Short-Seminar. Akira Kajiwara. March 17, 2011

Transcription

1 Short-Seminar Akira Kajiwara March 17, 2011

2 Academic background Kobe University: 1987: B.A. in Commerce 1989: M.B.A. in Accounting & Finance 1995: M.A. in Law 2010: Ph.D. in Management A Process Analysis on Carbon Credit Creation derived from Forestlands (in Japanese) University of Washington: 2003: Ph.D. in Forestry Social Institutionalization of FSC Certification Scheme into Collectivist Society of Japan during Time of Paradigm Shift 2

3 Research & Teaching Field of Interest: Accounting & Environment Resource Management (interdisciplinary: ESG, Sustainability, Management, CSR, Accounting, Audit) OTEMON GAKUIN UNIVERSITY KOBE UNIVERSITY UNIVERSITY OF WASHINGTON FREIBURG UNIVERSITY Professor Faculty of Management [ current] Associate Professor Research Institute for Economics, Business Administration (RIEB) [ ] Researcher College of Accounting and Business Administration [ ] Researcher Faculty of Forest and Environmental Sciences [ ] [and others, such as Institute for Global Environmental Strategies (IGES), Fellow] 3

4 Professional Engagements Current: Associate Partner at Tabuchi Accounting Office -clients: small-and mid-sized companies - services: mostly accounting, sustainability, CSR Former: (1) KPMG AZSA Sustainability Co., Ltd., Senior Manager (2) Forest Revitalization Systems Co., Fellow (3) UFJ Institute Ltd., Senior Research Associate (4) Coopers & Lybrand LLP, Junior Accountant/ Tax Strategist 4

5 CURRENT TOPICS (1) CDM (2) REDD (3) Biodiversity (4) Environmental Audit 5

6 Topic 1: CDM CDM= Clean Development Mechanism established under Art. 12 of the Kyoto Protocol under guidance of the UNFCCC (Bonn, Germany) United Nations Framework Convention on Climate Change goal: reduction of emissions (GHG), prevent climate change mechanism: GHG reduction projects in developing countries can earn certified emission reduction (CER) credits CERs can be traded and sold to industrialized countries to fulfill their emission reduction targets under the Kyoto Protocol until 2012: approx. 1,2 billion tons of CER will be generated 6

7 CDM & NAMA NAMA = Nationally Appropriate Mitigation Action new approach, born at 2007 Bali Summit ( Bali Action Plan ) = set of policies, programs and projects countries undertake as part of a voluntary and non-binding national intent to reduce GHG new flexibility mechanism as one possible answer to the weakness of CDM types of NAMA: (1) Unilateral NAMAs: domestically funded and unilaterally implemented (2) Supported NAMAs: implemented with financial, technological and/or capacity building support from developed countries (3) Credited NAMAs: implemented with funding from carbon offset credits generated from emission reductions 7

8 NAMA NAMA projects at feasible study stage sponsored by GEC: (1) Waste materials/water management project in Thailand by Pacific Consultants Ltd. (2) Peatland management in Indonesia by Shimizu Construction Co. (3) Traffic NAMA in Laos by Mitsubishi UFJ Morgan Stanley

9 Topic 2: REDD REDD = Reducing Emissions from Deforestation and Degradation approx. 1/5 (!) of all GHG emissions derive from deforestation/degradation note: 25 % of the world s population directly rely on forest resources for their livelihood goal: reduction of GHG emissions, sustainable development mechanism: provide financial incentives for developing countries to prevent deforestation and degradationby giving a monetary value to the carbon stored in forests UNFCCC: recognizing + promoting the role of REDD ( UN-REDD ) COP-13, 2007: Bali Action Plan September 2008: UN-REDD-programme launched potential market values for emission reduction: up to 100 billion US-$ p. a. very dynamic, new and promising approach, but also many uncertainties prior approaches to restrain deforestation have failed 9

10 From RED to REDD +(+) RED REDD REDD + REDD ++ limited to deforestation drivers for deforestation: demographic factors, economic factors, technological factors, cultural factors tackles deforestation as well as degradation degradation: poor forest management, fires, overgrazing, illegal cutting, forest disease, etc. COP-16 (Cancun, 2010) plus -activities not directly linked to emission goals sustainable forest management, conversation of forests, enhancement of forest carbon sinks low-carbon but high biodiversity lands new, therefore concept/ definitions still vague 10

11 Carbon Stocks under REDD(+) (C) Dr. Sasaki, Hyogo University 11

12 REDD Current Issues (1) connection between REDD and carbon market (2)funding, implementation (3) leakage problem (4) distribution of REDD benefits (5) incorporation of REDD+ mechanism into future climate change agreement 12

13 CDM, NAMA & REDD Accounting expertise required to (1) Measure (2) Report (3) Verify carbon emission reduction activities in proper way. 13

14 Topic 3: Biodiversity = the variability among living organisms Convention on Biological Diversity (1993) further: Cartagena Protocol, Nagoya Protocol biodiversity: marine, coastal, agricultural, forest, mountain, island, inland waters etc. objectives of the Convention (Art. 1): overall goal: promote sustainable development conservation of biological diversity sustainable use of its components fair and equitable sharing of benefits arising out of the utilization of genetic resource 22. May 2011: International Day of Biodiversity Forest Biodiversity 14

15 Structure of the Convention 191 Parties & EC COP SBSTTA (Art. 25) Meeting AHTEG Meeting Meeting Secretariat (C) Dr. Kohsaka, Nagoya City University SBSTTA: Subsidiary Body on Scientific, Technical and Technological Advice AHTEG: Ad Hoc Technical Expert Group 15

16 Topic 4: Environmental Audit (EA) EA plays an important role in Environmental Management Systems (EMS) no standardized definition of EA different types of EA, but in most cases a compliance audit takes place = check against environmental legislation results of the EA are disclosed: voluntarily, or prescribed by law 16

17 Types of EA Major types of Environmental audits: criterion = scope Environmental Audit ComplianceAudit Issues Audit Health & Safety Audit Site Audit Due DiligenceAudit ProductAudit Content check against environmental legislation,including non-binding rules such as guidelines, policies, etc. evaluation of how company's activities relate to specific environmental issues assessment of risks and contingency planning audit of a particular site (often on-site) assessment of potential environmental risks and liabilities (done before mergers etc.) analysis of environmental impacts of a product throughout its life-span 17

18 Case: Compliance Audit What rules need to be considered in Germany? Environmental law can be found at all hierarchies of law Directives (VDI), Customary Law, Programs, Recommendations International Law Aarhus - Convention, etc. EU Law -primary - AEUV, EUV, etc. Number of environmental laws: ~ 1900 laws in Germany relate to environmental protection; for a standard audit case usually 200 laws need to be considered Note: EU Law becomes increasingly important! Environmental Law is spread throughout the branches of law County, City Law executing state or federal law EU Law - secondary - important! Public Law Private Law Common challenges: State Law Art. 69 Rheinland- Pfalz constitution, acts, ordinances, etc. Federal Law Art. 20 a constitution, acts, ordinances Criminal Law (1)Often no translation available; if available: translation text not-binding, poor quality (2)Identification of relevant laws: What laws are relevant? Recent changes? (3)Access to laws difficult, especially local laws and customs Environmental Law 18

19 Options for future collaboration mandatory: rising awareness for each other joint research projects symposiums, conferences exchange (under-graduate, graduate)?? 19