transportation mobility Urban planning/ Low-carbon- Consumer education/marketing infrastructure design ization & Eco-housing Making sustainable living easier Smarter appliances smartening of energy systems Smarter product design Urban mobility Product-sharing businesses Products and services for aging populations Efficiency Water improvements infrastructure: Access to: Land-use planning & e Water Food for cities management innovations & Natural literacy & partnerships y Forest products Recycling solutions g Resource-sharing enterprises Protecting & Waste management n Worker training/education restoring nature infrastructure leveraging e water waste h Smarter water systems Water manage- y ment with forests 2 Improving biocapacity and managing ecosystems Forest preservation and enhancement Avoided deforestation Soil erosion prevention Habitat and biodiversity conservation Restoration of degraded & abandoned land 3 Helping change happen Building & managing complex coalitions Labeling/product certification Financing, transparency & insurance Education & awareness-raising 2050 True-value accounting Research and influencing: Connecting through ICT s 2020 2010
  • 7. President’s message 5 President’s message The year 2009 proved pivotal, but not in the way we expected We hoped the December climate talks in Copenhagen would deliver a clear new framework to manage climate change. It did not. But the year did deliver a new sense of the reality and urgency of the energy and climate agenda. Business leaders realized that they must help lead society toward solutions, stepping into political and diplomatic arenas previously alien to them. At the same time, the Council’s own Vision 2050 Project began to document the spectacular breadth of business opportunity inherent in pathways toward sustainability. Prosperity lies in rapid change, while business-as-usual will bring disaster. Bjorn Sigson President, WBCSD The year also highlighted the overlap of agendas – energy, climate, development, urbanization – in the real world and the need for systems thinking and systems solutions to coordinate these agendas. The Council is responding by linking its various Focus Areas, Projects and Initiatives. The Water Project is working on the link between water and energy. The Development Focus Area has an “energy for development” workstream. The Council will be working on systems thinking and systems approaches in its future work, especially urban systems, energy, water and development. It was a year of change and turmoil: new leaders in the United States, the European Union and Japan; an unsteady but closer alliance emerging between the US and China; and positive movement in the economy, amid continued bailouts and high unemployment. Emerging economies continued to emerge, with an ongoing power shift from West to East and from the old G8 to the newer, bolder G20. The future is one of growth: of populations, cities and economic activity. Business is being called upon to provide the innovations and solutions needed to help manage that growth. In fact, business in general and the WBCSD in particular are being handed ever more sustainable development responsibility, ready or not. In 2009 I advised the US, Chinese and German governments on sustainable development, low-carbon economics and climate change issues (see Advocacy section). The WBCSD won an EU tender to develop a proposal on how business can be formally involved in the climate change negotiations. This suggests two things: that the WBCSD remains the preeminent business voice on sustainability issues, and that governments need and appreciate a business presence in their deliberations. Despite the mixed results of the climate change meetings in Copenhagen, the yearlong focus on the event caused governments to prepare legislation and policies, to seriously debate complex issues such as carbon footprinting and embedded carbon. It inspired the WBCSD to sharpen its advocacy messages for Copenhagen and beyond, to aggressively market its tough, peer-reviewed report on Energy Efficiency in Buildings (EEB) and to develop an EEB Manifesto for members to sign up to, demonstrating that this efficiency talk is being walked. It also saw Sustainable Forest Products Industry group champion the inclusion of sustainable forestry initiatives in the climate negotiations to sequester carbon. The year saw governments working to re-invent “green jobs,” to seek solutions in the form of smarter grids, new investments in energy supply and distribution.
  • 8. 6 The Council and our members accelerated work on sustainable consumption, amid suggestions that consumers are beginning to look at their individual purchasing patterns and their impacts on the planet. Behavior shifted, but that may have been due to diminished discretionary spending caused by the recession and not heightened consciousness. Understanding of global, and local, water challenges increased, as did the public’s grasp of the links among water, energy, climate and food. The Council used high-profile water meetings to explain what our members were doing on the issue and to market the WBCSD Global Water Tool. The Development Focus Area built a new strategy to make it more nimble in dealing with the contradictory issues of rapid growth in economies and in consumer demand in countries like China and India, alongside a global population of some 4 billion poor people. WBCSD highlights included new and well-received publications in the areas of energy efficiency in buildings, corporate ecosystem valuation, water, energy and climate change and cement. Due to the pressing need to accelerate the development of advanced clean energy technologies in order to address the global challenges of energy security, climate change and sustainable development, the Cement Sustainability Initiative worked with the International Energy Agency (IEA) to develop the first industry-wide technology roadmap – for the cement industry. The IEA, in response to G8 ministers, is leading the effort to develop a set of 19 global technology roadmaps covering demand and supply-side technologies, under international guidance and in close consultation with industry. The overall aim is to advance global development and uptake of key technologies to reach a 50% CO2 emissions reduction by 2050. The roadmaps will enable governments, industry and financial partners to identify steps needed and implement measures to accelerate required technology development and uptake. The Ecosystems Focus Area renewed its partnership with the International Union for the Conservation of Nature as both work with one another and various stakeholders to explore and promote new business opportunities associated with the sustainable management and stewardship of ecosystems and the creation of market mechanisms for ecosystem services. The Council held a Business Day at the Copenhagen climate conference of the Parties (COP), its biggest ever; it held a business event at the Stockholm Water Week and is planning an International Business and Ecosystems Day at COP 10 of the Convention on Biological Diversity in Nagoya in 2010.
  • 9. 7 The WBCSD is putting more into, and getting more out of, its Regional Network of 60 national Business Councils of Sustainable Development and partner organizations, working with these to hold regional engagement meetings on efforts such as Vision 2050 and the Greenhouse Gas Protocol. As the network grows, it strengthens feedback loops between global and national policy work. The 2009 Council Meeting was in Washington DC, and thanks to the deep engagement of our US members it attracted speakers from the administration, the Senate and the House of Representatives. A press conference by incoming WBCSD Chairman Jorma Ollila filled a main meeting room of the National Press Club and garnered extensive press coverage. As the economic crisis unfolded at the end of 2008, we wondered how this would affect membership. We did lose some members early in the year, but not the kind of numbers we feared. Our existing members remained fully engaged, despite a tough economic situation, and the rate of enquiries regarding membership barely slowed, with 12 new members joining us in the course of the year. It has been encouraging to see how many companies clearly regard sustainable development as core to their business, and not a “nice to have” when times are good. In summary, the green race is on – both among governments and companies. Sustainability is now the key driver of innovation, and the sustainability performance of a company is a measure of its management quality. Combining these company drivers with government support for green innovation and knowledge becomes a powerful business case and stimulus for the green race. With this very much in mind, the Council is reworking its approach to developing Strategy 2020 and taking advantage of the fact that the notion of sustainable development seems to have reached a tipping point. The new approach will highlight the Council’s role as the leading business advocate for the right framework conditions for business to make an even more effective contribution to sustainable human progress. 2010 marks the 15th anniversary of the founding of the WBCSD, and we are developing many ways to celebrate. I want to thank all Members, Liaison Delegates and staff for their hard work and sharp thinking in making those 15 years the success they have been.
  • 10. 8 The Leading Business Advocate for Sustainable Development The pursuit of sustainable development can help both companies and the Development planet. This is the firm belief of WBCSD members, which have a combined turnover of some US$ 7 trillion and employ more than 15 million people. Business is a key provider of solutions; it has an opportunity and a responsibility Energy & Climate to show that it can help lead society along sustainable paths of progress. The WBCSD brings together some 200 leading international companies that share a commitment to the principles of sustainable development via economic growth, ecological balance and social progress. Members are drawn from 36 Ecosystems countries and 22 major industrial sectors. The Council benefits from a global network of 60 national and regional business councils and regional partners. The Council’s work is based on Focus Areas chosen by the members. These are The Business Role, Development, Energy & Climate and Ecosystems. Each of Business Role these has a Focus Area Core Team (FACT), working groups and workstreams. The FACTs, typically consisting of about a dozen CEOs, guide the Focus Areas and act as advisory boards. They meet at least once a year face-to-face and two to three times in telephone conferences. Each Focus Area is led by at least two co-chairs. Regional Network The working groups are made up of Liaison Delegates and specialists appointed by members. They develop the intellectual capital and provide content (cases, expertise, opinions), create deliverables, shape and engage in advocacy, and take results back to the companies. Each Focus Area has different workstreams examining different issues in the area. Projects are a mix of action and advocacy, and some of their work connects with the Focus Areas. For instance, Energy Efficiency in Buildings, Electricity Utilities and the Cement Sustainability Initiative all have strong ties to the Energy & Climate Focus Area, while the Sustainable Forest Products Industry is connected to the Ecosystems Focus Area, and Mobility to the Development Focus Area. Initiatives provide a test bed or laboratory space for the Council. They allow faster and more flexible responses to emerging issues. In 2009, the Council began an Initiative on urban infrastructure, given the rapid growth of cities to 2050. If there is a need for more extensive activity on a topic, an Initiative can evolve into a Focus Area or Project, such as the Sustainable Ecosystems Initiative, which became a Focus Area in 2007.
  • 11. 9 A New Agenda for Business “It is no longer a question of if we need to address It is only in the past five years that thoughtful companies have begun to understand sustainability, nor is it the vast opportunities of moving toward a sustainable world, and that science has made clear the global catastrophes inherent in un-sustainable development. about what needs to be done. The issues are HOW and In 2005, the hundreds of scientists involved in the Millennium Ecosystem Assessment warned that two-thirds of the ecosystem services upon which life depends are WHEN.” being degraded or used unsustainably. In 2007, the Intergovernmental Panel on Bjorn Stigson Climate Change warned of drastic, climate-related cuts in African farm yields in President, WBCSD about a decade, and of floods and then droughts in Asia and Latin America. Recently, many organizations have highlighted the business opportunities inherent in building, rebuilding and retrofitting infrastructure so they work within natural boundaries. Vast new built systems for energy, water and transport are needed in the developing world, along with vast retrofitting and rebuilding in the developed world. The role of business is evident. Business is the main driving force for resource efficiency in the economy, for technology deployment and development and for infrastructure construction and providing financial services. But business can fulfill its role only if the right regulations and government institutions are in place. Maximizing the business role will require new forms of public-private partnerships and doing more business with both governments and civil society organizations. Business leaders will have to integrate systems thinking and systemic solutions as never before, and also work more closely with governments than they are used to, taking time from leading their companies to help create the space and institutions in which those companies can be successful over the long haul in a very different global environment. Business’ time has come. It is up to business leaders to make the most of it.
  • 12. 10 Advocacy Advocacy The WBCSD places a high priority on advocacy. Previously, its main task was to get sustainable development higher on government and business agendas. That has been achieved. The goal now is to accelerate sustainability actions. The Council worked closely through the year with the Bonn Secretariat of the UN Framework Convention for Climate Change to get a business message into the Copenhagen deliberations and to host the Ministerial Breakfast in Copenhagen. The Ecosystems Focus Area renewed its partnership with the International Union for the Conservation of Nature (IUCN) to find market approaches to enhancing ecosystem services. It launched Building the case for Corporate Ecosystem Valuation and also works closely with The Economics of Ecosystems and Biodiversity (TEEB) study, launched by the Environmental Ministers of the G8+5 countries. 2010 is the Year of Biodiversity and the Council has begun, in collaboration with IUCN and the Nippon Keidanren, to organize an International Business and Ecosystems Day at the 10th Conference of Parties of the Biodiversity Convention in the autumn. The Vision 2050 Project finished its work in 2009 and launched it in early 2010. The Vision work provides a platform for dialogue with member companies and a wide range of our stakeholders — similar to what the Council did with the sustainability scenarios (FROG, Geopolity and Jazz) of 10 years ago. The Energy Efficiency in Buildings (EEB) project published its final report in 2009 and gained the support of more than 50 companies for its Manifesto. The EEB has been planning a major advocacy drive based on these two reports. The International Energy Agency (IEA) has the mandate from the G8 to develop sectoral technology roadmaps for 17 industrial sectors and technologies. The first industry sector roadmap was developed and launched jointly by the IEA and the WBCSD Cement Sustainability Initiative (CSI) in early December. The Cement Roadmap will be an important advocacy tool during 2010, during which the IEA and the Council will also produce a roadmap for buildings. Much of the Council’s advocacy work is done through the President’s Office, as WBCSD President Björn Stigson plays a key role in a number of advisory bodies. In November, he presented to German Chancellor Angela Merkel the
  • 13. Advocacy 11 conclusions of the German Peer Review on the German Sustainability Strategy, which he chairs. In the same month, he and his co-chairs on the Low Carbon Economy Task Force under the China Council for International Cooperation on Environment and Development presented to the Council and the Chinese State Council their report on “China’s Pathways to a Low Carbon Economy”, which makes tough, detailed recommendations for the 12th 5-Year Plan. Björn Stigson is the only international member on the America’s Climate Choices panel, established by the US Congress, and at year’s end he was reviewing a report to be presented by that panel to Congress. Much advocacy is also done through partnerships with other organizations. The Council has signed a memorandum of understanding (MOU) with the The Global e-Sustainability Initiative on the information and communications technology (ICT) sector to find ways to reduce greenhouse gas emissions through the development of appropriate ICT services and technologies. The World Resources Institute continued to be an invaluable partner in efforts as different as advocating ways to measure greenhouse emissions to advocating the sustainable sourcing of forest products. It is also a lead partner in efforts by the Ecosystems Focus Area to develop the Guide to Corporate Ecosystem Valuation, a collaboration that also includes IUCN, PricewaterhouseCoopers and Environmental Resources Management. The Development Focus Area works with the Inter-American Development Bank to spread sustainable business throughout Latin America and with the Asian Development Bank to spread clean and affordable energy for development in Asia. The Business Role Focus Area works with the European Business Schools Consortium to spread the sustainability agenda among both companies and business students. In 2010, the Council began to formalize key country “roadshows” in the United States, Europe, Mexico, China, India, Australia, Japan and Brazil. The UN plans to convene a major event in conjunction with a celebration of Rio+20 (20 years since the Earth Summit in Brazil). The original Business Council for Sustainable Development was formed to provide a business voice for that 1992 meeting, and the Council played a major role in organizing business activities at the 2002 World Summit on Sustainable Development in Johannesburg. The Council is already laying the groundwork for a strong business role in the 2012 series of meetings. 2010 marks the Council’s 15th anniversary. It will find many ways to mark those 15 eventful years.
