Dow Jones Indexes, STOXX Limited and SAM Group have announced the
results of the annual review for the Dow Jones Sustainability Indexes
(DJSI). Effective with the opening of equity markets on September
22, 2003, the Dow Jones Sustainability World Index again includes
over 300 companies from 22 countries that lead their industry in
terms of corporate sustainability. The pan-European sustainability
benchmarkthe Dow Jones STOXX Sustainability Indexwill
include 178 companies from 13 countries. Both indexes will continue
to closely mirror the sector distribution of the corresponding mainstream
The annual review will be used to make investment decisions by 45
asset managers who have licensed the DJSI family as objective benchmarks
for sustainability-driven portfolios. In total, these licensees
currently manage over 2.2 billion EUR in DJSI-based funds, structured
products, segregated accounts as well as an exchange traded fund
that is listed on Euronext.
The assessment results also provide detailed information about recent
sustainability developments in the corporate world. Across all industries
the integration of economic, environmental and social criteria has
moved further up the business agenda and is increasingly incorporated
into company strategies and core business operations. Comprehensive
sustainability reporting characterized by hard indicators and wider
verification, the definition and implementation of global environmental
and social standards along the entire value chain, reduction of
energy consumption and overall environmental footprint, a clear
quantification and strategic management of corporate brands around
sustainability issues, as well as a growing emphasis on organizational
learning and adaptability characterize many of todays sustainability
Additional information about the results of the annual review for
the Dow Jones Sustainability Indexes is available at www.sustainability-indexes.com/htmle/
CEOs Value Environmental
The chief executive officers of Global Fortune 500 companies polled
by a doctoral candidate at Cambridge University predict that environmental
and social credibility will have a significant impact on the future
reputation and value of multinational corporations.
The survey, released in May by the Judge Institute of Management at
Cambridge University, was conducted in late 2002. The survey asks
CEOs to rate the significance of seven elements of reputation to the
preservation of a positive corporate reputation. The seven elements,
in order of rank, resulting from the survey are as follows: leadership
and vision, quality, knowledge and skills, social credibility, financial
credibility, environmental credibility and emotional connections.
Despite recent financial scandals such as those at Enron and WorldCom,
the CEOs surveyed predict that in the near future social credibility
will be as important as financial credibility, and environmental credibility
will only be marginally less important. Thirty-four of the CEOs from
the Global Fortune 500 completed the survey. If combined, the revenues
of their respective companies amount to almost $5 trillion.
The environmental survey section was worded as two questions: In
a society framed by growing environmental problems, is the company
perceived as adding to the negative legacy that we leave for future
generations? Or is it perceived to be creating environmental value,
and offsetting the actions of less responsible organizations?
Five Receive Green
Five winners have been named in the 2003 Presidential Green Chemistry
Challenge awards given by the U.S. Environmental Protection Agency.
The annual awards recognize businesses and individuals that have discovered
innovative ways to significantly reduce pollution at its sources and
have used chemistry to improve the environment.
* Shaw Industries, Dalton, GA, was honored for developing its
EcoWorx® carpet tile that is safer, contains fewer harmful chemicals
than conventional carpet tile and may be recycled into the same product.
The tile is also 40 percent lower in weight than traditional hardback
carpet tiles, according to Shaw, cutting the amount of raw materials
* Süd-Chemie, Inc., Louisville, KY, developed a process
to manufacture solid catalysts that do not release nitrates and use
16 to 20 times less water than traditional processes. Solid catalysts
are used in producing hydrogen, clean fuels and other chemicals.
* DuPont, Wilmington, DE, was recognized for developing an
innovative, bio-based method that uses renewable resources like corninstead
of conventional petroleum-based processesto produce the latest
building block to make polymers used in clothing, carpets and automobile
interiors. Working with joint development partner Genencor International,
a microorganism was engineered to use sugars from corn and corn biomass
in a fermentation-based process.
* Richard A. Gross, Ph.D., Polytechnic University, Brooklyn,
NY, has developed a new, versatile method to make and modify plastics
from all-natural materials, such as sugars, using an enzyme from yeast.
The method is simple, energy efficient and metal- and solvent-free.
The new one-step process contrasts with multiple steps used in the
traditional method, thus helping to cut costs and reduce the production
of toxic chemicals.
* AgraQuest, Inc., Davis, CA, has developed a bio-based, broad
spectrum fungicide that is not toxic to humans, animals or the environment.
