Govsoc Unit 4 1

Corporate Social Responsibility, Good Governance, and Environmental Accountability:
A Tri-focal Approach to the Philosophy of business
Corporate
Corporate
4
Environmental
Environmental Accountability
Accountability
Learning Objective
 Identify the concern of business operations with respects to environmental impact.
 Recognize that the environmental is an important component in business activities.
 Understand that corporation has obligations to the environment it operates.
Learning
Outcomes
 Be aware of what is happening around the community and the environment as if effect our
health and future.
 Be familiar with the features and current development in environmental accountability.
 Be part of those who advocate change and clamor for a better environment.
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“There is no business on a
dead planet”
- David Brower
Conservationist (USA)
Something to Think About…

 Is the environment a stakeholder?
 Should corporation meddle with environmental concerns?
Words/Phrase to Ponder…
 Green laws
 Eco-efficiency principles
 Ecological nuisance
 E-waste
 Waste management disposal
 Environmental performance
 Environmental responsibility
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Philosophy of business
Is the environment a stakeholder?
YES NO
It can affect us –climate Only people can negotiate.

Change
It can be affected by Stakeholders must have an

us emergency
we have a moral Stakeholders theory is too

obligation broad to be useful.
In the 23st century, environmentalism is generally a subject matter that has become an eminent
priority globally. It appears that the world is collectively developing awareness of the wreck that has
been instigated to the planet by reckless behavior. Concern like climate change, airborne
contamination various types of pollution, greenhouse radiation, harmful/toxic waste of the many
manifestation as well as warning signs that the inhabitants must take action to find means and ways to
save Mother Earth.
“Experts” are alerting us of the looming threats to our planet. Environmental task forces and watch dog
groups were formed to keep an eye on the condition of our ecosystem. Meanwhile,” green” laws were
fashioned by the government as well as the business sector to come up with guidelines, principles, and
protocols in the anticipations and optimism of repealing global damages. Safeguarding the planets is
certainly a topic of concern that is categorically of top importance.
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Attention of the environment is than ever under civic enquiry and scrutiny. Activities engaged in
environmental watch continuously alert industries activities or practices that they perceive as risks or
threats to the ecosystem and the earth in general. Conservation efforts were undoubtedly more
resounding than ever and everyone must get involved. There is a great misconception that the
agricultural industry, who makes use of land resources to produce food, poses the most damage to the
earth’s natural reserves. Environmental stewardship isn’t just for farmers alone. Blue collar workers
from the city and suburban working class and dwellers must act as stewards too. In fact, businesses-
any type, size, or nature, should practice resource conservation and embark on programs to advocate
nobler environmental responsibility.
Conventionally, environmental fortification has been deemed to be “in the public interest” and outside
the personal life. Such was a thing of the past. It is not enough that the government alone would have
the sole accountability for guaranteeing environmental management simply by focusing on the
creation of policies and laws for the preservation and safety of the environment. Such laws would be
useless unless it would be implemented properly and unless everyone- including the business sector
would adopt environmentally sound behavior through code of practice, restrictions and penalties and
sometimes, incentives. Whenever environmental snags and glitches are present, the public sector has
by and large held responsible for mitigation of ecological destruction. In this line of attack, some have
asserted that unobstructed private sector behavior has been pondered as staging the “environmental
problem”. Then again, the position and functions of sectors have been shifting, with the private sector
turning out to be a dynamic collaborator in environmental defense. Scores of government and business
conglomerates now comprehend that environmental protection and economic progress are not in all
times at odds.
As such, the environmental facet of Corporate Social Responsibility is demarcated as the obligation to
safeguard the environmental repercussions of the company’s functions, merchandises and amenities,
eradicate rubbish and discharges, making the most of the proficiency and efficiency of its resources
and reduce run-throughs that may perhaps negatively upset the gratification of the nation’s resources
by forthcoming generations. In the materializing global economy, wherein the massive use of
cyberspace, the broadcasting and the communication upheaval buff up on commercial practices in
every nook and corner, firms are more often arbitrated on the core of their environmental
stewardship. Associates in business and its patrons aspire to see what is written.
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A business. Such transparency of business practices channels that for scores of enterprises. Corporate
Social Responsibility is certainly no longer an indulgence but more so an obligation.
Granting that there are a substantial and noteworthy amount of virtues business practices around us,
there are still those that are considered hard to please more commonly categorized as opponents and
detractors. As Corporate Social Responsibility undertaking are principally grounded on a voluntary
manner, ecological and conservational externalities are apparently visible to stakeholders, but every so
often desolately not verifiable Largely, the apprehension about Corporate Social Responsibility is that,
rather than the vast amount of initiatives, is lacks a wide-ranging framework that would embraced in
unison concerns and disputes such as:
a. Government standards
b. Assurance standards
c. Performance standards
d. Performance reporting
e. Codes of conduct
f. Management system
Business firms typically execute distinct elements or even adhere to preferred schemes time and again
overlooking for instance all but transparent monitoring mechanisms.
CSR Drivers on Environmental Accountability
From the time when the Brundtland Report was published about the World Commission on
Environment and Development Report of 1997, corporate managers and management scholars have
been wrestling with the query of how and why business firms should integrate environmental matters
into their identifiable strategic pronouncement and decision making Technically speaking and common
sense would tell us that it is better for such a business to be viewed as one who assumes a positive role
in fostering ecological protection, as against to being perceived as the one contributing to
environmental problems. A corporation who manifests responsibility to do no harm to the
environment is truly commendable. More than ever, the Environment Strategy of the World Bank
indicates, too that the private sector is becoming a decisive factor in
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influencing environmental performance and long-term environmental sustainability (WB 2002).

A mounting number of establishment in an extensive array of industries
essentially, the drivers of CSR are the assortment and fusion of enticements and perils aimed at
corporation to enhance criterions. The said drivers are market based, typically commencing when an
organization foresees or act in response to a risk correlated with the social or environmental impact of
a certain business practice. and geographical areas have realized tangible importance and viable
benefits from fascinating ecological initiatives such as:
a. Industrial ecology
b. Environmentally oriented design
c. Energy efficiency
d. Pollution prevention
e. Supply –chain management
Basically, various firms have discovered that Corporate Social Responsibility over and over again have
an affirmative bearing on commercial revenues. Among the themes associated to CSR, it is the
environmental initiatives that have generated, by far, the utmost extent of scientific data conjoining
Upbeat and hands on establishment with encouraging financial outcomes.
The Business for Social Responsibility underscores that investing in CSR has stimulated product
distinction both at the product and corporate echelons. A number of conglomerates now produce
commodities and offer services with features or attributes that serves as indicators to the end user that
this specific firm is practically involved and concerned about certain social and environmental issues.
Statistics show that such endeavors generated benefits for their respective business. By so doing they
have created a corporate image that is socially responsible and thus helped in expediting market
infiltration. Multinationals and even small business units have also established superior collaboration
and support from their respective communities most certainly whenever decisions may
may affect the enterprise.
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Environmental Focus
Business Success Factors
Environmental Environmental
process improvement products & services
*Revenue growth
*Revenue growth
and market access
and market access
*Access to capital
*Cost savings and
*Risk management
productivity
and license
*Access to capital
operate
*Risk management
and license to
operate
*Brand value and
reputation
Based on IFC 2002
Moderating the usage of energy and raw materials and reducing discharges and rubbish from
manufacturing assembly are vital practices that the production industry can craft to confront the
environment challenges this world is carrying. The noble exercises of prominent establishment foster a
foundation for the behavioral transformation of others. Furthermore, various conglomerates are
embracing environmental dogmas that carry on from end to end such as their respective supply chains
in the structure of prerequisites for providers to observe to sustainability certification such as ISO
14001 and SA 8000.
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Vehicles for introducing CSR
The governments in general have a resilient desire in upholding CSR as an accompaniment to their
current and open-ended social and environmental agendas to dish up long standing public interest.
Every so often that the backing of international organizations, including non-government organization
(both local responsible business models
and international), authorities are starting to perform a subordinate part in constructing framework
for CSR, via supervised goal-driven approach.
Support from governments can be deliberated and calibrated as a factor so a national environmental
program. Typically, managements would design a those part approach to the puzzle:
1. Notify, update, explain and involve business in discussion and consultations vi-a-vis
voluntary initiatives and implement this process.
2. Extended incentives and off assistance to establishments in quest of pursuing and
embracing further environmentally responsible business models
3. Regularly observe and scrutinize environmental conditions and impose sanctions
whenever necessary
Indeed, the government can rouse the private sector by means of available support for research, or by
running crusades, accumulating and circulating facts and figures, drills and fostering awareness. Civic
organizations can advance and provide suitable management instruments and mechanisms, counting
in environmental treaties, voluntary product labeling schematics, standards, and parameters for
company management and communication systems.
In the Corporate echelon, the execution of Corporate Social Responsibility (CSR) initiatives depends on
a number of factors such as:
a. Size
b. Nature of work
c. Culture
Business engaged in the manufacturing and production sectors are met by wide-ranging environmental
challenges with stark contrast to those involved in most retail or service-oriented companies. While
several businesses deal with ecological concerns one issue at a time, many are more and more
incorporating.
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The environment into the totality of their business operations. No matter what the type of
commitment, for the most part companies adhere to a parallel cycle of chains when dealing with
impact on the environment. The following are generally observed by most business firms:
1. Corporate Environmental Policy

Whenever companies are committed to help save the environment, they usually create a solid
setoff guidelines and principles for everyone to adhere to. The advocacy of such demeanor is to
reduce environmental problems and contribute in the healing of nature. Included in the
company’s intents are:
a. To consider and give reverence to the environment even during the drafting (design),
manufacturing (production), and logistics (distribution) stage of its commodities and
services.
b. To commit the firm to be in complete conformity with all regulations and decrees
whenever possible.
c. To launch an open-book policy whereby stakeholders can be clued- in of any potentially
hostile consequences the business firm might have on the environment.
2. Concept of Environmental Audit