  • 14. 12 Sustainable world by 2050
  • 15. Focus Area The Business Role 13 The Business Role “The Vision 2050 project has increased my Business is being seriously affected by the sustainability challenges facing the world. understanding of the Studies showing that it is possible to develop solutions that meet carbon and resource constraints also show that it will require massive change, starting now. magnitude of the challenges Business must therefore examine its various roles, improve them, and advocate that the world needs to change to other stakeholders: governments, consumers, investors, NGOs, and manage, and of the multitude academia. Sustainability considerations must be implemented and integrated into business strategy and adopted as core business. The Business Role of business opportunities that Focus Area works through three approaches: exploring the role of business, this will bring.” influencing stakeholders and implementation. Idar Kreutzer CEO, Storebrand Vision 2050 The WBCSD’s exploratory flagship is the Vision 2050 Project, in which member companies have set out to develop a business view on making the world sustainable by 2050 and beyond. The objective has been to create a new intellectual platform for business thought leadership, one that can also engage governments and civil society. Twenty-nine companies, led by Alcoa, PricewaterhouseCoopers, Storebrand and Syngenta, have come together to rethink what business must do over the next few decades to help society toward sustainability. Vision 2050 has run a Regional Engagement Program to ensure the project is informed and validated by all regions of the world. WBCSD Regional Network partners and regional representatives of participating companies were instrumental in this. The Vision 2050 report has been launched at the February World CEO Forum in Delhi, India. Companies will use the results of Vision 2050 as a platform for reinventing themselves and their products and services to get where they and society want to be. In the outreach phase we will share the findings with policy-makers and other key actors, through dedicated Vision 2050 CEO and policy-maker roundtables, and broader outreach by the WBCSD, its member companies and media. Influencing stakeholders Business can better provide goods and services that promote sustainability if market mechanisms are designed to promote sustainable development. The Consumer influence Focus Area is trying to influence two key stakeholders – investors and consumers – whose “framework setting” is crucial for how, an to what extent, Council mewo w, and members and other companies can develop and d n h mpanies p deliver sustainable business. susta The financial crisis cre ed more scrutiny, mo disclosure, and m cial created e more sclo e anspar more transparency in the market. This has emphasize the importance o businesses and financial n ma as emphasized m of nancial ns o tin c o cii verna v institutions incorporating systemic environmental, social and governance factors into fundamental financial analysis and business planning; it has forced businesses t n nc n y u i in fo f an and investors to rethink the basis for sustainable economic performance. v h k o a onom rm T 2 08 The 2008 Sustainable Consumptio Facts & Trends re r confirmed that bl Consumption report e h sustainable consumption issues h ta nab a mptii have become core b i c e business issues. In 2009, the consumers and consumption workstream developed a framework of h s onsumption mp tr el e e k th the roles of various a o in “enabling sustainable consumption”. It a r actors n n u sumption also developed a learning laboratory workshop format to explore sustainable earning aboratory rat o t xplor u b lifestyles i the cont t of a sustainable w in e context st world in 2 2050. Usin results from the Using e r Vision 2050 project, the workshops were designed specifically f marketing, 5 ro e or h e ed ecifica for k communications and sustainabi ication d sustainability professionals at WBCSD member companies. f BCSD e ompanies.
  • 16. 14 Focus Area The Business Role Lifestyle change Multimedia communication kiosk This all feeds into work to develop the business case for demand-side management and the consumer agenda. The Focus Area has been working with the relevant teams across the WBCSD work program to understand and coordinate efforts on demand-side management. The Focus Area will continue to advocate the WBCSD Sustainable Consumption report at retailer industry associations and on other dialogue platforms. The Focus Area has been working to provide input into the 2010 UN Commission on Sustainable Development’s focus on Sustainable Production & Consumption with the International Chamber of Commerce, the separate task forces of the Marrakech Process, and UNEP. It has also been scoping new ways to explore the consumer behavior shifts being revealed, the known triggers to behavior change and their relevance for sustainability. Implementing Sustainable Development The WBCSD’s Future Leaders Team (FLT), run by the Business Role Focus Area, helps younger business leaders become effective ambassadors for sustainable development through experiential learning, knowledge creation, and the building of networks and skills. Now in its eighth year, the FLT in 2009 worked closely with the Development Focus Area to explore the business contribution to development. They embarked on individual projects inside their companies using the WBCSD’s Measuring Impact Framework. After participating in a stakeholder dialogue training event in India, the team built the Inclusive Business Challenge, a tool for companies and organizations to raise awareness of how to do inclusive business. Designed for adaptation and customization by individual companies and organizations, it has already been picked up by a number of companies and NGOs. Over the past several years, the WBCSD has developed tools and training elements - including Chronos, an e-learning tutorial on the business case for sustainable development - to improve the capabilities of stakeholder groups. Companies continue to customize Chronos, with total licenses now at 300,000 plus. In 2009, the WBCSD broadened the focus on capacity building to look strategically at issues around talent, skills and sustainability through a new workstream named “People Matter”. It first developed a deeper understanding of company priorities in the area. The Focus Area found that companies are concerned with short-term issues around integrating sustainability into the
  • 17. Focus Area The Business Role 15 Touch tele monitoring diagnosis business of people and understanding how sustainable development can enhance the way they recruit, engage, incentivize, train and manage employees. In the longer term, companies want to ensure future talent needs are met and understand how companies can best influence stakeholders such as governments and education institutions to build skills for a sustainable future. Companies agreed to build a network of business experts to share experience and develop thought leadership. In 2010 the network will help build the business case for action while also providing companies with an opportunity to profile their experience and collaborate with others. The key deliverable will be four thought pieces on thematic issues around engaging and training employees; aligning incentives, performance, recruitment and retention; identifying future talent and leadership needs; and managing and measuring organizational change. Focus Area Core Team 2010 FACT members Company Country Mohammad A. Zaidi Co-Chair Alcoa USAIdar Kreutzer Co-Chair Storebrand Norway Michael Diekmann Allianz Germany Francoise Guichard GDF Suez France Christian-Andre Weinberger Henkel Germany Michael Hastings KPMG UK Esko Aho Nokia Finland Irfan Qureshi Pakistan State Oil Pakistan Ian Powell PricewaterhouseCoopers USA Ryoji Chubachi Sony Japan Thomas Leysen Umicore Belgium
  • 18. 16 Focus Area Development
  • 19. Focus Area Development 17 Development “My co-chairmanship of the Development Focus Area The complex, rapidly changing developing world has overtaken the developed has helped me make inclusive countries as the generator of economic growth and opportunity. This is a trend that is expected to accelerate. Almost all future population growth will happen business a strategic, profitable in the former. part of GrupoNueva’s core In 2009, the Development Focus Area reorganized its priorities and structure, operations. It is also helping continuing its efforts on doing business with poor communities while expanding its scope to address the broader business role in sustainably improving the me to reach out to my fellow living standards of the growing and increasingly urbanized populations of the CEOs in Latin America developing world. to spread inclusive business This new structure offers members and partners more flexibility in developing throughout the region. As leading-edge thinking and messages; profiling best practices; engaging in specific initiatives; accessing and influencing international processes and it spreads, it can benefit our initiatives; applying innovative WBCSD tools; and cooperating with the WBCSD’s nations, our people and our Regional Network partners in developing countries and emerging economies businesses.” The Focus Area’s role is to: Roberto Salas Create awareness among business of risks and opportunities in the CEO, GrupoNueva development context Define the business role in sustainably addressing key development challenges and advocate business perspectives to policy-makers and other relevant stakeholders Demonstrate leadership by promoting business-led action on the ground. Bridging divides, promoting inclusive business and measuring impacts The Mobility for Development initiative raised awareness in three areas: the importance of mobility as a driver for economic development; the urgent need to narrow the mobility divide, and the search for sustainable mobility solutions for rapidly growing cities in developing economies. Led by BP, Brisa, General Motors, Michelin, Petrobras and Toyota, the group studied mobility in four such cities: Bangalore, Dar es Salaam, São Paulo, and Shanghai. The final report concluded that although mobility opportunities are increasing, overall mobility systems are not sustainable and are deteriorating for poorer residents. The report’s findings and messages are being disseminated at key international and regional events. The Focus Area continues to be a member of the Steering Committee of the Asian Development Bank’s Energy for All Partnership. Formally launched in June 2009, the initiative links private and public sectors in Asia to improve access to energy by sharing information, resources and the flow of financing to projects with appropriate technologies and proven business cases. It aims to provide access for 100 million new users in Asia by 2015. The Focus Area is also part of the Energy Poverty Action alliance, along with the World Economic Forum, the World Energy Council, Vattenfall, Eskom and BC Hydro. The Latin American Network of Inclusive Business Leaders, launched in 2009, is led by Roberto Salas of GrupoNueva. Working in close collaboration with its Regional Network partners, it is engaging forward-thinking CEOs across Latin America, encouraging companies to get involved in business that benefits both poor populations and companies. Six CEO-level gatherings were organized in 2009 in Colombia, Argentina, Ecuador, Chile, Brazil and Peru. The Focus Area is also on the advisory board of the UNDP Growing Inclusive Markets initiative, which aims to demonstrate the benefits of doing business with the poor and to clarify the ways that businesses, governments and civil society organizations can create value for all and inspire the private sector to action.
  • 20. 18 Focus Area Development The Alliance for Inclusive Business, with SNV Netherlands Development Organization and the WBCSD’s Regional Network partners in nine Central American and Andean countries, has 40 inclusive business ventures being implemented. The Alliance is producing a publication profiling its achievements over its three-year history, capturing lessons learned for the business community, governments and development agencies. The goal is to build on this successful alliance by starting similar activities in Asia, Africa and the Middle East. Awareness- raising activities have been held in Mozambique, Zimbabwe and Vietnam. The Measuring Impact Framework (launched in 2008) helps companies understand their contribution to society and use this understanding to make better operational and long-term investment decisions and to have better-informed conversations with stakeholders. The Focus Area spent 2009 supporting the Framework’s uptake among companies, organizing capacity- building workshops with partners and presentations at key external events, and compiling a summary of existing impact measurement initiatives. As the only global business organization to develop a measurement framework built by business for business, the WBCSD has become an important voice on the issues around measuring business impacts. It has received requests to provide input into external frameworks developed by the Business Call to Action on the Millennium Development Goals and Oxfam, among others. The WBCSD’s 2009 Future Leaders Team worked closely with the Development Focus Area to explore the business contribution to development. Team members applied the Measuring Impact Framework in their respective companies, providing valuable insight into redefining measures of success and demonstrating the contribution of business. The second phase of the program was spent developing a simulation tool called The Inclusive Business Challenge. (See also The Business Role Focus Area.) Publications and case studies in 2009 Mobility for Development The Inclusive Business Challenge – simulation tool developed by WBCSD Future Leaders Team Sustain magazine – Energizing development in a changing climate Allianz case study – Reducing the risks of the poor through microinsurance Newmont case study - Supporting local economic growth in Ghana EcoSecurities case study - Measuring the development benefits of emissions reduction Some 50+ blog entries at www.inclusivebusiness.org Monthly Business & Development e-newsletter (subscriptions grew by 2,000 to 14,000 total recipients).
  • 21. Focus Area Development 19 Moving forward The Focus Area will publish an advocacy document that builds on the intellectual capital it has accumulated over the last few years and reflects its new, broader scope. It also intends to enhance its inclusive business initiatives in Latin America by creating a public web platform and a “project management tool for the Latin American Network of Inclusive Business Leaders, and by publishing a report of cases and lessons learned from the WBCSD–SNV Alliance for Inclusive Business in Latin America. The Focus Area will offer an e-learning program in cooperation with the Argentine Base of the Pyramid Laboratory, and it plans to host two CEO-level gatherings in Mexico and Panama. Efforts will also be made to promote the replication of the inclusive business work in Africa and Asia. Under the leadership of BG Group, the Focus Area has launched an initiative on local content that aims to increase understanding of how to unlock the benefits of large-scale investments for local socio-economic development. It will support collaboration among companies and governments to maximize opportunities for shared benefit from local content delivery. The Focus Area will continue to promote the application of the Measuring Impact Framework and other relevant WBCSD tools by publishing more case studies on the use of the Framework, compiling a summary of existing measurement tools and approaches, and completing and distributing the Inclusive Business Simulation tool developed by the Future Leaders Team. To advocate business messages and solutions, the Focus Area is organizing business roundtables at the annual meeting of the IDB, supporting the Business Call to Action on the Millennium Development Goals, providing input into the Asian Development Bank’s Energy for All Partnership and the Energy Poverty Action initiative, and offering business input to the United Nations Financing for Development process and Development Cooperation Forum. Focus Area Core Team 2010 FACT members Company Country Robin Bidwell Co-Chair ERM UK Roberto Salas Co-Chair Masisa Chile Iain Conn BP UK Vasco de Mello Brisa Auto-Estradas de Portugal Portugal José Pablo Arellano Codelco Chile John Rice General Electric USA Steven Stanbrook S.C. Johnson USA Dr. Fujio Cho Toyota Motor Corporation Japan
  • 22. 20 Focus Area Energy & Climate connected systems realtime information smart meter smart grid
  • 23. Focus Area Energy & Climate 21 Energy & Climate “It is important for TEPCO that business input The economy of the future will be a low-carbon economy, and it is in business’ to the negotiations has a focus. best interests to guide society toward an economy that makes business sense – one where business is able to efficiently provide the solutions that will enable As an electricity company, the necessary transition. technology is our lifeblood. This transition requires solutions for the developed and developing world Working with the WBCSD alike. The next few years are critical for establishing policies, mechanisms and institutions that address greenhouse gas (GHG) mitigation and adaptation to has helped us develop a climate impacts, but that also deal with the challenges of energy security and relationship with the Expert competitiveness. Delay in establishing a global framework that supports national legislation will needlessly endanger the global society, exacerbate the societal Group on Technology challenge and increase the costs of dealing with climate change. Transfer, which provides our Solutions to adapt to this new dynamic will include international cooperation, company with a fantastic new forms of public-private partnerships and clear roles for government, opportunity to contribute to business, consumers and civil society. An objective of the WBCSD energy and climate work has been to develop an understanding of what business can do on an agreement that enables its own and what it can do with government and civil society to enhance its role. greater technology diffusion and creates greater business Focusing on the negotiations opportunities.” Efforts in 2009 centered on providing a business contribution to the UN climate Teruaki Masumoto Executive Advisor change negotiations and particularly the major milestone of the Copenhagen The Tokyo Electric Power Company Inc. meeting in December. The WBCSD has provided a business voice and knowledge input to this process and an interpretation of what a new agreement might mean for business. In parallel there has been a focus on ensuring that business has the tools necessary to deliver the solutions. The Focus Area identified four key areas of the negotiations for business focus: energy efficiency and demand-side management, technology, carbon markets and financing and sectoral approaches. In February, the Focus Area provided a formal submission of the key recommendations from business in these four areas to the United Nations Framework Convention on Climate Change (UNFCCC) through official channels. This identified the issues that business believes to be the most important elements of a future agreement. The submission was supported in March by a public document, Towards a Low-carbon Economy: A business contribution to the international energy and climate debate, aimed at the broader business community as well as government negotiators. The Focus Area developed a close engagement with negotiators on technology and related financing issues through the Expert Group on Technology Transfer (EGTT), the platform for detailed discussions on technology issues under the UNFCCC negotiations. This has helped the Council build momentum for the idea that business should be a formal partner in these discussions. The EGTT has approached the WBCSD about formalizing the engagement to ensure that business knowledge and expertise are best represented in the development of new frameworks and institutions for addressing technology diffusion. The WBCSD has been awarded a contract by the European Commission to deliver a project that will define options for the formal engagement of the private sector in the UNFCCC process. It builds on the call that the WBCSD has been making publicly for many years for greater business engagement in the negotiations and reflects the sort of engagement the Focus Area is building with the EGTT. The process will require engagement and workshops with government, private sector, and other stakeholders in Europe, the US, China and Brazil. It will also cooperate with a parallel Japanese study on a similar topic.
