The current narrative on climate action puts the world in a bind. On one side, present-day action is considered inadequate to achieve the global warming limit of 1.5 degrees Celsius determined by the U.N. On the other side, there is increasing debate over whether that limit is even attainable.

This narrative is dubbed the <a href="https://www.ippr.org/research/publications/1-5c-dead-or-alive" target="_blank">“doom loop”</a> in a recent report from the U.K.-based think tanks Chatham House and the Institute for Public Policy Research (IPPR). In the doom loop, the focus on crisis consequences and failure to reach targets takes away from the focus required to implement solutions.

In order to move forward, the narrative needs to quickly change to one that encourages action. TriplePundit spoke with Saskia Feast, managing director of global client solutions at Climate Impact Partners, about how collective private-sector action can help to catalyze that change — starting with <a href="https://fortune.com/ranking/global500/" target="_blank">Fortune Global 500</a> companies. 

<h2>We don't need large investments to create change </h2>

Fortune Global 500 companies made more than $2.2 trillion in annual profits over the last three years, according to a <a href="https://www.climateimpact.com/news-insights/fortune-global-500-climate-commitments/how-the-worlds-largest-companies-can-transform-climate-action/" target="_blank">recent report</a> by Climate Impact Partners. Investing only 1.5 percent of that — about $33.5 billion — to fund carbon reduction projects like forest conservation, reforestation and micro-renewables would be a massive step toward achieving the transformational change required to hit global climate action targets.

On average, each Global 500 company made $6.7 billion over the last year, according to the report. Committing 1.5 percent of those profits ($100 million) could cut 7.8 million tons of carbon emissions, plant 60,000 trees and protect 120,000 hectares of forest. If every company in the index did the same each year, it would amount to more than 2.6 billion tons in carbon reductions — even more than <a href="https://earth.stanford.edu/news/global-carbon-emissions-need-shrink-10-times-faster-0#:~:text=At%20a%20global%20level%2C%20emissions,ambition%20of%20the%20Paris%20Agreement." target="_blank">what scientists say is necessary</a> to cap global temperature rise below 2 degrees Celsius. 

To put this corporate expense into perspective, on average the world’s largest companies spend 12 percent of their annual profits on research and development, 27 percent on sales and administrative expenses, 8.7 percent on marketing and 8.2 percent on information technology, according to the report. 

<h2>Offsets or no offsets?</h2>

For more than 20 years, Climate Impact Partners has worked with businesses to support over 600 carbon removal and reduction projects in 56 countries. But its work faces criticism around carbon offsets. 

“There is a lot of criticism of the companies who are taking action around offsetting carbon emissions and this idea that it is greenwashing,” Feast said. “By not criticizing the companies that are not taking action, those companies are feeling safer.” 
<figure role="group"><img alt="Saskia Feast, the managing director of global client solutions at Climate Impact Partners." data-entity-type="file" data-entity-uuid="b46e010e-f8cd-4391-9063-2476e903485b" src="/sites/default/files/inline-images/Saskia%20Feast_headshot_0.jpg" width="1000" height="1500" loading="lazy" /><figcaption>Saskia Feast, managing director of global client solutions at Climate Impact Partners. Photo courtesy of Climate Impact Partners.</figcaption></figure>Inaction on climate change could cost the global economy $178 trillion over the next 50 years, or a 7.6 percent cut to global gross domestic product (GDP) in the year 2070 alone, according to <a href="https://www.deloitte.com/an/en/about/press-room/deloitte-research-reveals-inaction-on-climate-change-could-cost-the-world-economy-us-dollar-178-trillion-by-2070.html" target="_blank">a recent report</a> from the Deloitte Center for Sustainable Progress. 

Carbon offsetting is a <a href="https://www.euronews.com/2023/03/25/if-done-with-integrity-carbon-offsetting-could-be-vital-in-the-fight-against-climate-chang" target="_blank">long-debated</a> method for companies and other large emitters to get involved. Supporters claim it is effective in reducing greenhouse gas emissions while conserving natural resources in sectors like transportation, energy and agriculture.

Some critics dismiss the practice as a flawed system that has negligible impact on reducing emissions. They argue offsets are generated by projects that enable polluting industries to continue their harmful practices. 

When a company first starts its carbon-neutral journey, it might need to offset a higher proportion of emissions, Feast said. But putting a price on it forces emission reductions over time. 

“Once you start putting a price on carbon, you start measuring it and looking for strategic ways to reduce it,” she said. “That helps you drive the internal reduction strategy or the adoption of renewable energy within your organization. The role of the offsetting market is just to help transition us to the low-carbon economy.”