So that a firm may fully understand the impact of their business to nature and its surrounding,
an environmental audit must first be performed. The objective of audit is to figure out the kind
and quantity of resources used by the firm, product line or facility, not to mention the types
and extent of waste and emissions generated. From this, they can now move on to address the
existing situation and come up with strategies to narrow down the problem.
3. Employee Involvement
Environmental commitment is not just for the chosen few. For it to be effective, the company
must encourage all of its staff and management to contribute even by mere means of discipline.
As they say, a little goes a long way. Being environmentally responsible should not be left alone
to those individuals or groups who rally for environmental ethics. Whenever there are shared
efforts, outcomes become more fulfilling and
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rewarding. Demonstrating environmental commitment is a plus factor and an effort to generate
positive changes is truly possible.
4. Green, Green, Green
Go green! This is the new slogan of many who advocate environmentalism. There are so many
way to go green. One is to go for organics which is believed to be more beneficial to human
health. The other is by encouraging suppliers to eliminate plastics as part of packaging and go
for biodegradable materials. Many researches and studies have proven the harmful effects of
plastics in the environment. Thus it is best to consider an alternative or substitute to these
“not-so-environmentally-friendly stuffs”
To a greater extent, business firms and its stakeholders are paying attention some even engrossed CSR
initiatives but are quite reluctant in terms of the right moves or what measures to take to bring about
the concept and tie it up to the business operation per se. the following practical steps may be used to
help facilitate the process:
a. Promote dialogue among stakeholders
b. Form actual partnership that could help foster the realization of begetting voluntary
initiatives to completion
c. Come to an agreement on a methodical and monitorable program for corroborating and
funding voluntary initiative.
CSR and Environmental Development
Advocates of Corporate Social Responsibility in relation to environmental development mostly ponder

the concept as a realistic way of seeing the situation at hand. Deforestation and illegal logging, not to
mention bribery and corruption to carry on with these illegal practices has caused damage to the
environment big time. More than ever this now the time to come up with stricter regulations and law-
based sanctions that would be implemented accordingly. We have not yet seen the worst in climate
change and massive flooding .it’s time to clean our act. Businesses should not focus on profit alone or
only take into account human stakeholders. The environment is of great importance and we all have a
moral obligation to protect a nurture it. After all, we are stewards of Mother Earth.
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Environmental Perspective
Since the 1950’s to the present, the concept of Corporate Social Responsibility has achieved
considerable acceptance and the representation has been extended to take in specific issues, such as:
 Corporate Governance
 Global CSR
 Employee Rights
 Ethical Behavior
 Honesty in Advertising
 Product Safety
 Environmental Sustainability
 Affirmative Action
CSR: Evolving Viewpoints on Environmental Accountability
1. CSR considers the effect of the corporation’s actions on society and the environment in
general.
2. CSR entails decision makers and management to take immediate actions that will safeguard
and protect the environment thereby improving the welfare of the society and its inhabitants.
3. CSR believes that the corporation has not only economic and legal obligation, but also certain
responsibilities to society which extends to environmental obligations,
4. CSR conveys predominantly to realizing results from organizational assessments and

resolutions concerning specific concerns or challenges which would be beneficial to corporate
stakeholders.
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Corporate Social Responsibility
Responsibility Implies more of a state or conditions of having,

assumed an obligation
Responsiveness Connotes a dynamic, action–oriented condition
Principle: Business should respect, protect and make efforts to restore the environment
Description
 Acknowledges that the environmental responsibility is a pre-requisite for sustainable economic

and well-being of the general public
 Highlights the fact that environmental issues are interrelated at all levels- local, regional and
global.
 Inspires industries to realize and be answerable for obvious and implied environmental impacts
of their undertakings, commodities and services
 Implores companies to abided by the precautionary principle
Core Elements
 Make use of natural and man- made (artificial) resources in an ideal and conscientious manner
 Consider channels to curb and avert toxic waste
 Certify that benefits are allocated fairly
 Unceasingly pursue to try to find means and ways to perk up environmental performance
 Cultivate Environment Management Systems and contingency plans
 Report environment performance
 Vigorously coax and warrant its value chain for embracing this principle
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Observation of Current Practices in Relation to the Accountability of
Business Towards the Environment
Current Status and Future Directions: Observations
Environmental metrics served as a guide for many industries. Such metrics, however, are subject to
further study and must undergo a process of analysis to substantiate its claims and corroborate its
findings. Some of the activities intended to promote environmental development are in the trial- and-
error stage. Such undertakings have all the good intentions. However, not all may be considered
practical or doable. Collective information may be analyzed through observation and continuous
testing.
Experimenting may predict, compare, or correlate certain variables and parameters. As such, most of
these make use of both qualitative and quantitative research. Experience tells us that the quantifiable
method has more bearing over the other. While vaguely-defined statements in a company’s mission,
vision, goals, and objectives are direct and finite enough, providing some corporate framework that is
measurable and calculable are more preferred because it has a solid, scientific basis. Most managers
and associates develop better understanding when observation are translated into figures and graphs,
charts, or diagrams – in other words the visualization of those numbers. Clearly, metrics can indeed be
an integral part of environmental analysis. Then again, not everything is quantifiable and we cannot
discredit other means to assess environmental concerns.
Delphi Technique is another way of acquiring the desired information that could help strengthen a
particular research or study. It makes use of “experts” advice and opinions.
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Moving on, there are basically three general drivers for establishing business environmental
performance targets and developing associated metrics.
1. The demand to conform with regulatory directives
2. The yearning to acquire or reinforce competitive advantage
3. The aspiration to enhance corporate stewardship practices and standing
Specialized data, together with a broad range of metrics and through commitment are essential
elements to effectively manage the environmental aspects of a major production operation if were are
to base this on the above-mentioned drivers
Current Status and Future Directions: Compliance
A prerequisite for environmental performance to move forward is the high degree of regulatory
compliance of industries. This simply means that the business sector recognizes and respects the law
governing units and complies with its mandates thus generating cooperation and synchronization.
Long-term success is not far behind with such management direction. Corporate image is also
improved. Accordingly, most establishments track their environmental performance in matters such as
mishaps, leaks, license violations, and regulatory penalties. Such collected information is needed as
part of government reporting requirements such as those linked to discharges and waste generation to
evaluate a firm’s environmental performance. Compliance-based metrics may not be totally perfect
but by far it has delivered the most coherent and functional commercial ecological operation report. In
today’s generation, we call these compliance-based metrics as the rubrics of industrial environmental
performance.
Although there is a noticeable increase in the number of firms who claim to experience enhanced
compliance due to improvements of their firm’s environmental performance, adherence to Eco
efficiency principles is still far from the normal standard or industry norm. Waste management disposal
is the most evident problem posed by most industries. Time and again, there are violations committed.
Wastes may come in many forms ad from all sorts of industries.
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Among these are:
a. Wastes from manufacturing firms – whether production of food packaging materials, and
others.
b. Improper disposal of medicines and other items used in hospitals such as syringes.
c. The in appropriate dumping of oil used for cooking by some food catering business.
All these contribute to environmental problems that could trigger flooding during heavy rains. But we
cannot blame everything on the business sector alone. Individually, we also have our fair share of
unacceptable discipline when it comes to waste disposal. We witness people throwing candy wrappers
on the streets. Then again, there is also the problem of irregular garbage collection making the
problem worse for most households and the community. Of course, waste dumping is just one of the
many contributions ecological nuisances. But this is one obstacle faced by the majority.
Current Status and Future Directions: Competitive Advantage
If commerce and trade is to carry on escalating the frontiers of corporate environmental stewardship,
the board trusts that performance improvements must be related to the profit-maximizing role of the
company. An increasing body of evidence supports the view that improved environmental
performance and superior financial performance can go hand in hand (Blumberg et al., 1996; Cohen et
al., 1995; Deutsch, 1998; Hart and Ahuja, 1996; White, 1995). However, there remains considerable
debate over how strong this link is (Jaffe et al., 1995; Walley and Whitehead, 1994).
The effects or benefits enjoyed by business experiencing competitive advantage are:
a. Improved Process and Manufacturing Efficiency
There efficient use of raw materials and energy contributes to low production costs.
Remember the terms Reduce, Reuse, Recycle?
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b. Increased Market Access
Consumers now are more aware and conscious of what to patronize based on what practices they see
on their respective brands’ suppliers. Shoppers make use of their market power to influence
businesses to be ecologically-friendly. Going green has actually made Starbucks to commit to eliminate
the use of their green plastic straws by the year 2020. Let’s see what happens by then and what would
they substitute it with. In fact, many other establishments in the same manner has replaced the use of
plastics and styros as part of food packaging and replaced it with paper products or eco bags as the
case may be.
Pledge to environmental principles as a prerequisite to market entrée is obviously seemly more usual
both locally and internationally. So that a business can vie for market, it must have access to it, a
certainty that may more reduce the potential customer base of firms whose environmental
performance lags.
c. Regulatory advantage
Environmental principle and protocols may advance either toward:

