You are on page 1of 14

Trends and Issues Management

Made by:
Nicole Phoa 1157303
Carla Ratering 1143200
Janneke op de Weegh 1164023

In order of:
Dhr. Martin Karemaker

Hand in date:
29-03-2006

Content list

Introduction P. 3

1. Trends in Society P. 4- 8
1.1 Green Energy P. 5
1.2 Hyves P. 6
1.3 I-pod P. 7
1.4 Navigation system P. 8

2. Consumer behavior according to 11 trends P. 9 – 13
2.1 Carla as consumer P. 10
2.2 Janneke as consumer P. 11
2.3 Nicole as Consumer P. 12- 13

3. Issue Management Plan on Green Energy P. 14 - 25
3.1 Disruption of the landscape P. 15 - 20
3.2 Prices of Green Energy P. 21 - 25

Introduction

For this report, we have included three assignments on Trend and Issue Management.

• Trends in Society
Within this chapter, we have included four trends within society. These trends
are familiar within several age groups.

• Consumer behavior according to the 11 trends
In this chapter, we will individually describe what kind of a consumer we are and
why we think that particular shopping trend fits us

• Issue Management Plan
In this plan, we describe two issue which occurred within the trend “Green
Energy”.

Trends in society
In the first part of this assignment, we will discuss four trends within society.
These trends will be discussed by their mega level. maxi level and micro level in
the Dutch society. The following trends are discussed:
• Green Energy
• Hyves
• I-pod
• Navigation system

Trends in society: Green Energy
An important issue that return many times within the environmental organizations
is the green house effect. This is increasing, which has a negative effect on the
environment and should be changed. Every person in the world can help with this
process by accepting Green Energy instead of Grey energy

Grey energy is aroused by durable energy, like gas and coals, which is a damage
for the environment.
Green energy is aroused from permanent energy sources, by burning of wood and
waste, sun-energy, wind and water. The idea behind the green energy is an decrease
of carbon dioxide (CO2) and therefore an decrease of the green house effect.

Mega Level
The green house effect is increasing, because of the many exhaust gasses that are
present within the whole world. This process is harmful for the environment and
should change. Green Energy is a product that will help to change this process,
because it is made of environmental energy sources like wind and sun, that are
not harmful. This product is positive for the environment and towards all
inhabitant of the whole world..

Maxi Level
The presence of Green Energy has increased the awareness within society towards
this product and the environment. It is important that people think about
environmental issues and the consequences for the future. The increase of green
house effect has negative influence for the future and so for their descendents.
Society should start to think to use green energy instead of grey energy. At this
moment a few people in society has agreed upon Green Energy, but many people have
not seen the importance yet.

Micro Level
At this moment, people become more aware about the environment. The increase of
the Green house effect as opened the eyes of many people within society. It is
good that people start to realize that the environment is too important to leave
it behind them. Since the day that Green Energy has been introduced, more people
started to use sun energy and wind energy, which supports an healthy environment
for all people within the world.

Trends in society: Hyves
Meeting new friends happened many times during humans lives. Mainly through
personal contact at school, work or in the train. Times have changed and the world
became more international. People wanted to meet and learn more about other
cultures and people. Traveling is just too expensive for many people and Hyves is
a very good alternative.

Hyves is a Dutch social networking site to build an online (inter) national
friends network. It is created 1.5 years ago by three just graduated students from
Amsterdam. Every person within the world has the opportunity to open their own
profile. On this profile, people set photographs and messengers and shares these
with their (inter) national friends. Hyves gives also the opportunity to cheat by
friends of you own friends to broader your people network.
The majority of Hyves member’s are Dutch, but they also are very popular in Peru,
United States, Mexico and Iran. Within these 1.5 years, Hyves has attracted half a
million members.

Mega Level
In this time era, studying and working abroad are aspects that become more
familiar within the world. People do want to keep contact with their family and
friends back home, but also want to keep in contact with the persons they met
abroad. Through this aspect the world becomes more global, because of the many
people that remain contact from the country they life or lived.