The number of companies using, or planning to use, an <a href="https://www.triplepundit.com/story/2016/carbon-pricing-delivers-results-much-work-lies-ahead/22611" target="_blank">internal carbon price</a> increased by 80 percent over just five years, according to <a href="https://www.cdp.net/en/research/global-reports/putting-a-price-on-carbon" target="_blank">a 2021 report</a> by the environmental disclosure management nonprofit CDP. 

<h2>The return on sustainability investments</h2>

Today, financial success and sustainable practices are increasingly tied to each other. “The business of sustainability reporting has improved dramatically over the last 20 years,” Feast said. “What we're seeing now is companies including those metrics in their annual reports, like a carbon footprint or water use risk. So, the metrics are merging, which is a great development in the market. We're seeing sustainability leaders, who are our clients, now working directly with investor relations, their CFO and financial teams.” 

The business case is stronger than before as company sustainability measures impact reputation, market value, and overall ability to attract and retain employees. And now there are many carbon footprint and ESG measurement tools that enable business leaders to truly consider how their operations impact people and the planet. 

<h2>Smaller companies can fight climate change, too</h2>

Investing in carbon reduction and removal is for every company — small, medium or large. Smaller companies that want to act don’t need a grand plan, Feast said. They can start making decisions in incremental steps like measuring their footprint, supporting renewable energy, making climate-friendly products, and discussing the price of carbon on their business.  

“We want to encourage companies to take action,” she said.”Get out there, start taking your steps and maybe one day run a marathon.”

<h2>COP28 Global Stocktake: Tracking progress to 1.5 degrees Celsius</h2>

As the baton moves from climate technicians to politicians at the <a href="https://climatechampions.unfccc.int/what-is-the-global-stocktake/" target="_blank">COP28 Global Stocktake</a>, which is also <a href="https://www.climatechangenews.com/2023/04/27/what-is-the-global-stocktake-of-climate-action-and-why-does-it-matter/" target="_blank">commented on with skepticism</a>, policies driving increased financing of climate action could make a significant impact.

Emerging markets and developing economies must collectively invest at least $1 trillion in energy infrastructure by 2030 and $3 trillion to $6 trillion per year across all sectors by 2050 to mitigate climate change by substantially reducing greenhouse gas emissions, according to <a href="https://www.imf.org/en/Blogs/Articles/2022/10/07/how-to-scale-up-private-climate-finance-in-emerging-economies" target="_blank">the International Monetary Fund</a>.

An additional $140 billion to $300 billion a year is needed by 2030 to adapt to the environmental consequences of climate change, such as rising sea levels and intensifying droughts. This could skyrocket to between $520 billion and $1.75 trillion annually after 2050 depending on how effective climate mitigation measures are.

“One of the most important things is to move away from talking about climate financing — and actually doing the financing,” Feast said. “The more money we can put to finance these projects, the more we will be reducing emissions going forward.”

Image credit: <a href="https://unsplash.com/photos/ctUIyfOyWsE" target="_blank">Mika Baumeister</a>/Unsplash

1.5 Percent of Corporate Profits Can Transform the Fight Against Climate Change

Corporations are more likely to embrace sustainability when it benefits the bottom line. That isn’t surprising considering they are ultimately in business to make a profit. For many, purpose may very well come in second — if at all. Still, there's more than one way to encourage businesses to do better by people and the planet.

TriplePundit spoke with <a href="https://blogs.cuit.columbia.edu/scohen/bio/" target="_blank">Dr. Steven Cohen</a>, a professor of public affairs at Columbia University and author of the new book "<a href="https://cup.columbia.edu/book/environmentally-sustainable-growth/9780231208659" target="_blank">Environmentally Sustainable Growth</a>," about how the profit motive can catalyze the desired effect where shame and guilt have failed.

<h2>Incentivizing sustainability can be easier than it sounds</h2>

The best way to make corporations behave is by creating an environment in which doing so will help them make more money, Cohen argues. “In some cases, you don't have to do anything other than educate people and say, you know, this will be a profitable item," he told TriplePundit. 

Cohen advocates for a carrot instead of a stick approach. He’s hopeful that making good behavior profitable will hasten more wide-sweeping changes at the business level than punishing or charging companies for the negative impacts they have. And he’s not alone in that opinion. 

“Sustainability is on the cusp of an evolutionary leap,” Georgia Makridou of the ESCP (École Supérieure de Commerce de Paris) Business School <a href="https://academ.escpeurope.eu/pub/IP%202021-33-EN.pdf" target="_blank">wrote in an impact paper</a> on the challenges confronting sustainable energy companies and their resulting tactics. “Sustainable companies are becoming the new norm as those that have a well-rounded approach to sustainability can see wide-ranging growth opportunities.”