a. Ever-stricter command-and-control approaches or
b. Shift to more market risk-oriented schemes
Corporations that gauge and bring about their operations in an environmentally proficient routine will
certainly relish a clear-cut lead. Yet, judgments to perk up environmental performance, either to come
across a different regulatory standard or to free up production credits, call for improved report than
what is currently affirmed by most corporations.
d. Impact on Shareholder Value
The implementation of penalties for those businesses who violates environmental laws as well as those
who lag in environmental performance may face certain financial risks. Among these are payments of
fines and clean up expenses. Of course, risks are not limited to financial aspects but the dwindling
number of consumers who will eventually shift to competitors will trigger a domino effect.
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Current Status and Future Directions: Steward and Reputation
Maintenance and enhancement of corporate image together are another area in which environmental
performance plays a significant and growing role (Robinson et al., 1998). It is correct to say that some
voluntary environmental initiatives are driven by competitive motives such as penetration of new
markets and developing new products or innovation of existing products, the bottom-line of course is
propelled by the longing to rally a company’s reputation. Rising societal consciousness of ecological
concerns that coerced companies to always be on the lookout and do the right thing.
Due to the magnitude of clamor for environmental rehabilitation at this time, no company wants to be
seen as failing behind. A comparison in terms of performance and adherence to environmental
protection is seemingly obvious. In fact, surveys have been made by reputable institutions and the
mere fact that a company is being cited as among the “Most Admired Companies” is truly a feat to
behold. Imagine the pride of being chosen from among the many multinationals within their respective
industries. And while some business executives do not see such “reward” as carrying the same
credence in terms of delivering revenues and cost data analysis, the image of the firm has a bearing
when it comes to investment decisions. Corporate reputation is the basis of potential investments and
long-term benefits. In today’s highly competitive employment market, people would want to be a part
of a conglomerate that enhances corporate morale. Organizational pride and job satisfaction for
members of the team are just a few of the basic ingredients to attracting and retaining highly-skilled
work force thereby reducing high turnover rate.
More importantly, companies with a sound corporate image are more likely to be associated and team
up with investors, regulators, and local communities and work together toward collaborative solutions
in their commitment to improve environmental performance.
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Trends and Challenges
The contemporary trend in business industry is in the direction of greater public expose of information
justified by evidence about waste generation and management as well as contaminant discharge.
Compliance associated with Eco efficiency is industrial environment performance measures that are
part of the reporting requirements of most governments. Thus far, attempts are logically concentrated
on sustaining domestic demands. However, the escalating information petitions of various external
stakeholders cluster have started to affect the nature and design of environmental reporting.
Furthermore, some stakeholders have set in motion and embark on the obviously more positive
aspects of environmental performance which includes improved efficiency and lower risks to human
health, the community, and the environment in general.
The public’s increasing understanding of the environment and its current situation is expected to carry
on to drives the industry on the way to immense levels of revelation and admission. By way of
reporting disclosure, the public has increased alertness. To date, there are efforts to establish a
standardized metrics that would be accepted globally. It is the hope that such attempts could be
applied to a board purpose and would include material and energy-use efficiency. The degree of
influence should not end in the company’s internal management. For it to be effective, it must cover
the supply chain and extend its impact to the other external stakeholders.
As it is, it seems that public attention to the concept of environment performance is in the offing to
spike enormous works in the future. Some of the main tasks that pose difficulty in the development of
sustainability metrics is the enormity and intricacy of the theme. Latest endeavors to commence
tackling global climate change, for instance, feature a number of strains in handling such expansive
concerns.
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Efforts to better quantify risks represent a constructive pace but then again, a softy deal of
apprehension exists over a massive deal of uncertainty intrinsic in such ranking systems. Ambiguity is a
stern hindrance to stirring metrics into the range of sustainability and comprehensive review of
ecological blow
Challenges
In the face of the probable advantages of better metrics, there are obviously a number of incredibly
valid challenges halting in the way of efforts to further enhance the depth, analysis, and revelation of
environmental performance information. To be truly committed to continual improvement companies
must overpower all these barriers and obstacles.
The scarce availability, not to mention that astronomical price of technology should be considered at
the onset of every aimed program. Limitation in budget could pose a real setback in the
accomplishment of much-needed goals. The cost to be incurred in the generation of resources should
have its justifiable counterpart. In other words, the benefits must outweigh that asking price. When
making decisions, always find a reason to dive in or get out of it. After all, there might be other
alternatives to choose from. And certainly, not every effective option should have a lucrative price tag.
Want to consider solar power?
Other than the high cost of technology, there are other industry-specific challenges that should be
given equal attention. Corporations and industry alliances are turning out to be progressively absorbed
in and adept in providing solutions to ecological problems. As the private sector carry on to exhibit a
better faculty to drive environmental progress, the government’s function ought to transfer from role
of a regulator to that of a facilitator. Nonetheless, the role of the government will still be compelled to
influence revolution in these crucial parts.
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Improving Comparability
As a component of public accountability, measures of environmental performance must possess these

three yardsticks:
a. Reliable
b. Stable
c. Relevant
When analyzing environmental challenges, it is important to note that there are different levels of
impact even for similar situations. One may probably quantify environmental threat but assessing the
consequences of that hazard is another thing. More so, how to alleviate the situation is much more
difficult.
To further illustrate this claim, a firm can statistically equate the amount of toxins or chemicals a
damaged ship with leaking crude oil released to the sea. But determining the extent and magnitude of
its impact on mortals, wildlife, or vegetation would probably take time. Results may vary depending on
the following factors:
a. The situations of the existing environment
b. The area and its proximity to the residents
c. The number of population exposed
Expansive Propagation of Best Practices
The trend in voluntary reporting is very useful in discovering the true state of the environment. Over
the past several years, public disclosure has encountered several snags and glitches. While some
corporations are practicing an open book policy, there are those who have not felt the same pressures
for commitment. Therefore, lacking in some form of cooperation naturally yields flopped regulatory
compliance. The challenge now is how to broaden best practices to the rest of the industry.
It is understandable that corporations need to protect some vital information as an edge to their
competitors. As they say, some things should be kept confidential. Therefore, as environmental
reporting becomes more transparent and extensive, what companies would be willing to divulge
should be addressed collectively by the management of the corporation bearing in mind that it is not
merely done as an avenue to propagate competitive advantage and risk pertinent.
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o
Is data sharing. Rather, its goal is simply to evaluate the corporation’s environmental performance.
Beyond Manufacturing
There are businesses whose operation has a different level of environmental impact as compared to
the usage of the firm’ commodity. A good example is the automobile industry. We all are familiar with
a smoke belching contributing to air pollution. This is classic example of environmental burden of
using, and not the production of cars per se. As brand-new cars, it most likely passed quality control.
However, the owners and users of the car-due to wear and tear-would also most likely experience
some tail-pipe emissions that most environmental advocates claim to have contributed to climate
change. Research has shown that automobile manufacturing is roughly four times less in terms of
greenhouse gas emission as compared to actual automobile owner. It is unfair to put all the blame on
the manufacturing industry in this particular case. Ecolabelling is an approach that push environmental
performance far past the point of sale.
Then again, we should also not discredit the fact that manufactures can do something to improve their
products and services. After all, we should not discount technology in terms of the possibility of
delivering superior quality merchandises. The problem here is that due to the onset of technology and
the past-paced changing of designs, coupled with producers’ desire
to earn more, many people grapple for more possessions even if it
is not entirely classified as a need but more of a desire. The most
obvious example is cellphones. So many individuals have more than
one cellphone. Is it really a necessity? In today’s generation, even
kids and teens are hooked up to cellphones, iPads, laptops, game
consoles such as Sony Playstation (PS4), Microsoft Xbox, and
Nintendo Wii to name a few. But electronics produced at this time
and ages are considered “disposable”. Some even argue that it is
economically more practical to replace a damaged electronic item
than.
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To have it repaired. Air conditioning units, for instance, have a different level of performance
depending on how new the unit is. Some say a consumer would be able to save more (in terms of
electric consumption-manifested in electric bills) using the state of the art technology thereby getting
rich of the old ones even if it is still functioning. Naturally, people want to have more savings. So what
happens to the disposed items?
Going back to cellphones – consider for a moment how many cellphones are sitting in your bags,
closet, or desk drawers? It is obvious that mobile phones have transformed the way we communicate
with our friends and love ones. Most especially for the young generation of today, the mobile phone
has always been a part of their world. Again, most of them have one too many.
But why do people replace or get rid of their cellphones? Main reason: The desire to have the latest
model –especially to those who can afford. But these discarded phones pose a major burden on the
environment. This is part of e-waste. The disposal of mobile phones and other electronic gadgets often
leaves a noxious imprint on the environment. Why? Because such devices carry with them toxic metals
such as lead, nickel, and mercury, to name a few. They are gobbling up power and precious materials
before heading to landfill and if not properly disposed could contaminate the surroundings such as
rivers and soil.
The amount of E-Waste

produced each year in the world
is about 50 million tons.
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Developing New Analytics Tools
If the problem of many industries in terms of environment5al reporting is the disclosure of information
and the fear that they might be divulging, too much information, then data to be shared should be
toned down to manageable bits of information that are focused that are also important, then relevant
specifics and evidences may be masked or shrouded in the process.
As added business firms bring together facts and figures on environmental performance, interest in
analytics tools for better assessment and interpretation is also mounting.
In contrast to many business metrics, measures of environmental performance are not freely
deciphered into a solitary legal tender. What is part and parcel of the corporation’s common language
of greenbacks (whether dollars or pesos – depending on the state’s currency) are:
a. Capital investments
b. Labor costs
c. Projected revenue and even
d. Potential liabilities
As for environment metrics, on the other hand, are usually documented in a jumbled medley of
divergent elements such as:
a. Kilowatt-hours of electricity
b. Parts per million of a chemical
c. Pounds of hazardous wastes
d. Number of oil spills
e. Others
The assortment of environmental metrics has steered numerous corporations and various stakeholders
to come up with weighting formats effective for scoring amidst assorted and distinct scopes of
performance.
Thus far, some companies have initiated obtaining tailored-fit tools for internal evaluation, whereas a
number of organizations have begun utilizing their own criteria to explicitly divulged information.
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Bring together and fusing various types of pollutants to gauge would be environment impacts in a
handful of classification like:
a. Acidity
b. Aquatic oxygen demand
c. Ecotoxicity
d. Hazardous air emissions
e. Others
b. Corporate Social Responsibility, Good Governance, and Environmental Accountability:
c. A Tri-focal Approach to the Philosophy of business for those companies who commit to go all-out
in attempts to polish the emphasis on environmental management, they do welcome the
opportunity to give these customized approaches a try. And although corporations, together
with regulators, and activists have the same opinion that directing on the over-all extent of a
group of chemicals can be deceptive and misleading most stand- in on such statistics as a
speedily accessible cumulative metric.
There are primarily new ways to access, analyze, and communicate environmental metrics across all
nations. The power of technology made this all possible. The citizens have the right to know what is
happening and cyberspace and electronic media has provided the way to access information without
necessarily breaking the bank. With just the click of a button, spectators can actually do some research
and see whose company are in trouble for emissions by relative carcinogenicity and a host of varying
hazards detrimental to health and the environment.
Let us illustrate a case of business and logistics and relate it to environmental burden. Every business
engaged in the manufacturing of goods would naturally want to see an increase in the volume of
production from one calendar year to the next. This is normal. All things being equal, ceteris paribus in
economic term let us analyze the following scenario:
The production outputs’ environmental burden, in terms of:

