Archive for February, 2009

Bulgaria’s Energy Choice: Nuclear or Wind

 Green Choice
As individuals we often make choices that reflect how sustainable or green we want to be. Whether its buying local produce or choosing to subscribe to ‘green power’ from our power suppliers, we have choices.

Its quite confronting when a sovereign nation does not have the same freedom of choice, at least when it comes to energy sources.

Forced to Close

Kozloduy Nuclear Facility

Kozloduy Nuclear Facility

When Bulgaria ascended to the European Union (EU) in 2007, 2 of its 4 Nuclear Power Plants (NPPs) in Kozloduy, the country’s only operational nuclear power complex, were forced to cease operation due to Safety Concerns. This left the country with only 2 NPPs generating 2,000 Megawatts of electricity or 40% of the country’s electricity. A situation it did not have a choice in.
The EU did compensate the Bulgarian Government with funds of €500m but many in the country feel that this was grossly inadequate and would rather have the 2 NPPs back online. Nuclear power is not seen as a threat in Bulgaria but as a solution, and to many, the only solution. Kiril Nikolov, Deputy Director of Kozloduy, puts it bluntly, “Only nuclear power can provide the sheer amount of energy which mankind needs”

The Russian Option I

Inside Kozloduy

Inside Kozloduy, Source: BBC

This attitude has led Bulgaria to pursue its Nuclear Power strategy relentlessly, even in the face of one glaring problem. The country still has not developed a solution to deal with the vast quantities of Toxic Nuclear Waste generated from its plants. Until recently, the 2 remaining NPPs in Kozloduy were choking on their own waste and on the verge of shutting down.

Faced with desperation, Bulgaria again had no choice. It resumed a contract to transport its Nuclear Waste to Russia for processing. Russia’s high price coupled with Ukraine enforcing a substantial transit fee has kept other Eastern Europeans, like the Czechs, from considering this option and instead electing to develop solutions at home. 

Bulgaria is also keenly aware that the contract with Russia also states that one-day, all that Nuclear Waste will be re-imported into Bulgaria for storage, but it has no choice.

Cleantech

Or does it? 

Wind Farm in Kaliakra, Bulgaria

Wind Farm in Kaliakra, Bulgaria

In the last 2 years there has been a flurry of interest to build Wind Farms to generate electricity throughout Bulgaria and especially along its Black Sea coast. GE last week announced plans to build a $1 billion Wind Farm that will generate 500 Megawatts of Electricity.

This plant alone will generate 7 times more electricity that is currently being produced by Wind Power in Bulgaria, a paltry 70 Megawatts or 1% of the country’s electricity needs.

GE is not alone either, with AES (United States), EVN (Austria) and Alpiq (Switzerland) also announcing plans to build Wind Farms in the country. 

With this much foreign investment in Wind Farms, could Bulgarians finally be free of their reliance on Nuclear Power? After all, Bulgaria does have an obligation to an EU 2020 objective of 16% reliance on Renewable Energies.

The Russian Option II

Nuclear Plant Building Site, Belene. Source: BBC

Nuclear Plant Building Site, Belene. Source: BBC

In January 2008, Bulgaria’s government signed a contract with a subsidiary of Russia’s Gazprom to build… a $5.8 billion Nuclear Power Plant. A few years and 2000 Russian experts later, Bulgaria will play host to the 1st Russian Built Nuclear Facility in the European Union. A situation that makes Brussels very nervous, and not only because it is being built in Belene, a region extremely prone to severe earthquakes.

The Freedom to Choose?

In the years to come, Bulgarians will finally have a choice as Wind Power presents itself as a viable alternative to Nuclear Power. And if Bulgarian consumers do choose Wind Power, there will still be plenty of takers for Russian Bulgarian Nuclear Energy in the Region. Now if only the region would be as open to accepting Bulgarian Nuclear Waste when Russia ‘returns’ it.