  • 24. 22 Focus Area Energy & Climate Intelligent systems Smart meter Solar energy fed back into the grid At December’s UN meeting in Copenhagen, the Focus Area organized the Copenhagen Business Day with the International Chamber of Commerce and Danish Industries. This event, attended by over 400 participants and involving 25 CEOs, highlighted business’ role in defining the low-carbon future and its readiness to provide the right technologies, but also the challenges of delivery and the need to find effective ways to cooperate with governments. Other international activities The Focus Area played a leading role in supporting the organizers of the World Business Summit in Copenhagen in May, a major business gathering on climate change, where the WBCSD led discussions on technology and adaptation. It also led a high-level forum on low-carbon technologies around this year’s G8 meeting, and was closely involved in the G8 Business Forum and the G8 Environment Ministers’ meeting. The Energy and Climate Focus Area led the Council’s continuing involvement in international dialogues, such as the OECD Roundtable on Sustainable Development. One roundtable focused on the potential implications for new national legislation and the possible effects of border tariffs. The WBCSD continued its collaboration with the World Resources Institute (WRI) to develop internationally accepted standards for product life cycle and corporate supply chain (Scope 3) GHG accounting and reporting. These two new standards are due to be completed by December 2010. The initiative provides a global, inclusive, multi-stakeholder process to design, disseminate and promote the use of the two new protocols. This currently includes over 1,000 participants from business, government, NGOs and academia, representing many countries and sectors. The World Bank invited the WBCSD to manage the selection of private sector observers to the World Bank’s Clean Investment Funds. These multibillion dollar funds are part of the international contribution to supporting clean technology diffusion, adaptation and forestry. The WBCSD has been invited to continue its role as the focal point for the private sector with the World Bank in 2010 and beyond. The WBCSD was instrumental in creating the Voluntary Carbon Standard, founded 3 years ago with the Climate Group, the International Emissions Trading Association and the World Economic Forum. It provides a robust, new global standard and program for the approval of credible voluntary offsets. It aims to standardize and provide transparency and credibility to the voluntary offset market, enhance business, consumer and government confidence in
  • 25. Focus Area Energy & Climate 23 Offshore wind power New technology voluntary offsets, and create a trusted and tradable voluntary offset credit: the voluntary carbon unit. The first voluntary carbon units were issued in March 2009, and by December over 20 million had been issued. International climate negotiations post-Copenhagen While a legally binding climate agreement was the ambition of Copenhagen, failure to achieve this was widely anticipated. Even so, the Copenhagen Accord that was the fruit of two years of negotiations fell shorter than many of the most pessimistic predictions. It leaves business without the clarity and stability that it needs for a transformation to a low-carbon world. As international negotiators continue to seek an agreement in Mexico at the end of 2010 and national legislation becomes increasingly important and more clearly defined, the Focus Area has refocused attention from policy recommendations to business actions and solutions. Much of this work still falls within the context of the international negotiations. Business has an important and valuable role in contributing to the design and functionality of the institutions and mechanisms that will be developed, particularly in the areas of technology and related financing. This will require increased engagement with developing countries, as well as building on existing relations with developed countries. There is also an increasing need for business to find solutions as systems and not as piecemeal or sector-specific problems and risks. The multi-sector engagement in the Energy and Climate Focus Area provides an opportunity to work on some of these systems solutions. Focus Area Core Team 2010 FACT members Company Country Mike Morris Co-Chair American Electric Power USA Anne Lauvergeon Areva France Lee McIntire CH2M Hill USA Charles Taylor Chevron USA Andrew Brandler CLP Holdings SAR Hong Kong (China) Henrik Madsen Det Norske Veritas Norway Dave Kepler DOW Chemical USA Christoph Dänzer-Vanotti E.ON Germany Svein Richard Brandtzaeg Norsk Hydro Norway Jorma Ollila Royal Dutch/Shell Holland/UK Wang Jiming Sinopec China Richard George SUNCOR Canada Teruaki Masumoto TEPCO Japan Peter Bakker TNT Netherlands Ditlev Engel Vestas Wind Systems Denmark Ernesta Ballard Weyerhaeuser USA
  • 26. 24 Focus Area Ecosystems connected systems realtime information greening smart meter smart grid ecosystem services Urban ecosystem
  • 27. Focus Area Ecosystems 25 Ecosystems “Being a member of the Ecosystem Focus Area All sectors of society — including business – must recognize the real benefits Core Team, and working on of ecosystems and the need to account for and enhance ecosystem services. Valuing and sustainably managing ecosystems must become a more integral decision support tools like part of economic planning and decision-making by society; otherwise nature the Corporate Ecosystem will always lose out to social and economic development. Services Review and road The Ecosystems Focus Area is working to achieve these aims by forming alliances with other stakeholders that champion the positive role of business and the testing the Corporate Guide capacity of the marketplace, technology, and innovation in supporting the to Ecosystem Valuation, has sustainable management and use of ecosystems. Our main partners are the World Resources Institute (WRI) and the International Union for Conservation highlighted the importance of Nature (IUCN), with which we signed a new four-year memorandum of of ecosystems to our company. understanding in 2009. It is leading us to new ways The Focus Area also leverages, supports and informs existing WBCSD work that of thinking about how we is associated with ecosystems management and use. It leads the development of new decision support tools and focuses on consolidating and integrating existing manage ecosystem risks in business and ecosystem processes to facilitate learning between companies and our operations and, most across sectors by promoting the uptake of proven solutions and tools. importantly, how we make More specifically, the Focus Area and its member companies work to: new business decisions.” Assess, measure and value the ecosystem impacts, dependence and assets of Antonio Mexia member companies and broader business CEO, EdP Reduce business impacts on ecosystems by scaling up mitigation, offsetting or finding sustainable-use solutions Explore and promote new business opportunities associated with sustainable management and stewardship of ecosystems and the creation of markets and payments for ecosystem services Advocate for ecosystem governance and policy frameworks that include flexible, innovative market-oriented approaches Promote the actions of leading member companies in addressing their ecosystems impacts and mobilizing their ecosystem assets. The Focus Area has five workstreams: Ecosystem Valuation Initiative, Corporate Ecosystem Services Review, Convention on Biological Diversity, communication tools, and land use and climate change. Ecosystem Valuation Initiative Throughout the year the Focus Area built the business case for its Ecosystem Valuation Initiative (EVI). Centered on corporate ecosystem valuation, both ecosystem degradation and the benefits provided by ecosystems services are explicitly accounted for with the intention of informing and improving business Vertical farming decision-making. In March a detailed scoping study on corporate ecosystem valuation was discussed with members. In May an Issue Brief was released and the Focus Area Core Team endorsed preparation of a Guide to Corporate Ecosystem Valuation to be launched at the Convention on Biological Diversity meeting in Nagoya food miles in October 2010. To undertake this significant new initiative, the Focus Area developed a partnership with IUCN, WRI, PricewaterhouseCoopers (PwC), and Environmental Resources Management (ERM). At the Washington DC meeting, the Focus Area released a comprehensive advocacy publication – Corporate Ecosystem Valuation — Building the business Biofuel using enzymes
  • 28. 26 Focus Area Ecosystems case — and by year end 16 member companies had signed up as “road testers” to support development of the guide during 2010. The Focus Area established close ties with The Economics of Ecosystems and Biodiversity (TEEB) study, launched by the Environmental Ministers of the G8+5 countries in 2007. This is a major international initiative assessing the global economic benefits of biodiversity and ecosystems as well as the growing costs of biodiversity loss and ecosystem degradation. The WBCSD was chosen as a chapter editor of the TEEB report for business. Corporate Ecosystem Services Review The Corporate Ecosystem Services Review (ESR) was launched in 2008, and efforts in 2009 focused on conducting training sessions for member companies, translating the guidelines into additional languages, and working with Regional Network partners to champion ESR uptake at the local level. Over 300 companies are thought to have used the tool, which is now available in Spanish (supported by Telefonica and Holcim), Portuguese (Brisa and BCSD Portugal), Japanese (Hitachi Chemical), French (EDF, Veolia, GDF SUEZ), and Chinese. Demand for ESR training has accelerated, with sessions being held in 2009 in Tokyo, Argentina and Washington DC (the latter involving 15 Regional Network partners). Advocacy The Focus Area scaled up its engagement with the Convention on Biological Diversity (CBD), most notably by preparing for the 10th Conference of the Parties to the Convention to be held in Nagoya in October 2010. The CBD Secretariat has endorsed a proposal for an International Business and Ecosystems Day sponsored by the WBCSD, IUCN and the Nippon Keidanren. The Day would be embedded in the formal agenda of COP 10, and focus on substantive actions by business and “smart” policy frameworks and mechanisms by governments to reverse ecosystem degradation and loss of critical ecosystems services. The Ecosystems Focus Area established close links with other areas of work of the WBCSD, such as the Water Project (a number of the EVI road tests will look at water-related ecosystem services) and the Energy & Climate Focus Area, on collecting member case studies on links between land use and climate change.
  • 29. Focus Area Ecosystems 27 Members were surveyed on tools to assess the use and value of three recent tools (Global Water Tool, the ESR, and the Sustainable Procurement of Wood and Paper-Based Products Guide) associated with corporate use of critical ecosystem services, and to get guidance on how the WBCSD can better support its members to address corporate impacts on ecosystems. The Focus Area helped launch the Ecosystem Services Experts Directory, led by WRI, with IUCN and Earthwatch Institute. This is a public online directory that allows business leaders and governments to locate and contact specialists in ecosystem services. It is free and easy to use, allowing searches for country-specific experts in a wide range of ecosystem disciplines. Moving forward “WBCSD member The Focus Area plans to provide business leadership on the expanding companies have the ecosystems and business agenda through effective partnerships, advocacy at vision and the means to key events and the development of policy positions reflecting member company needs and capacities. Critical themes over the next few years include: bring new technological Ecosystem impact assessment and mitigation strategies by business, including assessing trade-offs that might exist between ecosystems and other sustainability issues solutions to the market that Ecosystem valuation as an effective risk management and business increase productivity while development strategy The role of market mechanisms as a supplement to current policy frameworks minimizing the impact on and regulatory approaches to biodiversity conservation and ecosystem management. our limited natural resources. The Focus Area will continue to promote the uptake and use of the Corporate Ecosystem For Syngenta, the work Services Review as the primary assessment tool to be used by member companies. with the WBCSD is a way It will, with support from PwC, ERM, IUCN, WRI and member companies, to improve the dialogue implement the Ecosystems Valuation Initiative and develop and release the among all stakeholders for a Guide on corporate ecosystem valuation. sustainable future.” It will organize with IUCN and Nippon Keidanren an International Business and Michael Mack Ecosystems Day at the CBD COP 10. The Focus Area is currently scoping out CEO, Syngenta two new publications: an issue brief on best practice public policy, regulatory frameworks and market mechanisms for ecosystems and an electronic document showcasing how companies are responding to the three core objectives of the CBD. The Focus Area is also providing an e-publication of WBCSD member case studies on links between land use and climate change, which will be updated regularly. Focus Area Core Team 2010 FACT members Company Country Bob Elton Co-Chair BC Hydro Canada Antonio Mexia EdP – Energias de Portugal Portugal Yasuji Nagase Hitachi Chemical Japan Markus Akermann Holcim Switzerland David Hathorn Mondi South Africa Tom Albanese Rio Tinto UK Christopher Kirk SGS Switzerland Michael Mack Syngenta Switzerland Associate members 2010 Associate members Organization Country Luis Rochartre Alvares BCSD Portugal Portugal Christina Garcia-Orcoyen BCSD Spain Spain
  • 30. 28 Project Water Hydro power Water “The Global Water Tool gives a comprehensive picture of our operations’ water Water is a critical sustainable development issue, right alongside energy, food and land security, and climate change. The fifth World Water Forum, held in risks and projected exposure. March 2009 in Istanbul with over 30,000 participants, pushed water higher up It provides the basis for a the political agenda. The WBCSD has helped bring the issue firmly onto the corporate radar screen over the past 10 years, and is helping make it a higher sustainable management of priority for governments and civil society. our water footprint.” The WBCSD was at the Forum because it believes business must be part of the Mark Garrett solution to the world’s water crisis, and it worked closely with other business Chief Executive Officer, Borealis organizations such as AquaFed, the International Chamber of Commerce and Regional Network partner BCSD Turkey. The Council provided a strong business voice by facilitating corporate participation in many sessions, including Ministerial Roundtables, and having a pavilion. Business’ participation and messages were officially recognized. Action The Water Project launched the report Water, Energy and Climate Change: A contribution from the business community in early 2009 to encourage the linking of water and energy in the global climate negotiations. It demonstrates, through 25 case studies from such members as ITT, Royal Dutch Shell, Suncor Energy and GHD, that companies are already connecting these issues across their operations. From dry cooling in water-scarce power plants to sewage heat recovery, business is already tapping into the innovations and opportunities these challenges present. The WBCSD co-convened the Water and Climate days at the Stockholm World Water Week in August and supported the closing statement urging experts to consider water at the Copenhagen climate meetings. Water has a role to play in adaptation to climate change, as well as in mitigation as it is required to produce all forms of energy and will become the limiting factor in energy generation. The water intensity of energy must be included in energy selection.