1. Energy and materials consumed
2. Wastes generated, and
3. Pollutants released might rise proportionately.
Now, which of the following is the better metric:
a. Burdens per unit of production or
b. Total burden per year?
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One would have held steady: the other increased.
The answer is that it depends.
To somebody concerned in ecoefficiency, the production-weighted metric is coherently

contrasted with an overriding goal of loss environmental impact per product.
To a local community, total environmental loading may well be more important.
There is no analytic solution to this basic divergence of goals.
Therefore, individuals who inform and for those who try to interpret environmental metrics must
exhibit good analytical skills in deciphering qualitative differences underlying quantitative metrics. That
is to say, they must detach what is “big” from what is “important”.
The associations concerning emissions and environmental impacts are confounded by the complexities
of discerning individual from aggregate contributions such as the effect of the addition of one more
vehicle on metropolis smog problem. More philosophical yet intense, is the underlying struggle
attaching cause to effect. A classic example would be higher concentrations of particulates in the air
associated to increased incidence of lung disease. Consequently, what is being measured, at best, is a
representation for what the public cares about. Further complicating matters is the considerable gap in
the perceptions of environmental risk held by industry and the public (National Research Council,
1996).
Other Contributory Factors
Armed with a better understanding of corporate environmental performance, let us also not discount
the other contributory factors leading to environmental risks. Among these are:
a. Government, facilities in relation to defense such as nuclear weapons and military bases.
b. Power plants and Energy laboratories.
c. Major wastewater facilities.
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Beyond manufacturing, let us not forget the recent events that led to the closure of one of the
country’s famous tourist destinations – Boracay. The various businesses surrounding the resort has
produced an alarming amount of wastes that posed environmental problems.
What about small-time fishermen who engaged in dynamite fishing? They are not classified as a
business corporation but their way of “doing business” is destroying sea beds and coral reefs.
We have also heard of river waters turning red due to improper water waste management system. Just
recently, the Laguna Lake Development Authority (LLDA) ordered the closure of two construction
companies (name of firms withheld) in Taguig City, Thursday (June 28, 2018) for multiple violations of
environmental Laws. The order is to stop illegal backfilling, reclamation activities and illegal waste
disposal that damage the waters of Laguna Lake. LLDA already filed a lawsuit against the two firms for
violation of the Clean Water Act and the Ecological Solid Waste Management Act.
And what about the recent dumping of medical supplies (including used syringes, bottle jars with blood
and other specimens, and others). Let us also forget those funeral parlors who do not practice safe
embalming procedures and waste disposal that could contaminate environmental surroundings.
Beyond doubt, it should be stressed that environmental performance should also draw attention
beyond the manufacturing industry. While the probability and likelihood of impacts differ from one
sector to the other, it does not mean that we should just ignore them. As Aristotle pointed out, the
whole is greater than the sum of its parts.
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Dimension of Corporate Accountability
Across all Business Sectors
Principle: Environmental Responsibility
Business Environmental Responsibility: A change of approach
From: To:
Inefficient resource use Resource productivity
End-of-pipe technology Cleaner production
Public relations Corporate governance
Reactive Proactive
Management systems Life-cycles, business design
Passive communication Multi-stakeholders dialogue
Linear/throughput approach Closed-loop approach
Confidentiality Openness and transparency
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For business, environmental responsibility entails:

1. “The responsible and ethical management of product and processes from the point of view of:
a. Health,
b. Safety and
c. Environmental aspects
2. Towards this end, business and industry should:

a. Increase self-regulation,
b. Guided by appropriate codes,
c. Charters and initiatives integrated into all elements of business planning
and decision-making.
d. Fostering openness and dialogue with employers and the public.
Integrating Environmental Responsibility into Business:
“A greater commitment by the private sector should be pursued to engender a new culture of
environmental accountability through:
a.The application of the polluter-pays principle
b. Environmental performance indicators and reporting
c.The establishment of a precautionary approach in investment and technology
decisions.
The approach must be linked to the development of cleaner and more resource efficient technologies
for a life-cycle economy and efforts to facilitate the transfer of environmentally sound technologies.”
Characteristics of Environmental Responsibility

1. Applying a precautionary approach
2. Adopting the same operating standards regardless of location
3. Integrating environmental consideration in the supply-chain
4. Facilitating transfer of environmental technology
5. Contributing to environmental awareness in company locations
6. Communicating openly with the local community
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Business Paradigm for Environmental Responsibility

 Improve resource productivity
 New economic instruments (taxes, charges, trade permits)
 Environmental regulations are becoming tougher
 Favorable insurance cover for lower risk companies
 Easier lending terms from banks
 Positive effect on a company’s image
 Asset for recruitment
 Environmental pollution threatens human health
 Customers are demanding cleaner products
 International trade barriers
 Reduce liabilities
Obtaining management commitments for environmental responsibility identify the affected persons
and key issues by asking:
 Who in the company currently has authority to issue policies?
 Who has responsibility for environmental issues?
 What are the most critical environmental issues facing the company?
 What are the main risks and opportunities associated with these issues?
 Which line managers are most directly affected by these issues?
 What are the resource implications of addressing the risks/opportunities?
 What further information is needed to develop an environmental plan?
Tools for Corporate Environmental Responsibility:

 Environmental Management Tools
 Environmental Assessment Tools
 Environmental Monitoring and Auditing Tools
 Environmental Reporting and Communication Tools
Environmental Management Tools
Environmental Management Systems - ISO 14001
- EMAS
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Environmental Management Strategies:

 Cleaner production, Sustainable Consumption and Eco-efficiency
 Life cycle management
 Design for the Environment/ Eco-design
 Product stewardship
 Product-services systems
 Industrial ecology
Business Benefits of Environmental Management Tools:

An EMS helps a company to:
 Identify & control its environmental aspects impacts and risks

 Achieve compliance with environmental legislation
 Define principles to guide future environmental responsibilities
 Establish short, medium and long-term goals for environmental performance
 Determine resources needed to achieve those goals
 Balance costs and benefits for all stakeholders
 Define and document specific tasks, responsibilities, authorities and procedures
 Communicate these throughout the organization, and train people
 Measure performance against pre-agreed standards and goals, and modify as necessary
Other Environmental Tools:
 Tools for Corporate Environmental Responsibility

 Environmental Assessment Tools
 Environmental Impact Assessment
 Environmental Risk Assessment
 Cleaner Production Opportunity Assessment
 Environmental Technology Assessment
 Life-Cycle Assessment
 Total Cost Assessment
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Stakeholders
Scientific Change Empowerment
Design and Engineering
change
EIA Institutional change
Environmental capacity,
Values, visioning, design
Consent decision,
decisions, others
Accountability, others
Corporate change
Beliefs, structure,
economics, others
Business Benefits of Environmental Assessment Tools

Environmental Assessment Tools help to identify business:
 Risk – that could lead to losses for company, for example from
 Contamination of a product such that it is unacceptable for markets
 Injury or illness of workers or local communities
 A pollution problem that undermines the position of the enterprise in the national or
international market
 Opportunities – that could lead to gains for example from
 The reduction of energy and resource consumption and therefore costs of production
 Reducing pollution or recycling wastes
 Selling the product to a market which imposes environmental requirements
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As cited earlier, there are basically three general drivers for establishing business environment
performance targets and developing associated metrics foremost among these, is the demand to
conform with regulatory directives.
This book prides itself as a tool in academic learning that endeavored to link theories, concepts
matrices with actual ground situation and practices.
In the Philippine setting, much emphasis has been given as far back as with the framers of our
Constitution on the importance of the care given to the environment. Much truism can be seen even
with recent developments in the country relative not just to extractive but more so, with resort
establishments and major tourism spots.
The Philippine government, guided by the desire to preserve the environment for the next and
forthcoming generations, punctuated its initiatives with relevant laws and policies and one of these is
the Philippine Environmental Impact Statement (EIS). Continuing efforts were also relegated to
improve the EIS which led to the introduction of several measures that will enhance environmental
protection.
In actual practice, the following can be noted with the Philippine EIS:
 It classified the various industries into environmentally -critical project and situated in
environmentally-critical areas;
 Public participation especially on the part of the stakeholders has been emphasized and given
premium attention.
 Specific government agencies were identified to be truly accountable in implementing the
provision of this law;
 Mechanisms were put in-placed to preclude repetitions of environmental disasters
experienced in the past to include the Mar copper incident;
 Social acceptability also goes beyond just consultation but more on getting the public truly
involved in the monitoring process.
These are but a few of the relevant features that will underscore that indeed, conscious efforts on the
part of the government have been pursued to provide the regulatory framework for business to follow
and implement.
Hereunder is the actual package of the EIS as a tool for environmental protection in the Philippines not
just as a reference, but moreover, as a definitive guide for business to follow.
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INTRODUCTION TO THE PHILIPPINE ENVIRONMENTAL IMPACT
STATEMENT (EIS) SYSTEM
From the framers of our constitution to the present-day legislators, determined efforts have been
pursued not only to preserve our ecology but more so, to protect whatever is left of our environment.
These efforts came in the form of status, policies and laws to include those which are specific to
procedures and legal process involved in the pursuance of various development and corporate
projects. Among this is the Philippine environmental Impact Statement (EIS) System.
This EIS System provides the legal and procedural framework for conducting environmental Impact
Assessment (EIAs) for projects likely to have significant environment impact. The Philippine formally
established the EIS System in 1978 through Presidential Decree (PD) 1586 that designated the fallowing
as implementing agencies:
a. Department of Environment and Natural Resources (DENR)

