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The Business and Politics of Environmental Regulation and Activism
3028IBA – Energy and Environmental Security

Dr Tapan Sarker Department of International Business and Asian Studies
3028IBA - 2013

Topics Covered in this Lecture
• The business/corporate sector and the environment (essentially business and the climate change issue); and
• Emissions trading schemes (the key strategy, considered the most cost-effective strategy, by which economic activity is to be guided towards meeting certain GHG emission reduction targets)

3028IBA - 2013

The Business/Corporate Sector and the Environment

3028IBA - 2013

Some of the questions today’s lecture and tutorial topic considers
• In the context of governments attempting to achieve climate security, what have been the key concerns of the business sector?

• •

How has the business sector attempted to influence decision making on climate change policies? How have businesses responded to the greenhouse gas reduction challenge and policies, and what has motivated their responses?

3028IBA - 2013

The Traditional Behaviour of the Business Sector in Relation to the Environment
• Opposition to national and international policies that they believe would impose significant new costs on them or otherwise reduce expected profits
When faced with existing strong domestic regulations on an activity with a global environmental dimension, corporations are likely to support international agreements that would impose similar standards on competitors abroad



3028IBA - 2013

The Three Attitudes of Business Towards Environmental Concerns
1. The rejectionist position - sections of business who comprehensively reject the case for environmental concern 2. The accommodationist position - largely skeptical, but have sought accommodation by making limited changes 3. The environmental business position - have

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