------------------------------------------------------------------------ (Embedded image moved to file: pic15724.pcx) Issue 12 September /October 2002 www.unepfi.net/ebulletin 1. WSSD SPECIAL REPORT Coverage of the five successful UNEP FI events held in Johannesburg 2. UNEP FI Major Climate Study Launched Ahead of New Delhi Negotiation Study cites climate risk to global economy; Climate change market solutions becoming increasingly valuable EVENT OUTCOMES 3. UNEP FI Exploring Biodiversity Projects in Indonesia (26 September ? British Residence, Jakarta, Indonesia) MEMBER SHOWCASE 4. Citigroup - Making Internal Paper Usage Greener 5. HypoVereinsbank Group Publishes Sustainability Report ACTIVITIES 6. Global Responsibility Forum (14, 15 November - Le Meridien Beach Plaza, Monaco) EVENT WIRE 7. Euro Environment Conference on Business and Sustainable Performance (21 - 23 October 2002 ? Aalborg, Denmark) 8. ASrIA Annual Conference 2002 on Sustainable and Responsible Investment (26 - 30 October 2002 ? Tokyo, Japan) 9. Convention on "Sustainable Development in the Knowledge Era" (30 - 31 October 2002 ? Geneva, Switzerland) 10. Social Accountability International's Fourth Annual Conference (22 October, 2002 ? New York City, The United States) 11. Triple Bottom Line Investing Conference 2002 (7-8 November, 2002 ? Brussels, Belgium) NEWS 12. New Fund Bucks Trend by Counting on Rebirth of Socially Responsible Investor For information on creative marketing opportunities in this or other UNEP FI publications please contact fi@unep.ch 1. WSSD SPECIAL REPORT A complete summary of UNEP FI involvement in Johannesburg is available for download at: http://unepfi.net/wssd/ Financing for Sustainable Development: Launch of the Joint World Bank/IMF/UNEP Report 28 August, 2002 The final version of the joint report by the World Bank, IMF and UNEP was officially launched during the WSSD meeting in Johannesburg attracting 250 people into the auditorium of the IUCN Environment Centre. Chair of the Meeting: Cielito Habito (the Philippines former minister of Socio-Economic planning) Panelists: Kristalina Georgieva (World Bank) Jacqueline Aloisi de Larderel (UNEP) Kenneth Ruffing (OECD) Mandla Gantsho (CEO, Development Bank of Southern Africa) Key issues discussed in the report include subsidies in the energy and water sector; innovative small scale solutions, i.e. micro-finance; the potential of private sector innovation; improved use of existing environmental expenditures; public-private partnerships; the linkage of official development assistance and foreign direct investment and the role of development banks. The Latin American Perspective was provided by Fidel Jaramillo (CAF, the Andean Development Corporation), who highlighted the interrelatedness between the vulnerability of financial markets in the region to external shocks and contagion. A UNEP FI Day for Africa Finance, Sustainability and Africa - The UNEP FI African Task Force (ATF) at WSSD 29 August, 2002 (Morning session) Fifteen representatives from the African financial sector make up the UNEP FI African Task Force (ATF) on finance and sustainability. The ATF increases the awareness of African financial institutions regarding the links between finance and sustainable development. Joined by more than fifty representatives of the predominantly African financial sector and related associates, both Cas Coovadia, Chair of the UNEP FI ATF (Banking Council of South Africa) and Sean de Cleene, Co-Chair of the UNEP FI ATF, (Co-Director, African Institute of Corporate Citizenship) led an expert panel discussion on the present challenges facing the African financial sector. Rosie Chekenya (Roscom Consultants/UNEP Zimbabwe) explored cleaner production (CP) investment opportunities in Africa, along with a proposal for a regional CP financing facility. Sean de Cleene's focus on social responsible investment (SRI) issues for Africa coupled with Nicky Newton-King's explanation of the Johannesburg Stock Exchange's recent incorporation of an SRI index into their operations provided a vital social dimension to the proceedings. These African perspectives were balanced with international perspectives on environmental management and reporting and the overall progression of the triple bottom line agenda within the global financial sector, through the presentations made by Phil Case (Barclays) and Brian Pearce (Forum for the Future, UK). (Afternoon session) For the afternoon panel discussion the chair welcomed 120 participants. Sean de Cleene (African Institute of Corporate Citizenship), Nicky Newton-King (Johannesburg Securities Exchange) and Mumba Kapumpa (African Capital Markets Forum) provided the African context. This focused on the current sustainability performance of African financial players and ways forward within the framework of NEPAD; critical issues for the region e.g. HIV/Aids; how to connect Africa to international capital markets; and the challenge of making sustainability, and sustainable finance in particular, tangible "for the man in Soweto". The essence of