Its Serenade® fungicide effectively controls a broad spectrum
of plant diseases, is environmentally friendly and is non-toxic to
beneficial insects and non-target organisms.
WRI Lauds APA for
Greening Two DC Buildings
The World Resources Institute (WRI) and Think Energy, Inc. applauded
the American Psychological Association (APA) and its property manager,
Trammell Crow Co., for the purchase of more than 20 million kilowatt
hours of green power. APA will buy green power from wind and other
renewable resources for its two Capitol Hill office buildings equal
to 75 percent of its annual electricity consumption.
As an APA tenant, this purchase will help WRI meet our public
commitment to reduce our carbon dioxide emissions to net zero by 2005,
said Jonathan Lash, president of WRI, which is headquartered in one
of the buildings. We invite every major landlord in metropolitan
Washington, DC, to follow suit and let our nations capital serve
as an example of the environmental benefits of green energy.
Austin-based Green Mountain Energy Co. (www.greenmountain.com) will
supply the green power in the form of renewable energy certificates
(RECs). These certificates represent the environmental benefits created
when power from renewable resources such as wind reduces demand from
fossil fuels in the nations electricity system. The green power
purchase represents the energy required to power more than 1,800 homes
annually. This commitment will prevent the emissions of 19,000 metric
tons of carbon dioxide, a major greenhouse gas, into the atmosphere,
which is equivalent to taking more than 3,700 cars off the road for
APA and Trammell Crow received assistance from the Green Power Market
Development Group (www.thegreenpower
group.org), a unique partnership between WRI and 12 major U.S.
commercial and industrial companies dedicated to building corporate
markets for green power. It worked with Think Energy (www.think
energy.net), a renewable energy consulting firm, to evaluate green
power options and negotiate contract terms.
and Climate Change
Corporate Governance and Climate Change: Making the Connection
evaluates how 20 of the worlds biggest corporate emitters of
greenhouse gases are factoring climate change into their business
strategies and governance practices. The report finds that many of
the biggest carbon dioxide-emitting companies are not adequately disclosing
the financial risks posed by climate change and also are failing to
deal with global warming issues in other key corporate governance
areas. The profiled companies include the top five carbon emitters
in the electric power, auto and petroleum industries as well as five
other industry leaders.
A 14-point Climate Change Governance Checklist provides analysis of
these companies actions in the areas of board oversight, management
accountability, executive compensation, emissions reporting and material
risk disclosure. It also describes how institutional investors can
engage companies on climate change as part of the emerging corporate
governance agenda, and includes recommendations for corporate boards/execu-
tives and policymakers.
The report was commissioned by CERES and written by Douglas Cogan
of the Investor Responsibility Research Center. The report can be
downloaded free of charge at www.ceres.org.
People unfamiliar with hydrogen as a fuel source will have the opportunity
to see, learn and experience the future of hydrogen and recent innovations
through interactive exhibits and displays. The Hydrogen Education
Tour will make its debut in Denver at the Colorado Convention Center
on October 11 to 12, with additional stops scheduled for 2004 in Los
Angeles, Washington, DC, and other major U.S. cities.
Organized by HydrogenWorks, a media company devoted to education
and public awareness of hydrogen, fuel cells and clean energy, the
Hydrogen Education Tour will offer information about production, storage
and infrastructure, safety and fuel cell applications of hydrogen.
Ford Motor Co. and the Colorado School of Mines (CSM), a public research
university devoted to engineering and applied science, are headline
sponsors of the Hydrogen Education Tour. CSM has distinguished itself
by developing a curriculum and research program that is geared toward
responsible stewardship of the earth and its resources.
Dr. Geoffrey Ballard, a Time magazine Hero for the Planet,
will serve as a keynote speaker for the tour. Ballard, who founded
Ballard Power Systems and co-founded General Hydrogen, has pioneered
the hydrogen movement through the development of fuel cell-powered
forklifts and hydrogen storage systems.
For more information, visit www.hydrogen.com.
UC Adopts Landmark
Green Building Policy
Establishing one of the first policies of its kind in the nation,
the University of California Board of Regents approved a university-wide
policy for the design of green buildings and a standard
for the use of clean energy. The Green Building
Policy and Clean Energy Standard calls for UC to adopt principles
of energy efficiency and sustainability in its capital projects to
the fullest extent possible, taking into account budgetary constraints
and regulatory and programmatic requirements. In addition, it calls
for the university to minimize its impact on the environment and reduce
non-renewable energy use by purchasing green power from the electrical
grid, promoting energy efficiency and creating local renewable power
sources. The policy will be applied to all proposed and existing university
Keeping America Beautiful
Keep America Beautiful, Inc. selected Anheuser-Busch as the 2003 recipient
of its annual Vision for America Award in recognition of the companys
comprehensive environmental approach to conducting its business, commitment
to environmental causes and many innovations in conservation, recycling,
and animal rescue and rehabilitation.