Through Hyves, the world is connected with each other and get access to people and
cultures that people know and do not know (yet). An whole global network will be
made through al the experience abroad from a work placement to a vacation and the
persons they met through the internet (Hyves)

Maxi Level
Hyves creates societies own network online. A network create cooperation between
several persons in society, because they will ask favors from each other. If one
person can not help their network friend, they will know another person from their
network who can help their friend. Through this system, people create a huge
interesting network of new friends world wide. People care about networking more
and more in this society where traveling all over the globe occurs very often.

Micro Level
Through Hyves, many people within the world receives new contact and friends.
These new contacts can be an eye opener for humans, because they will learn on how
people on the other site from the world live. It is definitely possible to make
friendships for live through Hyves.

Trends in society: I-pod
There has been a huge technological revolution in the past years. In the 1970’s
it was not possible to listen to music on you’re bike or during you’re daily walk.
This changed when the walkman and a few years later the disc man were introduced.
At this moment, these technologies are not cool anymore and an I-pod is necessary.

The I-Pod puts a whole show into the user pocket, because it supports for up to
15,000 songs, up to 150 hours of video on a 2.5-inch color display, a full-color
album art and up to 25,000 photos. Since the first I-pod was introduced many new
version have become at the market, the newest versions become lighter and
smaller, because of the still ungoing technological revolution. At this moment,
you can put all your music in your pocket and still have room for, practically
everything else.

Mega Level
With an I-pod, an user has their own made shown in the pocket. A user can include
15.000 songs, 150 hours of video and 25000 photo’s in one I-pod. In the present
society, People want to be entertained for 24/7, which is possible by using an I-
pod because it creates entertainment for every moment of the day.

Maxi Level
An I-pod is small, but has a huge amount of space for entertainment. During night
and days, users are able to enjoy their show. Users just have to push the bottom
and one of the 15000 songs will be played. It is an comfortable and easy product
to be entertained at times that you are bored or can not do anything useful, like
in the bus or on you’re bike, because it provides the user with all kinds of
possibilities (such as photo’s, video and music).

Micro Level
I-pod users do not have the possibility to be bored. They have the possibility to
use this product at every moment they want to. An I-pod can be used during almost
every activity of the users, because it becomes easier to take with you and hide
it in you’re pocket of bag.

Trends in society: Navigation system for motor vehicles
Navigation systems for motor vehicles have become rather popular among vehicle
owner. Many human beings must travel daily with their car for their work to visit
places. In the past, it was necessary to have the ability to read a road map which
not everybody found easy, but this is not necessary anymore as long as the vehicle
has a navigation system.

A navigation system is an assistance device for a vehicle consisting of an on-
board terminal, a manual controller, and the possibility to communicate through a
radiotelephone network. These three possibilities cooperate together to recognize
the owners’ requests made verbally or through a keyboard to the on board terminal.
This system will lead you to your destination by visual and verbal instructions.

Mega Level
The world is becoming more international. Many people have the opportunity to
travel farther away than a few years ago. The cause for this new trend is the
growth of the welfare of many people. Within the present society. people have the
opportunity to spend more money on traveling by airplane and by car.

The welfare, the many multinational organization and the decisions made by elderly
to have a second home abroad are all examples which shows that the world becomes
more global. Due to a navigation system, people will easily travel further away
to visit more places on the globe.

Maxi Level
Navigation system creates an easy way to travel by motor vehicles, like cars and
motors. The driver does not have to look at a map to find the place where he has
to go to. Now, the driver just has to pay attention on the driving aspect and to
listen to his navigation system. This system will bring him to the right place and
he does not have to spend any time to look at maps. A navigation system is no
excuse to be late at any place!

Micro Level
Navigation systems work through a visual map, which owners of such a system can
buy in shops. These maps consist of a very detailed description of a particular
area within the world, such as Europe, United States of America.
The drivers will be shown his way toward his end positioning through visuals and a
verbally spoken computerized person, even the most difficult places, like small
streets, are no problem for this system.

