EU and corporate environmental responsibility

Most definitions of corporate social responsibility describe it as a concept whereby companies integrate social and environmental concerns in their business operations and their interaction with their stakeholders on a voluntary basis."

This was the opening of the introductory address delivered by FOI Council member and Environment Committee chairman Godwin Micallef at a seminar jointly organised by the FOI and Nature Trust.

The seminar, held on Thursday, was chaired by Mr Micallef. Rural Affairs and Environment Minister George Pullicino opened the seminar and delivered a brief address.

The seminar was also addressed by Nature Trust president Vince Attard, Tristan Camilleri of MSA, Vince Gauci of MEPA, Alexandra Mifsud of WasteServ, Norbert Bonavia of Nature Trust and Ms. Seemann from Pforzheim in Germany.

Two case studies were also delivered during the seminar, one by Joseph Borg of Elepac and another by Daniella Cauchi of Methode Electronics.

Mr Micallef continued: "There's no denying that interest and involvement of business in sustainable development have increased tremendously over the past 10 years.

"But while the concept has embedded itself in the awareness of brand-conscious multinationals, the culture and management systems of small & medium enterprises (SME) have hardly changed - especially those at the micro end of the spectrum.

"When it comes to sustainable development, small business entrepreneurs show either little awareness or lack of interest. This is not surprising since, unlike their corporate peers, SMEs face huge barriers implementing sustainable strategies due to lack of resources, skilled staff and technical expertise. In addition, SMEs frequently have poor access to finance due to market bias and often fall victim to bureaucratic red tape and regulations.

"Nevertheless, the importance of encouraging sustainability among SMEs should be recognised for a number of reasons. As a general rule, the smaller the firm, the lower the attention to environmental issues. As a result, SMEs tend to be a significant source of pollution.

"Its wider application in SMEs, including micro-businesses, is of major importance, given that they are the greatest contributors to the economy and employment.

"This point was noted at the Johannesburg Summit in 2002 and there are now numerous government and aid agencies involved in assisting SMEs. Even the secretary general of the United Nations has launched a 'Global Impact' initiative which seeks to make business a partner in achieving social and environmental improvements globally."

The FOI official went on to stress that "Corporate environmental responsibility is not only the realm of business entities. What about parastatal companies, public corporations, government departments, local councils and, in Malta's case, a company controlled by a major union?

"I regret to say that most, if not all, government departments or controlled entities do not even separate their office waste. What about Government tenders, do they stipulate green purchasing? Are corporate environmental responsible companies preferred? The answer is regrettably no.

"Why do local councils refuse to split their waste collection tenders into domestic and commercial waste? Why do some of the councils give the waste management fee also to the same waste contractor? I am afraid the answer is another question: Why bother?"

"What about the union-controlled company? From a recent FOI survey it resulted that Lm117 out of Lm200 paid for inland transport for a 20-foot container goes to the port authorities and the Cargo Handling Co. These charges are like a grant for privileged port workers working on a feudal system.

"The union should in a corporate environmental responsible way waive the charges on containers containing recycled material and waste for export. The port authorities should do the same."

In his conclusion, Mr Micallef pointed out that the environment affects every one - it is our mutual responsibility. "It starts from a broad principle of responsibility - the duty to care for the environment in which we all live."