That’s because many business leaders now see that sustainable practices can actually <a href="https://www.allbusiness.com/how-sustainability-can-reduce-business-costs" target="_blank">lower their operating costs</a> in the long run — and that naturally leads to increased profits, Cohen explained. Additionally, doing the right thing <a href="https://www.triplepundit.com/story/2023/consumer-sentiment-business-sustainability/775111" target="_blank">resonates with consumers</a> — especially those in <a href="https://www.triplepundit.com/story/2022/gen-z-purpose-marketing/738426" target="_blank">younger generations</a> — and <a href="https://www.capgemini.com/gb-en/news/press-releases/sustainability-in-cpr/" target="_blank">promotes brand loyalty</a> over time.

Further, employees want to work for companies that align with their values. “If I'm in a business that requires talented engineers, talented designers and and so forth, to attract those people, I have to be a company they want to work for," Cohen said. "That's also incentivizing companies to start behaving this way: If you want to attract the best brains out there, then companies are under internal pressure to behave and to start focusing on their energy use and their waste and pollution.”
<figure role="group"><img alt="Environmentally Sustainable Growth - book cover - book on corporate sustainability" data-entity-type="file" data-entity-uuid="cfdff1bd-e416-4a3a-b241-b4f2dc8cfe0d" src="/sites/default/files/inline-images/Environmentally%20Sustainable%20Growth%20-%20book%20cover%20-%20book%20on%20corporate%20sustainability.png" width="680" height="1028" loading="lazy" /><figcaption>Dr. Steven Cohen unpacks practical steps to push sustainable business forward in his new book "Environmentally Sustainable Growth: A Pragmatic Approach," out this month from Columbia University Press.</figcaption></figure><h2>Major companies reap cost savings through sustainability, while creating measurable impact that matters</h2>

Cohen gave examples of major multinational companies that moved toward sustainable practices because they foresaw a financial benefit. For example, “Walmart discovered they have a lot of flat roofs," he said. All that space adds up vast solar energy potential — and Walmart and its big-box competitor, Target, are on the job.

Together, they're <a href="https://www.solarpowerworldonline.com/2021/03/environment-america-walmart-solar-every-roof/" target="_blank">the top two business installers</a> of onsite solar. "In their case, you don’t have to do anything. They just had to internally figure out this was going to help them make money," Cohen said. If fully harnessed, Walmart's available roof space at stores across the country could produce enough solar energy to <a href="https://www.cnn.com/2022/03/20/us/solar-power-on-big-box-store-rooftops-climate/index.html" target="_blank">power more than 842,000 homes</a>, according to the nonprofit Environment America. 

This month Walmart also teased new plans to roll out electric vehicle charging stations at <a href="https://www.greenbiz.com/article/inside-walmarts-plan-nationwide-fast-charging-network" target="_blank">thousands of stores across the U.S.</a> The move will help bring in shoppers, while making EV charging more accessible to millions of people in towns large and small. 

One of the country's top agricultural producers, Land O'Lakes, also cut its footprint through cost reduction measures. The company uses satellite telemetry, artificial intelligence, and robotics <a href="https://www.landolakesinc.com/Blog/April-2022/carbon-market-farm-data-technology-program" target="_blank">to ensure it doesn't waste inputs</a> like water, pesticides and fertilizer — using only what's needed and none of what's not. "They've now created a much more efficient form of agriculture, which also just so happens to cost less and pollute less," Cohen said. 

Apple’s engagement in sustainability came out of a need to satisfy its customer base. “[Young people] started to make the demand that Apple reduce the pollution [associated with] their products, and Apple has done that dramatically over the last 10 years," Cohen said. He cited the company’s <a href="https://www.apple.com/shop/trade-in" target="_blank">buyback program</a> and the fact that it hired a former Environmental Protection Agency administrator to manage its environmental endeavors as examples. “It's not required by the government, but in order to meet their market, they have to do that,” he said. 

<h2>Incentives and regulations work. Shame and guilt doesn't, this expert says.</h2>

That’s not to say there isn’t room for regulations — there still needs to be rules of the road. The key is a good balance between government regulations and the incentives provided by an improved profit margin, Cohen said.

“What doesn't work is trying to shame people, to shame companies," he argued. "People want to live their lives, and companies want to make money. I think that green principles are most effective when they line up with the self interest of people and of corporations. And when that happens, you see a lot of activity.”

As for how to shift from a scapegoating and punishment approach to one that focuses on financial rewards: “Instead of thinking about the company as an enemy, you think about the company as a partner," Cohen said. "And the only way they're going to be a partner is if they see they're gonna make money out of it.” 

