Killing the Climate Myths

May 24, 2009 | In: Business, Policy

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Founder
Copenhagen Climate Council

Copenhagen can actually deliver a significant result for the benefit of future generations, but business leaders and governments must think beyond the climate myths argue Danish Minister of Climate and Energy Connie Hedegaard and Erik Rasmussen, founder of the Copenhagen Climate Council.*

Ten years ago, many people thought that there was no climate problem. They were – unfortunately – wrong.

Five years ago, many people thought that we didn't have the ideas and technologies to lower emissions dramatically. Wrong again. Through innovation, we are capable of making electric cars, insulate houses, and tap clean energy from the sun and wind to hit the right low-carbon path. It is not easy, but it is possible, given the right framework and collaboration between policy and business.

In the last three years, even the economic excuse – that it is too costly to shift from fossil fuels to low-carbon solutions – has been eradicated. A series of studies clearly show that low-carbon growth is not only good for the planet, but it is also the most logical long-term way out of the economic crisis. Huge opportunities await in new, green markets. It is no coincidence that the two most energy-efficient countries in the world – Denmark and Japan – are competitive and wealthy.

Preventing dangerous climate changes probably costs us around 1% of global GDP per year in the next decade or so. It's less than what we spend on subsidizing fossil fuels. It is affordable.

Now, it is time to kill the two last myths. 1) That business isn't willing to contribute and 2) that we don't have the decision-making system to reach a new global climate change treaty.

It is up to business itself to kill the first myth. Over the last 2 to 3 years, we have seen business groups and individual corporations become more and more outspoken when it comes to environmental regulation. A large group of frontrunner companies, some of them the world's largest businesses, have realized that ambitious, long-term global laws to prevent climate change is good for the bottom line. It creates certainty, lower energy costs and resource security.

This week, hundreds of CEOs and board members will meet in Copenhagen to provide input for the climate negotiations leading up to the U.N. Climate Change Conference, also taking place in Copenhagen later this year. The World Business Summit on Climate Change is a unique opportunity for business to demonstrate their true commitment. That they are willing to go beyond soft-spoken corporate social responsibility jargon and actually support a new, ambitious climate deal that puts a price on pollution. The Danish government will take the input to the negotiating table, because mobilizing the innovation power in corporations is crucial to reach an effective agreement.

The second myth is a shared responsibility. We often say that the U.N. climate negotiations are too little, too late, and too slow. The reality is, however, that they are as good as we want them to be.

The U.N. process is there, it includes 192 countries, and since 2007 they have shared a vision of a world that controls climate change. We even have a detailed roadmap leading to a decision in Copenhagen in December this year.

If all the critical players show dedication, pragmatism, and true political leadership it will work.

This is a historic opportunity and something to be cherished, not bashed. The real danger is that if we keep saying that the process isn't good enough it will become a self-fulfilling prophecy.

If we instead show leadership and pragmatism, Copenhagen can actually deliver a significant result for the benefit of future generations. But for business leaders and governments, it requires thinking beyond the myths.

Connie Hedegaard is the Danish Minister of Climate and Energy; Erik Rasmussen is the Founder of the Copenhagen Climate Council and CEO of Monday Morning.

 

*Editor's Note: This commentary first appeared in the Danish-language daily Berlingske Tidende.


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