  • 31. Project Water 29 Energy and water systems water treatment About 30 member companies attended the Istanbul Forum and the Stockholm World Water Week, including Kimberly-Clark, PricewaterhouseCoopers, Procter and Gamble and The Dow Chemical Company. More companies are more stringently accounting for and reporting on their water use and impacts. Many new global initiatives have emerged to take on the water challenge, driven by civil society groups, governments and business. To facilitate business engagement and promote joint action, the WBCSD launched “Water for Business: Initiatives guiding sustainable water management in the private sector” with the International Union for Conservation of Nature (IUCN) in Stockholm. It identifies 16 approaches, ranging from guidelines and measurement methodologies to reporting and stewardship schemes or standards. One of these is the WBCSD’s Global Water Tool, developed by CH2M HILL, which helps companies manage their water-related risks. As a founding partner of the Water Footprint Network, the WBCSD co-convened a workshop to share experience from business applications and explore links with policy development. A handful of members — Borealis, PepsiCo, The Coca-Cola Company and Unilever — are already trying out the methodology. Simultaneously, the International Organization for Standardization (ISO) has launched a process to develop a new water standard. Moving forward The Water Project will be playing a critical role in bringing members’ needs and inputs to these strategic, political and technical debates in 2010. The project will help collect and consolidate learnings from Water Footprint pilot testers to ensure that tools are applicable for the business community at large, and will promote a holistic approach to water, carbon and other ecological “footprinting” methods. It will continue to advocate for water to be better included in the global energy and climate negotiations (related to both mitigation and adaptation) and demonstrate the importance of water’s links with other sustainable development issues, in particular food security and land use. The Stockholm Industry Water Award recognizes best practice in sustainable water management from all business sectors. As a founder of the award, the Water Project will market the tool so that it becomes more globally recognized as the business water award. (See www.industrywateraward.org for Co-chair 2010 Company more information.) And the group will, as usual, take on leading roles in the Mark Garrett Borealis Stockholm World Water Week in September 2010. Steven Loranger ITT Corporation
  • 32. 30 Project Energy Efficiency in Buildings Retrofit Renewable Energy Efficiency in Buildings “Inside UTC the results of the work had a favorable Buildings represent nearly 40% of final energy used globally. If the energy consumed in building construction is included, this number grows to more than 50%. impact on our company’s awareness of building energy However, large and attractive opportunities exist to reduce buildings’ energy use, at a lower societal cost and a higher return than in other sectors. Many and CO2 emissions and our of these are favorable investment opportunities even over the short term. The understanding of market International Energy Agency (IEA) estimates in its World Energy Outlook 2009 that energy efficiency could account for more than 60% of global CO2 emissions perceptions for efficient reductions until 2030. A significant part of this will need to come from buildings. buildings, has increased The Energy Efficiency in Buildings (EEB) project, established to respond to these the emphasis of the topic in realities, had four major results: It provided a market assessment of the challenges, opportunities, and our communications and perceptions of energy efficiency in buildings advocacy efforts, and has It performed a thorough qualitative and quantitative assessment of how the market could respond to energy issues in buildings based on various market reshaped certain aspects of our and regulatory mechanisms, including codes and regulations, finance and strategic thinking.” price signals, technology and behavior It gained commitment from the WBCSD members to do more to improve George David energy use in their own buildings. United Technologies Corporation The work of the Energy Efficiency in Buildings project was reviewed by the prestigious, Washington-based Peterson Institute for International Economics. Action The project launched its key report, Transforming the Market, in April 2009. It contains recommendations for various building segments, with an interactive Roadmap addressing most stakeholders. EEB translated its report into Chinese, French, Japanese, Korean, Russian and Spanish, and launched it through a communications strategy that included a press conference led by member company CEOs and chairpersons. This strategy resulted in more than 140 published articles worldwide on the project, and 22,000 website downloads.
  • 33. Project Energy Efficiency in Buildings 31 Holistic planning Commercial center Passive house EEB developed a unique simulation model and commissioned universities to gather input data to demonstrate the effects of policy changes and other mechanisms on creating energy-efficient buildings in different markets. The scope includes new and existing buildings in Brazil, China, India, Western Europe, the US and Japan, a combination of countries and regions that covers about 80% of the world’s energy used in existing buildings and about 80% of all expected new construction. “The conclusions of For the time horizon used, now to 2050, the project calculated the global the Energy Efficiency in energy use and CO2 emissions from the sector based on the most likely implementation and adoption of energy-efficiency measures. Buildings project have confirmed the importance of EEB focused attention on the huge amount of energy used in buildings during their operations, making them the largest sector emitting CO2 worldwide. In the decision made many years 2009, it shared its findings with the US Department of Energy, the Chinese ago by LAFARGE to increase Ministry of Construction, the European Parliament and the European Commission. The European Commission is considering recasting the European our effort on energy efficiency Directive on Energy Performance in Buildings (requesting zero net energy in the manufacturing process buildings by 2019). and to develop new products The EEB encouraged actions by WBCSD member companies through a Manifesto and construction systems that and an Implementation Guide, sent to Council members in late 2009. By agreeing to the Manifesto, the companies will help push major increases in the make buildings more energy energy efficiency of their buildings and have an impact on local building markets. efficient during their life time. Within LAFARGE, many Moving forward more people have now a better The project is moving into an “advocacy and implementation phase”. Interested understanding on how our WBCSD member companies, including former EEB core group members and partner organizations will call for action on its findings. materials contribute today and will contribute tomorrow The Manifesto initiative will be actively promoted and its implementation at company level will be supported by a “help point”. The EEB database and to saving energy in buildings” simulation model will be used by the core group companies and WBCSD Bruno Lafont members in their own business strategy development. They will be available to Chairman and CEO, LAFARGE other organizations on certain conditions. Finally, the WBCSD is planning to produce a joint roadmap for the building sector together with the International Energy Agency in early 2011.
  • 34. 32 Project Sustainable Forest Products Industry Reforestation Sustainable Forest Products Industry Forests cover 30% of the world’s land area, are powerful symbols of nature and biodiversity, and provide a wide range of goods and services to meet essential needs, such as climate regulation and water quality, and everyday needs such as timber and paper. Deforestation and the permanent loss of forest cover – mainly clearing forest for farmland in developing countries – is the opposite of sustainable development. Global forestry and forest product companies can lead innovation in sustainable forest management and the sustainable production, use and reuse of forest products, including wood and paper products, renewable energy and ecosystem services. Action The recession hit the forestry industry hard, so the Sustainable Forest Products Industry (SFPI) working group implemented a focused program for 2009 that targeted four stakeholder groups: customers, investors, non-business forest stakeholders and climate change negotiators. The group, with the World Resources Institute (WRI), completed the first online update of the Sustainable Procurement Guide to the purchase of wood and paper-based products and website. These materials cover more than 30 approaches to the responsible procurement of sustainably sourced forest products. Promoted by the WBCSD and WRI, the guide and resource kit were downloaded nearly 28,000 times. The Guide is also available in Chinese and Spanish and has been downloaded some 1,500 times. The WBCSD and WRI will update these materials annually. Led by PricewaterhouseCoopers (PwC), the SFPI prepared a Sustainable Forest Finance Toolkit targeting the banking and finance sector. The toolkit, which will be available online in early 2010, provides banks with decision support
  • 35. Project Sustainable Forest Products Industry 33 tools and investment filters to help them screen investment proposals for forestry and processing operations. The SFPI continued to resource, support and participate in events organized and led by The Forests Dialogue (TFD), including processes focused on: implementation for climate change negotiators and the Informal Ghana in November, looking at capacity building and governance issues Nepal and Panama to look at investment constraints and opportunities associated with small private forest owners and forests managed by communities and indigenous people. To ensure that the UNFCCC optimizes climate mitigation and adaptation “The strong partnership opportunties afforded by sustainably managed forests, the SFPI assisted in the release of the TFD’s recomendataions on investment in REDD projects during between the WBCSD’s the UNFCCC Bangkok Climate Change Talks in October. Sustainable Forest Products These recommendations encourage negotiatiors to take a “REDD plus” Industry working group and approach to encourage a broader range of forest management activties, and they argue for a phased approach to implementation, with three distinctive the World Resources Institute steps: 1) preparation, 2) policy changes leading to 3) performance-based has enabled the development payments. SFPI companies also helped promote these messages at the Copenhagen climate talks. of a highly credible, easy-to- use sustainable procurement Working with the International Council of Forest and Paper Associations, the SFPI developed recommendations for negotiators to include the carbon benefits guide for wood and paper- of harvested wood products in the texts considered in Copenhagen. based products, which has Moving forward quickly become the state-of- art information source on The SFPI will continue its involvement in all REDD Readiness dialogues organized by the TFD, including the further development of key messages. It will support responsible procurement within a new TFD workstream looking at the free, prior and informed consent of our sector. Updated on an indigenous peoples involved in forest management. annual basis to keep pace with The SFPI will roll out the PwC WBCSD Sustainable Finance Tool kit, and continue developments, this sales support to work with WRI to promote and update the sustainable procurement guides. tool allows customers to buy The Copenhagen Accord clearly recognized the crucial role of reducing emissions from deforestation and forest degradation (REDD) in addressing climate change forest products with even greater and confirmed the establishment of a “REDD plus” mechanism to provide confidence by selected existing positive financial incentives for forest conservation, sustainable management of forests and enhancement of forest carbon sinks in developing countries. approaches that meet their geographic location, product The SFPI will continue its advocacy work on international framework conditions and regional and national policy measures that will enable the sector to maximize mix and company values.” its contribution to tackling climate change by: expanding sustainable forest John Luke Jr. management practices; growing markets for wood, paper and biomass energy Chairman and CEO, MWV from sustainably managed, renewable sources; increasing its capture and use of recycled fiber for products and energy; and improving energy efficiency and the uptake of new low-carbon and carbon-neutral processing technology solutions throughout its value chain. This will be done directly with climate and forestry policy-makers and via multi-stakeholder processes such as The Forests Dialogue. John Luke, Jr MWV
  • 36. 34 Project Cement Sustainability Initiative Cement Sustainability Initiative The Cement Sustainability Initiative (CSI) brings together 21 leading cement producers with operations in more than 100 countries. Collectively, these companies account for about 40% of the world’s cement production. Over its 10-year history, the CSI has focused on understanding, managing and minimizing the impacts of cement production and use by addressing issues such as climate change, fuel use, employee health and safety, airborne emissions, concrete recycling and quarry management. The CSI explores what sustainable development means for the cement industry and indentifies actions cement companies can take, individually and as a group, to accelerate progress toward sustainable development. It provides a framework for other cement companies to become involved, and it creates the content and context for further stakeholder engagement. More recently, the initiative has started looking at the sustainability of the industry’s main end-product, concrete. Action The CSI has worked to expand its membership to emerging markets, particularly China and India, where more than half of cement production takes place. In 2009 three Chinese cement companies joined the CSI - CNBM, Tianrui, Sinoma. Two Indian companies, Grasim and Shree Cement, have been CSI members for several years. The year also saw much CSI work on climate with the publication of the report on the Getting the Numbers Right (GNR) database (CO2 and energy performance of the sector), the sectoral approach modeling results, the International Energy Agency technology roadmap, and the submission of a new Clean Development Mechanism (CDM) benchmarking methodology. The CSI shows how an industry sector can help develop policy for climate mitigation; it is increasingly solicited to share its views at industry events, as well as with other audiences outside of the sector. The sectoral approach has to do with the cement industry taking part in the global climate regime as a unified industrial sector (albeit with different
  • 37. Project Cement Sustainability Initiative 35 implementation practices determined by national governments). The modeling project helped improve understanding of the impacts of different carbon policies on potential emissions reductions, global trade and regional market shares in the cement sector. The CSI presented the study at the United Nations climate change meetings in Copenhagen last December. The CSI’s formulation of how a sectoral approach could work in practice, backed by data and modeling of alternative policies, has been praised by key stakeholders, notably the European Commission. Yet substantial misunderstanding of the term “sectoral approach” remains, with developing countries in particular seeing it as requiring them to adopt emission caps, which could limit their growth. In fact, this is not the case, because the sectoral approach envisions developing economies taking up emissions efficiency goals, not absolute caps on emissions. In June, the CSI published a report on its CO2 and energy performance database for the cement industry, in which over 50 producers worldwide participate and contribute data into the system, covering more than 800 cement installations. The CSI has also published regional breakdowns, in part as a response to a request by the United Nations Framework Convention on Climate Change (UNFCCC) Clean Development Mechanism (CDM) Executive Board. In April, the CSI submitted a new sectoral CDM benchmarking methodology to the Board. It uses simple, standardized sector-specific benchmarks to improve the CDM’s transparency and credibility while maintaining environmental effectiveness and sound business incentives to participate. In partnership with the International Energy Agency, the CSI launched a cement technology roadmap, the first industry-specific roadmap, in December. It outlines all existing and potential technologies in the cement sector that could contribute to CO2 emissions reductions. The CSI’s safety task force published guidelines to improve the safety of drivers and contractors, an issue identified as a particular risk for the industry. Companies have signed up to a 5-year implementation plan. The CSI published its report on concrete recycling in July 2009, expanding its scope beyond cement production. The report, the vision of which is “zero landfill” of concrete, recommends improved data collection on construction and demolition waste and better policy incentives for recycling. The CSI launched a new task force on concrete sustainability. It is preparing a work plan to investigate the sustainability benefits of concrete in construction. Moving forward In 2010 the CSI will help the new Chinese members integrate into the Initiative, including capacity building for emissions measurement and reporting. The CSI aims to expand the coverage of the GNR database to over half of global cement production by 2012 (from about 30% currently). The CSI will refine the sectoral approach proposal, continue monitoring the climate change debate and, where necessary, develop positions on relevant topics such as standardization and offsets. It will encourage the implementation of the safety initiatives by its members, and it will develop a work program on concrete sustainability. Co-chairs 2010 Company It plans to review its mission and structure after 10 years of successful work, in Albert Manifold CRH order to set the right priorities and appropriate working modalities for the next Bruno Lafont Lafarge decade, particularly taking into account its increasingly global membership base. Kan Trakulhoon Siam Cement Group
  • 38. 36 Electricity Utilities Project Cement Sustainability Initiative Power cuts “As part of the WBCSD Electricity Utilities project, we have the opportunity to Electricity Utilities engage with international power generation companies to collectively move forward in Electricity is at the heart of the global energy challenge. Its share of overall addressing climate change. We energy use is rising as it brings crucial societal value to the economies of cannot solve this challenge in all countries. It is a driver of development and productivity; yet significant sustainability issues face the sector, from cutting greenhouse gas emissions to isolation - it is after all, global reaching those without electricity. warming - and we need to work The Electricity Utilities Project brings together nine leading utilities from around with our peers around the world the world to develop a deeper and more concrete understanding of these challenges and explore policy needs and the potential business contribution to to find effective solutions. solutions. By engaging in international Action dialogues with multiple The report, Power to Change: A business contribution to a low-carbon electricity stakeholders, we have had future was released in December 2008 and was well received by international the opportunity to debate the climate negotiators as providing a good example of the solutions that can be delivered by a sectoral approach, with the level of detail of the steps necessary technology solutions necessary to achieve this. It has served as a centerpiece for the project’s work. and policy needs to decarbonize The companies have refined the topics of the report, ranging from securing investments in infrastructure and increasing end-use efficiency to diversifying the electricity utilities sector and decarbonizing the fuel mix, accelerating R&D, and reinforcing and within the US and globally. The smartening the grids. involvement of the WBCSD In April 2009, a successful dialogue was convened in Washington DC based has promoted the credibility on the report. Over 100 energy and climate experts, including senior business executives, key policy-makers, experts and NGOs, were engaged. Participants and acceptance which allows shared their insights on the technology and financial policies needed to address climate change, as well as the challenges of dealing with global trade and stakeholders to participate in competitiveness. such an excellent exchange.” Mike Morris Chairman, President & CEO American Electric Power Co.
  • 39. Project Electricity Utilities 37 The Project members also worked with the International Energy Agency to contribute to its publication on Sectoral Approaches in Electricity. Moving forward Ideas for the next work phase have been discussed with the member companies and consolidated into a work plan. Further cooperation has been identified with the International Energy Agency Climate Change team around sectoral approaches. Project members also agreed to work on projects focused on implementation, such as smart grids. Co-chair 2010 Company Joe Hogan ABB Lt
  • 40. 38 Project Electricity Utilities Tires Tire Industry Project The Tire Industry Project (TIP) has been evaluating potential health and environmental impacts of chemicals commonly used in tire making and also looking at the impacts of tire wear particles generated during normal tire use. The first phase of field research – collecting tire wear particles (TWP) and analyzing their physical and chemical properties - was completed in mid-2008, and this preliminary sampling identified no significant health or environmental risks from TWP. The group has also worked on the management of end-of-life tires (ELTs). In 2008, TIP companies developed a summary brochure and extended web brochure on ELTs, outlining current management practices around the world. Action ELT work continued during 2009, in consultation with trade associations and others working in this area, to try to bring together global experiences around ELT management systems, learning and then sharing lessons in countries or regions where little or no ELT management exists. The working group developed an overview of ELT management processes in major mature markets and in key emerging markets. The TWP group completed in 2009 its third year of a planned six-year effort (up to 2012). The member companies provided resources and internal expertise to work with a toxicology specialist on TWP testing. When completed, this research is expected to provide comprehensive data for industry and stakeholders on the human and environmental impacts of tires.
