How do Scotland’s overall carbon reduction results compare with the rest of the UK?

“Scotland has committed to a globally ambitious climate change target - 80% emission reduction by 2050. And we are already taking action to deliver this. Since becoming Climate Change Minister I have seen a real commitment to emissions reduction across all the key sectors.

“Between 1990 and 2005, Scotland’s greenhouse gas emissions fell by around 16%. As part of this reduction, CO2 emissions fell by around 12.5% – almost double that of the UK average decrease of 6.4% for the same period. And that reduction in emissions was achieved at the same time as our economy grew by 36%.

“However, it is important to note that Scotland’s emissions are more volatile than UK and global emissions and can vary year-on-year.“

What political approach is driving this success?

“The Scottish Government’s purpose is to create a more successful country, with opportunities for all of Scotland to flourish, through increasing sustainable economic growth. We recognise that climate change is one of the most serious threats we face - and we are determined that Scotland will play its part in rising to this global challenge.

“It is vital that we ensure that action on climate change becomes part and parcel of the way Government and the wider public sector behaves. While I have climate change in my ministerial portfolio, all Scottish Ministers have a responsibility to deliver on climate change.

“Our Economic Strategy sets the strategic direction for the public sector in Scotland – and we introduced strategic targets which combine raising our GDP growth rate with ambitions to reduce the level of emissions by 80 per cent by 2050. This ambition is supported by the Scottish Budget 2007 which emphasises that all public spending programmes must take account of, and contribute towards, the action needed to meet emissions targets.”

In what way is Scotland particularly vulnerable to the impacts of climate change?

“Climate change threatens people and economies, societies and our very existence.

“Climate change is already being felt in Scotland. Since 1961 temperatures have risen in every season and in all parts the country and heavy rainfall events have increased significantly in winter, particularly in the north and west. We are also experiencing shorter snow seasons. Climate scenarios for Scotland suggest these trends will continue with our climate becoming warmer, wetter and stormier over the next century. Events such as the 2002 Glasgow floods and 2005 Western Isle storm have shown us the destructive potential of extreme weather on our communities.

“Some degree of climate change is unavoidable, as the impacts over the next 30 to 40 years have been determined by our past and present emissions. So while urgent action to reduce emissions is vital, so is action to reduce our vulnerability to these impacts. We must develop a well-adapting Scotland.

“The Scottish Government is currently consulting on a Climate Change Adaptation Framework that will allow us to work successfully with local government, the private and public sectors and individuals to build our resilience and manage risk, to safeguard our communities, and to capitalise on the opportunities climate change brings.

“But it is important that every business and organisation looks to their adaptive capacity, by improving skills and ensuring that the need to adapt to climate change is an integrated part of their risk assessment and business planning process

“To help business and organisations including local authorities to develop their own adaptation response the Scottish Climate Change Impacts Partnership (www.sccip.org.uk) offers guidance and planning tools. And with the launch later this year of UKCIP08 (www.ukcip.org.uk) – we will all have access to a world leading resource to identify future climate change scenarios.”

In what way will The Scottish Climate Change Bill differ from its UK counterpart?

“Climate change is a global challenge and as a Government we’re committed to working in partnership with the rest of the UK to show international leadership. The UK Climate Change Bill provides a framework for shared action by the four administrations. It recognises the role of the Scottish Government as a partner in the pursuit of the UK emissions reduction target, but it does not specify the measures to be used in Scotland to achieve the targets.

“The forthcoming Scottish Bill will put in place a framework for our distinctive Scottish target. It will introduce a target of 80% emissions reduction by 2050 compared to the UK-wide target which is currently 60%.

“This higher target reflects Scotland’s ambition and potential, for example in renewable energy resources. However, the Committee on Climate Change is currently considering whether to recommend an increase in the UK target, so there could yet be closer alignment between the two targets.”

How has the public sector reacted to the climate change challenge?