b. Environmental Management Bureau (EMB) and
c. DENR Regional Offices
The EIS system was designed to safeguard the Philippine environment and natural resources in the face
of growing industrialization and urbanization. . Through DENR Administrative Order (DAO) 96-37, DENR
upgraded the EIS system and revised the implementing rule and regulation. DENR recently issued DAO
2000-05 that highlight the importance of public participation and social acceptability in the
environmental review process.
What is EIA?
The Environmental Impact Assessment (EIA), which is a component of the EIS System, is a process that
involves predicting and evaluating the likely impacts of a project (including cumulative impact) on the
environment during construction, commissioning, operations and abandonment.
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EIA
It also includes designing appropriate prenventive,
mitigating and enhancement measures addressing
these consequences to protect the environment and
the community welfare.
EIA
Its is the systematic process that examines the
environmental consequences of development actions
in advance.
EIA
The emphasis, compared with other mechanisms for
environmental protection is on prevention. EIA
therefore, is a planning tool.
Detailed Usage of the EIA
EIA is a decision making process for impacts on the environment resulting

from human activities.
EIA is a legislated element of the project development process
EIA process vary in terms of the types of projects to which they apply and
whether the assessment must conseider effects of all phases of the project
life cycle or just a specific phase of the whole project.
there are also variations in the scope of factors ( environmental , social, and
economic) that are given premium attention.
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Historical Statues as a Basis of the EIS
 Section 16 of the 1987 Philippine Constitution provides that the State shall protect and advance
the right of the people to a balanced and healthful ecology in accord with the rhythm and
harmony of nature.
 In 1977, Presidential Decree (PD) 1152 respectively required sponsors of all government and
private projects affecting the quality of the environment to prepare assessment of the project’s
environment impact and also require all land use management regulating or enforcing agencies
to consider significant environmental impacts, as well as other aspects of locating industries
 In 1978, PD 1586 or the Philippine EIS System was passed centralizing the EIS System under the
(then) National Environmental Protection Council (NEPC) and authorized the President and the
NEPC to proclaim projects and activities subject to the EIS System.
 In 1979, the implementing Rules and Regulations (RR) of PD 1586 defined the parameters of for
EIS review committee, set the procedures for implementing the EIS system and provided for
exemptions and establishing procedures for public hearings related to EIS.
 Other Executive Orders (No.291 and AO 42) were issued to “improve the EIS System and further
simplify the requirements and streamline the process of processing of ECC”.
What are the EIA Stages?
EIS Study & Report

Screening Scoping
Preparation
Monitoring,
EIA Report Review
Decision Making Validation, &
& Evaluation
Evaluation
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1. Screening
 It is the stage that determines whether a project is covered or not covered by the PEISS.
If a project is covered, screening further determines what type of documents the
project should prepare to secure the needed approval. And what are the rest of the
requirements are in terms of EMB Officer Application, endorsement and decision-
making authorities and duration of processing.
2. Scoping
 This identifies the most significant issues/ impacts of the proposed project, and then
delimits the extent of baseline information to those necessary to evaluate and mitigate
the project’s impact.
Under Scoping, the following shall be covered:

1. Social Preparation/Information, Education and Communication (IEC)
activities with local government units (LGUs).
2. Request for Scoping with EMB.
3. Review Team Formation, Scheduling of Three (3) Level Scoping Activities.
4. Conduct of Three Level Scoping Activity
a. Project briefing with review team.
b. Public scoping with the community
c. Technical scoping with the review team.
5. Final Approval of Scoping Checklist.
3. EIA Study and Report Preparation
 This involves the description of the proposed project and its alternatives,
characterization of the project environment, impact identification and prediction,
evaluation of impact significance.
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Impact mitigation, preparation o Environmental Management and Monitoring Plan.
In the EIA Study and Report Preparation, this step is wholly within the proponent’s control and
undertakes the study with the assistance of its EIA Preparer Team. Is shall cover the EIA Report Types
and Contents:
TYPES CONTENTS
1. Environmental impact  Project Description

statement  Baseline Environmental
2. Programmatic EIS (PEIS) Description
3. Initial Environmental  Impact Assessment.
Examination Report (IEER)
4. IEE Checklist (IEEC)
5. Project Description Report
(PDR)
6. Environmental Performance
Report and Management Plan
(PEPRMP)
7. Programmatic EPRMP
(PEPRMP)
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ENVIRONMENTAL TYPE
NATURAL HUMAN (SOCIOECONOMIC)
 Air Resources  Land use

 Water Resources  Population statistics and housing
 Surface Water  Community services
 Ground Water  Economic activity and employment
 Soils and Geology  Transportation
 Biological Resources  Cultural and historical resources
 Wildlife and Vegetation  Health and safety
 Community and habitat  aesthetics
characterization
 Other ecologically significant factors
DATA NEEDED
KINDS OF DATA SOURCES OF DATA
 Meteorological data  Existing in-house literature

 Ambient air quality data  Relevant government agencies
 Data on sources of air pollution  Relevant research organizations
 Water quality and flow data  Fields surveys
 Data on sources topography and soils  Monitoring programs
 Information on biological  Topographic maps
communities  Land us maps
 Data on waste management and  Geographic information systems
pollution prevention  Local specialists
 Socioeconomic data (including land
use, population, housing and
economic activities
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Also, the Substantive Report Contents should have the following:

Project Baseline Impact Environment
Description Environmental Assessment Management Plan
Description
 Location  Land  Significant  Specifying the
 Scale  Water environmental impacts mitigation
 Duration  Air impacts in plan
 Rationale  People relation to pre-  Areas of public
 Alternatives construction, Information,
 Phases Construction education and
 Components Development, communication.
 Resource Operation,  Social
requirement Decommissioning development
 Manpower taking into program proposal
complement account  Environmental
 Estimate of cumulative, monitoring plans
waste unavoidable and and the
generation residual impacts corresponding
 Project costs institutional and
financial
requirements and
arrangements.
Contents of the Environmental Management Plan are as follows:

 Impacts Management Plan
 Social Development Framework
 IEC Framework
 Emergency Response Policy and Generic Guidelines
 Abandonment/Decommissioning/Rehabilitation Policies and Generic Guidelines
 Environmental Monitoring Plan
 Institutional Plan for EMP Implementation.
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4. EIA Report Review and Evaluation
 An EMB procedural screening for compliance to minimum requirements specified

during the scoping, followed by a substantive review of either composed third party
experts commissioned by EMB as the EIA review committee for PEIS/EIS-based
applications, or DENR/EMB internal specialists, the Technical Committee for IEE-based
application.
EIS Review Criteria/Checklist

 Ensure that the environmental considerations are integrated into the overall
project planning.
 That the assessment is technically sound and the proposed environmental

mitigation measures are deemed effective.
 That the EIS System procedures as required in the Revised Procedural Manual
have been satisfactorily complied with, particularly the requirement that the EIS
process is based on a timely, well informed and sectorally well represented
public participation.
5. Decision making
 This involves the evaluation of EIA recommendations and draft decision document
resulting to the issuance o an ECC, CNC or Denial Letter. When approved, a covered
project its Certificate of Environmental Commitment Certificate (ECC) while an
application of a non-covered project is issued a Certificate of Non- Coverage (CCNC).
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Public Hearing and Decision Making

BEFORE THE HEARING MATTERS TO BE DISCUSSED
1. Publication of a Notice of Hearing  The proponent especially their
2. The proponent should ensure the responsibilities to the community.
attendance of concerned stakeholders  The project, including its elements
3. The DENR shall conduct the public hearing or components, its implementation
with the assistance of the proponent and and related development.
preparer  The elements and features of the
4. The proponent shall provide at least one environment likely to be affected by
(1) copy of the EIA report to the EMB the project.
Office.  The impact, as identified and
5. The proponent shall provide at least one assessed
(1) copy of the EIA Report to each of the  The options, as studied and
host municipalities and at least one (1) evaluated
copy of the Executive Summary to each of  Monitoring, follow-up,
the host barangays. enhancement, and mitigating
6. The proponent shall further provide measures
copies of Project Fact Sheet to the  Negotiated settlement or
concerned EMB Office and local compensation
Government Units.  Assurances and guarantees for
compliance to the EMP.
6. Monitoring, Validation and evaluation

 Assesses performance of the Proponent against the ECC and its commitments in the
Environmental Management and Monitoring Plan to ensure actual impacts of the
project are adequately prevented or mitigated.
Under this, details are:

a. What should be monitored?
b. Who should monitor?
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What should be Monitored?