  • 41. Project Tire Industry Project Project Tires 39 Moving forward In early 2010, the investigations into the human and ecological risks related to TWP finer particles (less than 10um) will conclude. The effectiveness of a marker to quantify TWP in the environment will be determined, enabling the tire industry to establish reliable analytical techniques for future TWP research. The project intends to develop an understanding of potential human toxicity of TWP relative to other particles in the air, allowing the tire industry to develop a platform for dialogue regarding the risk management measures of TWP and other particles. The project will move into its next phase: field monitoring to quantify the amount of TWP in the environment, a necessary step for any credible risk assessment. It will work to identify and fill major remaining data gaps for human health risk assessment, enabling the industry and its stakeholders to set future research priorities. The TIP CEOs will meet in May 2010 to review progress and to discuss future work areas, for example potential joint work on nanomaterials in tire manufacture. The ELT Working Group will complete an ELT management manual and will put a proposal to CEOs for TIP collaboration on initiating an ELT management system in one of the BRICS countries (Brazil, Russia, India, China and South Africa). Co-chairs 2010 Company Shoshi Arakawa Bridgestone Robert Keegan Goodyear Michel Rollier Michelin
  • 42. 40 Sustainable Mobility Project Tire Industry Project Electric car Sustainable Mobility Mobility in all of its forms gives rise both to sustainability issues – emissions, carbon, energy use – and plain old efficiency issues; in some places transport appears to be grinding to a halt. The Sustainable Mobility Project was established to consider how global mobility can be made more sustainable, efficient and equitable by 2030 and beyond. What strategies exist, and what is required to enable these strategies to succeed? The Project was guided by 12 companies representing 75% of global car manufacturing capacity. It released a comprehensive report, Mobility 2030, that proposed seven goals to make mobility more sustainable (see www.wbcsd.org/ web/mobility.htm). Action These goals continue to inform the efforts of our member companies, which now drive sustainable mobility as an advocacy project. Members are working on the development of hybrids, clean diesel and fuel cells, as well as on fuel- efficiency improvements. One specific goal is to significantly reduce the total number of road vehicle related deaths and serious injuries. The companies are pursuing this goal through their participation in the Global Road Safety Initiative. Members are also contributing to transport sustainability by their participation in our Energy & Climate Focus Area, which has marked transport a megatrend. They completed work on how governments can get the best out of the mobility sector, but transport sector emissions and energy trends to 2050 remain particularly alarming. Up to half again more energy will be required in the sector to sustain economic growth. Years of strong economic growth have strengthened transport demand in the rapidly developing world. The Mobility for Development workstream of the Development Focus Area addressed the challenges of making mobility in developing countries more efficient and more accessible to all. Its regional
  • 43. Project Sustainable Mobility 41 i car dialogues in four cities, results of which were published in 2009 in the report Mobility for Development, and case studies help to underscore the ways in which mobility helps all nations develop. Moving forward Business and governments must work together to establish a long-term framework now to drive mobility resource allocations, with business providing management and technology skills. The Council prepared negotiating points on such issues for the climate negotiations leading to the Copenhagen climate change meetings at the end of 2009. Today members are not only advocating those goals, but are working on the development of hybrids, all-electric cars, clean diesel and fuel cells, as well as on fuel-efficiency improvements. Note: The Sustainable Mobility Project is now in an advocacy phase. The WBCSD draws on the messages and recommendations arising from this body of work.
  • 44. 42 Project Sustainable Mobility Sustainable Development Mining, Minerals and Mining, Minerals and Sustainable Development Until the economic downturn, mining and minerals were enjoying their part of the commodities boom – all the more reason to assure their social and environmental sustainability. This global sector can create sharp local impacts. It also creates opportunity, employing more than 30 million people; some 34 countries rely on minerals for at least one-quarter of all their exports. Action Nine mining and minerals companies originally approached the WBCSD to create the Mining, Minerals and Sustainable Development (MMSD) Project in 1999 to better understand their sustainability challenges. They presented their final report, Breaking New Ground: Mining, Minerals, and Sustainable Development, at a conference in Toronto, Canada, in May 2002. In it, they offer an agenda for change and outline key sustainable development challenges facing the sector: ensuring the long-term viability of the minerals industry; control, use and management of land; using minerals to assist with economic development; making a positive impact on local communities; and managing the environmental impact of mines. Their report recommends the creation of clear spheres of rights and responsibilities for NGOs, indigenous people, labor and commercial players. It advises firms to develop a consistent system of reporting guidelines to ensure that key aspects of company practices and performance are publicly reported and verified. The International Council on Mining & Metals (ICMM) was established to Note: The Mining and Minerals and continue leadership on improving the industry’s sustainable development Sustainable Development project performance. Its work plan includes a partnership with the International is now in an advocacy phase. The Union for Conservation of Nature (IUCN) on biodiversity issues and with the WBCSD draws on the messages World Bank on community concerns, and ongoing research support from the and recommendations arising from International Institute for Environment and Development. this body of work and ongoing ICMM work.
  • 45. Initiative Chemicals 43 Chemicals What would a sustainable, global chemicals regime look like in a globalized market, with appropriate testing and cradle-to-grave management of chemicals and all the ingredients and processes that go into making them? Over the years, front-page stories of contaminants have made companies, the public and regulatory agencies more sensitive to the need for such a regime. Developments in science and technology have improved our understanding of the sources, pathways and implications of particular chemicals. Combined with growing sensitivity to environmental and health issues within the public at large, the consequences of these shifts are profound. What were once environmental issues are becoming health and safety issues. And what were once compliance issues for companies have become reputational risk issues. Action During 2007 members of the project completing a scoping study, analyzing over 30 chemical sector initiatives and have been discussing opportunities to use the findings. The study helps companies better understand existing sector initiatives and stakeholder concerns. The findings have provided new insights that will be used by the industry, its members and associations to further improve efforts for a more sustainable chemical industry. Chemicals are essential to sustainable development, and the sustainability agenda represents a huge opportunity for the industry. Only a fraction of chemicals are seen as an issue, and most global chemical companies operate with international standards consistent with the highest regulatory standards, often outperforming local requirements. However, problems exist with hazard control from chemical production and transport, both in the developing world and pockets of the developed world. Where is the boundary of responsibility for large, multinational chemical companies?
  • 46. 44 Project Chemicals Initiative Chemicals Most stakeholders thought that global companies could make a stronger effort to develop solutions for the major problems and that they need to find ways to assist small and medium enterprises and state-owned enterprises around the world to implement better processes. Member companies and associations are taking the results of this work and integrating it into their actions as they continue their deliberations. Note: The Chemicals project is now in an advocacy phase. The WBCSD draws on the messages and recommendations arising from this body of work.
  • 47. Initiative Eco-Patent Commons 45 Eco-Patent Commons The Eco-Patent Commons Initiative, launched in early 2008, started slowly but rapidly gained momentum in 2009. It provides a method for companies to place environmentally beneficial patents into the public domain, and it creates a space for companies to identify areas of common interest and may promote cross-fertilization among business. Founder member companies were IBM, Nokia, Pitney Bowes, and Sony, in partnership with the WBCSD. Initiative members pledge not to assert selected patents from their portfolios when others use them to address environmental concerns. Anyone who wants to bring environmental benefits to market can use these patents to protect the environment. The objectives of the Eco-Patent Commons are to: Provide an avenue by which innovations and solutions may be easily shared to accelerate and facilitate implementation to protect the environment and perhaps lead to further innovation Promote and encourage cooperation and collaboration between businesses that pledge patents and potential users to foster further joint innovations and the advancement and development of solutions that benefit the environment. Action Four leading companies – Ricoh, Taisei, Dow, and Fuji Xerox – joined the Eco-Patent Commons in 2009. Thus a total of 11 companies – Bosch, DuPont and Xerox, having joined in 2008 – have pledged 100 eco-friendly patents. In the two years since its launch, the Initiative has tripled both membership and patents pledged. During the past two years, many of the patent holders have been contacted directly to enquire about their patents, and at least three patents have already been used by others. Moving forward The Eco-Patent Commons is seeking more members and a critical mass of environmentally beneficial technologies. We are seeking the support of more of our regional partners in promoting the use of the pledged patents. In 2010, members will continue to explore ways to broaden the appeal of the Commons. The WBCSD and the Eco-Patent Commons members hope the Commons can contribute to sharing innovative solutions that will help the environment.
  • 48. 46 Initiative Urban Infrastructure Real-time information
  • 49. Initiative Urban Infrastructure Initiative Initiative Urban Infrastructure 47 Urban Infrastructure Initiative “The WBCSD Urban Infrastructure Initiative Today more than half of the world’s population lives in cities, and most of the provides the opportunity to projected population increase of around 3 billion up to 2050 is expected to be urban. combine the expertise of diverse Virtually all of this urban growth will be in the developing world, while industries and contribute developed world cities must be retrofitted and rebuilt to manage climate integral solutions to promote change and new energy and water systems. Today cities already consume more than 75% of the world’s resources. Clearly the battle for global sustainability the sustainable development will be won or lost in the cities, and clearly business has a bigger role in of cities. This new effort will systematically tackling this new urban agenda. help improve the quality of life of the people who live in these Action communities, and it offers an The WBCSD’s members feel that the urban environment can benefit from innovative path to continue systems thinking and integrated approaches. Thus a group of companies has come together to develop the Urban Infrastructure Initiative (UII). This initiative moving forward towards an builds upon the conviction that business should get involved earlier in a city’s increasingly sustainable future” decision-making processes. It combines work the Council has already done in areas such as energy and climate, development, energy efficiency in buildings, Lorenzo Zambrano water electricity, and mobility, along with the capacities of individual companies. Chairman and Chief Executive Officer, CEMEX The Energy Efficiency in Buildings project taught the Council that focusing on and even subsidising subsystems in the building sector have little effect on the overall performance of the sector stock. Transformation requires new types of instruments linked to the overall performance. UII’s holistic approaches are not restricted to technology and policy development. They will promote cooperation among the business community and cities’ governments, networks and stakeholders. The WBCSD can make a difference by starting with the needs of the cities and adopting an integrated approach and seeking cross-sectoral solutions. During 2009, the UII attracted the interest of over 90 member companies. At year’s end the initiative team was working out a UII approach with 15-20 member companies forming a core group representing urban planning, buildings, infrastructure, transport, energy, water, communications technology and ecosystems. The WBCSD is also recruiting new members to create a balanced group. UII will focus on cities’ needs. The objective is to get involved at the beginning of the strategy discussion to explore how to solve the varied sustainable urbanization challenges: urban mobility, resource efficiency, socio- economic and environmental challenges. It will involve various stakeholders, including mayors, urban planners, community representatives, architects, property developers, local business, etc. It is clear that no one company can manage the many different disciplines involved in a systemic approach, which explains why so many companies are coming together in this initiative, focusing on complementary expertise, but seeking to develop uniting, over-arching business responses to the needs of the cities.
  • 50. 48 Initiative Urban Infrastructure Public transport The WBCSD infrastructure initiative will play three different roles: 1 As a trusted advisor, acting as a bridge between business and cities at various levels 2 As a transformer, offering recommendations to transform cities effectively and propose pragmatic business operations to meet urban challenges 3 As an activator, offering cost-efficient sustainable urban solutions. Member companies expect to use the initiative to work directly with implementation and to develop new business responses, with cities becoming, in effect, UII customers. The UII will create an Assurance Group: a third party that secures the highest level of project integrity, quality, independence and accountability. Co-chairs 2010 Company Armando Garcia-Segovia CEMEX Gérard Mestrallet GDF SUEZ Andreas Schiereabeck Siemens
  • 51. Initiative Maritime 49 Maritime Initiative About 90% of world trade, measured in tonne-miles, goes by sea, and almost all products contain some sea transport in their value chain. Many studies “Within the shipping show that ocean shipping is a comparatively environmentally friendly form of transport, but there is substantial room for improvement and the industry faces fleet, we can reduce energy increased pressure to reduce C02 emissions. use and hence C02 by 15%.... The WBCSD Maritime Action Project helps companies like This initiative aims to: ours integrate the thinking Lead a sector transformation that increases energy efficiency and reduces around the full operational CO2 emissions from ship transport Stimulate innovative thinking and new business models affecting market and logistics value chain into demand and the supply chain Communicate this transformation widely. operations, thereby saving valuable time and money.” Analysis shows that the world fleet can increase energy efficiency by at least 15-20%, thereby reducing CO2 emissions, at no net cost through various Henrik Madsen CEO, Det Norske Veritas intermodal structural, operational and technical adaptations. As new ships are being built and phased into service, the potential for energy saving increases. However, the most efficient way of triggering substantial energy efficiencies and corresponding emission reductions is to engage in a business-driven initiative where sea transport providers and leading transport users partner to identify where and how savings can be realized. Moving forward This initiative, although still in its scoping phase, seeks to position its work in the broader context of the carbon challenges within the full value chains of products. Workstreams being scoped include: An information platform on best practices and latest research focused on energy efficiency and greenhouse gas reduction measures from maritime transport and related logistics A business solutions platform that identifies bottlenecks currently hindering more energy-efficient maritime transport solutions, and explores how best to Co-chairs 2010 Company address these at a commercial level. Henrik Madsen Det Norske Veritas Thor Jørgen Guttonmsen Leif Höegh
  • 52. 50 Regional Network BCSD Regional Network The Regional Network: Thinking globally, acting locally The WBCSD’s Regional Network is an alliance of 60 CEO-led business organizations united by a shared commitment to providing business leadership for sustainable development in their respective countries or regions. By adding perspectives from around the world, the network enhances the legitimacy of the WBCSD as a truly worldwide organization. It helps to validate the WBCSD’s results and messages – and to spread them around the globe. It also provides a platform to connect with local authorities and opinion leaders, to implement pilot projects on the ground and to engage with small and medium enterprises (SMEs). The network has expanded steadily ever since the first Business Council for Sustainable Development (BCSD) was established in Argentina right after the 1992 Rio Earth Summit. Since the creation of the WBCSD in 1995, the Regional Network has grown from a dozen to its present 60 BCSDs and partner organizations. Council of Great Lakes Industries Accion RSE BCSD Croatia The EXCEL Partnership AED Costa Rica BCSD Hungary US BCSD BCSD Argentina BCSD Portugal BCSD Bolivia BCSD Turkey BCSD Bolivia BCSD UK BCSD Colombia Business Europe BCSD Ecuador Danish CSB BCSD El Salvador econsense BCSD Honduras EpE BCSD Mexico FFA BCSD Nicaragua Fundación Entorno BCSD Uruguay NHO BCSD Venezuela respACT CentraRSE BCSD Poland Curaçao BCSD SEV-BCSD Greece PERU 2021 Vernadsky Foundation REDES SumaRSE
  • 53. Regional Network 51 “Holcim actively participates in Regional This year, three new partners joined: the United Arab Emirates BCSD, BCSD Network partner organizations Curaçao (in the Netherlands Antilles) and the Responsible Business Forum from Poland. Efforts continue to establish BCSDs in Vietnam, Indonesia and Nepal. in Asia, Europe and in the Americas to share best Through their numerous activities, the Regional Network partner organizations strongly complemented the WBCSD’s global initiatives throughout 2009. Below a practices with other business small sample of activities covering a wide variety of themes and issues is provided. leaders and to jointly drive the sustainability agenda in the Scope and diversity of the Regional Network’s activities respective countries.” The Regional Network is a key conduit to spread WBCSD messages and share Markus Akermann knowledge, such as at key international sustainable development-related CEO, Holcim events. For instance, the WBCSD cooperated with BCSD Turkey in providing business input to the World Water Forum in March in Istanbul. SEV-BCSD Greece organized an International Symposium in October entitled “Sustainable development and water: A global challenge for local actions”, and BCSD United Kingdom held a workshop on “Water as a critical resource”. Several network partners were involved in capacity building. Recognizing the importance of training future leaders on sustainability issues, BCSD Portugal APEQUE (Algeria) BCSD Korea BCA AEEC (Egypt) BCSD Malaysia NZBCSD BCSD Zimbabwe BCSD Mongolia FEMA (Mozambique) BCSD Pakistan NBI (South Africa) BCSD Sri Lanka BCSD Taiwan BCSD Thailand BCSD UAE BEC China BCSD CII Kazakhstan BCSD Nippon Keidanren PBE TERI-BCSD India
  • 54. 52 Regional Network designed a program for young, high-potential employees. Fundación Entorno- BCSD Spain established a similar program, which focused on “Corporate solutions to sustainable development”. Other capacity building examples include AccionRSE Chile and Peru2021, which provide intensive courses in Corporate Social Responsibility (CSR). Similar initiatives were being explored with the BCSDs in Turkey and Malaysia. The successful pilot project with SNV (Netherlands Development Organization) and the BCSDs in Bolivia, Colombia, Ecuador, El Salvador, Panama, Honduras, Nicaragua and Peru is being expanded. The goal is to expand the project, which promotes business ventures with high socioeconomic benefits, into Africa and Asia. The BCSDs in Zimbabwe and Mozambique are cooperating with the local SNV offices in introducing inclusive business as a collaborative approach for companies, governments, donors and NGOs to reduce poverty sustainably. The concept is also being replicated in Vietnam, where a national BCSD is being established. In France, Entreprises pour l’Environnement (EpE) developed scenarios for transition toward a low-carbon world in 2050. The study explores how major industrial sectors will be affected by stabilizing atmospheric CO2 concentrations at 450 ppm. Building on the existing information portal, the Demographic Risk Map, econsense in Germany launched its “Demographic Risk Atlas”, a tool that provides detailed information on the demographic location of risk in the European Union. BCSD Turkey launched “Sonra”, the first publication uniquely about sustainable development in Turkey, which aims to push the issue higher up the agenda for Turkish business. The Responsible Business Forum in Poland gathered in its annual report the 88 most interesting corporate good practices in four areas: workplace, marketplace, community and environment. The Argentine BCSD is promoting the implementation of WBCSD’s Measuring Impact Framework among a group of member companies. In the area of cooperating with smaller enterprises, RespACT BCSD Austria produced handbooks on the implementation of CSR for SMEs. Likewise, BCSD Mongolia promoted energy efficiency among SMEs. Issues related to sustainable consumption have gained in relevance this year among the regional partners. Fundación Entorno-BCSD Spain, the Spanish Environmental Ministry and the British Embassy organized a joint Seminar on Sustainable Products and Services. AccionRSE Chile and some company representatives came together to discuss sustainable consumption. Focus on the BRICS Due to their economic, geopolitical, and environmental significance for the sustainability of the planet, Brazil, Russia, India, China and South Africa (BRICS) are of particular importance to the WBCSD. This is reflected in a continued emphasis on enhancing cooperation with our partners in these countries. In India and China, the WBCSD participated in high-level advisory bodies: the India Council for Sustainable Development and the China Council for International Cooperation on Environment and Development (CCICED). In the latter, the WBCSD’s president co-chaired a taskforce that came up with recommendations to the government on how to embark on a path toward a low-carbon economy that were handed over to Premier Wen Jiabao following the annual meeting of CCICED in November 2009. A WBCSD flagship advocacy event in the BRICS is the CEO Forum organized as the official curtain raiser of the Delhi Sustainable Development Summit (DSDS), in cooperation with TERI BCSD India. The DSDS 2009, entitled “Towards
  • 55. Regional Network 53 Copenhagen: an equitable and ethical approach”, explored framework options for a future climate regime and addressed adaptation and mitigation challenges. The WBCSD also participated in the 4th Sustainability Summit organized by its other Indian partner organization, the Confederation of Indian Industry (CII). Several other WBCSD projects operated in the BRICS. The Cement Sustainability Initiative has been focusing on China and India, which account for approximately 60% of the world’s cement consumption. The Energy Efficiency in Buildings project held seminars in China, Brazil, India and Russia. In addition, dialogues were conducted on mobility challenges and on how to sustainably satisfy the demand for energy in China, India, Brazil and South Africa. The National Business Initiative in South Africa, the Vernadsky Foundation in Russia, the CII in India and the BCSDs in China and India organized local workshops on the WBCSD’s Vision 2050 Project. The final report will be launched at the CEO Forum prior to the DSDS 2010. The WBCSD participated in BCSD Brazil’s bi-annual Sustentavel congress and conducted a CEO Forum on Inclusive Business and a seminar on Energy and Climate in that country. The WBCSD continued promoting the Greenhouse Gas (GHG) Protocol, a tool jointly developed with the World Resources Institute to measure GHGs in a standardized way, in cooperation with the BCSDs and partners in Brazil, China, India, Mexico and the Philippines. Moving forward Priorities for the Regional Network in 2010 include strengthening the cooperation with G20 partner organizations, including a series of WBCSD “roadshows” in key countries such as China, India, Brazil, Mexico, Australia, Japan, South Africa and the US. It will engage more with the business community in the Middle East, given the importance of the region for global stability and energy supply. The Regional Network will also replicate successful pilot projects, such as the Latin American inclusive business initiatives, and will promote worldwide application of WBCSD tools, including the GHG Protocol, the Corporate Ecosystems Services Review, Measuring Impact Framework, and the Global Water Tool.
  • 56. 54 Regional Network Confederation of Indian Industry Regional Network contact list Seema Arora (by region, as at January 2010) [email protected] www.sustainabledevelopment.in AFRICA Korea BCSD Sonia Hong Association pour la Promotion de [email protected] l’Eco-efficacité et de la Qualité en www.kbcsd.or.kr Entreprises -Algeria Tewfik Hasni tewfi[email protected] Nippon Keidanren (Japan Business Federation) Chika Mashiko Association of Enterprises for Environmental [email protected] Conservation - Egypt www.keidanren.or.jp Mohamed Kamal [email protected] Philippine Business for the Environment BCSD Zimbabwe Lisa Inez Antonio Nikki Foot [email protected] [email protected] www.pbe.org.ph FEMA - BCSD Mozambique TERI - BCSD India João C.P Viseu Annapurna Vancheswaran [email protected] [email protected] www.fema.org.mz www.bcsd.teri.res.in National Business Initiative - South Africa Vietnam BCSD Marianne Scott (in the process of being created) [email protected] Vinh Nguyen Quang www.nbi.org.za [email protected] ASIA EUROPE BCSD Kazakhstan Gulsara Edilbaeva BCSD Croatia [email protected] Mirjana Matesic www.kap.kz [email protected] www.hrpsor.hr BCSD Malaysia Seng Choon Chew BCSD Hungary [email protected] Màté Kriza www.bcsdm.com.my [email protected] www.bcsdh.hu BCSD Mongolia Sambuu Demberel BCSD Portugal [email protected] Luís Rochartre Álvares www.mongolchamber.mn [email protected] www.bcsdportugal.org BCSD Pakistan Amjad Parvez Janjua BCSD Turkey [email protected] Engin Guvenc [email protected] BCSD Sri Lanka www.tbcsd.org Chandra J. Embuldeniya [email protected] BCSD United Kingdom David Middleton BCSD Taiwan [email protected] Niven (Cheng Chung) Huang www.bcsd-uk.co.uk [email protected] www.bcsd.org.tw BusinessEurope Daniel Cloquet BCSD Thailand [email protected] Chotichanathawewong Qwanrudee www.businesseurope.eu [email protected] www.tei.or.th/tbcsd Confederation of Norwegian Enterprises (NHO) BCSD United Arab Emirates Cecilie Hultmann Mohamed Juma Al Musharakh [email protected] [email protected] www.nho.no Business Environment Council –Hong Kong Danish BCSD Andrew Thomson Preben Kristensen [email protected] [email protected] www.bec.org.hk www.rbenet.dk China BCSD econsense – Germany Zhai Qi Kurt-Christian Scheel [email protected] [email protected] www.cbcsd.org.cn www.econsense.de
  • 57. Regional Network 55 Entreprises pour l’Environnement –France BCSD Guatemala (CentraRSE) Claire Tutenuit Guillermo E. Monroy [email protected] [email protected] www.epe-asso.org www.centrarse.org Fundación Entorno – BCSD Spain BCSD Honduras (CEHDES) Cristina García-Orcoyen Roberto J. Leiva [email protected] [email protected] www.fundacionentorno.org www.cehdes.org Fundacio Fórum Ambiental – Spain BCSD Mexico (CESPEDES) Pepe Tarifa Calvet Alejandro Lorea Hernandez [email protected] [email protected] www.forumambiental.com www.cce.org.mx/cespedes respACT Austrian BCSD BCSD Paraguay (REDES) Roman Mesicek Diana de Bareiro [email protected] [email protected] www.abcsd.at BCSD Venezuela (CEVEDES) Responsible Business Forum (RBF) –Poland Gerardo Tálamo Mirella Panek-Owsianska [email protected] [email protected] www.responsiblebusiness.pl Curaçao BCSD-Bedrijven Platform Milieu Karel Tujeehut SEV BCSD Greece [email protected] Michalis Vassilopoulos [email protected] DERES – Uruguay www.sev.org.gr Eduardo Shaw [email protected] Vernadsky Foundation – Russia www.deres.org.uy Kirill A. Stepanov [email protected] SumaRSE – Panama www.vernadsky.ru Teresa de Alfaro [email protected] www.integrarse.org.pa LATIN AMERICA Peru 2021 Henri Le Bienvenu Acción RSE – Chile [email protected] Rafael Quiroga www.peru2021.org [email protected] www.accionrse.cl uniRSE – Nicaragua Matthias Dietrich Asociación de Empresarios para [email protected] el Desarollo – Costa Rica www.unirse.org Olga Sauma Uribe [email protected] www.aedcr.com NORTH AMERICA BCSD Argentina (CEADS) Sebastián Anibal Bigorito Council of Great Lakes Industries –Canada/ [email protected] United States of America www.ceads.org.ar George H. Kuper [email protected] www.cgli.org BCSD Bolivia (CEDES) Maria Claudia Dabdoub [email protected] The EXCEL Partnership – Canada www.cedesbolivia.org Christopher Henderson [email protected] www.excelpartnership.ca BCSD Brazil (CEBDS) Beatriz Bulhões [email protected] United States BCSD www.cebds.org Andrew Mangan [email protected] www.usbcsd.org BCSD Colombia (CECODES) Santiago Madriñán [email protected] www.cecodes.org.co OCEANIA BCSD Ecuador (CEMDES) BCSD New Zealand Jimmy Andrade Graeme Colman [email protected] [email protected] www.cemdes.org www.nzbcsd.org.nz BCSD El Salvador (CEDES) Business Council of Australia Luís López Lindo Maria Tarrant [email protected] [email protected] www.cedes.org.sv www.bca.com.au
  • 58. 56
  • 59. Communications 57 Communications 2009 may well be remembered as the year that sustainable development captured the attention of the world’s news media. The confluence of concerns about the world’s changing climate, and its ailing economy, brought a flurry of news reports and articles about the green economy and how to achieve it. This, of course, means that the need for clear, consistent communications is more important than ever. The WBCSD’s communications team works not only to communicate but also to help the Council’s Focus Areas, Projects and Initiatives advocate solutions, reaching out to governments, civil society, business leaders and the general public. To oversee this advocacy, and provide strategic guidance, the WBCSD has established an Advocacy Team. This team complements the Communications Department, the staff of which continues to manage the publications, reports and documents, including the writing, editing, design, printing and distribution of documents, as well as a comprehensive website, seven e-newsletters of diverse and informative content, and an active media relations outreach. Getting the messages out Another 24 reports and other documents were added to the list of publications the WBCSD has produced, some in partnership with other organizations, such as the Cement Technology Roadmap 2009: Carbon emissions reductions up to 2050 with the International Energy Agency. Among other new publications were: Towards a Low-Carbon Economy: A business contribution to the international energy & climate debate, aimed at sharing business experience in technology development and deployment, finance and carbon markets, cooperative sectoral approaches and adaptation and proposes policy recommendations for a future agreement Transforming the Market: Energy Efficiency in Buildings, the final report of the Energy Efficiency in Buildings project Corporate Ecosystem Valuation, which builds the business case for companies to employ corporate ecosystem valuation as a decision-support tool.