Consumer behavior
In this part, we argue what kind of consumers we are in our daily lives. We have
used the 11 trends of from the book 60 trends in 60 minutes.
Consumer behavior: Carla as consumer
Nibble and nap.

The statement that in the past there were 5 main events: waking up, breakfast,
lunch, dinner and bedtime seems a little easy, but the main rhythm is correct. For
many people I think this is still the way they live, but since I live in a student
house, my perspectives on that have changed a little.
In my house, people eat at the strangest times and also sleep during day time. So
I think the statement of nibble and nap is correct. We have replaced our
structures and daily events with snacks and rest periods.

Of course you have to wake up in the morning, but I often do that in such a hurry
that I don’t have time to eat my breakfast. Then after 1 hour I start to get
hungry and grab a snack (this can vary from 10 AM till 5 PM). I always have
dinner, but the times also vary a lot. Sometimes I eat at 5 PM, because I have to
go somewhere and sometimes I eat at 8 PM. Of course you also have to go to bed,
but being a students, the times that I go to bed also vary a lot. Sometimes I go
to bed at 6 in the morning, so then my whole day rhythm is changed.

This is a very latterly explanation of the trend that is going on, but it is
something that also effects our lives as a consumer. Because people don’t have a
steady rhythm anymore, supermarkets stay open until 10 PM, you find more and more
take away restaurants, stores and some supermarkets are open at Sunday. All these
things are done to make sure that the consumer are capable to buy what they want,
when they want it.

50 years ago it wasn’t possible that a supermarket stayed open until 10 PM, but
now, because everybody is busy and doesn’t have a steady rhythm, this all changes.
More and more stores and shops are adapting to this trend.

Consumer behavior: Janneke as consumer
Faux authenticity

It is difficult to put yourself in a box that contains a name. Out of the eleven
trends, I do think that faux authenticity is the most me. It is mentioned that
persons within this box have a feel for real, I see this as a feel for the real
ME, in the past and future. Every aspect within my life must feel genuine to me, I
must feel comfortable in (almost) every situation from buying a new cloth to
meeting new people.

In my life, I have experience many ups and downs. These ups and downs have created
me to the person that I am this day and shown me who I want to be in the near
future. These situations in the past have helped me to see that I am a real person
with feeling and meanings and that some decision weren’t me, but now they are.

In your life, you change many time. Some of the changes hurts and some of them
don’t, life and death are close connected to each other and so are experiences of
happiness and sadness. All adventures in my life, the adventures of buying a
special product for a special person or occasion and my adventures of leaving
everything behind and follow my dreams were hard to me but become one of me, one
of whom I felt it was right.

During all my decisions, experiences and ups and downs it was hard to talk against
my own feelings. If my feeling tells me: “Janneke, this is something that does not
fit you” or “Janneke, this is not you”, I won’t buy it or won’t participate. If I
disagree with my feeling and do agree to buy it or participate in it, I know that
it will turn against me. I will regret this situation and be down for a few
minutes, hours or a day.

People have to be genuine as well. If I have the feeling that a person is playing
a game with me or with others, I will avoid them. To me, friendship and family are
too important to loose, so when I see such a person I won’t buy a cloth from them
( I will come in another time) and I won’t listen to them.

It is shown that I am a person that needs a special feeling, a genuine feeling,
before I take action and buy it, agree on it and participate on it. A purchase
must mean something to me, it must fit me. I look like a picky person, but I am
definitely not. I just think that it is a waste of time and money if you can not
make a good and real decisions for yourself, which I do now.

Consumer behavior: Nicole as consumer
The frugal rich

A student’s lifestyle reflects their class most of the time. Good rooms are hard
to get in Utrecht. By ‘good’ I mean: price vs. size, housemates and above all
location.