Project compliance with the conditions stipulated in the ECC and EMP
1.
Proponent's conduct of self-monitoring

2.
Complaints, and recommended measures to address the complaints

3.
Preparation, integration and disseminantion of simplified validation reports to

community stakeholders
4.
Who should Monitor?
Project Multipartite Office of the

Proponent/Concerned Monitoring Team Environmental
Company Management Bureau
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STEPS
EIA Scoping
TIMETABLE
EIS Submission and convening of EIA

Review Committee 15 days
EIA Review Committee (EIARC) Work 60

days
EIA Review and Recommendation

15days
EMB Director’s Recommendation 15

days
ECC
Environmental Compliance
Certificate is decided on by the DENR Secretary’s Decision on ECC
DENR Secretary
Flowchart showing detailed steps from scoping to issuance of ECC and the timetable involved
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Project
EIA Required No EIA

Flowchart showing where EIA is required and the importance of
public involvement and participation in the total process.
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The System: Coverage and Procedures
The EIS system requires completion of an EIA and preparation of an EIS report for any environmentally
critical project (ECP) or any project located in an environmentally critical area (ECA). DENR determines
whether a proposal is an ECP or will be implemented in an ECA; if either or both of these conditions
apply, then the proposal is required to secure an environmental compliance certificate (ECC). For ECPs,
the EIS System requires preparation of an EIS because these projects will most likely have high risk or
negative environmental impact. ECPs include major resource extractive projects, major infrastructure
projects, fishpond development, golf course resort development, and major industrial development
projects.
ECAs are that are:

a. Ecologically
b. Socially, or
c. Geologically sensitive
Many coastal habitats such ad mangroves, coral reefs, and municipal waters are classified as ECAs. For
projects in ECAs, the EIS system requires an initial environmental examination (IEE) that includes a
project description and may require an EIS. After a thorough review of the project plans and EIA
documents submitted by the project proponent, the project will be issued an ECC by DENR.
Environmentally Critical Projects.
Resource
Heavy Infrastructure
Extractive
Industries Projects
Industries
Golf Course
Others
Projects
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 Heavy Industries
a. Non-ferrous metal industries
b. Iron and steel mills
c. Smelting plants, and
d. Petroleum and petrochemical industries, including oil and gas
 Resource Extractive Industries

a. Major mining and quarrying projects
b. Forestry project (logging, major wood processing, introduction of exotic animals in
public or private forests, forest occupancy, extraction of mangrove products, grazing(,
and
c. Fishery projects (dikes for/ and fishpond development projects)
 Infrastructure Projects:
a. Major dams
b. Major roads and bridges
c. Major power plants (fossil-fueled, nuclear, coal-fired, hydroelectric, geothermal)
d. Major reclamation projects
 Golf Course Projects

-Golf courses and golf resorts are now subject to EIS requirement
 Others: Many other types of coastal projects not explicitly listed above may, at the discretion of
DENR, require an EIS if they are considered ECPs.
Some likely examples include:

a. Major resorts or hotels
b. Airports, ports
c. Shoreline fortifications
d. Fish processing plants, and
e. Major military development
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Environmentally Critical Areas.
 National parks, watershed reserves, wildlife preserves, and sanctuaries declared by law;
 Areas set aside as potential tourist spots;
 Habitats of endangered or threatened species indigenous to the Philippines;
 Areas of unique historic, archeological, or scientific interest;
 Areas traditionally occupied by indigenous people and cultural communities;
 Areas frequently hit by natural calamities (geologic hazards, floods, typhoons, volcanic activity,
and others);
 Areas with critical (steep) slopes;
 Areas classified as prime agricultural lands;
 Aquifer recharge areas;
 Water bodies used for domestic supply or support of fish and wildlife;
 Mangrove areas supporting critical ecological functions or on which people depend for
livelihood; and
 Coral reefs with critical ecological functions.
Projects NOT covered under the EIS system

include:
Projects or structures that have been operating or
Projects that are not existing since 1982, even if they are ECPs or in an
ECA; however, expansion of developed area or
ECPs or not located in production output by these enterprise requires an
ECAs ECC.
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Can the proponent prepare the EIS or IEE?
To ensure that transparency is observed, the preparation of the EIA is NOT done by the proponent. A
3rd party is engaged, which possess the technical expertise to conduct such activity, and coordinate
with a Multi-Partite body that look at the outputs closely and recommend added mitigating measures,
when necessary.
Only accredited individuals, offices, or organizations are allowed to do EIAs and prepare EIA or IEE
documents. This is to ensure that only competent, credible, and qualified individuals are involved in
the studies required to prepare these documents.
DENR’s EMB and Regional Officers are empowered to accredit individuals or organizations to be EIS
or IEE preparers.
DENR personnel are prohibited from participating in the preparation of EIS or IEE, except in their
mandated role to provide guidance to the proponents.
The IEE/EIS may be prepared by the proponents’ technical staff or a professional group
commissioned by the proponent, provided that only appropriate and duly recognized professionals
with valid Philippine licenses can sign the required accountability statements. The DENR may opt to
accredit entities and institutions conducting training on EIA preparation and those who successfully
complete such courses can be recognized preparers.
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Where Does Accountability Rest?

Adequate and appropriate information in the EIS or IEE is crucial for the development of good
projects and measures to minimize or avoid significant impacts.
The PROPONENT and the EIS/IEE PREPRAPERS are JOINTLY RESPONSIBLE for the accuracy and
completeness of these documents. They sign “ACCOUNTABLITY STATEMENTS” that are
attached to the EIS or IEE, which requires them to provide all the necessary information for a
complete and valid EIS or IEE.
They also promise to bring any new information that comes to light to the attention of DENR.
The proponent and prepares can be charged Administratively or Criminally if they are found to
have provided misleading or false information or neglected to include important information in
the EIS or IEE.
The Environmental Compliance Certificate (ECC)
The ECC certifies that the project proponent has complied with the procedures of the EIS
System. For ECPs, the EIS together with the Committee’s report is sent to the Director of the
EMB, who in turn forwards documents and recommendations to the Secretary of DENR within
15 days. If the EIS and supporting documentation is incomplete, the Secretary makes a decision
on the EIS. If documentation is incomplete, the Secretary may need more time to make a
decision on the EIS and ECC or request additional input from the proponent.
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ECP w/n ECA, Non-ECP but w/n ECA Project Feasibility Study/Project
(covered projects w/c requires ECC) Description
1. Determines required EIA Reports:

a. Programmatic EIS,IEE; Project Non ECP/Non ECA Nor
\
\
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PLANNING & DECISION-MAKING PROCESS
Detailed assessment
Finding and recommendations of EIA
identification of mitigation
considered in various permits and
Feasibility
Detailed Pre-Feasibility
design of
Site selection,
mitigation
environmental
measures
screening,
Project initial
Conceptualization/ assessment
Improvement
Detailed Engineering&
Design
Monitoring and
Operation &
evaluation of
Maintenance
environmental
Project Construction performance
& Development
Implementation
of mitigation
measures
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Local government and communities should continue coordinating with EMB regarding the ECC decision on a
proposed project and communicate any local concerns or objection. The LGU may also want to recommended
revision and follow-up coordination on the EIS to the DENR Secretary before final decisions are made on the
project and it’s ECC.
MONITORING
After a project’s ECC has been granted, the EMP is implemented, in particular, the initiation of environmental
monitoring. The primary purpose of monitoring under PD 1586 is to ensure compliance with the conditions set
in he ECC and the EMP. The EMP guides the implementation of the project to ensure environmental soundness
in all project phases. Monitoring is usually initiated before construction starts and continues through project
construction and project operation. It helps document the actual impacts of the project and provides the
opportunity for determining compliance and identifies needed corrective measures.
Participation of the cross-section of the stakeholders is also guaranteed. A multipartite monitoring team (MMT)
should be formed immediately after the issuance of the ECC to work out the operational details and develop a
memorandum of agreement (MOA) that spells out the roles and responsibilities for the monitoring activities.
An environmental monitoring fund (EMF) to provide funds for the monitoring team is established by the
proponent before the construction phase.
Normally, the core members of the team include:
Representatives of the Affected communities and

LGU
proponent women
EMB Regional Office with

Other sectors identified in the
Support from the concerned
negotiations
PENRO/CENRO
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The monitoring team evaluates compliance with the ECC and EMP, gathers information if damage
occurs or public complaints are raised, prepares and disseminates monitoring reports and conducts
community education and information campaigns.
Environmental Guarantee Fund
With the unfortunate experiences in the past where damages brought about by the failure of a project
to do rehabilitation work due to lack of allocated budget, the new laws require that guarantee funds be
a part of the EIS.
An environmental guarantee fund (EGF) should be set up for projects posing significant risks to
a. People
b. Property
c. Environment
based upon the findings of the earlier completed ERA. Normally, a memorandum of agreement on the
EGF would be signed by the proponent, DENR, LGUs (down to the barrage (village) level), and affected
communities. The memorandum would specify the means to establish, manage, use, and account for
the EGF.
The specific purposes of the fund would include:
Contingency
Compensation
Rehabilitation of cleanups
to injured Raising public
damaged required due to
parties and awareness
environments project-related
communities
impacts
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Concrete Efforts Pursued to Improve the EIS System
Some sectors have claimed that the present EIS System is weak and therefore, requires improvements.
Responding to these, the following have been implemented:
 Since January 2007 the ECC format has been revised to reflect the recommendatory aspect of
the ECC and the responsibilities of the other government agencies.
 Since February 2007 all ECCs are now in the intranet to promote consistency and uniformity in
ECC conditions.
 Since March 2007, Asian Development Bank (ADB) grant from its regional technical assistance
on harmonization was secured.
 Revised the Procedural Manual on EIS System clarifying the role of EIA in the streamlined
process with assistance from the ADB grant. The salient features of the Revised Procedural
Manual of 2003-30 covers the following:
1. Emphasis was made on EIA as a tool for planning and decision making.
2. It rationalized the EIA coverage in terms of Project Groups, ECAs and Report Types.
3. It standardized the decision-making process.
4. Proofs of public participation were more defined.
5. Streamlined and time-bounded ECC/CNC application procedures were established.
6. Monitoring, validation and evaluation audit procedures were enhanced.
7. Administrative investigation procedures were simplified.
8. Review of improvement proposals continues.
 Information material on frequently asked question on EIA was prepared with assistance from
the same funding bank.
 Restores the original intent of the PEISS to respect the jurisdiction of other government
agencies and local government units. This addressed the
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Structural problem in coordination among the different units involved in the process.
The Upcoming Policies Expected Bearing on the EIS

