4. The Challenge of Green Business Politics of Sustainable Development

”The fundamental assumption [is] that economic growth and the resolution of ecological problems can, in principle, be reconciled…” Maarten Hajer, The Politics of Environmental Discourse, 1995, p 26

Green Business as Politics as activism, or political action as activism, or political action from protest to cooperation from protest to cooperation from resistance to appropriation from resistance to appropriation from movement intellectuals to brokers from movement intellectuals to brokers as decision-making, or policy as decision-making, or policy from ”command and control” to co-construct from ”command and control” to co-construct from ”end of pipe” to strategic innovation from ”end of pipe” to strategic innovation from lobbying to networking from lobbying to networking

The Emergence of Green Business environmental economics and policy sustainable development Environmental awareness, or consciousness EM ecological economics corporate sustainable development ecoefficiency natural capitalism pollution prevention, cleaner technologies pollution control, ”end-of pipe” environmental assessment appropriate technology, soft energy ecomodernism

Example: Automotive Politics Phase One: Pollution Control, up to about 1975 lead-free gasoline, catalytic mufflers Phase Two: Environmental Policy, ca collective transportation, electric cars Phase Three: Sustainable Development, ca sustainable traffic planning, high-speed trains sustainable traffic planning, high-speed trains Phase Four: Green Business, from about 2000 market-oriented differentiation, hybrid cars

What is Green Business? ideas/discourses: the cosmological dimension ideas/discourses: the cosmological dimension eco-efficiency eco-efficiency ecological modernization ecological modernization natural capitalism natural capitalism networks/institutions: the organizational dimension networks/institutions: the organizational dimension World Business Council for Sustainable Development World Business Council for Sustainable Development Greening of Industry Network, UNEP Greening of Industry Network, UNEP Natural Step, Society of Ecological Economics Natural Step, Society of Ecological Economics practices/competencies: the technical dimension practices/competencies: the technical dimension corporate environmental management corporate environmental management environmental and energy planning environmental and energy planning technological management and innovation technological management and innovation

Eco-efficiency According to DeSimone and Popoff (1997) Reduce toxic dispersion Reduce toxic dispersion Enhance material recyclability Enhance material recyclability Extend product durability and recyclability Extend product durability and recyclability Increase service intensity of products Increase service intensity of products Improve market opportunities Improve market opportunities Enhance image Enhance image

Eco-efficiency as a Strategy of Appropriation Discursive framework: Discursive framework: a story-line of global competition a story-line of global competition a business economics language: instrumental rationality a business economics language: instrumental rationality Institutional structures: Institutional structures: transnational business networks transnational business networks commercial rules and regulations commercial rules and regulations Practical measures: Practical measures: emission trading, green products emission trading, green products incremental design and product improvements incremental design and product improvements

Ecological Modernization According to Rinkevicius (1998) Flexible, or soft regulation regimes Flexible, or soft regulation regimes Making pollution prevention ”pay” Making pollution prevention ”pay” Precautionary principle Precautionary principle Dialogue and consensus in decision-making Dialogue and consensus in decision-making International cooperation International cooperation

The Eco-Modernist Strategy Discursive framework: a story line of deliberative governance a story line of deliberative governance a political sociological language: communicative rationality a political sociological language: communicative rationality Institutional structures : Institutional structures : public-private partnerships, sustainable business hubs public-private partnerships, sustainable business hubs intergovernmental bodies and agreements intergovernmental bodies and agreements Practical measures : Practical measures : sustainability indicators, strategic EIA sustainability indicators, strategic EIA life cycle analysis and management life cycle analysis and management

Natural Capitalism Natural Capitalism According to Hawken, Lovins and Lovins, Natural Capitalism (1999) Radical resource productivity (eg factor ten) Radical resource productivity (eg factor ten) Biomimicry: redesigning industrial systems along biological lines Transition to a service and flow economy Transition to a service and flow economy Investing in natural capital, in addition to physical, human, and social capital Investing in natural capital, in addition to physical, human, and social capital

An Eco-Culture Strategy ? Discursive framework : Discursive framework : a story-line of cultural transformation a story-line of cultural transformation a systemic language: ecological rationality a systemic language: ecological rationality Institutional structures : Institutional structures : networks of think tanks and consultants, academics and activists networks of think tanks and consultants, academics and activists experimental examples, educational programs experimental examples, educational programs Practical measures: Practical measures: industrial and urban ecology projects industrial and urban ecology projects green life-styles, ecological consumption green life-styles, ecological consumption

Green Business as Cognitive Praxis From movement… to institutions appropriate technologygreen products organizational alliancescompeting networks ecological societysustainable growth popular educationentrepreneurship knowledge integrationspecialization interpretingtranslating movement intellectualscommercial brokers

Types of Brokerage Networking/organizing Networking/organizing vertical (within companies or branches) vertical (within companies or branches) horizontal (across branches and/or countries) horizontal (across branches and/or countries) Mediation/translation Mediation/translation specialized consultants (often within one sector) specialized consultants (often within one sector) generalist academics (”ecomodernists”) generalist academics (”ecomodernists”) Facilitation/entrepreneurship Facilitation/entrepreneurship project managers and consulting experts project managers and consulting experts product champions (within business firms) product champions (within business firms)

For example… Networking Networking GIN (Schot and Fischer), WBCSD, ISEE GIN (Schot and Fischer), WBCSD, ISEE Mediation Mediation Amory Lovins, Björn Gillberg, Arne Remmen Amory Lovins, Björn Gillberg, Arne Remmen Entrepreneurship Entrepreneurship IIIEE, The Natural Step, Body Shop IIIEE, The Natural Step, Body Shop