Building a GREENER bottom line How the SME sector can help build a Green Economy

The Impact Inter-relationship Energy & Resource Consumption Carbon PollutionWater Related Stress Environment & Climate Stress

Energy Auditing Resource Efficient Cleaner Production Green Energy Technologies The Emerging Market Solutions Energy & Resource Consumption Carbon PollutionWater Related Stress Environment & Climate Stress Text Carbon Footprinting & Mitigation Carbon Neutralization Reforestation Bio diversity impact measurement Bio diversity offset Water Auditing & Mitigation Water Footprintng Water Neutralization

Greening the Supply Chain A Sri Lankan Context

Apparel Supply chain ManufacturingDesigningDistributionRetail Part of the Sri Lankan marketplace

Apparel Supply chain ManufacturingDesigningDistributionRetail CarbonNetural Design Festival Carbon Labeled Products Carbon Neutral Products Sri Lankan achievements

Apparel Supply chain ManufacturingDesigningDistributionRetail CarbonNetural Factory Carbon Footprint Eco Factories Sri Lankan achievements

Apparel Supply chain ManufacturingDesigningDistributionRetail CarbonNetural Freight & Logistics Sri Lankan achievements

Apparel Supply chain ManufacturingDesigningDistributionRetail Marks & Spencer - CarbonNeutral Levi’s Waterless

So whats stopping other industries ?

The 3 Pillars for Greener SMEs Awareness Bring environmental issues into their circles of awareness Engagement Create dialog, participation and long term engagement mechanisms for SMEs Incentive Create incentive schemes to encourage SME’s to take the first steps Give recognition to Greener companies in order for them to benefit Awareness Engagement Incentive

Awareness Create high level awareness of the overall vision to make the SME Sector more sustainable Clear communication of the aspects under consideration, the benefits and the key stakeholders involved Ensure that the Government's commitment and participation is clearly established to give credibility

Engagement Create opportunities to engage with SME’s in relevant forums Use Chambers, Associations and industry bodies to drive the message home Ensure that there is a clear support system in place to help the SME sector in terms of expertise and advisory capabilities Create an attitudinal shift in corporate thinking, to incorporate sustainability as part of the usual course of business.

Incentive The MOST VITAL element Give SME’s opportunities to obtain funding, grants and technical expertise to go green Ensure recognition of achievements in a demonstrable manner Give tangible benefits for greener initiatives ( ex - tax rebates / duty concessions ? ) Give preference for greener companies ( ex - in governmental tenders & purchasing )

Company Accreditation Support Programme Demonstrating the power of incentive

Objectives Outright grant of between 50-75% of the cost of obtaining an international certification Cap of $15,000 per applicant Aimed at increasing IT competitiveness in the global marketplace Extended to all provider of IT and ITES, and IT Training institutes Not targeted at green certification but was consideration was extended to sustainability certifications

Opportunity for IT companies to go green Asia’s First IT company to be certified CarbonNetural® South Asia’s First Computer Hardware Company to be certified CarbonNetural® Other companies included Sabre Technologies (Pvt) Ltd Informatics International Limited Converse Solutions Limited Ridgecrest Asia (Pvt) Ltd i-Context Content Convergence (Pvt) Ltd

Looking ahead

The Challenges Draw up a policy framework that addresses the many aspects of climate change and environmental sustainability Get the buy in of the SME sector through the provision of adequate incentives Develop a roll out mechanism that does not suffer from the usual bureaucracy

Some Cases from Sri Lanka Carbon Footprinting and offsetting Water Footprinting Bio Diversity impact assessment Forest Restoration Incentives

The CarbonNeutral® Tea The first ever CarbonNeutral® Tea in the WORLD was done for Eswaran Brothers Created a significant impression on the marketplace Generated sizable sales leads and new client conversions

The CarbonNeutral® Factory Another First in Asia The first custom built ‘green apparel factory’ The first in Asia to be certified CarbonNeutral

Carbon Labels

Over 22,000 Carbon Credits in 24 months A cross section of large and SME sectors A diverse spread of industries and sectors Credits purchased off the international market from recognized registries Over 20 entities and 3 international events

The Water Footprint The First Tea Company in Asia to publish its water footprint 2 other water audits and water footprints in progress in 2 leading garment industry factories

Reforestation & Bio Diversity Enhancement The First of its kind in Asia The Hiniduma Bio Link aims to re-connect key areas of high bio diversity by creating rainforest corridors Focused in the region of the Singharaja Rainforrest patch Has very strong community development aspects

Progress upto date

The first farmers Over 1,500 Carbon Credits Sold

The Carbon Neutral Bra - A world’s first

The Bio Diversity Indicator Carried out for the Greenfield Estate off Haputale Indicates the distribution of the species that are protected by the activities of the estate

Way Forward for Sri Lanka Local Market Mechanisms & Registries Develop local expertise Retain foreign exchange Niche level green product development Innovate new green business models

Thank You