Anheuser-Busch has an impressive and long-standing record of
environmental stewardship that extends back for more than a century,
said Keep America Beautiful president G. Raymond Empson. Its
corporate environmental philosophy is based on a deeply-rooted commitment
to support the environment and conserve natural resources.
Anheuser-Busch, the largest recycler of aluminum cans in the world,
is the 18th recipient of the Vision for America Award. Since 1986,
Keep America Beautiful has presented this award annually to corporations
that have significantly enhanced civic, environmental and social stewardship
throughout the United States.
Clean Air for Life
Clean Air for Life, a non-profit organization dedicated to educating
Californians on how they can positively impact air quality through
their vehicle choices, has launched a $250,000 fund-raising drive
to raise awareness in California on the strong connection between
smog created by car exhaust and respiratory ailments. Clean Air for
Life anticipates that up to 90 percent of monies raised during the
California Clean Air Challenge will go directly to public service
print advertising campaigns in high impact cities, including San Jose,
Sacramento and Los Angeles.
In 2002, the four most ozone-polluted metropolitan areas and the five
most ozone-polluted counties in the nation were in California. Exposure
to ozone even at low levels can have significant health effects, particularly
for children and the elderly. According to a 2002 American Lung Association
State of the Air Report, the number of children in California who
have asthma rose to 600,000, a 160 percent increase since 1980.
For more information, visit www.clean
Civic Hybrid Earns AT-PZEV Status
The 2003 Honda Civic Hybrid is the first-ever hybrid vehicle to earn
certification as an Advanced Technology Partial Zero-Emissions Vehicle
(AT-PZEV) from California’s Air Resources Board (CARB). The
2003 Civic Hybrid, currently sold in California, is the only hybrid
vehicle to achieve this stringent emissions level, producing about
90 percent fewer smog-forming engine emissions than required of a
typical new vehicle. The Civic Hybrid joins the natural gas-powered
Civic GX as the only two vehicles to achieve AT-PZEV status under
California’s Zero Emissions Vehicle (ZEV) program.
To achieve the AT-PZEV emissions classification, a vehicle must be
a Super Ultra Low Emission Vehicle (SULEV) with zero evaporative
emissions and must carry a 15-year/150,000-mile warranty on emissions
Nanosolar, Inc., a technology leader in easy-to-handle, low-cost solar
electricity cells, has closed $5 million in Series A funding and $1.5
million in venture lease financing earlier this year. Led by U.S.
Venture Partners (USVP) and Benchmark Capital, the Series A round
also included Stanford University and prominent individual investors.
In addition, Nanosolar secured an equipment lease financing from Western
Technology Investment. The company plans to use the funds to develop
its product and establish key supplier, manufacturing and distribution
partnerships. As part of the funding, Bill Gurley of Benchmark Capital
and Arati Prabhakar of USVP have joined Nanosolars board of
Founded in October 2001, Nanosolars technology leverages more
than 15 years of advanced research and development on self-assembling
nanostructures and organic photovoltaics. This technology, originally
developed and licensed from the U.S. Department of Energys Sandia
National Laboratories, allows Nanosolar to optimize organic photovoltaics
at the very length scale at which the relevant quantum physics occurs.
The companys team has attracted world-class experience from
all relevant areas of expertise, spanning optoelectronics, surface
chemistry, materials science, as well as web coating. Nanosolar also
enjoys close collaborations with eminent research and development
partners, including Stanford Universitys Department of Materials
Science and the Sandia National Laboratories, which are also equity
stakeholders and intellectual property licensing partners.
In Boise Office Solutions Help to Enhance and Save Resources,
included the July/August 2003 issue, we reported that Boise Office
Solutions conducted a Paper Audit for the Environmental Protection
Agency (EPA). We failed to emphasize that the EPA cannot endorse
the products or services of specific firms, and urges companies
to compare Boises products and services with those of other
companies before making purchasing decisions. This stance is highly
endorsed by Boise, which welcomes all competitive comparisons to
its Paper Audit process.