Links:

Nuclear Dilemma in Bulgaria: BBC 1, BBC 2

GE Wind Farm in Bulgaria: Reuters, Greener Ideal

Sustainable Clothing @ London Fashion Week

Picture: New York Times

Picture: New York Times

Even in the current economic turmoil we’ve counted on fashionistas to be glamorous and over-the-top, especially during events like London Fashion Week, currently sweeping through the city.

But this year, things might be a little different, “I am looking forward to seeing how our designers cope with the current mood,” says Alexandra Shulman, editor of British Vogue, “Often, times of economic difficulty for some reason encourage interesting ideas and creativity.”

What might surprise Alexandra, is that not all interesting and creative ideas showcased during LFW has come from designers, an unlikely candidate, Lord Hunt, Minister of Sustainability, has chosen to use the interest in LFW to launch his ministry’s ‘Sustainable Clothing Action Plan‘ (SCAP).

The Action Plan was announced at the estethica showcase, where 37 ethical designers, including founding labels Noir and Bllack Noir, come together with their works that adhere to 1 of 3 estethica principles: Organic, Fair trade or Recycled.

But what is SCAP?

It is, a series of Green Pledges by some of Britain’s leading garment retailers.

These pledges involve initiatives like..

  • Increase Range of Fair Trade and Organic Fashion
    • Marks & Spencer, Tesco, Sainsbury
  • Take-Backof unwanted clothing to enable Recycling
    • Marks & Spencer, Tesco, Sainsbury
  • Open more ‘Sustainable’ boutiques that focus on quality 2nd hand clothing
    • Oxfam, Salvation Army Trading

But the plan is not just the sum of these commitments, a key aspect of it in these actions being discussed and coordinated among all stakeholders in the industry.

So, did Lord Hunt’s SCAP outshine the designers at estethica? I doubt it, after all, it IS about aesthetic creativity here. But it does seem like a well coordinated effort by the British Government to make the UK a leader in Sustainable Fashion.

P.S. – One of this writer’s favourite designers at estethica is ‘From Somewhere‘, a label that recycles Luxury Designer Pre-consumer Waste (e.g. proofs, swatches, off-cuts), turning them into gorgeous clothes. Check them out at their London boutique on Portobello Road.

Download the Full Sustainable Clothing Action Plan: Here

More details at the Department for Environment, Food and Rural Affairs’ Website

Also Blogged At: Ethical Living, BusinessGreen, TreehuggerTextileBol, MRW

More on Estethica here: Inhabitat, GreenMyStyle

Also of Interest: Centre for Sustainable Fashion’s @ London College of Fashion Blog

Deutsche Bank HQ Goes Green

Deutsche Bank HQ

Deutsche Bank HQ

Deutsche Bank has announced plans to give its Headquarters in Frankfurt a “Green Overhaul” which will deliver:

- 55% Reduction in Energy Use

- 55% Reduction in Carbon Emissions

- 43% Reduction in Water Consumption

- While recycling 98% of all Construction Waste

The 155m high buildings, known as ‘Debit’ and ‘Credit’, house 100.000 m2 of office space and was first occupied by Deutsche Bank in 1984.

Some features that Imtech, in charge of carrying our the ‘Green’ modernisation, will implement include:

- Opening Windows for Natural Ventilation

- Low Energy Facilities for Heating & Cooling

- Intelligent Building Management System

- Water Saving Systems

- Grey Water Recycling

- Intelligent Lighting

When it is completed in 2010, Deutsche Bank plans to obtain a Platinum award from the LEED (Leadership in Energy and Environment Design) program managed by the US Green Building Council.

This sounds like a great example of sustainability thriving in the financial crisis because it just makes better business sense.

But the real question is, can Deutsche Bank’s new HQ outscore another recently refurbished HQ in New York City (which LEED awarded the Highest Point Total in the world for any commercial interior) ?

More on Deutsche Bank HQ’s Modernisation at: Webwire, BusinessGreen, BuildingSustainability

Deutsche Bank’s Website: GreenTowers

Previous EvolvingChoice Article on Deutsche Bank’s new Middle East CSR Foundation

Wokai Launches!

Last week, Wokai officially launched its microfinance platform to provide support to rural entrepreneurs in China with a focus on women. The platform which has been in Beta in the last months has already attracted more than 200 contributors!

