Environmental CSR on the rise as developed nations lead the way for eco-innovation

The environment is finally getting noticed. Last year, the COP26 summit brought groups together to speed up action to achieve the Paris Agreement and the UN Framework Convention on Climate Change goals.

World over, countries and organisations are putting efforts into motion to sustain the environment. Reuters published a report about how in Scotland, environment conscious millionaires are purchasing large pieces of land in the Highlands to change the way they’re managed.

And high time, considering capitals are having to shift because of land sinking. Recently, CNN reported that the Indonesian capital Jakarta will be shifting to Kalimantan and will be renamed as Nusantara as the city is sinking rapidly.

Read more: EV Bharat: What’s stopping Indian Electric Vehicles from ruling the road?

Recently, Juniper Research ranked Shanghai as the world’s number one smart city for 2022. The research especially commends Shanghai’s Citizen Cloud as a one-stop point for over 1,000 different services for city residents.

“Many cities have deployed technology and data to help local authorities reduce environmental impact and energy usage,” remarked research co-author Mike Bainbridge.

The research also found that apart from generating almost US$70 billion in spend annually by 2026, smart city initiatives will focus a lot on smart grid initiatives, which will save over 1,000 TWh of electricity in 2026; equivalent to more than five years of energy consumption by Greater London at present levels. Juniper expects energy savings alone to reach US$96 billion in 2026, making their deployment highly cost-effective in most instances.

Green innovation is a key aspect for organizations to realize sustainable development strategy in emerging markets

Are economic complexity and eco-innovation mutually exclusive to control energy demand and environmental quality in developed (E7) and developing (G7) countries?

Most of the member countries of COP21 are trying to create relevant policies to control carbon dioxide (CO2) emissions since the Paris agreement in 2015. Some say that variables such as ecological innovation and export diversification play a role here. A study aimed at finding out the impact of export diversification and ecological innovation on carbon emissions for G-7 countries from 1990 to 2017, and renewable energy consumption recommends the promotion of renewable energy, along with the adoption of environmentally friendly technology for G-7 countries.

CSR is on the rise too. Reuters reported that European oil companies intend to spend their profits from high energy prices on making the shift to Small Oil. Companies like BP, Royal Dutch Shell, TotalEnergies, Equinor and Eni will return cash to shareholders as they start riskily moving towards low-carbon and renewable energy.

The growing pressure from investors, activists and governments to tackle climate change means that European oil giants are turning off the taps on spending on oil even as the outlook for prices and demand remains robust — Reuters

“The growing pressure from investors, activists and governments to tackle climate change means that European oil giants are turning off the taps on spending on oil even as the outlook for prices and demand remains robust,” said Reuters.

According to Automotive News Europe, Japan’s Sony will be launching a company to enter the Electric Vehicle market, with the aim of playing a bigger role in next-generation mobility.

“With our imaging and sensing, cloud, 5G and entertainment technologies combined with our contents mastery, we believe Sony is well positioned as a creative entertainment company to redefine mobility,” Sony chairman and president Kenichiro Yoshida said at the company’s CES 2022 keynote event.

Do CSR practices contribute to green innovation?

Green innovation is a key aspect for organizations to realize sustainable development strategy in emerging markets. A study that surveyed 424 manufacturing companies in China found that CSR practice definitely encourages green product innovation and green process innovation.

Read more: EV Bharat: Indian Electric Vehicle market in the next 5 years

Progress inadvertently leads to innovation. According to Reuters, Walmart is planning to employ over 3,000 delivery drivers in the US as it creates a fleet of electric delivery vans to boost its in-home grocery delivery service, in a bid to fulfil its last-mile fulfilment network.

It is predicted that blockchain will bring a novel paradigm in the approach of transactions implemented in the renewable energy supply chains by decreasing the number of intermediaries, delayed payments, and high transaction lead times.