“As a Government we recognise the importance of leading by example and we continue in our efforts to reduce emissions from our own operations. This includes a commitment to promote more sustainable travel and to deliver a 20 per cent reduction in our business travel emissions by 2011. Last year we recorded a 12% reduction with the number of miles travelled by air falling by around 18% while those from rail travel increased by 39%.

“Whilst tackling our own contribution to climate change, we are also working to help others do the same. Our Climate Challenge Fund, of £18.8 million over 3 years (2008-2011), is designed to enable communities to come forward with their own solutions to make a significant reduction in carbon emissions. Projects can involve a range of actions from helping communities to use less energy, walk and cycle more, to local sustainable food production. The Fund is aimed at the community sector including community groups, schools, and not-for-profit organisations, and these groups may also be supported by NGOs, voluntary sector or local government partners.

“All local authorities in Scotland have signed Scotland’s Climate Change Declaration. This declaration includes commitments both to reduce climate change emissions and to adapt to predicted climate change impacts. We’ve also been working with the Sustainable Scotland Network (SSN) in developing a programme of support to assist local authorities take forward these Declaration commitments over the past year.

“The Central Energy Efficiency Fund provides financial support to the public sector to invest in capital equipment to achieve energy savings. This fund is a revolving loan fund so will continue to support capital investment on an ongoing basis."

What measures has the Scottish Government taken to encourage business down the low carbon route?

“The Scottish Government is committed to encouraging businesses to consider their impact on climate change and pursue a low carbon route. And I am delighted that so many businesses operating in Scotland are already addressing the challenge of climate change. We are keen to build on this through the Climate Change Business Delivery Group - chaired by Ian Marchant of Scottish and Southern Energy - encouraging business to share good practice, identify opportunities and challenge each other to do more.

“Through Energy Saving Scotland – our exclusive small business advice service, Scottish SMEs can receive free and impartial information on how to make efficient use of energy and other resources to save money, improve their competitive position, and help the environment. Delivered by our new Energy Saving Scotland Advice Network, dedicated business advisors can provide: free on-site energy, waste and water audits; practical guides and best practice literature and relevant training and seminars.

“Through this scheme we also provide interest-free loans of up to £100,000 for capital investment in energy efficient technologies. We will also provide loans for microgeneration technologies to further encourage Scottish SMEs down the low carbon route.

“We are also working alongside the UK Government and the other Devolved Administrations to introduce the Carbon Reduction Commitment, a UK-wide emissions trading scheme due to begin in 2010. The CRC will reduce emissions from large commercial and public sector organisations such as supermarkets, hotels and local authorities.”

How important is renewable energy to Scotland’s plans for a low carbon economy?

“Renewable energy is one of the key solutions to the challenge of reducing carbon emissions. Scotland has a clear, competitive advantage in developing clean, green energy sources such as wind, wave and tidal power. Scotland is on track to becoming the green energy capital of Europe. In recent weeks, the Government has announced assistance for a new 45 megawatt combined heat and biomass plant in Markinch, we have approved the Clyde windfarm – Europe's largest onshore windfarm and have also given the go-ahead for the expansion of the Crystal Rig windfarm – a total private sector investment of some £800m over the last three weeks.

“To help drive the sector, we have introduced a target to generate 50% of Scotland’s demand for electricity from renewables by 2020, and we are well on track to achieving our interim milestone of 31% by 2011.

“Our renewables policies are not just about large scale projects. We have tripled our funding for community renewables and microgeneration to ensure that more communities benefit directly from the development of renewable energy.

“We will also continue to build on Scotland’s reputation of innovation in the areas of science that matter. The First Minister recently unveiled plans for the £10 million Saltire Prize, to stimulate governments, businesses and engineers across the world, and lead a new wave of innovation on renewable energy.”

What is the Scottish Government’s approach to emissions from transport?

“As a Government we are taking action by investing in transport infrastructure that tackles congestion, improves connectivity and reduces journey times. We are building new rail lines, improving the bus network and putting money into other forms of sustainable travel such as cycling and walking.