the afternoon was captured by an appeal from the audience: "We must connect the farmer, who understands the soil, with the banker who understands risk". Cas Coovadia closed the proceedings with the call for a more comprehensive engagement of the finance sector reaching out to a diversity of stakeholders and grassroots communities in Africa. A Discussion on the Role of Financial Services in Sustainable Development 30 August, 2002 Margaret Beckett (UK Secretary of state for environment, food and rural affairs) greeted the select audience. The greeting was followed by the signing of a memorandum of understanding (MoU) between Klaus Töpfer (Executive Director of UNEP) and Dame Judith Mayhew (Corporation of London). The MoU recognises the work each organisation does to promote solutions in the financial sector and commits UNEP and the Corporation of London to an exploration of future joint work. Among the most important concerns of the speakers and audience commentators was the conflicting need for uniformity of global sustainability standards with the necessity to recognise industry specific and regional aspects. Although unresolved, there was the realisation that both the work of UNEP FI and the Corporation of London are now contributing to the alleviation of this conflict, thus reinforcing the objectives of the MoU signed by both parties during the event. Facilitator: Richard Sandbrook Speakers: Sir Robert Wilson (Chairman, Rio Tinto); Phil Case (Barclays) Hanns-Michael Hölz Chair of UNEP FII (Deutsche Bank) Charles Nicholson (British Petroleum) Takejiro Sueyoshi, Special advisor to the UNEP FI 2003 Roundtable (Nikko Asset Management) Charlene Hewatt (Director, Environment Africa) IUCN Business Day 31 August, 2002 Hanns-Michael Hölz, on behalf of UNEP FI, and Achim Steiner of the IUCN, signed an MoU endorsing the benefits of information exchange and cooperation between both organisations. For UNEP FI the partnership with IUCN complements its efforts to intensify stakeholder relationships through the establishment of a Forum for Action that will act as a communication and partnership platform for NGOs and UNEP FI signatories. Hanns-Michael Hölz (Deutsche Bank) contributed UNEP FI's perspective at the investor's dialogue at the business day entitled "Can risk capital generate biodiversity returns?" Participants in the dialogue discussed practical examples of a biodiversity fund, set up by the Nature Conservancy, and the investment strategies of SAM (Sustainable Asset Management). One of the main conclusions reached was the necessity to communicate with and involve various stakeholders while attempting to ensure a genuine triple bottom line approach to biodiversity projects; an approach that UNEP FI is committed to through its Forum for Action. Joint Panel Event on Finance and Sustainability by UNEP FI and the World Business Council for Sustainable Development (WBCSD) 2 September 2002 Chaired jointly by Jaqueline Aloisi de Larderel (UNEP) and Arve Thorvik (WBCSD), the panel discussion served to introduce the audience to the two organisations' work on finance and sustainability. Hanns-Michael Hölz, chair of UNEP FII, emphasised the achievements of UNEP FI over the past 10 years through the presentation of the Finance and Insurance Sector Report, the WSSD statements and the Financing for Sustainable Development Report, in addition to highlighting the regional outreach component of UNEP FI. Picking up an advertisement on the role of the finance sector in deforestation, which was distributed to the audience by the Rainforest Action Network, he argued that such actions proved that sustainable development and shareholder value are now interrelated and stressed the need for better global governance, based on the cooperation of business, governments and NGOs. Lutz Cleeman (Allianz) presented the work of the WBCSD financial sector project by introducing interviews conducted among sixty people from the world of business, finance, IGOs and NGOs relating to the financial sector and sustainability. The project is now investigating how financial players may move toward sustainable development and assist others to do likewise. Paul Kapelus (African Institute of Corporate Citizenship) addressed the issues from the point of view of an African NGO. He focused on the evaluation of the global financial sector, managing social risk, the development of appropriate financial products and services and the building of a sustainable brand as the main opportunities for the African finance sector. 