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28th August 2008
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More Leadership Is Needed

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It now looks like the economic downturn that has been predicted for so long is far from over. The financial system and consumer confidence is moving to new lows and with it the motivation to implement and spend on sustainable business will follow. The pressure on fuel prices is getting government's all over the world to reconsider taxes on energy; tight budgets will mean incentives for development in clean technologies and renewable energy costs will now come under review.

This should not be the case. Growth in the last decade has lead to a period of over consumption as consumerism has expanded demand; for example, air conditioning is now essential in a new house-build where 25 years ago it wasn't. We have in effect raised the bar for what is acceptable.

An economic downturn is unpleasant but it is also an opportunity, and in this instance it can be an opportunity to reduce the level of consumption and redefine what is acceptable or not.

Sustainable practices, if they mean doing things more efficiently, can in the longer term create good practices and importantly profitable practices.

Rising fuel costs will redefine our cities. We have centralised services in the last 30 years. It might be time to decentralise and plan so that people can think and act locally. An increase in Fuel costs might see the re-emergence of local shops. Environmentally if this reduces car use and congestion it has to be a good thing. A downturn might encourage us to use less and reuse more. Again this should be good for the environment if it means more wisely consuming food and curtailing its waste. Less power and water will be needed because more care will be taken in how they are used; people will look at repairing goods rather than replacing them. We should take opportunities now to examine how we might reduce, recycle and reuse.

But we also need leadership because this downturn is already affecting the progress that has been made in getting better environmental practice into business and accepted by consumers.

The cost of energy, not just petrol, is forcing governments to rethink green taxes and reduce expenditure on sustainable initiatives. Now is the time to do the opposite.

Sustainable practices, if they mean doing things more efficiently, can in the longer term create good practices and importantly profitable practices. An example might be hybrid cars in the automotive sector. The hybrid is a technology that reduces fuel consumption and emissions. In a downturn, could authorities take leadership on saying that? Equally the funding of new technologies will have longer term benefits.

Funding should not be cut; downturns often provide the best opportunities for new industries and the high cost of oil which is being blamed for this downturn should provide opportunities for new clean energy sources.
Suddenly, they become economic.

The Sustainable Agenda needs to be enhanced not pruned. This downturn can be a huge opportunity for sustainability if government and business think more strategically and lead.

 

 

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