With the intent to continually improve the EIS System, lined-up are the following upcoming policies:
1. POLICY ON ESTABLISHING THE SYSTEM AND PARAMETERS FOR THE EIA AUDIT FOR ECPS AND
ECAS.
 ECCs for projects with high PEMAPS SCORE
 ECCs for projects with pending cases, complaints or violations based on records
 Risk of irreparable adverse environmental impacts or impact of such magnitude as to

render the rehabilitation or restitution unlikely or untenable.
2. GUIDELINES ON PUBLIC PARTICIPATION UNDER THE EIS SYSTEM BASIC

PRINCIPLES:
 Public participation should be initiated early and sustained at the various stages of the
EIA process.
 Public participation should be well planned and should involve the stakeholders in the
assessment, management and monitoring of the environmental impacts.
 Timely public disclosure of all necessary relevant information especially to the

stakeholders who shall be made to understand and appreciate the purpose and context
of their participation for each stage of the process.
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EFFECTS OF CLIMATE CHANGE: AN ILLUSSTRATION

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 Monitoring and Auditing Tools
 Environmental Performance Indicators
 Environmental Auditing
 Pollution and Waste Audits
 Supply chain audits and assessments
Business Benefits of Environmental Auditing Tools

Environmental Auditing Tools help a company to:
 Assess the status of the company’s environmental performance
 Identify environmental aspects & impacts of processes & products
 Determine key performance indicators and monitor against objectives and targets
 Gather and analyze information for sustainability reporting
Tools for Corporate Environmental Responsibility

 Reporting and Communication Tools
 Corporate Environmental/Sustainability Reports
 Ecological footprints
 Stakeholder engagement activities
 Developing partnerships for progress
 Environmental Labeling Programs
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Recent Initiatives at the International Level on

Current Initiatives at the International Level
Emmanuel o, Nuesuri came up with a comprehensive Working Paper on social and Environmental
Accountability last December 2016. It was commissioned by the Natural Resources Governance
Framework (NRGF), a project of the International Union for the conversation of Nature (IUCN). It
covered the recent initiatives undertaken at the international level on environmental accountability
Highlights of these various initiatives undertaken globally are as follows:
 The World Bank recognizes the role of accountability in ensuring good governance in member
countries including responsive governance of natural resources. As such, the World Bank states
that its environmental and social standards set out requirements that will among other things
“enhance non-discrimination, transparency, participation, accountability and governance” in
projects receiving World Bank funding (World Bank 2016b.1);
 With the growing power of non-government organizations (NGOs). It continuously ventilate its
criticisms regarding environmental impacts and called upon powerful actors, both government
and business, for greater accountability. In response , international institutions came up with
the Transparency and Accountability Initiative (TAI), the Extractive Industry Transparency
Initiatives (EITI), and the Natural Resource Governance Institute (NRGI)
 Yale and Columbia Universities in the USA developed jointly an Environmental Performance
Index (EPI) (Hsu 2016). This is an index that is used to rank the environmental performance of
180 countries throughout the world. The EPI framework can be adapted by citizens and civil
societies in their environmental accountability initiatives.
 Media campaigns are now helping the push for environmental accountability. Campaigns are
quickly given global exposures through internet platforms like Facebook, Mongabay and New
York Times.
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Environmental Accounting & audit
“We have become, by the power of a glorious evolutionary accident called

intelligence, the stewards of life’s continuity on earth. We did not ask for this
role, but we cannot adjure it. We may not be suited for it, but here we are”,
Stephen Jay Gould, Harvard University (White, 1997)
On daily basis, any student can find much learning by simply observing what is going around him in the
environment – whether he is a city resident or lying in the rural areas. Notable among those that have
drummed up so much interest are the following:
 Growing concern with the increasing land degradation, erosion, salinity, and reduced
soil microbial health. Added to these is toxicity from pollutants which in the local
setting, especially in the Mindanao area, is being experienced by local residents
proximate to commercial banana plantations.
 The adverse economic consequence of land degradation and reduction in water quality.
This may include loss of income and attendant cost of reparation or repair. If you travel
going to Tuguegarao City in Cagayan Valley, passing through the municipality of Roxas,
you will see long stretch of land, on both sides of the road, without a single tree
standing. The place is barren and a good example of how land degradation really looks
like.
 Realization of the limited availability of non-renewable global resources such as arable
lands, and the competition for these resources. This is the reason why efforts have
been pursued to go solar and consider other source of power.
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 Continuing inquires about how production can meet the needs of the increasing
population. Recent development on the supply of rice for the government-owned
National Food Authority (NFA) showed the need to import the staple food from
elsewhere. This is due to shortage in production brought about by climate factors to
include typhoon occurrences and flash floods.
 Evident concerns with the impact of humans on global climate changes.
What is the relation of the above to environmental accounting?
In business, wealth of economic information is available about production, income, profit and loss – all
information made available to understand the economic condition of a certain corporation. Executives,
directors and owners of these business entities can monitor trends, make projections and decide on
important concerns intelligently. All these definitely, affect the future of a business establishment.
In the same token, crucial information can be made available to policy makers and world leaders
through environmental accounting that will serve as their guide on how to value their resources and
how their companies play its role on climate change and global warning.
What is environmental accounting?
Environmental accounting is the practice of incorporating principles of environmental management

and conservation into reporting practices and cost/benefit analysis. It has the following features:
 It allows a business to see the impact of ecologically sustainable practices in all their activities
from supply chain, current operations and process, to facility expansion.
 It allows accountants to report on the economic impact of those decisions to stakeholders so

as to give way to more proactive decisions making on which processes will meet
environmental regulations while considering the bottom line.
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 Serious regards are given to environmentalism and the negative impact on non-
renewable practices which have a bearing on accountability
 Business can explore integration on the basis of the information yielded and relate
environmental management to core business practices.
Environmental accounting, although relatively new, is a key dimension of business survival. Financial
health and profitability seldom happen by accident. Business has to navigate itself through a maze of
environmental legislation and social reporting and any violations could drain a business dry. So while
the fast-paced world of business may seem at odds with the typical image of environmentalism, the
concepts are actually uniquely compatible.
What are the subfields of environmental accounting?
Environmental accounting is organized into three sub-disciplines:
 Global environmental accounting – an accounting methodology that deals in areas that

include energetic, ecology, and economics at the worldwide level.
 National environmental accounting – an accounting approach that deals with environmental

economics at the national level.
 Corporate environmental accounting – this focuses on the cost structure and environmental
performance of a company. It can be further subdivided into:
1. Environmental management accounting that deals on making internal business decisions

that cover:
a. Identification
b. Collection
c. Analysis of related costs
d. Earnings and savings specific to environmental programs implemented
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2. Environmental financial accounting is used to provide information needed by external

stakeholders on the company’s financial performance. This type of accounting allows
companies to prepare financial reports for investor’s regulatory bodies and other interested
parties.
Today various developments and breakthroughs are being observed in the field of accounting to assist
business in managing their environmental performance. It is also a tool to help investors and
consumers alike to make informed decisions on whether to patronize a company or not with premium
attention given to company’s environmental track records.
Based on actual experience in the extractive industry, the authors have noted that indeed,
environmental costs or investments on mitigating environmental impacts can be staggering and even
bigger that the stat- up investment. This is so considering that in the mining industry, companies have
to handle toxic chemicals, large volume of tailings or waste and its far-reaching effects on the
immediate and downstream environment can be devastating as in the case of Mar copper mining
disaster.
Environmental Auditing
Environmental audit is defined as a basic management tool which comprises a systematic,

documented, periodic and objective evaluation of how well an organization is performing in relation to
its environmental programs.
The key objectives of an environmental audit are:
 Determine how well the environmental management information systems and equipment
are performing. This type of audit is both for internal and external use.
 Verify compliance with relevant national, local and other laws and regulations. Compliance to
standards set has to be achieved and an attendant report should be submitted to the
concerned regulatory bodies.
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In the Philippines most specifically in the mining industry, reports are submitted regularly to the Mines
and Geosciences Bureau (MGB) regional and central office and the Environment Management Bureau
(EMB) to ensure compliance to agreed standards.
2. Minimize human exposure to risks from environmental, health and safety problems. This audit
helps in the following:
a. Pollution control
b. Improves production safety and health conservations
c. It also assists in handling wastes properly and
d. Providing environmental information to the general public
Generally, the following are the three (3) phases when an environmental audit is undertaken in an
industry:
Phase 1 – pre-audit activity which pertains to collection of information. This is done in

coordination with the industry which is the subject of the audit.
Phase 2 – actual activity on site and is focused on the evaluation of the earlier information
collected. Actual ocular inspection is conducted.
Phase 3 – post audit pertains to collation analysis and drawing conclusions from the data
collection and identification of areas for improvement, if any.
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In a
Nutshell
Central to the principle of good governance is accountability.
It was observed that the key challenge hindering accountability

of powerful actors to include business and civil society
organizations include weak political will on the part of the
government. Recent developments in the Philippine setting
however, showed much hope that this weakness can be a thing
of the past.
The Duterte Administration’s action on closing the island of

Boracay is a case in point. It led all sectors to re-examine their
role in relation to the abuses of the environment and how to
protect it. This was followed by close monitoring of the
Department of Environment and Natural Resources (DENR) of
other tourist spots throughout the country which have to
follow the standards sets to preserve the ecology for the next
generation.
While these are welcome developments, we all know that it