2. UNEP FI Major Climate Study Launched Ahead of New Delhi Negotiation http://www.unepfi.net The 'Climate Change and the Financial Services' focuses on the relevance of climate change and the financial services industry and explains the need for long-term, market-based frameworks to foster finance sector participation. It is divided up into two modules, the first entitled 'Threats and Opportunities' and the second 'A Blueprint for Action.' The executive briefing paper, 'CEO briefing', presents the main findings of a two-phase study and is directed at executive board level decision-makers and government policy-makers. The document is a product of the UNEP FI Climate Change Working Group and will be available for download in pdf format on our website. Swiss Re Greenhouse Gas Conference 8,9 October, 2002 ? Rüschlikon, Switzerland This conference will provide the stage for the first launch of the Climate Change Working Group study including Modules 1 & 2 and the executive briefing paper. UNFCCC COP 8 23 October - 1 November, 2002 ? New Delhi, India The official launch of the Climate Change study will take place at the conference on 30 October Contact: Scott Flemming: Scott.Flemming@unep.ch Tel: +41 (0) 22 917 8268 EVENT OUTCOMES 3. UNEP FI Exploring Biodiversity Projects in Indonesia 26 September ? British Residence, Jakarta, Indonesia On the island of Borneo, Indonesia, the forest is burning and thick clouds of smoke are a posing a serious threat to life and health of local residents. Putting out the fires is the immediate step, but the need for a long-term development plan that combines local economic development and sound natural resource management is equally urgent. On September 26, the UK Ambassador in Jakarta, His Excellency Mr. Richard Gozney, invited local authorities, representatives from the national government, and a wide range of other stakeholders from academia, donor agencies and civil society to discuss development strategies for Central Kalimantan. UNEP FI was represented to explore the possibilities of becoming involved in the region to further the UNEP FI biodiversity work programme and further encourage a hands-on approach to sustainability. Contact: Mareike Hussels: mareike.hussels@unep.ch Tel: +41 (0) 22 917 8253 MEMBER SHOWCASE 4. HypoVereinsbank (HVB) Group Publishes Sustainability Report http://www.hvb-group.com/sustainability (English) or http://www.hvb-group.com/nachhaltigkeit (Deutsch) The present report shows the ecological, social and economic aspects of HVB Groups activities and operations, together with their importance and contribution to sustainable development. HVB Group has been a member of the Dow Jones Sustainability Index (DJSI) since autumn 2000 and is included in the FTSE4Good indexes. In the 'Corporate Responsibility Rating 2002', carried out by the sustainability-rating agency Oekom Research AG, HVB Group was awarded the best rating of 93 banks analysed worldwide. Contact: Stefan Löbbert: Stefan.Loebbert@hvbgroup.com Tel: +49 (0) 89-3782-9765 5. Citigroup ? Making Paper-Usage Greener http://www.environmentaldefense.org/alliance Citigroup has teamed up with the Alliance for Environmental Innovation to reduce the environmental impact of copy paper. If successful, Citigroup will recommend the purchase for all U.S. operations. The project involves working to increase the recycled content in copy paper, reduce copy paper use, and develop environmental evaluation criteria for paper suppliers. The project's success will be measured by the extent to which it delivers significant and measurable reductions in energy and resource use, solid waste, and pollution. It proves that environmental improvements to copy paper practices are economically and functionally viable and it drives positive change for other service firms. Contact: Iris Gold: iris.gold@citicorp.com ACTIVITIES 6. Global Responsibility Forum - Global Responsibility and UNEP FI 14, 15 November ? Le Meridien Beach Plaza, Monaco http://www.global-responsibility.com/ " Good Companies and Responsible Investors ? Do they Exist?" is the title of the two-day high profile event. The forum will aim to: - Focus on the role of the financial services industry and financial institutions in promoting social and environmental responsibility, - Examine recent trends in investment for sustainable development, innovative investment, insurance and commercial banking practices, - Present tools available today to cope with the challenges ahead. Contact Daniela Nosenzo: daniela.nosenzo@global-responsibility.com Tel: +377 (0) 9797-5959 EVENT WIRE 7. Social Accountability International's Fourth Annual Conference 22 October, 2002 ? New York City, USA http://www.sa8000.org/conferences.htm SAI's Fourth Annual Conference continues the organisation's multi-sector approach to advancing social accountability in the private sector with prominent speakers coming from business, government, the investment community, trade unions, and non-governmental organizations interested in labour and human rights, the environment and community development. This year's conference will again feature discussions related to social accountability and the workplace; the agenda will also include a look at business' accountability for environmental and community issues. 