  • 60. 58 Communications We also released an updated interactive CD-ROM cataloguing all of the Council’s publications from its founding in 1995, including all available translations. Sustain In cooperation with the Energy and Climate and Development Focus Areas we produced another special double issue of Sustain, our flagship magazine. With the theme “Energizing Development in a Changing Climate”, the magazine highlights the important links between energy, climate and development, and includes case studies showing how companies are supporting development while spurring a move toward a global low-carbon economy. Elevating our media profile The WBCSD has been in the news throughout the year; indeed, our media monitoring service tracked more than 5,000 mentions of the Council, its staff or work. The strategy through the year has been to maintain our strong links with trade publications, business publications, environmental and business websites, and policy journals. However, we also embarked upon sustained outreach to mainstream news media and have been rewarded with mentions in the Wall Street Journal, the Financial Times, the New York Times, the Guardian, Time, Forbes, Fortune, Reuters, Bloomberg, Dow Jones Newswire the International Herald Tribune, CNN, CNBC, BBC, Le Monde, Agence France Presse, the People’s Daily, Business Week, Europe’s World, the Sunday Times, and many others, including a significant amount of media in languages other than English. www.wbcsd.org The leading resource on business and sustainable development, www.wbcsd.org informs about the WBCSD’s activities, publications and tools. It also portrays WBCSD member achievements against the backdrop of a rich selection of international media news related to sustainable development. WBCSD electronic newsletters continue to enjoy double-digit growth with some 115,000 total subscriptions. To build on the website’s success and further its outreach, a comprehensive re-development and re-design was initiated in 2009 and is due for completion in 2010. Other channels, such as the WBCSD’s YouTube channel and our blogs, The President’s blog, the EEB (Energy Efficiency in Buildings) blog and the Inclusive Business blog, also contribute to expanding and reinforcing the WBCSD’s messages. WBCSD and Com+ The Com+ Alliance, a grouping of professional communicators who work for sustainable development around the world, was co-founded by the WBCSD in 2003. The WBCSD hosts and manages the COM+ website, and was instrumental in the site’s redesign this year. News and content partnerships 2010 AFP - Agence France Presse Paris, France Africa Renewal New York, United States CSR China Hong Kong, China E&E Publishing Washington, D.C., United States ENDS Europe Daily London, United Kingdom Environmental Finance London, United Kingdom EurActiv.com Brussels, Belgium Financial Times London United Kingdom GreenBiz.com Washington, DC, United States GLOBE-Net Vancouver, Canada ICTSD Geneva, Switzerland International Trade Forum Geneva, Switzerland IPS - Inter Press Service Europa Berlin, Germany IRIN - Integrated Regional Geneva, Switzerland Information Networks Lexis Nexis Munster, Germany PointCarbon Washington D.C., USA Science and Development Network London, United Kingdom Socialfunds Brattleboro, VT, United States Sustainable Development International London, United Kingdom Thomson Reuters London, United Kingdom
  • 61. Partnerships and Alliances 59 Partnerships and Alliances Business organizations Aquafed Paris, France Arab Union for Cement & Building Materials Damascus, Syria Business Action for Water Paris, France Business and Industry Advisory Committee (BIAC) Paris, France Business Europe Brussels, Belgium Confederation of European Paper Industries Brussels, Belgium European Chemical Industry Council (CEFIC) Brussels, Belgium European Roundtable Brussels, Belgium Fundación Latinoamérica Posible San José, Costa Rica Global e-Sustainability Initiative Brussels, Belgium International Aluminum Institute (IAI) London UK International Business Leaders Forum (IBLF) London, UK International Chamber of Commerce (ICC) Paris, France International Council of Forest and Sao Paulo, Brazil Paper Associations (ICFPA) International Emissions Trading Association (IETA) Geneva, Switzerland World Energy Council (WEC) London, UK World Steel Association Brussels, Belgium Forums Copenhagen Climate Council Copenhagen, Denmark The Conference Board New York, USA United Nations Forum on Forests (UNFF) New York, USA World Economic Forum (WEF) Geneva, Switzerland Governmental and intergovernmental organizations Asia-Pacific Partnership Washington, DC, US European Union Brussels, Belgium Intergovernmental Panel on Climate Change (IPCC) Geneva, Switzerland International Energy Agency (IEA) Paris, France International Finance Corporation (IFC) Washington, DC, USA Inter-American Development Bank (IDB) Washington, DC, USA Organization for Economic Cooperation Paris, France & Development (OECD) SNV Netherlands Development Organization The Hague, Netherlands United Nations Convention on Biological Montreal, Canada Diversity (UN CBD) United Nations Development Programme (UNDP) New York, USA United Nations Environment Programme (UNEP) Geneva, Switzerland United Nations Framework Convention on Bonn, Germany Climate Change (UNFCCC) United Nations Global Compact New York, USA UN-Water Rome, Italy The World Bank Washington, DC, USA World Health Organization (WHO) Geneva, Switzerland World Trade Organization (WTO) Geneva, Switzerland Institutes, universities and initiatives Com+ Alliance Moravia, Costa Rica The German Marshall Fund of the United States Washington, DC, USA Global Footprint Network (GFN) Oakland, USA Global Reporting Initiative (GRI) Amsterdam, Netherlands International Institute for Environment and London, UK Development (IIED) International Institute for Sustainable Development Winnipeg, Canada International Organization for Standardization (ISO) Geneva, Switzerland International Risk Governance Council (IRGC) Geneva, Switzerland Lawrence Berkeley National Laboratory Berkeley, USA Peterson Institute for International Economics Washington, DC, USA Stockholm International Water Institute (SIWI) Stockholm, Sweden United Nations Foundation New York, USA Voluntary Carbon Standard Washington, DC, USA Water Footprint Network Enschede, Netherlands World Resources Institute (WRI) Washington, DC, USA Yale University School of Forestry and New Haven, USA Environmental Studies Non-governmental organizations AccountAbility London, UK Conservation International Arlington, USA Earthwatch Institute Oxford, UK The Forests Dialogue (TFD) New Haven, USA The International Union for the (IUCN) Conservation of Nature Gland, Switzerland The Nature Conservancy (TNC) Arlington, USA Oxfam Oxford, UK WWF International Gland, Switzerland
  • 62. 60
  • 63. Membership and Governance 61 Membership and Governance As a global CEO-led business coalition of some 200 companies, our mission is to catalyze the kind of change that will move us to a sustainable path and thereby support the business licence to operate, innovate and grow. Member companies work with governments and civil society to create the framework conditions that will enable business to develop innovative solutions with the speed and scale needed. Encompassing a wide range of industries, the WBCSD is perfectly positioned to explore the intersections between some of the world’s toughest problems and to seek integrated, systemic solutions to complex sustainability challenges. In addition to providing a business perspective on sustainable development, members also work with other companies and sectors to better integrate sustainability into their strategy and operations. They look at a broad spectrum of solutions: at the product and company level, within and across sectors, including the full value chain from suppliers to customers. Membership Membership in the WBCSD is by invitation of the Executive Committee, comprising 13 member company CEOs and 3 honorary members. They seek a rich geographic and sectoral mix of companies to help us tap a deeper seam of understanding and solutions to sustainability challenges. At an individual company level, they look for a clear commitment to sustainable development and the capacity to advance our agenda and enhance our reputation. As economic, demographic and geopolitical shifts from the G8 to the G20 gain momentum, we continue to focus on strengthening the membership in key emerging economies, with a particular emphasis on the BRICS (Brazil, Russia, India, China and South Africa), together with the Middle East and Asia. Members collaborate by contributing time, brains and experience, driving our agenda through hands-on engagement and through initiating new areas of investigation and advocacy. They do this through active involvement in working groups, or by providing secondments and associates to the WBCSD on a full or part time basis. Our work is shaped by the personal commitment of Council Members (CEOs or equivalent), who influence policy positions and steer the strategic direction of each focus area and project. They meet once a year to assess the vital issues linking business and sustainable development and to fine-tune our priorities. They are supported by Liaison Delegates, senior executives who implement the work program and ensure that ideas, tools and practices generated by the WBCSD are taken up and used by the company. Governance The WBCSD is governed by the Executive Committee, elected by Council Members from among their peers, including a Chairman and Vice Chairmen. Responsibility for the management of the WBCSD and the implementation of its strategy and work program lies with the President and the secretariat staff of 46 people, including one part-time and one full-time secondment and three part time associates from member companies, and one full-time secondment from IUCN.
  • 64. 62 Executive Committee Executive Committee 2010 Honorary Committee Charles O. Holliday, Jr. USA Stephan Schmidheiny Switzerland Dr. Shoichiro Toyoda Japan Chairman Jorma Ollila Chairman, Royal Dutch Shell UK Vice Chairmen Markus Akermann Chief Executive Officer, Holcim Ltd Switzerland Mukesh Ambani Chairman and Managing Director, Reliance Industries Limited India James E. Rogers Chairman, President and Chief Executive Officer, Duke Energy Corporation USA Masataka Shimizu President, Tokyo Electric Power Company Japan Members Fujio Cho Chairman & Representative Director, Toyota Motor Corporation Japan José Manuel Entrecanales Chairman and CEO, ACCIONA Spain Anne Lauvergeon Chairman of the Executive Board, AREVA France Jacob Maroga* Chief Executive, Eskom Holdings Ltd. Rep. of South Africa Michael Morris Chairman, President and CEO, American Electric Power USA Julio Moura Chairman, Natura International Committee Brazil Paul Polman Chief Executive Officer, Unilever UK Wang Jiming Vice Chairman, China Petrochemical Corporation (Sinopec) China Ex officio Rajat Kumar Gupta Vice-Chairman, International Chamber of Commerce France * In transition to the new chief executive
  • 65. Member Companies and Council Members 63 Member Companies and Council Members by region and country, January 2010 AFRICA South Africa Eskom Holdings Limited To be announced Mondi Hathorn, David ASIA China Baosteel Group Corporation Madame Xie Qihua China Ocean Shipping (Group) Company Capt. Wei Jiafu China Petrochemical Corporation (Sinopec) Wang Jiming CLP Holdings Limited Brandler, Andrew Chinese Taipei Chunghwa Telecom Co., Ltd. Lu, Shyue-Ching CPC Corporation Chu, Shao-Hua India Infosys Technologies Limited Gopalakrishnan, Kris Reliance Industries Limited Ambani, Mukesh Indonesia APRIL Group Devanesan, A.J. Japan AGC Group Ishimura, Kazuhiko Bridgestone Corporation Arakawa, Shoshi Canon Inc. Mitarai, Fujio Chubu Electric Power Co., Inc. Miyaike, Yoshihito DENSO Corporation Fukaya, Koichi Hitachi Chemical Co., Ltd. Nagase, Yasuji Honda Motor Co., Ltd. Fukui, Takeo Kikkoman Corporation Mogi, Yuzaburo Mitsubishi Chemical Holding Corporation Kobayashi, Yoshimitsu Mitsubishi Corporation Ueno, Yukio Nippon Paper Group, Inc. Nakamura, Masatomo Nippon Telegraph & Telephone Corporation Uji, Noritaka Nissan Motor Co., Ltd Shinohara, Minoru Osaka Gas Co., Ltd. Ozaki, Hiroshi Seiko Holdings Corporation Hanaoka, Seiji Sompo Japan Insurance Inc. Sato, Masatoshi Sony Corporation Chubachi, Ryoji Sumitomo Chemical Company, Ltd. Yonekura, Hiromasa Sumitomo Rubber Industries, Ltd. Mino, Tetsuji Taiheiyo Cement Corporation Sameshima, Fumio The Kansai Electric Power Co., Inc. Fujii, Masumi The Tokyo Electric Power Company Inc. Shimizu, Masataka The Yokohama Rubber Co., Ltd. Nagumo, Tadanobu Toyo Tire & Rubber Co., Ltd. Nakakura, Kenji Toyota Motor Corporation Cho, Fujio Korea GS Caltex Corporation Hur, Dong-Soo Hankook Tire Co., Ltd. Cho, Choong Hwan Kumho Tire Co., Inc. Kim, Jong-Ho POSCO To be announced Samsung Electronics Co. Lee, Yoon-Woo Pakistan Pakistan State Oil Company Limited Qureshi, Irfan K.