My parents do not consider themselves as being rich, but compared to the average
Dutch family we could be considered upper-middle class or even lower-upper class.
They were just at their place at the right time. As my father likes to say “Income
is short-term, wealth is long-term”. You can spend all your income every month,
but you will not create wealth that way. A large income can make you feel
important, it may trigger the need to indulge and show the world what you have to
spend, but creating wealth is about making the right decisions about money. It is
about balancing what to spend and what to invest. My parents do not like to spend
beyond measure. They prefer to multiply their wealth by investing in their
practice and house. I’m living according to the means and values which my parents
taught me, so it’s logical that I’m also a frugal consumer. Personally it is sort
of a lifestyle choice. Maybe it is a sign of people becoming more educated as
consumers, because I’m learning from my parent’s mistakes.

My consumer behaviour is basically to think long-term. Not only money wise, but
also environmentally wise. I recycle with my housemates and I support several good
causes such as WNF, Oxfam and Unicef. I want to simplify my live. Frugal people
are looking to cut their consumption on every level. When I’m doing groceries, I
prefer to go to Albert Heijn for the quality, but I do not hesitate to shop at the
Aldi either.
When it comes to clothing, I prefer some basic items and some seasonal items.
Sometimes I would indulge myself and buy a fashionable bag or clothes, but it has
to look really good.
Vintage is the thing for me, I like to be unique. Luckily in the last few years,
vintage has become hot, because vintage means value. Vintage fashion is often the
closest thing to couture for a girl on a budget. Yet the true value of a vintage
piece doesn't dwell in its collectibles, its rarity or even its bargain price.
When you wear vintage clothes you simply look like no one else. All you have to do
is act fast and keep your eyes open.

Sometimes associated with the concept of frugality is a philosophy in which one
does not trust, or is deeply wary of, 'expert' knowledge, often from commercial
markets or corporate cultures, claiming to know what is in the 'best' economic,
material or spiritual interests of the individual.”

Consumer behavior: Nicole as consumer
I partly agree with this definition. I believe frugality also has to do with the
society we live in. People live their lives so fast, they do not stop and enjoy
the simple things in life. What I save now, I can enjoy even more when I’m older.
You just have to live within your means.

Issue Management Plan
The final part of this report consist of two Issue Management Plans. Two issues
concerning green energy will be discussed, which are:

• Disruption of the landscape in Egmond aan Zee, the Netherlands
• Prices of Green Energy

These two issues are both discussed in a separate issue management plan, written
underneath.

Issue Management Plan: Disruption on the landscape
1.1.Issue
Our issue is that Green Energy doesn’t only have advantages, but also some
disadvantages. Of course, in most cases Green Energy is good for the environment,
but in some cases it also causes disruption of the landscape. In front of the
coast of Egmond aan Zee a windmill park will be build. The park will be build 10
kilometres from the coast of Egmond, and it contains 36 windmills with a height of
100 meters.

This windmill park will not only cause a disruption of the landscape, but also 10
000 birds will die each year, because the windmills will be placed in their route.

In the future many companies will switch to green energy, so the facilities have
to be made already. There were a lot of protests by the inhabitants of the region
of Egmond and the Vogelwacht Egmond, because of the disruption of the landscape
and the great number of birds that will be killed. The government passed a law
which states that a subsidiary is given, so that wind energy was made economical
possible.

1.2.Possibilities
Of course it is a positive development that more Green Energy is won. The energy
is very durable and isn’t likely to run out any time soon. However, the fact that
the windmill park in Egmond will cause many birds to die, asks for some other
possibilities. These possibilities can be found in the use of more solar energy or
by building the windmill park somewhere where not so many birds get killed (this
could be done by placing the windmills further away from the shore).

Nuon, Shell and the congregation of Egmond ignored all the protests from the
inhabitants and just implemented their original plan. They argued that far less
people were against the park than was originally thought. As a consequence, the
involved parties organized different information meetings, to try and persuade the
inhabitants. This is also a good possibility to get more people enthusiastic for
your plans. Those meetings however didn’t work, because the inhabitants had the
feeling that nobody listened to their arguments.

