The science community has been talking about climate change for the best part of 30 years now. But the words ‘business’ and ‘climate change’ were not usually used in the same sentence. For the most part, they were different ‘tribes’. Resource efficiency has always been something that good business operators have prioritised, including doing more with less, and investing in the plant and equipment of their operations to make them optimal.
Tackling climate change and committing to net-zero are now mainstream terms across the Australian community, we saw that in the recent election results and the rise of the ‘Teal Independents’. Driving this push is a shifting consumer sentiment, a shifting investor sentiment as well as business operators understanding more about the risks to their operations.
As the Chamber of Commerce and Industry here in South Australia, we have witnessed this change across our membership and the broader business community.
We ran a survey in 2018 and at that stage, 61% of businesses believed their customers expected them to do their part to reduce carbon emissions. In a new report from the South Australian Business Chamber and our partners at William Buck, 72% make action a priority and 63% have already introduced new measures to reduce their impact.
So, what are businesses doing?
How have they done it? Well, 80% have simply gotten on with their own R&D to work out what to do. This initiative is to be applauded but it also shows there is an opportunity for supporting bodies, like us, like the relevant government agencies, to provide training and support in this area.
Our members told us that they care about their children’s futures, they understand the implications on their brand and that consumers are looking for more sustainable options, and that it is expected of responsible employers.
While it has been a common assumption that promoting pro-environmental behavior in the SME community needed to focus on a narrative of economic growth, less than a third of our business community were motivated by the advantages of reduced business costs. Whereas more than two-thirds wanted to protect the environment.
In terms of cost, this was an interesting result – 42% said it was costly, 44% said it was not – however more than 70% would do it all again even if they knew the cost. Less than 5% said the investment was too much or not worth it.
There is lots more to unpick and we are providing practical support for businesses to understand what net-zero means to them. With funding from Green Industries SA, this year we have taken 40 SMEs through an education and coaching program to help them. These businesses have increased their understanding from a technical sense and also from a stakeholder engagement perspective.
We feel encouraged by what the South Australian business community has told us in this new report and initiatives like the Tonsley Accords will support a shared South Australian purpose to achieve our net-zero targets.