Takes more than just political will to save this planet. Much is
required, and much has to be done – and we are all part of it.
Let us then, start playing our role to save Mother Earth for we
too, are accountable
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Name: Score:
Section: Date:
Activity 4a
CASE STUDY
How the environment is affected by human consumption and activity is best illustrated by the way
we use paper in our daily lives. The American forest and Paper Association reported that:
 The United States produced over 20 million tons of paper last year.
 Since paper is made from trees, this requires over 100 million trees to be cut for last
year’s production to be achieved.
 You need 24 trees to produced 1 ton of office or writing paper.
 You need 12 trees to produce 1 ton of newsprint.
 The average web user uses 16 sheets of paper daily
 Some 115 billion sheets of paper are used annually for personal computer purposes.
These data may appear new to some since not too many are aware that you make paper from
trees. We may even have a hard time imagining that something so tall and strong could be turned
into something as thin and as weak as a sheet of paper. The bottom line however, is that trees are
a crucial component of our environment. Its depletion because of the need to produce paper which
we need daily can truly have a fr-relating effect.
In 2015, the Philippine population is over 100 million. If we assume that 1 tree can provide oxygen
to persons, it allows that we need 33 million trees to have a healthy environment. Unfortunately,
this is not the case since in the last 100 years, since from 30 million we are down to 7 million and
our forest cover now stands at 24 percent. This leaves us with one question which is the focus of
our case study: shall we continue to cut trees which will affect the government in order to produce
paper? What technology is available to provide an alternative?
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CASE STUDY:
A major producer of newsprint in the Philippines has a plant that produces 350 tons of newsprint per
day.
The company uses virgin pulp to produce newsprint. To make paper from trees, that raw wood must
first be turned into “pulp”. Wood pulp is a watery “soup” of cellulose wood fibers, lignin, water, and
the chemicals used during the pulping process.
Wood can be turned to pulp in a couple of different ways. Mechanical pulping involves using machines
to grind wood chips into pulp. The resulting pulp retains most of its lignin, though. The short fibers
created by grinding leads to weak paper most suitable for newsprint, phone books, or other types of
low-strength papers.
Once the pulp is ready, huge machines spray the pulp mixture onto moving mesh screens to make a
layered mat. The mat of pulp then goes through several processes to remove water and dry it out.
Finally, the mat is run through heated rollers to squeeze out any remaining water and compress it into
one continuous roll of paper that can be up to 30 feet wide.
The raw materials which are sourced from trees come from company’s forest concessions and
industrial tree plantation. Based on the information presented earlier, 12 trees are needed to be cut to
produce 1 ton of newsprint. This means that with a daily rated production capacity of 350 tons, some
4,200 trees have to be cut daily. If the plant, which usually runs on a 24/7 basis, has to be guaranteed
of continuous raw material supply, it would need 126,000 trees monthly or 1,512, 200 trees annually
to sustain plant operations.
This is not rocket science. All one has to do is to look at the figures and immediately, relate it to the
environmental effects of running a paper plant with that kind of capacity.
The top management of the company gave this concern it’s most serious attention as this impact on
the following:
1. In terms of hectares of plantation area to be affected to ensure continuous supply of trees to

the paper plant , some 1,500 hectares of last growing species (albizzia falcatta, bagras, acacia
mangium, and others) have to be clear cut annually.
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2. The reforestation activities of the company cannot catch up with the speed of utilization as the
trees require years to grow.
3. Rapid deforestation will have a great effect on the environment as it can trigger massive soil
erosion, loss of forest cover, landslide and disastrous flooding.
Given the above scenarios, the company decided to turn on to technology as a solution to the problem
it faced. Research work ensured, plant visits to other paper plants situated abroad were made and
bingo, a solution by way of using recycled paper to produce newsprint was approved by management.
Involved in this solution are the following:
1. Instead of using totally virgin pulp which comes from trees, the company will use secondary
fibers that have been used previously in a paper manufacturing process and have been
reclaimed as raw materials for another process.
2. These secondary fibers shall be sourced from scrap paper collected worldwide and will use the
technology of de-inking process to recover the fibers.
3. Recycling paper uses only 60% of energy as compared to using virgin timber paper.
4. In terms of implication, every ton of newsprint that uses recycled scrap paper as material will
save 17 mature trees and thus, ease the pressure on the forest.
5. Scrap paper can be recycled six (6) times.
6. Globally, recycling the world’s paper would free 20 million acres of forestland.
The process of waste paper recycling most often involves the mixing of used and old paper with water
and chemicals to break it down. It is then chopped up and heated. Chemicals used include hydrogen
peroxide for bleaching and small amount of caustic soda to stabilize it. It is then strained through
screens, which remove any glue or plastic then cleaned, de-inked and put in a storage tank. The share
of ink in a waste paper stock is about 2% of the total weight.
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The implementation of this simple but effective technology was replicated in various parts of the world
and if there is anything truly worth mentioning in is use technology to save the trees and the
environment.
Case Study Questions:
This exercise calls for a student to be environmentally conscious in the use of paper. Hereunder are the
uses of paper and the student is required to match each of the item below with an idea or
recommendation on how to reduce the use of paper and save our trees.
RECOMMEND ISEAS OR ACTIVITIES TO

USES OF PAPER REDUCE PAPER CONSUMPTION
 Paper used for printing and writing  Review your usage and recommend
doable activities to save on paper.
 Paper is often used for money. It is  Any ideas?
called banknote
 Paper is used for cleaning. Special forms  Keep tab of your consumption. How do
of paper are paper towels, facial tissues you reduce it? Any alternatives?
and toilet paper.
 Paper is used for decoration such as wall  Be innovative. Any alternative?
paper and gift wrapper
 Paper is used as packaging materials.  Come with practical suggestions on
Every time you eat a fast food chain, how you reduce or minimize use of
observe the amount of paper used for paper in this area.
packaging.
Finalize all your ideas in a sheet of paper and present it to the class. Individually discuss it with a
partner and discuss how your approach is similar to his ideas. Look for areas of further improvement.
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Name: Score:
Section: Date:
Activity 4b
Review the Code of Corporate Governance for Publicly-Listed Companies in the Philippines issued by
the Securities and Exchange Commission (SEC) last Nov. 22, 2016 and which took effect on Jan. 1, 2017.
Refer to principle No. 16 on page 3 of the Code and do the following:
1. Choose a business establishment (store, company, corporations) in your locality and familiarize
yourself on how it operates.
2. Write a reaction paper about your chosen entity in relation to principle 16 and comment (in
not less 3 page-double spaced short band paper) on the following:
 Is your chosen entity socially responsible in dealing with the community where it
operates?
 Did your chosen entity ensure that its interactions serve positively the environment?
 Is your chosen entity fully supportive of a comprehensive and balanced development in

relation to its stakeholders?
Present your paper to the class for critique and comments.

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Name: Score:
Section: Date:
Activity 4c
Research on the developments relative to the Island of Boracay from the time President Duterte called
it a “cesspool” to its closure and forthcoming opening. Read the following questions and come up with
answers as a reaction paper (one-page answer for every question, double-spaced short bond paper):
1. Did President Duterte exhibit a strong political will when he ordered the closing down of the
Island of Boracay?
2. What government agencies were involved in the closure and what problems were encountered
as occasioned by the closure?
3. How did the resident tourists, civil society reacts to the closure of this prime tourist spots?
Cover the pros and cons of the issue.
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Guide Questions:
1. Is the environment a stakeholder? Support your answer.
2.Should corporations meddle with environmental concerns?
3. As a businessman/CEO, what best practices should your company employ

in protecting/safeguarding the environment?

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Corporate Social Responsibility, Good Governance, and Environmental Accountability:

A Tri-focal Approach to the Philosophy of business

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

Something to Think About…

It can affect us –climate Only people can negotiate.

It can be affected by Stakeholders must have an

we have a moral Stakeholders theory is too

CSR Drivers on Environmental Accountability

influencing environmental performance and long-term environmental sustainability (WB 2002).

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

Business Success Factors

1. Corporate Environmental Policy

2. Concept of Environmental Audit

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

4. Green, Green, Green

CSR and Environmental Development

Advocates of Corporate Social Responsibility in relation to environmental development mostly ponder

CSR: Evolving Viewpoints on Environmental Accountability

4. CSR conveys predominantly to realizing results from organizational assessments and

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

Responsibility Implies more of a state or conditions of having,

Responsiveness Connotes a dynamic, action–oriented condition

 Acknowledges that the environmental responsibility is a pre-requisite for sustainable economic

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

Current Status and Future Directions: Observations

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

1. The demand to conform with regulatory directives

2. The yearning to acquire or reinforce competitive advantage

3. The aspiration to enhance corporate stewardship practices and standing

Current Status and Future Directions: Compliance

Current Status and Future Directions: Competitive Advantage

The effects or benefits enjoyed by business experiencing competitive advantage are:

a. Improved Process and Manufacturing Efficiency

Environmental principle and protocols may advance either toward:

d. Impact on Shareholder Value

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

As a component of public accountability, measures of environmental performance must possess these

Expansive Propagation of Best Practices

Corporate Social Responsibility, Good Governance, and Environmental Accountability:

The amount of E-Waste

The production outputs’ environmental burden, in terms of:

The answer is that it depends.

To somebody concerned in ecoefficiency, the production-weighted metric is coherently

To a local community, total environmental loading may well be more important.

There is no analytic solution to this basic divergence of goals.

Other Contributory Factors

Principle: Environmental Responsibility

Business Environmental Responsibility: A change of approach

Inefficient resource use Resource productivity

End-of-pipe technology Cleaner production

Public relations Corporate governance

Management systems Life-cycles, business design

Passive communication Multi-stakeholders dialogue

Linear/throughput approach Closed-loop approach

Confidentiality Openness and transparency

For business, environmental responsibility entails:

2. Towards this end, business and industry should:

Characteristics of Environmental Responsibility

Business Paradigm for Environmental Responsibility

Tools for Corporate Environmental Responsibility:

Environmental Management Strategies:

Business Benefits of Environmental Management Tools: