On his world tour, Pope Francis called on world leaders to address climate change in November at the Paris Climate Conference. It is not just religious leaders and climate scientist who are concerned, but business leaders who are aware that climate change will hurt the world’s economy. A recent study, published in the journal Nature, found that temperature change due to unmitigated global warming will leave global GDP per capita 23% lower in 2100 than it would be without any warming.
Joining the call for action on climate change are companies such as Nike, Walmart, Goldman Sachs, Johnson & Johnson, Proctor & Gamble, Salesforce, Starbucks, Steelcase, and Voya Financial, all who have adopted a goal of 100 % renewable energy. Food Companies are concerned that climate change is threatening our food supply. CEOs of Kellogg’s, Mars, Dannon, Ben & Jerry’s, Stonyfield Farms, and Nestlé have signed a letter urging US and global leaders to “meaningfully address the reality of climate change.”
By this week, 81 big-name corporations representing 9 million employees and $5 trillion in market capitalization have signed on to the President’s “Act on Climate” pledge.
THE AMERICAN BUSINESS “ACT ON CLIMATE PLEDGE”
“We applaud the growing number of countries that have already set ambitious targets for climate action. In this context, we support the conclusion of a climate change agreement in Paris that takes a strong step forward toward a low-carbon, sustainable future.
We recognize that delaying action on climate change will be costly in economic and human terms, while accelerating the transition to a low-carbon economy will produce multiple benefits with regard to sustainable economic growth, public health, resilience to natural disasters, and the health of the global environment.”
The list of the corporations taking the pledge and a summary of their pledges are listed in this White House fact sheet. Their pledges set ambitious, company-specific goals such as:
Reducing emissions by as much as 50 percent,
Reducing water usage by as much as 80 percent,
Achieving zero waste-to-landfill,
Purchasing 100 percent renewable energy, and
Pursuing zero net deforestation in supply chains.
Most importantly, these companies set an example to their peers who will be asked to sign onto the pledge before the Paris Conference.
The plan to reduce emissions with broad bipartisan support in the US is the carbon fee and dividend as proposed by the Citizens’ Climate Lobby. Their proposal would place a fee on carbon at the source and allow market forces to encourage reduced emissions, energy conservation, and investments in renewable energy. The carbon fee is not a tax as proceeds would be distributed equally to every household as a monthly energy dividend. It would effectively stimulate the economy and add an estimated 2.8 million jobs over the next 20 years. What could be a better plan?
(c) 2015 J.C. Moore