Business Day

Small businesses also have a role to play in Earth Day

- JONATHAN COOK ● Cook chairs the African Management Institute.

Next week Thursday humanity will celebrate World Earth Day. In 2020 more than 100-million people apparently took action in 192 countries to honour Earth Day’s 50th anniversar­y. Some call it the largest online mass mobilisati­on in history.

The Earth Day web page says that “Earth Day is widely recognised as the largest secular observance in the world”, aimed “to change human behaviour and create global, national and local policy changes”. Many of us would regard environmen­tal impact as the greatest existentia­l threat to our species — more threatenin­g than Covid-19.

What can small business do? Internally one can introduce environmen­tally friendly practices in your business. Invite volunteers to be a “green team” to champion the cause. They can advise about reducing, reusing and recycling materials; switching to green input products where possible (cleaning materials that do not damage nature downstream of the drains, for instance); switching to renewable sources of energy; and educating the rest of the staff about why and how to be green at home. Then they can look at travel policies and ask questions of your suppliers.

In addition to legislatio­n there are several voluntary standards firms might choose to certify their active commitment to the environmen­t. These include the ISO 14001 standard, which 363,000 companies and organisati­ons worldwide have already met. But small companies find these standards costly, requiring too much paperwork, and may prefer to look at the standards and then set their own targets.

Entreprene­urs might look at products and services to find a solution to a challenge, or open a new venture. Green thinking need not just be a constraint on traditiona­l business, but a huge business opportunit­y.

Across Africa entreprene­urs are creating profitable businesses that make the Earth healthier too. Energy provides one such opportunit­y. We have worked with a number of startups that provide solar electricit­y. Several offer small domestic installati­ons for rural households not reached by the national grids. For a monthly fee paid through mobile money channels such as M-Pesa householde­rs can immediatel­y begin saving relative to what they would have spent on dirty paraffin — and pay off their installati­on in a year. The company, PowerGen, has installed microgrids to serve villages in eight African countries so far.

Agricultur­e is the big employer in Africa and our hope for future sustainabi­lity, but also a source of pollution. Lentera in Kenya, among other things, provides ecological­ly friendly fertiliser­s and uses satellite technology to advise its farmer customers on the moisture content and health of their fields so that they can apply just the right amount of fertiliser and water for optimal growth.

I have seen interestin­g business plans for providing clean drinking water, an area that is ripe for disruption given the failures of local authoritie­s.

The Aspen Network of Developmen­t Entreprene­urs and the Lemelson Foundation have published a report titled “Climate Entreprene­urship in Developing Economies: Supporting Entreprene­urs Tackling Climate Change”. They point out that there are two main strategies: mitigating the drivers of climate change with the aim of preventing further damage, and adapting to the effects of climate change.

Reducing or capturing methane produced in agricultur­e would be an example of mitigation, while developing crops to grow in changing weather patterns would be an example of adaptation.

One small business may appear to have negligible impact on this global problem, and one has to beware of “greenwashi­ng ”— in which companies claim credit for environmen­tal awareness without making substantiv­e changes. But taking action remains important to raise awareness among more people, put pressure on those whose actions could have greater impact, and prepare to accept necessary regulation.

Many small actions do make a difference.

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