International and Corporate Leaders Discuss Climate Change, Profitability of Reducing Carbon Emissions

Business Wire, March 30, 2007

The Climate Group, Sir Nicholas Stern, McKinsey Global Institute and Prominent Business Leaders Meet to Address the Economics of Global Warming

SAN FRANCISCO -- The Climate Group will host a briefing on the economics of climate change featuring Sir Nicholas Stern - head of UK Government Economic Service and former Chief Economist of The World Bank - followed by a discussion with a select group of prominent business leaders and members of the McKinsey Global Institute. The event is the first opportunity for U.S. business leaders to engage in a private briefing with Sir Nicholas, author of the Stern Review on the Economics of Climate Change.

The far-reaching and candid discussion, "Climate Change: The Bottom Line," will explore recent findings on the economic impacts of both action and inaction to address climate change and the ways corporations are discovering economic opportunities as they reduce greenhouse gas emissions.

"Global warming is rising to the top of corporate boardroom discussions due to its effect on our global economy," says Nancy Skinner, U.S. Director of The Climate Group. "Our research shows that there is an ever growing cohort of companies that have managed to reduce their carbon footprints in a way that is consistent with strengthened operational performance and economic productivity. We are hosting this business panel discussion to draw attention to this trend."

Participants in the business leader discussion include Sir Nicholas Stern, Head of UK Government Economic Service and former Chief Economist of The World Bank; Lenny Mendonca, Chairman of the McKinsey Global Institute; Diana Farrell, Director of the McKinsey Global Institute; Martin Uden, Consul General of British Consulate-General San Francisco; Tom King, CEO of PG&E; Joe Pettus, Senior VP of Safeway; Jim Wunderman, CEO of the Bay Area Council; and Nancy Skinner, U.S. Director of The Climate Group; and others.

"The diversity of the businesses participating shows that the economics of emissions reduction interests a wide range of companies," Ms. Skinner said. "We expect the discussion will include specific examples of what's already been rolled out on a global level so that we can build on best practices."

Recently, The Climate Group issued their 2007 edition of the Carbon Down, Profits Up report, which profiles 84 companies that have cut greenhouse gas emissions by using energy more efficiently, increasing reliance on renewable energy and switching to lower carbon fuels. Over 20 of the companies profiled achieved emissions reductions of 25 percent or higher while increasing profits and lowering costs. The report highlights an array of businesses successfully achieving absolute reductions totaling millions of tons of CO2 and shows that none of the companies listed experienced a negative economic impact from their actions.

"Climate change is real and the time for action is now," says Tom King, CEO of PG&E. "Taking immediate and concrete measures to reduce greenhouse gases is the right thing to do, and has the potential to deliver significant economic benefits. As climate change becomes a central business issue globally, it's increasingly clear that adopting an emissions reduction strategy is a business imperative."

The data presented in Carbon Down Profits Up demonstrates abundant economically attractive actions taken by companies across all economic sectors. Dow Chemical, for example, cut company CO2 emissions by 32 per cent between 1994 and 2005 saving $4 billion in the process. DuPont achieved a 60 per cent reduction in emissions and saved $3 billion in energy efficiency improvements alone.

"Addressing greenhouse gas reductions will take bold leadership. It's a global problem and will require a global solution," says Joe Pettus, Senior VP of Safeway. "Our hopes are that meetings like the one held today will draw attention to those companies taking an active role in reducing carbon emissions and driving new markets in climate solutions."

The Climate Group is a nonprofit organization with offices in London, San Francisco, New York and Melbourne that communicates the business case for solutions to climate change and mobilizes corporate and government leaders to take decisive action to accelerate the transition to a low carbon economy. For more information, visit www.theclimategroup.org.