When the Bottom Line Becomes Green
Jared Diamond, Pulitzer Prize-winning author of Guns, Germs and Steel, believes that humanity’s best chance for a renewable energy revolution actually lies in the assets of big business.
He explains how corporate giants like Coca-Cola, Chevron and Wal-Mart are making some of the most financially significant contributions to the emergence of a cleaner world for no reason other than that it seems to suit their bottom line. In Wal-Mart’s case, the move to overhaul its supply chain is poised to save the company and its shareholders an estimated $26 million a year. At Coca-Cola, policy makers have invested in clean water initiatives for the developing world because they realized that if people couldn’t get their hands on drinkable water, they’d be pretty unlikely to put much priority on enjoying an ice-cold Coke.
Typically, big petroleum has shown an intimidating ability to play the system, find loopholes, bully the poor or pay lawyers indefinitely to ‘ice the legal puck’ indefinitely over issues that concern the ethics and legality of their activities. Yet oil giant Chevron is also leaning towards sustainability with its operations in Papua New Guinea which seems to be an attempt to diffuse the dissent of locals, and avoid the hassle of regulatory tap-dancing. Inside sources claim that Chevron is caving to the pressure from investors who are beginning to demand sustainable operations and assurance of the ability to avoid bad press.
Renewable energy is a matter of consumer choice, risk evaluation and competitive advantage in a business world that is starting to look green.
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