Definitely an organization to watch.

Wokai Website: Here 

Wokai Blog: Here

Early Days in Czech CSR: An Interview

 

Bruce Gahir

Bruce Gahir

Bruce Gahir, the founder of the CSR Working Group at the British Chamber in Prague, fits the profile of a CSR practitioner to a T. Then of course, there is no typical CSR practitioner.

Bruce was first trained in Mathematics & Physics before specialising and graduating with a MSc in Theoretical Physics from Birkbeck College of the University of London. Of course, Bruce saw the need for a balanced perspective early and also graduated with a BA in Philosophy before flirting with the City as a Financial Analyst at HSBC for 4 years.

He now lives in Prague and lectures at MBA and Bachelor Programs while running his own ethics training firm, Ethics2Biz.

EvolvingChoice had the pleasure of a brief interview with Bruce.

Bruce, you are currently developing a CSR Portal for the British Chamber, isn’t this in a way competing with CSR-Online.cz, a portal created by the Business Leaders Forum?

Well, CSR is the Czech Republic has often taken the form of different people doing their own thing. It would be great if we just had one resource area. We did try to propose a co-developed Portal with the Business Leaders Forum but there was very little reciprocal interest. So its not competition, is just that things are not very well coordinated at this time.

What has been the role of the British Chamber with Czech CSR? I know that in Singapore, for example, they are very active in promoting the CSR debate.

In the past, one of they key elements driving the British Chamber’s CSR initiatives have been their communication of CSR issues, through their website, through seminars and through their FOCUS magazine.

Going forward, we are moving towards offering more seminars and training. We will also expand our outreach to get more people involved. The British Chamber is not alone though with the American and Dutch Chambers very active in the discussion as well.

What do you think needs to be addressed in the short term if CSR is to move forward in the Czech Republic?

Discussions into CSR in the country are often just that, discussion. Discussion that is not very concrete and is often repetitive. Like the recent article in the Czech Business Weekly published by a Big 4 Consultant, there was nothing “New” regarding CSR there, it was just repetition of globally known CSR mantras.

We need more implementation, active follow up and feedback. We also need conferences to present and discuss CSR results in an ongoing way as currently, events are often one off.

I am optimistic though as we are starting a seminar/ working group with the University of Northern Virginia to bring together academics and members of the business community, Ernst & Young and Vodafone for example, to discuss their findings/results.

Recently you were part of a project to translate the GRI into Czech, has the translation had much interest since it was launched?

Global Reporting Initiative (GRI)The translation was only completed a month ago, and unfortunately there has been no expressed interest in it in that short period of time. Today, only Czech Coal has been using some of the GRI’s reporting frameworks but they were using this before the translation.

The next stage of the translated GRI’s launch will involve an event where we will provide interested companies with a US-based training partner and target Small-Medium Enterprises, as larger multinationals often have their CSR policies dictated by their global head office.

Thank you so much for your time Bruce, it definitely has been tremendously insightful. We wish the development of Czech CSR all the best!

Previous Interview with the Business Leaders Forum: “State of Czech CSR”EvolvingChoice

This Interview was also published on APEsphere

Leaders of Sovereign Wealth Funds

With the recent installation of Charles ‘Chip’ Goodyear at the head of Temasek Holdings, the Sovereign Wealth Funds have once again, only men at the helm. From Career Politicians (Tony Tan, GIC) to a former merchant banker with limited international experience (Bader Mohammad Al-Sa’ad, KIA), can the background of these leaders tell us how they will manage the billions under their charge?

Leaders of Sovereign Wealth Funds

Leaders of Sovereign Wealth Funds (Click to Enlarge)

BHP Billiton Head now Leads Temasek Holdings

Temasek Holdings Logo In a move that has shocked the industry, Temasek Holdings, Singapore’s Sovereign Wealth Fund, has selected Charles “Chip” Goodyear, CEO of Mining Giant BHP Billiton (until September 2007), to head the US$124 bn fund. 