Issue Management Plan: Disruption on the landscape
1.3 Organizational position
In this issue, there are many parties affected. You have the inhabitants of the
region of Egmond, the congregation of Egmond, Shell, Nuon, Vogelwacht Egmond and
Stichting Duinbehoud. Also the government of The Netherlands is involved in the
issue, because they decide on the regulation on Green Energy. However, they are
not affected by this issue and will therefore be left out this report.

Most of the inhabitants don’t want to have the windmill park at all, but if it
must be done, then they want the windmills to be placed further from the shore so
that it isn’t so much in sight and will cost less bird lives. They have gathered
data about the number of birds that will be killed and compared the height of the
windmills with the height of a drilling platform that is already there. The height
of the windmills will be almost twice as high as the drilling platform and this
causes much resistance.

Shell and Nuon see this park as necessary, because green energy is something for
the future. They argue this is necessary to ensure the energy for the future. The
information they have gathered is how much energy the windmill park will produce.
The windmills will produce 100MW durable energy.
The congregation of Egmond sees no problems with placing the windmills. They also
see this as necessary for the future and argue that nobody will encounter any
harm. They even subsidize the building of the park. The information they have
gathered is mainly about how much it costs to place a windmill in the sea and what
it will gain.

Vogelwacht Egmond and Stichting Duinbehoud are both concerned with the environment
and the harm that the windmill park will cause. Vogelwacht Egmond is concerned
with the lives of all the birds and Stichting Duinbehoud is mainly concerned with
infraction of the coast landscape. The information they have gathered is about the
number of birds that will be killed and about how the coast landscape will change
because of these windmills.

1.4 Groups and opinion leaders
The main decision makers in this issue are Shell, Nuon and the congregation of
Egmond. You would expect that all the people in favour of a cleaner environment
would be supporting this issue. However because of the disruption of the
landscape and the harm it causes to the bird population, there are not many
environmentalists in favour of this issue.

People that are in favour of the building of the windmill park are Shell, Nuon,
Essent, the congregation of Egmond and the builders of the windmills. All of these
parties have a stake in this issue.

Issue Management Plan: Disruption on the landscape
Shell and Nuon of course want to make money and let the public see that they
invest in the future. The congregation of Egmond wants to show the national
government that they look to the future and also they want to earn some of the
subsidiaries that they will get from building environmental energy.
The people that build the windmills are also in favour of this issue, because it
costs a lot of money to build and place these windmills. They will earn a lot of
money with this project.

People that are against this issue are the inhabitants of Egmond, the Vogelwacht
Egmond and Stichting Duinbehoud. All of these parties are concerned for the
environment and also for the disruption of the landscape.

The inhabitants of Egmond will be the best target to try and make a difference in
position. However, many information meetings have already been to try and change
the position of the inhabitants, all without success. Still we think the
inhabitants are the first group that is willing to change it’s opinion.

1.5.Desired behaviour
The behaviour that is explained above, is the actual behaviour of all of the
parties. Of course, there are many other types of behaviour that were more
desirable in this situation.

The desired behaviour is that Shell and Nuon listen to all the protests from
activist groups and adjust their behaviour, rather that just do what they always
intended. Now they also claim to listen to the protests, but many of the people
don’t feel the same way.

The desired behaviour of the congregation of Egmond is that they looked at all the
figures and consequences before making a decision. The costs of the project will
be 200 million euro and they can supply only 60 000 homes with energy. The project
will last for 20 years and in this period of time, the cost balance of the project
will be just even. So economical seen there are almost no benefits (except of
course saving the environment).

Vogelwacht Egmond and Stichting Duinbehoud did everything they could to prevent
the park being built. They informed the local inhabitants with the most objective
information they could find and arranged information meetings to try and change
the opinion of the initiators.
The inhabitants of Egmond could have protested a little bit more than they did
now, but their behaviour was very close to the desired one. If you notice that
nobody is listening, you aren’t willing to put very much energy into it.