“Our new innovative scheme `Smarter Choices, Smarter Places’ seeks to encourage more Scots to get out of their cars and to adopt more sustainable forms of travel - reducing emissions and congestion. We’re making £15 million available over the next three years to create a series of 'sustainable travel demonstration communities' across the country. In partnership with Local Authorities our aim is to transform the travel behaviour of thousands of residents and showcase the best activities to encourage uptake elsewhere.”

Can a small country like Scotland become a world leader in carbon reduction?

“We know that Scotland’s emissions are a tiny fraction of world emissions but we have the vision, skills and determination to ensure Scotland will play its part in rising to the global challenge of climate change. Leading by example, highlighting the importance Scotland places on tackling climate change, and demonstrating that a prosperous low carbon economy is possible, we can inspire others to do more. The Scottish Government is committed to reducing Scotland’s emissions by 80 per cent by 2050, one of the most ambitious statutory targets anywhere in the world. This target will drive new thinking, new solutions and new technologies to address this global challenge. The Scottish Government is confident that government, business and all the people of Scotland are ready to rise to the challenge of climate change.”

What is the biggest challenge to the Scottish Government’s plans for carbon reduction?

“The Scottish Climate Change Bill will provide the framework for setting the target and measuring progress and the Scottish Government is now beginning the assessment of policy options that might be delivered to meet the target.

“We will be assessing evidence of policy options from a number of expert sources including the independent Committee on Climate Change which we co-fund with the other constituent countries of the UK. We will shortly publish independent research offering an initial assessment of policy options to inform consideration of how we might reach the ambitious target proposed in Scotland’s Climate Change Bill.

“Ultimately addressing the urgent social, economic and environmental challenge of climate change will only be successful if all of us accepts responsibility and acts sustainably. But I am confident Scotland can rise to the challenge.”

What advice do you have for others engaged in tackling climate change?

“The growing awareness of the consequences of our actions has already made many of us stop and think about what we can do to become more sustainable, less wasteful and reduce our impact on the environment. But as a country we can do more - Government, businesses, communities and individuals all have a role to play in tackling climate change.

“As a Government we are leading by example. We are also working to empower communities through initiatives such as the Climate Challenge Fund as well as encouraging individual Scots to do their bit by signing up to our 10 Greener Steps (www.itsourfuture.co.uk).

“Individuals, businesses and organisations can all show leadership and by sharing good practice, demonstrating the opportunities and benefits of our actions, we can inspire and challenge each other to do more. Only by working together can we hope to tackle climate change. “

Learning To Change

The need to respond to climate change has encouraged many large companies to appoint a senior figure to lead their low carbon strategy. In some organisations this will be a director who already leads on CSR and so has some knowledge of sustainability issues. But for many, the low carbon agenda will be new territory with its own specific challenges, and training and guidance will be desirable.

“We see the real challenges for companies on two separate levels. For executives there is a need for them to think further, wider and deeper in developing a strategic approach to climate change. Then there is a need for operational expertise in implementing the strategy,” says Stephanie Draper, who directs the business programme at Forum For The Future.

The organisation provides executive training days that typically include a session with an inspirational speaker such as Jonathan Porritt. Bespoke training is also available for particular organisations, helping them to develop or implement a strategy for sustainability. This may combine structured learning with practical coaching. “Our approach is never to open people's minds without also giving them something to do,” she says.

Helping people to understand the basics of the science of climate change and the technology for reducing emissions is relatively straightforward, she says. “We're well served on technology, and quite good on the science of climate change, but behaviour change is hard,” she says. Many organisations have experience of trying to change behaviour as part of transformation, but climate change is different. “Most attempts at transformation have a beginning and an end, with milestones in between. Responding to climate change can't be just an initiative. It's also a lot about values and how people think – their hearts and minds,” she says.

Skills and standards

Working with many companies operating in the developing world, TwentyFifty provides advice on strategy, and mentoring. TwentyFifty is seeing requirements on business leaders for skills that weren’t expected even a few years ago, says Luke Wilde. “A good example of this came out of discussions we had with a mining company,” he says. “Typically a manager or director will be technically very competent, but increasingly if they are to operate in a developing country they must be able to interface with other parts of society – NGOs, and politicians at both a national and local level.” Just as important is communicating effectively with people in one’s own company or a partner organisation, says Wilde.