  • 66. 64 Member Companies and Council Members Thailand PTT Public Company Limited Bunsumpun, Prasert Siam Cement Group (SCG) Trakulhoon, Kan EUROPE Austria Borealis AG Garrett, Mark Swarovski Langes-Swarovski, Markus Belgium Umicore Leysen, Thomas Denmark DONG Energy Eldrup, Anders Grundfos Bjerg, Carsten Novo Nordisk A/S Kingo, Lise Novozymes A/S Riisgaard, Steen Vestas Wind Systems A/S Engel, Ditlev Finland Fortum Corporation Brunila Anne KONE Oyj Alahuhta, Matti Metsäliitto Group Jordan, Kari Nokia Aho, Esko France Alstom Kron, Patrick AREVA Lauvergeon, Anne Dassault Systèmes Charlès, Bernard EDF Group To be announced GDF Suez Guichard, Françoise Havas Group Rodes, Fernando Lafarge SA Lafont, Bruno L’Oréal Dautresme, Béatrice Michelin Rollier, Michel Veolia Environnement Proglio, Henri Germany adidas AG Dassler, Frank A. Allianz SE Diekmann, Michael BASF SE Schwager, Harald Bayer A.G. Wenning, Werner Continental AG Setzer, Nikolai Deutsche Bank AG Ackermann, Josef Deutsche Post DHL Appel, Frank E.ON AG Dänzer-Vanotti, Christoph Evonik Industries AG Engel, Klaus HeidelbergCement Scheifele, Bernd Henkel AG & Co. KGaA Weinberger, Christian-Andre Robert Bosch GmbH Marks, Peter J. Siemens AG Kux, Barbara Volkswagen AG Leohold, Jürgen Greece Public Power Corporation (PPC S.A.) Zervos, Arthouros Titan Cement Company S.A. Papalexopoulos, Dimitri Ireland CRH plc Manifold, Albert Italy Eni S.p.A Scaroni, Paolo Italcementi Group Pesenti, Carlo Pirelli Tyre S.p.A. Tronchetti Provera, Marco Telecom Italia S.p.A. Galateri di Genola, Gabriele Luxemburg ArcelorMittal S.A. Mittal, Lakshmi The Netherlands Akzo Nobel nv Wijers, G.J.(Hans) DSM N.V. Sijbesma, Feike Royal Philips Electronics N.V. Provoost, Rudy TNT N.V. Bakker, Peter
  • 67. Member Companies and Council Members 65 Norway Det Norske Veritas Madsen, Henrik O. DnB NOR ASA Bjerke, Rune Grieg International Grieg, Elisabeth Leif Höegh & Co. AS Höegh, Westye Norsk Hydro ASA Brandtzäg, Svein Richard Statkraft AS Mikkelsen, Bard StatoilHydro Nes, Helga Storebrand ASA Kreutzer, Idar Portugal Brisa Auto-Estradas de Portugal, S.A. de Mello, Vasco CIMPOR Bayão Horta, Ricardo EDP - Energias de Portugal, S.A. Mexia, Antonio Portucel Soporcel Group Queiroz Pereira, Pedro Sonae SGPS, SA Bianchi de Aguiar, Carlos Russia Basic Element Deripaska, Oleg V. JSC Gazprom Rusakova, Vlada V. Spain ACCIONA S.A. Entrecanales, José Manuel Repsol YPF Brufau Niubó, Antonio Sweden Skanska AB Karlström, Johan Stora Enso Oyj Björklund, Elisabet Salander Vattenfall AB Josefsson, Lars G. Switzerland ABB Ltd. Steel, Gary F. Hoffmann-La Roche AG Humer, Franz B. Firmenich SA Firmenich, Patrick Holcim Ltd. Akermann, Markus Novartis Jiminez, Joseph SGS S.A. Kirk, Christopher Syngenta International AG Mack, Michael Turkey Borusan Holding g U˘ur, Agah ECZACIBASI HOLDING Karamercan, Erdal United Kingdom Anglo American plc To be announced BG Group plc. Bland, Charles BP plc. Conn, Iain C. Environmental Resources Management Group Bidwell, CBE, Robin KPMG Hastings, Michael PA Consulting Group Middleton, Alan Royal Dutch Shell plc. Ollila, Jorma Rio Tinto plc Albanese, Tom Unilever N.V. Berger, Geneviève Vodafone Group Plc To be announced LATIN AMERICA Brazil Abril Group Civita, Roberto Cimentos Liz Ramos Vasconcelos, Paulo Alexandre Fibria Penido, José Luciano Natura Cosméticos S.A. Moura, Julio Petrobras - Petroleo Brasiliero S.A. Gabrielli de Azevedo, José Sergio Suzano Papel e Celulose SA Maciel Neto, Antonio Vale Batista da Silva, Eliezer Votorantim Group Ermírio de Moraes, Fabio Chile Codelco Arellano, José Pablo Masisa Salas, Roberto Mexico CEMEX Zambrano, Lorenzo H. Panama Panamá Canal Authority Alemán Zubieta, Alberto
  • 68. 66 Member Companies and Council Members MIDDLE EAST Saudi Arabia ALJ Co. Ltd. Jameel, Mohammed Abdul Latif NORTH AMERICA Canada BC Hydro Elton, Bob Suncor Energy Inc George, Richard L. United States 3M Palensky, Frederick J. Accenture Green, William AECOM Technology Corporation Dionisio, John M. Alcoa Zaidi, Mohammad A. American Electric Power Morris, Michael Caterpillar Inc. Owens, James W. CH2M HILL McIntire, Lee A. Chevron Corporation Taylor, Charles (Chuck) A. ConocoPhillips To be announced Constellation Energy Group Inc Shattuck III, Mayo A. Cooper Tire & Rubber Company Armes, Roy V. Deloitte Touche Tohmatsu Raimi, Amadou Duke Energy Corporation Rogers, James E. DuPont Kullman, Ellen EcoSecurities Ltd To be announced Entergy Corporation Leonard, J. Wayne Ernst & Young LLP Turley, Jim S. Exelon Corporation Rowe, John W. General Electric Company Rice, John G. Greif, Inc. Gasser, Michael J. IBM Corporation Kern, Frank ITT Corporation Loranger, Steven R. Johnson & Johnson To be announced Kimberly-Clark Corporation Spencer, Jan B. C. MeadWestvaco Corporation Luke, Jr., John A. Newmont Mining Corporation O’Brien, Richard Oracle Corporation Le Guisquet, Loic PepsiCo, Inc. Nooyi, Indra PricewaterhouseCoopers LLP Powell, Ian S.C. Johnson & Son, Inc. Stanbrook, Steven SunGard Conde, Cristóbal The Boeing Company Hill, Shephard The Boston Consulting Group Heuskel, Dieter The Coca-Cola Company To be announced The Dow Chemical Company Liveris, Andrew N. The Goodyear Tire & Rubber Company Keegan, Robert J. The Procter & Gamble Company Geissler, Werner United Technologies Corporation David, George Weyerhaeuser Company Ballard, Ernesta OCEANIA Australia BHP Billiton Limited To be announced Commonwealth Bank of Australia Chapman, Barbara GHD Pty Ltd Shepherd, Ian Insurance Australia Group Wilkins, Michael Lend Lease Corporation McCann, Steve Woodside Energy Ltd. Voelte, Donald R. New Zealand The Warehouse Group Limited Tindall, Stephen
  • 69. WBCSD Personnel 67 WBCSD Personnel January 2010 Executive Team Björn Stigson President Margaret Flaherty Chief of Staff Per Sandberg The Business Role Marcel Engel Development, Regional Network Matthew Bateson Energy and Climate James Griffiths Ecosystems President’s Office Anne-Catherine Werner, Philip Reuchlin, Carolyne Cyr Programs Program Management Program Support/Research Focus Areas The Business Role Per Sandberg Nour Chaabane, Kija Kummer Katherine Madden Development Marcel Engel Filippo Veglio Energy & Climate Matthew Bateson Barbara Black, Andrea Brown, Antonia Gawel Estelle Geisinger, Bernhard Grünauer Maria Mendiluce, Varun Vats Ecosystems James Griffiths Mikkel Kallesoe, Eva Zabey Projects Water James Griffiths Anne-Léonore Boffi, Eva Zabey Energy Efficiency in Buildings Christian Kornevall Claudia Schweizer Sustainable Forest Products Industry James Griffiths Eva Zabey Cement Sustainability Initiative Howard Klee Roland Hunziker, Caroline Twigg Electricity Utilities Project Matthew Bateson Antonia Gawel, Bernhard Gruenauer Tire Sector Project Howard Klee Caroline Twigg Sustainable Mobility Project Christian Kornevall Mining, Minerals & S.D. James Griffiths Chemicals Howard Klee Initiatives Eco-Patent Commons Matthew Bateson Urban Infrastructure Initiative Christian Kornevall Claudia Schweizer Maritime Initiative Margaret Flaherty Regional Network Regional Network Marcel Engel Virginie Bonnell Communications Communications Margaret Flaherty (ad interim) Olivier Borie (Online), Danielle Carpenter Sprüngli, Christa Kaenzig (Publications), Anouk Pasquier, Michael Martin (Design) Mireille Debiol Member Relations Member Relations Beatrice Otto Member Administration Catherine Morel Giuliana Ammirati, Dominique Rose Finance & Administration Finance & Administration Eric Dérobert Christa Kaenzig, Marie Loriot (Reception), Fabienne Lenders, Mireille Louviot (Accounts), Béatrice Paccard (HR & Accounts) IT Management Nadja Crettol Salih Brysam
  • 70. 68 WBCSD Personnel Member companies provide an additional and highly valued contribution in the form of personnel resources. We have the benefit of full-time secondments, joining us at the WBCSD offices in Geneva, as well as part-time associates, working primarily from their company offices. Work activities can include short-term assignments with dedicated outputs, as well as assignments involving longer term strategy and thought leadership. Secondments (as of January 2010) E.ON Bernhard Grünauer Energy and Climate Focus Area Pakistan State Oil Amjad Parvez Janjua Regional Network In addition, Mikkel Kallesoe has been seconded to the WBCSD from IUCN, working with the Ecosystems Focus Area. We would also like to thank Li Li Leong from PricewaterhouseCoopers for her contributions to the Business Role Focus Area/Vision 2050 project during 2009. Associates (as of January 2010) Eskom Mandy Rambharos Energy and Climate Focus Area We would also like to recognize the contributions of the following Associates during 2009: Nijma Khan from Accenture on the work of the Business Role Focus Area/ Vision 2050 and Climate Focus Area Climate Focus Area
  • 71. Publications 69 Publications released in 2009 General WBCSD Annual Review 2008 - What a way to run the world “What a way to run the world” is the title of the WBCSD’s Annual Review 2008. The theme was chosen almost a year ago, well before the financial meltdown proved just how badly the world was being run. As WBCSD’s Chairman, Samuel DiPiazza Jr. points out: “economic crises must remind us that sustainable development is not just about environmental or social issues but also about sound economic development.” Publications catalogue This interactive CD-ROM catalogues all of the Council’s publications from its founding in 1995. Regularly updated, the CD-ROM also includes all available translations. Sustain #31 – Energizing Development in a Changing Climate The WBCSD recognizes the urgent need for companies to support development while spurring a move toward a global low-carbon economy, the economy of the future. This edition of Sustain highlights the important links between energy, climate and development. Regional Network The Regional Network - Thinking globally, acting locally The Regional Network is an alliance of some 60 CEO-led partner organizations around the world, united by a shared commitment to promoting the business contribution to sustainable development in their respective countries and regions. Focus Areas The Business Role Inclusive Business Challenge This presentation and simulation tool, developed by WBCSD Future Leaders Team, aims to help companies and non-business stakeholders understand, identify and implement inclusive business models. Development Inclusive Business Challenge This presentation and simulation tool, developed by WBCSD Future Leaders Team, aims to help companies and non-business stakeholders understand, identify and implement inclusive business models. Mobility for Development Today’s mobility systems in rapidly developing cities are not sustainable and the situation is deteriorating, although opportunities are increasing and are an important driver of economic development, concludes the WBCSD’s Mobility for Development final report.
  • 72. 70 Publications Mobility for Development - Executive summary The WBCSD studied the state of mobility in four rapidly growing cities in the developing world – Bangalore, Dar es Salaam, São Paulo and Shanghai. Its final report concludes that although mobility opportunities are increasing and are an important driver of economic development in all cities, overall mobility systems are not sustainable and for poorer residents the mobility situation is deteriorating. Energy & Climate Tackling climate change on the ground: Corporate case studies on land use and climate change Land-use activities are a major source and sink of global greenhouse gas (GHG) emissions. Curbing deforestation and applying sustainable land-use management practices can reduce GHG emissions, while planting trees and managing forests can help remove GHGs (mainly CO2) from the atmosphere by sequestering them in plants and vegetation. This publication highlights the relationship between land use and climate change and uses corporate case studies to show how business is contributing solutions to address these challenges. Towards a Low-carbon Economy - A business contribution to the international energy & climate debate This publication aims to share business experience in technology development and deployment, finance and carbon markets, cooperative sectoral approaches and adaptation and proposes policy recommendations for a future agreement. Ecosystems Corporate Ecosystem Valuation: Building the business case The world’s ecosystems are under threat. Most types of natural habitats are showing signs of severe degradation, wild populations of fauna and flora are declining, and land, air and water are all becoming more and more polluted. This publication builds the business case for companies to employ corporate ecosystem valuation as a decision-support tool to improve operational efficiency and/or develop new business opportunities while reducing their environmental impacts or ecological “footprint” or building up their ecosystem assets. Corporate Ecosystem Valuation: A scoping report This scoping study report reaches the conclusion that any attempt to advance corporate ecosystem valuation should focus on new ways of valuing ecosystem dependencies and impacts and incorporating these values within existing financial and business planning tools, drawing where relevant on the existing methods that have been developed specifically to value ecosystem services. Corporate Ecosystem Valuation: Issue brief All businesses, regardless of their location on the value chain, both impact and depend on ecosystems and ecosystem services. Any attempt to advance corporate ecosystem valuation should focus on new ways of valuing ecosystem dependencies and impacts and incorporating these values within existing financial and business planning tools, drawing where relevant on the existing methods that have been developed specifically to value ecosystem services. Tackling climate change on the ground: Corporate case studies on land use and climate change Land-use activities are a major source and sink of global greenhouse gas (GHG) emissions. Curbing deforestation and applying sustainable land use management practices can reduce GHG emissions, while planting trees and managing forests can help remove GHGs (mainly CO2) from the atmosphere by sequestering them in plants and vegetation. This publication highlights the relationship between land use and climate change and uses corporate case studies to show how business is contributing solutions to address these challenges.
  • 73. Publications 71 Projects Water Water for Business: Initiatives guiding sustainable water management in the private sector “Water for Business: Initiatives Guiding Sustainable Water Management in the Private Sector”, jointly developed by the World Business Council for Sustainable Development (WBCSD) and the International Union for Conservation of Nature (IUCN) identifies 16 initiatives or tools, driven by business leaders, civil society and governments, which have emerged since 2006. Water, Energy and Climate Change Water, energy and climate change are inextricably linked. The paper lists five important policy recommendations from business to climate negotiators and policy-makers and includes 25 case studies showing how business is already linking water, energy and climate across their operations. Water Facts and Trends - Updated This working document provides an overview of some basic facts and societal challenges related to water. It has been developed by the WBCSD secretariat and is intended to support the ongoing dialogue within the WBCSD membership and with other stakeholders in civil society and government. Energy Efficiency in Buildings Transforming the Market: Energy Efficiency in Buildings Modeling by the WBCSD shows how energy use in buildings can be cut by 60% by 2050 – essential to meeting global climate change targets – but this will require immediate action to transform the building sector. This is the central message of the report from the WBCSD’s four-year, US$ 15 million Energy Efficiency in Buildings (EEB) research project, the most rigorous study ever conducted on the subject. Cement Sustainability Initiative Cement Industry Energy and CO2 Performance “Getting the Numbers Right” The Getting the Numbers Right (GNR) system is a sector-wide global information database that provides accurate, verified data on the cement industry’s CO2 emissions and energy performance. In addition to Cement Sustainability Initiative members, CEMBUREAU, the European Cement Association, collects information from non-CSI cement plants in Europe, ensuring nearly complete coverage of all cement installations there. Cement Technology Roadmap 2009 - Carbon emissions reductions up to 2050 This report calls for strong national policies to activate known CO2 mitigation actions that the cement industry can take now to reduce its emissions. It also issues a call to action to develop commercially viable carbon capture and storage technologies as a method for further reducing global CO2 emissions from the cement industry. Recommended Good Practice for Contractor Safety Cement Sustainability Initiative member companies are committed to giving contractor safety and employee safety equal priority. This document sets forth the commitment of Cement Sustainability Initiative members to setting an example for contractor safety management through their own activities and contract management and offers good practices that are effective in reducing contractor incidents within the cement and other industries.
  • 74. 72 Publications Recommended Good Practice for Driving Safety CSI member companies are committed to giving contractor safety and employee safety equal priority. This document sets forth CSI member company commitment to eliminating driving-related injuries and fatalities and offers good practices that are effective in reducing road incidents within and outside the cement industry. Recycling Concrete - Full report and summary report This report argues that recycling concrete reduces natural resource exploitation and waste going to landfill. It asks for an ultimate goal of “zero landfill” of concrete. A Sectoral Approach: Greenhouse gas mitigation in the cement industry This economic and policy modeling project is designed to improve understanding of the impacts of different carbon policies on emissions reductions, global trade and regional market shares in the cement sector. The results of the study show that cement production is likely to more than double by 2030, based on current demand forecasts. Photo credits P14-15: Philips Vision of the future, Flickr, IADB fair trade tea P18-19: Bryan Christie, Flickr, Curt Carnemark P20: GE Smart meter, Arup Real-time information (Urban transport system), Philips lighting P21: Conoco-Phillips P22: GE P24: V2 studios, Arup The greening of Manchester, Novozymes Bio fuel, Syngenta International AG P26-27: Flickr, Unilever Water use P28-29: Flickr, IBM Smarter planet UK (water / energy) P30-31: Sonae Sierra, Flickr, Lafarge P32-33: Flickr P34-35: Thierry Bogaert Environment architecture, CEMEX, Holcim P36-37: ABB, GE P40-41: Toyota, BP, GE, Boeing Dream Liner 787 P42: Rio Tinto P43: Aventis, Syngenta International AG P44 Flickr, Arup Urban infrastructure, Sustainable Singapore.gov.sg P45: Philips lighting P48: Flickr P49: Sky sails, Future shipping P50-51: John Yunker www.bytelevel.com P57: UNFCCC Copyright © World Business Council for Sustainable Development, March 2010 ISBN 978-3-940388-58-2 Printer Atar Roto Presse SA, Switzerland Printed on paper containing 50% recycled content and 50% from mainly certified forests (FSC and PEFC). 100% chlorine free.
  • 75. Secretariat 4, chemin de Conches Tel: +41 (0)22 839 31 00 E-mail: [email protected] CH-1231 Conches-Geneva Fax: +41 (0)22 839 31 31 Web: www.wbcsd.org Switzerland WBCSD North America Office Tel: +1 202 420 77 45 E-mail: [email protected] 1744 R Street NW Fax: +1 202 265 16 62 Washington, DC 20009 WBCSD Brussels Office E-mail: [email protected] c/o Umicore Broekstraat 31 B-1000 Brussels Belgium