8. Euro Environment Conference on Business and Sustainable Performance 21-23 October 2002 ? Aalborg, Denmark http://www.euro-environment.dk The biannual Euro Environment conference provides a central platform for active participants to express their visions, strategies, and not least, actions towards sustainability. Paul Clements-Hunt, Head of UNEP FI, will be speaking on the topic of Global Financing on the first day of the conference. This year's conference will focus on the value chains and the global market mechanisms in the context of global governance and the role of business in the continued progress towards sustainable development. On the second day, presentations will illustrate how business can realise its share of common goals, and collaborate with its stakeholders. Contact: Else Herfort: else_herfort@akkc.dk 9. ASrIA Annual Conference 2002 on Sustainable and Responsible Investment 26-30 October 2002 ? Tokyo, Japan http://www.asria.org/events/japan/oct02/home AsrIA, in a partnership with UNEP FI, are hosting the annual 2002 Conference in Tokyo. The conference will include a mix of keynote speeches, panel sessions and interactive workshops. Furthermore, experienced SRI practitioners, financial experts, leading thinkers, corporate and community leaders from Japan, the Asian region, the USA and Europe will share knowledge and lead discussion. Two critical dimensions to SRI in Asia will be discussed. The first involves business itself and centres on SRI in an Asian context, i.e. what are the priorities for SRI in Asia and are they different to other parts of the world? The second examines the relevance and market opportunity of SRI to pensions management in Asia. Indeed the latter is such a vital issue that ASrIA will be releasing a report on this topic at the conference. 10. Convention on Sustainable Development in the Knowledge Era 30,31 October 2002 ? Geneva, Switzerland http://www.sdc02.org Hot on the heels of the Johannesburg World Summit is a project convention being organized in Geneva, Switzerland on 30-31 October 2002, by the Bellagio Forum for Sustainable Development and IBEX Investment Group, an IT company. This convention on "Sustainable Development in the Knowledge Era" will showcase twenty-four projects, covering topics such as Health Networks, Environmental Monitoring, Micro-Credits, Sustainable Agriculture and Private-Public Partnerships, among others. Each of the projects have universally applicable implications and the organizers are looking for partners and project champions from the private and public sectors. The two-day event will be moderated by the well-known BBC journalist, Peter Sissons. Contact: info@ibex.ch 11. Triple Bottom Line Investing Conference 2002 7-8 November, 2002 ? Brussels, Belgium http://www.tbli.org This year's TBLI conference will be the fourth of it's kind. The event will focus on SRI and Governance and include topics such as Social Auditing, Corporate Governance, Asset Management, Environment Performance, Carbon & Biodiversity, Human Rights, Sustainable Private Equity, Pension Advisors, Reputation Risk, Micro-credits/ Venture Philanthropy and more. The conference will contain plenary sessions, parallel sessions and sustainability analyst meetings. The TBLI Prize will also be given out to a selected company for their exemplary and superior performance in sustainable business activity. Contact: gabrielle@tbli.org NEWS 12. New Fund Bucks Trend by Counting on Rebirth of Socially Responsible Investor Condensed from the Financial Times 25 September, 2002 Pictet, the Geneva fund manager, is launching a new European sustainable equity fund. In the face of this commendable move, Pierre Weiss, of Geneva's Banque Fiduciary Trust, part of the Templeton Galbraith fund management group, maintains that "enthusiasm for SRI was at a peak when the markets were at a peak. Three years ago, a new SRI product was being launched every week. SRI is not dead but it has gone to sleep for a while." But Pictet Funds' Christoph Schweizer is more upbeat about the outlook. Much of the disillusionment with SRI funds is that the first generation of funds were "overweight in growth stocks" and these are now out of favour. "Companies that follow a holistic management concept and are capable of combining their social and environmental initiatives with a successful business model can expect to achieve higher than average growth," says Schweizer. He believes that while concepts such as corporate social responsibility and SRI may be currently out of favour, the long-term trends point in the opposite direction. END. To unsubsribe from the ebulletin send an email to: UNEPFI-SIGNOFF-REQUEST@LISTSERV@PEACH.EASE.LSOFT.COM The UNEP FI e-bulletin is a monthly publication of the United Nations Environment Programme Finance Initiatives. United Nations Environment Programme Division of Technology, Industry and Economics Economics and Trade Branch Finance Initiatives Unit Editors: Jacob Malthouse malthouj@unep.ch Kiki Lawal kiki.lawal@unep.ch Robert Reid robert.reid@unep.ch Mareike Hussels mareike.hussels@unep.ch Disclaimer: The views expressed in this publication are not necessarily those of UNEP or UNEP FI, or of its signatories, nor does UNEP FI or its signatories take any responsibility for actions taken as a result of views or opinions expressed in this publication. Copyright 2002 - UNEP FI