A key element in ensuring a carbon reduction programme is on the right track, and in communicating progress to a wider audience is reporting. AccountAbility is an important source of help and guidance in this area. AccountAbility trains people to use the AA1000 Assurance Standard, which supplements the work of the Global Reporting Initiative on disclosing a company’s record on sustainability. The Standard is used to check that all the areas of performance relevant to stakeholders are included, that the information provided is complete and accurate, and that a company has responded properly to stakeholders' concerns and interests.

The organisation also offers training and advisory services, aiming to help companies develop effective approaches to accountability and sustainable development that are part of a strategy for success, rather than simply a response to outside scrutiny. These are delivered through consultations with leadership teams, staff workshops for staff across the company, and ongoing mentoring and support.

Meeting of minds

For leaders of the largest companies, support and guidance may be found through the University of Cambridge Programme for Industry. “We don’t teach them in the conventional sense. Rather, we help them to work things out for themselves, in groups of their peers with the help of an expert,” says Sheila von Rimscha, one of the programme managers. The experts on hand may include the ubiquitous Jonathan Porritt, or Paul Gilding, once an antagonist of big business in his work for Greenpeace, and now CEO of Ecos Corporation.

The Cambridge programme has a particularly strong alumni network, and delegates may find they learn as much through this as through formally structured events. Some participants have also implemented the Chronos e-learning programme on returning to their companies. This was developed through a partnership between the World Business Council for Sustainable Development and the University of Cambridge. Designed to provide a basic understanding of sustainability issues, the course has been completed by around 200,000 people worldwide, says von Rimscha.

A similar mix of masterclasses, conferences, networking events and online discussion groups is used by the Corporate Responsibility Group (CRG). A number of key issues are emerging for CRG members in these discussions, says Deputy Chair Yogesh Chauhan. “Carbon offsetting is a hot topic.

People are asking if it’s the right thing to do, and if there are independent sources of robust information and advice. Communicating and raising the profile of carbon reduction, both inside and outside organisations is an issue for many,” says Chauhan, who is also Chief Adviser Corporate Responsibility at the BBC. “People are asking how sustainability can be implemented throughout an organisation, built into its DNA. People want to know how you benchmark and measure progress, what kind of tools you might want to use,” he says.

A practical approach to change

“There are broadly three categories of company that want our help with addressing sustainability issues, says Anthony Kasozi, Business Director at Ashridge Consulting, part of the Ashridge Business School. “The first kind are aware of the issues, often because they are learning more about the lifecycles of their products. They tend to be aware of the issues raised by consumers, or are vigilant about legislation. The second group will also be aware of the issues but are attending to other priorities, which can range from the survival of their industry to opening up the market in China, for example. This group will often say their main priority is dealing with factories, or supplier rationalisation, for example.”

“In the third category are organisations that are committed to sustainability and have taken steps, but are finding it difficult to keep going. They might have found complexities, or structural constraints. Often they will have champions, but it can be difficult to move organisations,” says Kasozi. Tackling these issues is the aim of Ashridge InterfaceRAISE, a joint consultancy service launched in February 2008 by a partnership between Ashridge and global flooring company InterfaceFLOR. The aim is to help businesses find practical ways of accelerating performance based on sustainability principles.

Ashridge Business School aims to instill the idea that environmental sustainability is about the whole business, not just a part of it. “We might get an investment analyst like Rory Sullivan from Insight Investment to talk about climate change. We’re trying to get away from the idea that carbon emissions is just a cost issue,” says Chris Gribben, Director of the Ashridge Centre for Business and Society. “We also emphasise the importance of training and development, not just strategy and policy. This is a critical part of the mix for embedding sustainability into a company,” he says.

Key Issues:
• How could structured learning help us develop our strategy?
• Do we need outside help in embedding our strategy?
• Could we learn from other organisations on the same journey?