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  • Climate, Energy and Sustainable Finance

Future proposals for an incandescent country

  • Posted in 05/10/2018

Article originally published in Pontes Magazine, volume 14 – number 7

 On the night of September 2nd, all of Brazil witnessed flames devour 200 years of historical archives. Twenty million items disappeared, consumed by the fire that engulfed the National Historical Museum in Rio de Janeiro. The tragedy garnered hours of television coverage, international media coverage, and days of debate over who was responsible for the fire.

The fact is, there had been long-standing fears that the Museum was on the brink of catastrophe. Visitors over the past few decades could see the cracks, the signs of structural problems, and the high risk of fire. We all toured the structures, observed the future rubble, and did nothing—except for a few comments about the neglect of our history and our public assets. All this, without realizing that, by failing to report, act, mobilize groups, or even debate the issue more seriously, we could be accused of the same neglect.

We turn a blind eye to actions we consider "too big" or "too heavy." We shift these burdens to the government, to which we attribute the civic duty of managing our ancestral assets, our present, and, of course, our future. Thus, we absolve ourselves of the responsibilities of a good citizen and occupy the position of spectator.

Assigning responsibility for public life solely and exclusively to state institutions, or failing to seek innovative solutions from the private sector to contribute to public governance, is a way for modern man to live with his own lack of collective responsibilities – which reveals, through television images, not only a museum in flames, but a portrait of today's incandescent Brazil.

On the eve of the most polarized elections in recent Brazilian democratic experience, when proposals are submerged due to the difficulty of achieving commitments among the agents that make up society, the incandescence of the National Historical Museum is the sadly ideal portrait to demand a pause for reflection on our role as individuals in a plural society, responsible for building the future of generations.

Talking about museums, historical artifacts, fossils, and imperial thrones seems out of place in an article whose initial purpose is to discuss the future—sustainable development and the priorities the new head of state must choose to build a more sustainable Brazil in the coming years.

But everything is directly interconnected, and it is from this direct connection between social agents (governors, control bodies, companies, individuals) and the ways of expanding the links between these agents that Brazilian Business Council for Sustainable Development (CEBDS) has been constantly addressing this issue throughout its 21-year history. What is my role as an individual in building a sustainable future? How can my company contribute to leading Brazil to a more sustainable tomorrow? What public policies are necessary to promote sustainable development? How many answers to these questions can we use to reflect, exchange experiences, and effectively fulfill our responsibilities together, joining forces to transform the future and ensure sustainability as a permanent pillar to dictate the direction of Brazil?

O CEBDS summarized these questions in a single question posed to the CEOs of the major Brazilian companies that are among its members. Furthermore, it encouraged these business leaders to identify the bottlenecks that prevent the country from growing sustainably and jointly present ten proposals to be developed over the next four years. This aims to put Brazil on the path to a more sustainable future.

What kind of country are our businesses building? Based on this motto, executives mobilized their teams and set to work drafting the document that is being delivered to Brazilian presidential candidates. The idea is that, over the next four years, the unfolding of these proposals into effective actions will be closely monitored by the CEBDS and its associated companies with elected officials in all spheres of public power.

The “Schedule CEBDS for a Sustainable Country” effectively addresses the following points: i) energy efficiency in the service of competitiveness; ii) transition to a low carbon economy; iii) urgent measures to expand basic sanitation and implement a national reuse law; iv) financial mechanisms to stimulate a sustainable economy; v) greater representation in the labor market; vi) valuation of natural resources as a strategic factor; vii) greater participation of sources of renewable energy in the energy and electrical matrices; and viii) public transport with emission reduction targets.

As representatives of the business sector, we do not have the ambition to cover all the issues that should be made priorities for the next Presidency, much less provide immediate solutions. However, we believe that if sustainability is seen as a business-friendly factor, the experiences of our companies, summarized in these proposals, can effectively help transform Brazil. The term "sustainability" has long ceased to be associated solely with the environment and—in the triple bottom line concept—also encompasses the economy and social aspects.

Regarding economic losses, for example, there are already projections that indicate the magnitude of the price to be paid if nothing is done. The value of financial assets at risk related to climate change worldwide is expected to reach US$1,400,000 billion by 2100. In the insurance market, considered one of the most advanced in pricing the financial impacts of climate change, the volume of annual coverage disbursements jumped from US$1,400,000 billion in 1980 to US$1,400,000 billion today. Faced with this threat, the role of the business sector goes beyond quantifying and contingency planning for losses arising from the threat looming on the horizon.

Undoubtedly, responsibility begins with the way companies conduct their business—from contracting suppliers and establishing supply chains to delivering their products and services, so that economic development is planned with a long-term objective. Among other things, this means making appropriate use of forests for the bioeconomy and low-carbon products. In the financial sector, adopting more rigorous credit granting practices is also a decisive factor, and some progress has been observed in recent decades in this regard. However, for this effort to yield tangible and sustained global results, there must be a broader mobilization, with the joint efforts of the business sector, government, and society as a whole around proposals and solutions.

Ignoring this evidence is profoundly irresponsible. Individually and collectively, publicly and privately. It's like turning a blind eye to the cracks and exposed wires of the Museum, now burned down. The transition to a more sustainable future requires wide-open eyes, a sense of community, and immediate action.

* Ana Carolina Avzaradel Szklo is Director of Institutional Development and is in CEBDS since 2014, where he is a focal point for the World Business Council for Sustainable Development (WBCSD, acronym in English) and responsible for the Thematic Chambers and institutional projects and initiatives.

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