Working together to protect planet ... it all adds up
LAST week saw Earth Day celebrated across the world. Seen by many as the dawn of the modern environmental movement, since it started in 1970, Earth Day aims to highlight the importance of protecting the environment.
Earth Day is a reminder of the importance of environmental conservation and sustainability, encouraging us to come together and take action for a healthier planet and brighter future.
Keen readers of this column will have read previously about how wellplaced professional accountants are to help change the world for the better.
To mark Earth Day 2024, ACCA identified five ways for professional accountants to make a positive impact in tackling issues such as climate change, social inequality and a widespread lack of trust.
ACCA believes that we all have an important role to play as individuals and that there are five key areas to focus on, namely:
Drive the sustainability agenda; Understand the benefits of AI adoption;
Promote the importance of good ethics;
Advance an inclusive workplace culture; and
Develop a continuous learning mindset;
Carbon reduction can be a challenge for businesses, especially for smaller businesses, but there are returns, including financial, through more efficient use of resources, encouraging innovation and developing new business models. It can also have benefits in terms of staff attraction and retention by demonstrating a company’s environmental responsibility.
However, knowing where to access information on the latest regulations and requirements, funding opportunities and support can be a headache for SMEs.
From a Welsh perspective, the focus areas identified by ACCA linked very well to the seven well-being goals in the Future Generations Act which public bodies are required to work to achieve.
It is encouraging to hear so many people and institutions – including the Welsh Government – taking Earth Day so seriously. ACCA in Wales is keen to work with the private, public and third sectors to ensure Wales builds a sustainable future.
In addition to our existing resources outlining the key role accountants can play in sustainable businesses and organisations - including a toolkit aimed at small businesses and accountants supporting small businesses - ACCA will also be introducing a new Diploma in Sustainability later this year. This will bring together highquality learning support and assessments that will meet the emerging regulatory requirements for certification.
In 2019, Wales was the first parliament in the world to declare a Climate Emergency, and in April, Huw IrrancaDavies, the new Cabinet Secretary for Climate Change and Rural Affairs, reaffirmed the government’s commitment on action to reduce waste and maximise resourcing efficiency by moving away from a take, make, waste model and towards a circular economy.
Finance to support businesses is available from a range of sources, and accountants are well-placed to advise on the range of finance available across the whole market.
At a recent Business in the Community event - held at Legal & General’s very impressive and sustainably designed new Welsh HQ, Calon attendees heard from experts in the field of decarbonisation, the circular economy and biodiversity.
What was encouraging was that there were so many different initiatives underway: by big businesses such as Welsh Water and RWE, as well as programmes in place to support smaller businesses and grassroots communities.
One example of a programme operating locally is the Net Zero Newport Decarbonisation Programme, which provides free energy-saving advice and grant funding to help local organisations reduce their energy costs and carbon emissions.
Academia can play its part too – through programmes such as the circular economy programme mentioned above, but also by supporting and sharing impactful research. My policy and insights colleague Jessica Bingham spoke recently at a conference held at Cardiff Business School which brought together international researchers on the subject of climate change, biodiversity loss and species extinction, and emphasised the role that accountants and finance professionals can play in addressing these issues.
So, whilst we celebrate Earth Day, it reminds us that a year-round focus is required to meet the challenge of protecting the planet.
We all need to work together sharing our expertise, our insights, resources and experiences, as we grapple with the huge task ahead. Accountants and finance professionals – despite many people’s misconceptions about what they do – can play a key role in this.