The UK is first to introduce mandatory emissions reporting from 2013.
The UK Government have decided that starting from April 2013 the largest 1800 companies listed on the London Stock Exchange will be obliged to report on their carbon emissions in their Annual Reports. Furthermore, the Government are going to extend this mandatory reporting measure to even more companies in the UK from 2016 in hopes that their environmental awareness would increase.
Nick Clegg Deputy, Prime Minister announced that UK companies need to reduce their harmful emissions to preserve our planet. Many of them favor the plans because they see reason in being energy efficient that proves to be good business too. Energy bills decrease, public reputation increases so it helps them manage their long-term business plans.
Environment associations and civic organizations acclaimed the news as this measure is expected to cut carbon emissions to half by 2025.
The new legislation will make the UK the first country in the world to require companies to include carbon data in their annual reports. The UK will set a positive example for other countries in the struggle to reduce their harmful emissions that should be a common goal for all human beings.
While nine out of ten company decision makers agree that sustainability is an issue of vital importance, only two of them report on their emissions. This clearly shows that the new measure is really necessary.
Many CEOs feel that they do not mind the extra administrative burden of mandatory emission reporting as past experience shows that measuring and reducing their GHG emissions help achieve their long-term economic plans. Companies that already report on their carbon footprint have a better market position then others with similar products and services. Those who demonstrate their commitment to environment conscious business operations proven through their reports on carbon emissions have an added value that encourages customers to choose them.