Chip replaces Ho Ching, the wife of Singapore’s Prime Minister, who oversaw reforms in the fund which began as a sleepy enterprise holding mostly Singapore-based companies like Singapore Airlines and DBS to the international giant it is now holding 19% of Standard Chartered, 4 – 8% of the 4 Leading Chinese Banks and 9% of Merril Lynch (Temasek Holdings Portfolio Highlights: Link Here).

The choice continues a trend which has resulted in 40% of senior management in Temasek Holdings being Non-Singaporean and could be in line with the fund’s aims to dissuade proponents of the idea that the fund has been used to further Political agendas of the Singapore Government with Ho Ching being so closely associated with the state’s Prime Minister.

The installation of Mr. Goodyear in October this year could also herald a new direction for the fund which has traditionally invested heavily in the global financial sector. Observers believe that with Mr. Goodyear, Temasek Holdings will now focus more attention on the Mining and Resources sector (currently only 5% of the funds portfolio) with the future of the Financial Sector remaining turbulent.

Could this also mean a more sustainable approach to investing with Chip’s former firm BHP Billiton making it the “Top 100 Sustainable Corporations” list released at Davos previously blogged (link here) ? We can be idealists and hope.

More Here: Financial Times

Previous Article on Sovereign Wealth Funds: EvolvingChoice

Temasek Holdings Portfolio Highlights: Link Here

The news quickly made the headlines in Singapore Blogs: “Ho Ching is Out of Temasek!”, SGPolitics, Singapore News Alternative, A Poem for Ho Ching

‘Fake’ Products Soar in Popularity: China

Not Just Bags & Watches

Not just limited to imitation Louis Vuitton Handbags and Rolex Watches, the “Culture of Fake” in China is soaring in Popularity across a whole spectrum of Consumer Goods.

Tough Times

In tougher economic times when “The Real Thing” is increasingly out of reach of your average Chinese consumer, many are taking to “ShanZhai” (as the culture of fake/imitation goods has been called) products which its proponents insist are “Just as Good”.

Intellectual Property Rights

This will present a large problem for International Brands, who have been looking to enforce their intellectual property rights in China, as these ShanZhai” brands grow in popularity in their own right.

Will SQNY replace SONY?

Will ADADAS (or ADIDOS) outsell ADIDAS?

Will KFG move more chicken that KFC?

Original Reuters Article: Link Here

More Examples of Funny and Clever “Shanzhai”: ChinaSmack

An Interesting Post about Apples with Chinese Characters “Grown” into them: AaronFu.com

Vodafone is Benchmark for Czech CSR: Katz Research

Professor John Camillus of the University of Pittsburgh’s Katz Graduate School of Business is currently engaged in a study in the Czech Republic which hopes to prove that ”corporate humanity and social responsibility in business is absolutely essential for the economic success of companies”.

In an interview with Czech newspaper Hospodářské noviny, he highlights Vodafone, alongside EMCO, as companies which are benchmarks for CSR in the Czech Republic.  

John Camillus, Professor at the University of Pittsburgh's Katz Business School

John Camillus, Professor at the University of Pittsburgh's Katz Business School

Excerpt of the Interview:

At this moment, you are in the middle of collecting data for your case study and have come into contact with many Czech companies. What is your opinion of Czech managers? Is their policy humane and socially responsible vis-à-vis customers? How would you assess their strategies towards employees?

The University of Pittsburgh has been operating in the Czech Republic for almost twenty years. It also cooperates closely with the U.S. Business School Prague. Thanks to this fact, we are able to find many excellently managed Czech companies here, which may serve as prime examples of the approach we study.

The two Czech companies we are focusing on in the first stage of the case processing are EMCO and Vodafone. These are two brilliantly managed Czech companies, which may serve as global benchmark for economically successful and human-oriented companies. Both have solid values which are incorporated in their business decisions, both are very attentive to the wellbeing of their employees and customers, both use innovative and diverse approaches in management and the managements and employees of both companies are proud to be a part thereof. This has a positive effect on the benefit their companies generate. In the case studies, we will describe in detail their philosophy, management procedures and decision-making processes.

 

 

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