Issue Management Plan: Disruption on the landscape
1.6. Intelligence gathering and analysis
Shell and Nuon are always gathering information about their competitors to see if
they have something that could be a competitive advantage. Companies like BP,
Essent and Eneco are the biggest competitors for Shell and Nuon. Because they all
work within the same field of expertise they know what is going on within the
branch and you also see that the companies come up with similar products around
the same time.

The action groups in Egmond and surrounding areas monitor what steps have been
taken and what the latest news on the issue is. As soon as something isn’t done
the way it is supposed to, the groups immediately intervene. Stichting Duinbehoud
has been involved in several legal cases against the building of the windmill
park. Because of these protests, 5 big nature restoration projects have been made
possible. They argued that the windmill park will harm a big part of the coast
landscape and demanded that this landscape would be restored in other parts of the
country. As written above, they succeeded.

1.7. Background briefing materials
To write this report, we needed some background information. To gather this
information we looked on the following websites:
www.ez.nl
www.energie.nl
Gemeente Egmond
www.shell.com
www.nuon.com
www.stichtingduinbehoud.nl
www.vogelwachtegmond.nl
www.dagbladnoordholland.nl

1.8. Relationship management
In this issue the relationship management wasn’t carried out in the proper way.
When the congregation of Egmond found out that there were protests against their
plans, they organized an information meeting. This meeting was for the inhabitants
and the press, so no special press conference was held to inform the press. They
felt passed by the congregation and therefore already had a negative pre-
judgement. It is very important to inform the press on forehand, because they are
the link between the management and the inhabitants.

Issue Management Plan: Disruption on the landscape
Also Shell and Nuon had an close relationship with each other, as well as with the
congregation of Egmond. These relationships were carried out in the right way.
First Shell and Nuon agreed to work together, and discussed how this would work.
Then they convinced, together, the congregation of Egmond to agree with their
plans. This was in the right order, because in this way Shell and Nuon already
agreed on what they wanted and that makes it easier to convince a third party.

1.9. Media Management
In this case the media wasn’t addressed in the right way. They were invited as a
normal inhabitant and no real press conference was given. The press conference
came after protests of the local inhabitants, but then it was already too late for
damage control. A lot was written in the local newspapers, but also in the
national media a lot of articles were printed. Most of them were concerned with
the number of birds that would be killed because of this park, rather than on the
fact that it was Green Energy. Also the costs of the whole project were displayed
largely in the media. Some of the articles that were published can be found as
appendix by this report.

1.10. Implications for other departments
The Green Energy of course has a lot of consequences for other branches. For
Shell, it means that they will shift their focus from fossil fuels to Green
Energy. This means that they will invest less in drilling platforms and more in
the windmill parks as discussed in this issue management plan.
For Nuon less will change, because they will still provide energy, only it is
gained in a different way.
For the consumers there will also be a change, because most of times Green Energy
is more expensive than normal energy (but more about this in the other issue).
For the government there will also change a lot, because a lot of regulations have
to be adjusted to fit in the whole cleaner environment.

1.11. Evaluation
The process of building a windmill park in front of the coast of Egmond was
performed in a fairly bad way. First of all Shell, Nuon and the congregation of
Egmond didn’t listen to protests of the inhabitants, Vogelwacht Egmond and
Stichting Duinbehoud. They held information meetings, but because the arguments of
the inhabitants were ignored, those meetings had a negative effect.
The press was informed too late, and because of that most media coverage had a
negative character. Stichting Duinbehoud reached that 5 nature restore projects
were realized. They were pleased with that result.

Issue Management Plan: Disruption on the landscape
Also, the local government suffered enormously from this issue, and many of the
inhabitants lost faith in the congregation.
So all in all we can conclude that this “environmental project” wasn’t so
environmental at all and had a lot of negativity around it.

