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In This Issue
Editor's Note
Entering a New Era of Emissions Management
The art and science of carbon footprinting is about to take a step forward: The long-awaited launch of the Scope 3 standard for value chains and the Product standard for life-cycle analysis is just around the corner. While the measurement of the internal or operational emissions of Scopes 1 and 2 of the Greenhouse Gas (GHG) Protocol has always been straightforward, and thus rapidly adopted, the measurement of Scope 3 emissions—which cover a more complex set of issues—has sparked many debates over interpretation.
In this week's feature article, BSR's Climate and Energy Manager Ryan Schuchard interviews the World Resources Institute GHG Protocol Initiative's Director Pankaj Bhatia to get a preview of the imminent Scope 3 standard, and how companies can benefit from more robust emissions management.
Next, we cover BSR’s recently released report that provides recommendations and resources for identifying water pollution risks in the global electronics supply chain.
Finally, we examine the results of Eurosif’s latest study on ESG integration and reporting in emerging markets, which found that South African and Latin American companies are the most advanced on ESG issues.
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In Depth
Scope 3 Preview: An Interview With WRI’s Director of the GHG Protocol
Interview with Pankaj Bhatia, Director, GHG Protocol Initiative, World Resources Institute, by Ryan Schuchard, Manager, Climate and Energy, BSR
As life-cycle and supply chain information becomes more ubiquitous and demands for transparency continue to increase, Scope 3 emissions management is becoming undeniably more attractive to companies. In a conversation with WRI's Pankaj Bhatia, we explore how the upcoming Scope 3 standard will help companies, which kinds of companies should use it, and what kind of data companies will need to collect.
Read more →
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Toolbox
Mitigating Water Pollution Risks in Electronics Supply Chains in China
BSR's new report, "Electronics Supply Networks and Water Pollution in China</a>" provides global electronics companies with context for China's water challenges, discusses results of a supplier risk assessment conducted on behalf of Electronic Industry Citizenship Coalition (EICC) member companies, and presents recommendations and resources for identifying water pollution risks in the global electronics supply chain.
For this research, BSR assessed the environmental performance of 640 electronics suppliers in China using the Institute of Public and Environmental Affair’s pollution map, an online database of publicly available records of environmental violations. Of the companies reviewed, 33 showed poor environmental performance. Detailed findings and analysis are available in the report, but highlights include:
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The majority of poor performers are clustered in the Jiangsu and Guangdong provinces, and the most common product identified is printed circuit boards.
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More than 20 percent of suppliers cited for environmental citations have had multiple violations.
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Pollution risks are shared across supply chains, with 30 percent of poor performers linked to multiple buyers.
For more information on water challenges in China, contact Laura Ediger.
Quick Hit
ESG Integration in Emerging Markets
By Elissa Goldenberg, Associate, Advisory Services, BSR
Eurosif's "Emerging Markets Report</a>" explores the integration of ESG factors into business operations and reporting by companies in emerging markets, which is on the rise but still lower than in developed markets
The chart below shows the degree of ESG integration in developed and emerging markets. Among emerging-market regions, South African and Latin American companies are the most advanced on ESG issues, and South African companies scored higher on average than those in the United States and Canada. The chart shows the total number of companies in the research sample as well as the highest, lowest, and average degree of ESG integration for a company in a given group.
Other report highlights include:
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While nine out of 10 emerging-market companies provide disclosure on environmental and/or social issues, the proportion of companies providing external verification or adopting recognized reporting guidelines drops significantly.
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Forty-two percent of emerging-market companies make environmental commitments, but they remain weaker on implementation and tracking progress.
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Chinese companies greatly underperform with regard to the integration of social issues, particularly when it comes to labor and corruption policies.
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