Issue Management Plan: Prices of Green Energy
2.1. Issue
In 2005 nearly 80.000 clients of energy supplier Eneco have made the switch from
green energy to grey energy.

According to Eneco this decline has to do with minister Brinkhorst who is messing
with the subsidies. “Green energy is only 80 eurocent a month more expensive than
grey energy. The consumers find this more important than global heating
apparently.”

This is a disturbing reason. The use of green energy is an important tool against
global heating. The more green energy used, the less amount of CO2 emission which
will result in less global heating. According to scientific debate, in the future
the estimated temperature will rise between one to six degrees Celsius.

2.2.Possibilities
In some cases green energy will be more expensive than grey energy. But these
short-term costs should be compared to the long-term costs. The costs which are
brought by global heating will be immense. Think about all the adjustments which
are necessary for our water regulation and our agriculture. Other sectors that
will undergo the consequences of this process are healthcare, increasing medical
complaints by heat and dryness in the summer, inland navigation and tourism. Not
to mention the increase in floods. These costs will be reported to the community.

There is a large price difference between the energy prices of different
suppliers. This has to do with the Dutch energy market being liberal. Companies
are going to compete even more with each other, they offer competing prices and
try to buy cheap.

The price for green energy is usually equal to the kilowatt-hour (kWh) price of
grey energy. Most suppliers have combined their green energy to the kWh-price of
grey energy. Some suppliers calculate more for the purchase of green energy, but
more new suppliers offer their green energy for a cheaper price. They can do that
because they buy large. Next to that they import green energy from foreign
producers.

Green energy is more expensive to produce than grey energy. The taxes for grey
energy amount 6.39 eurocent/kWh (excl. BTW) and the taxes for green energy amount
5,04 eurocent/kWh (excl. BTW). This leads to an equal price level between green
and grey energy.

Issue Management Plan: Prices of Green Energy
1.3.Organizational position
In this issue, there are many parties affected. You have the inhabitants of the
Netherlands, the Dutch government and the energy suppliers.

The main disadvantages of the production of green energy have negative effects on
local ecosystems like wind farms. disrupting bird populations and disturbing the
scenery.
The Dutch government and the energy suppliers see green energy production sites as
necessary. They argue this is necessary to ensure energy for the future and the
figures show it.

In the first half year of 2005 the production of green energy has increased. The
green energy accounted for 6.4% of national usage according to the figures of the
CBS. In 2004 the amount was 3.8%. The most important contribution to the increase
was the burning of biomass by the power units. Wind energy shows a small increase
of 0.2% to 1.9% of all energy usage. The import of green energy decreased from 9%
in 2004 to 6% in the first half year in 2005. This leads to the fact that the
amount of import was as large as the national production. The decrease was mainly
caused by the lack of governmental support for the import of green energy since 1
January 2005.

The inhabitants of the Netherlands sees no problems with in the green energy
production sites, but they do not want their environment or ecosystem to suffer.
They also see these sites as necessary for the future and argue that nobody will
encounter any harm.

1.4. Groups and opinion leaders
The main decision makers in this issue are the Dutch government, the Dutch
consumers and the energy suppliers. All the people are in favour of a cleaner
environment. However, the higher price for green energy compared to grey energy
scares of the Dutch population, because they would rather be safe on money than on
their environment.

People that are in favour of green energy are the Dutch government and the energy
suppliers. All of these parties have a stake in this issue.
The energy suppliers want to make money and let the public see that they invest in
the future.
The Dutch government wants to uphold the Kyoto Protocol and show the other
countries in the world that they look to the future.

People that are against this issue are the inhabitants of the Netherlands. They
are concerned for the high prices for green energy.

Issue Management Plan: Prices of Green Energy
The inhabitants of the Netherlands will be the best target to try and make a
difference in position. However, many information campaigns by the government as
well as the energy suppliers have already been done to try and change the position
of the inhabitants, all without success. Still we think the inhabitants are the
group that is willing to change it’s opinion.

1.5. Desired behaviour
The behaviour that is explained above, is the actual behaviour of all of the
parties. Of course, there are many other types of behaviour that were more
desirable in this situation.

The desired behaviour is that the energy suppliers listen to all the protests from
activist groups about the location and supervision of the green energy production
sites. They should adjust their behaviour and actually listen to the protests in
that way they can win people for them.

The desired behaviour of the inhabitants of the Netherlands is that they looked at
all the figures and consequences before making a decision between green and grey
energy. The problem that the world faces is the enhanced greenhouse effect.
Concentrations of greenhouse gases are building up in the atmosphere and this is
preventing more heat from escaping, leading to an increase in the earths
temperature. The increase in the earth's temperature is affecting ecosystems
either directly, by melting ice in the arctic regions, which leads to loss of
habitat for wildlife or indirectly by changing weather patterns, which can disrupt
ecosystems which are used to certain climatic conditions.

The desired behaviour of the Dutch government is that they continue to stimulate
the use of green energy. They should stop messing about the energy subsidies and
be more willing towards the consumer. They still have to make sure that a drastic
reduction of greenhouse gas emissions takes place in the Netherlands, in order to
reduce the effects of climate change.

1.6. Intelligence gathering and analysis
The energy suppliers are always gathering information about their competitors to
see if they have something that could be a competitive advantage. They all work
within the same field of expertise and they know what is going on within the
branch and you also see that the companies come up with similar products around
the same time. It is a shame that the price of green energy should suffer by this
competition.

The Dutch government is always gathering information about the increase or decline
of the greenhouse effect and the use of green energy.

Issue Management Plan: Prices of Green Energy
The inhabitants of the Netherlands are mostly looking at the prices of green
energy vs. grey energy. They are more concerned about their money than the
environment.

1.7. Background briefing materials
To write this report, we needed some background information. To gather this
information we looked on the following websites:
www.energie.nl
www.greenprices.com
www.milieudefensie.nl
www.cbs.nl
www.tegenstroom.nl

1.8. Relationship management
In this issue the relationship management was carried out in the proper way. The
Dutch government as well as the energy suppliers tried to do as much as they can
to promote green energy. Meetings, press conferences, political debates, websites,
advertisements and commercials about green energy are every day news. Still the
Dutch consumer is not completely convinced in using green energy.

1.9. Media Management
In this case the media has been involved within this issue. They are the medium
which has to convince the inhabitants of the Netherlands to use green energy.

It is unusual for a product to be purchased without the purchaser having some
knowledge about its origins and method of production, especially in the
Netherlands. However, one important exception to this is electricity. Electricity
is taken for granted when a machine is plugged in or a light is switched on. If
the media can not communicate the advantage of green energy correctly to the
consumer, the government should do everything in its power to promote green
energy, even if this means cutting on taxes.

1.10. Implications for other departments
The green energy has a lot of consequences for other branches. For energy
suppliers, this means that they will shift their focus from fossil fuels to green
energy. This means that they will invest less in drilling platforms and more in
the green energy production sites.
Issue Management Plan: Prices of Green Energy
For the consumers there will also be a change, because most of the time green
energy is more expensive than normal energy

For the government there will also change a lot, because a lot of regulations have
to be adjusted to fit in the whole cleaner environment.

1.11. Evaluation
As more and more consumers become aware of the environmental issues relating to
the use of energy as well as the energy production and the energy market which
becomes more deregulated, consumers are likely to exercise their buying power and
demand for more green energy. The Dutch government and cities can play three roles
in promoting green energy:
• as consumers,
• as producers and as promoters or
• legislative bodies.

The Dutch government should decrease the tax on green energy in order to get more
consumers to buy green energy and invest in an environment friendly future. Even
though this case may have a negative tone about the Dutch consumers and their
interest in green energy, the use of green energy did increase in the last years.