Image credit: <a href="https://www.pexels.com/photo/orange-carrot-1721073/" target="_blank">THIS IS ZUN</a>/Pexels

The Carrot or the Stick: Which Inspires Business to Be More Sustainable?

Environmental sustainability and social impact are of increasing interest to U.S. consumers — and their expectations around how business responds to these issues are rising fast, according to research from TriplePundit released today.

When TriplePundit first got started back in 2005, the intersection of sustainability and business was a niche topic with a niche audience — made up primarily of professionals working in the field. Fast forward to today, and 67 percent of Americans say they read news about sustainability, the environment and social well-being on a regular basis, according to a <a href="https://www.3blmedia.com/news/interest-corporate-esg-progress-growing-can-businesses-meet-increasing-consumer-expectations" target="_blank">December survey of 3,648 U.S. adults</a> conducted by TriplePundit and our parent company, 3BL Media, in partnership with the research technology firm Glow. 

<h2>Survey says: Consumers care about sustainability, and most don't think business is doing enough</h2>

Our findings are living proof of what professionals in the sustainability and social impact space have been saying anecdotally for years: Interest in — and awareness of — sustainability issues are on the rise across the board. 

That means businesses looking to increase their sustainability profiles will have a receptive audience among the public. But with greater awareness comes greater responsibility: Just over half (51 percent) of consumers say business is not doing enough to tackle social and environmental problems, according to our survey. 

Business leaders are challenged to get legit in their sustainability efforts and prove to consumers they're worthy of their patronage (and their trust). TriplePundit and 3BL Media's report offers a set of key actions for companies to improve how they approach sustainability and communicate their efforts to consumers. But first let's take a closer look at what consumers are saying. 
<figure role="group"><img alt="Business is not doing enough on sustainability according to polling from TriplePundit and 3BL Media - graphic" data-entity-type="file" data-entity-uuid="45a1c432-95ea-40f3-a168-b4c033fd8426" src="/sites/default/files/inline-images/Business%20is%20not%20doing%20enough%20on%20sustainability%20-%20graphic.png" width="1268" height="1448" loading="lazy" /><figcaption>Over half of U.S. consumers don't think business is doing enough to tackle social and environmental problems. Less than 30 percent said business is right on target, with around a quarter saying they're not sure. <a href="https://www.3blmedia.com/news/interest-corporate-esg-progress-growing-can-businesses-meet-increasing-consumer-expectations">Download the report to learn more</a>. </figcaption></figure><h2>We're not as divided as we might think</h2>

The <a href="https://www.triplepundit.com/story/2023/business-pushback-anti-esg/772676" target="_blank">"anti-ESG" movement</a> continues to make headlines in the U.S., as conservative politicians and pundits publicly challenge the use of environmental, social and governance (ESG) standards in business. They argue that ESG and other sustainability considerations hurt company bottom lines and dampen investor returns — and they claim the public agrees with them. 

This rising rhetoric has many thinking the U.S. is sharply divided on how business should respond to social and environmental issues. But <a href="https://www.triplepundit.com/story/2023/esg-companies-speak-out/771901" target="_blank">public polling indicates</a> that isn't exactly the case, and our survey is no exception. 

We found interest in sustainability and social impact hold steady across demographic, socio-economic and political perspectives. Those in more traditionally “red” or conservative parts of the country were statistically just as likely to express interest in these topics as those from the coasts, and over 60 percent of Gen X and baby boomers also read about them often. 

Consumers from coast to coast and across income levels also listed climate change as a top concern facing society today, closely behind the rising cost of living. And they all agreed business is not doing enough to respond, regardless of their age, where they live or how much they earn. 

"That people can meet across the political aisle on urgent challenges like climate change is a welcome reality check at a time when some politicians and pundits are exploiting a perceived divide to sow distrust," the report reads. "There is more room for agreement and compromise than some skeptics would have us believe." 

<h2>It's time for business to move beyond table stakes</h2>

Okay, so consumers feel companies aren't doing enough, but what do they really mean by that? To get a better understanding, we presented four common corporate commitments related to sustainability and social well-being.

The pledges will sound familiar: reach net-zero greenhouse gas emissions by 2050, cut plastic use by 10 percent by 2050, donate $5 million to a social or environmental cause, and increase representation of people of color on the board of directors and in the C-suite. We attributed the pledges to a hypothetical large company with revenues exceeding $1 billion annually and asked consumers what they thought of them. 

The results weren't great: None of the pledges were deemed “impressive” by more than 22 percent of respondents. Close to a third (31 percent) were underwhelmed by all of the commitments and said business should be doing more.
<figure role="group"><img alt="Consumers are not impressed by corporate commitments around sustainability according to research from TriplePundit and 3BL Media - graphic" data-entity-type="file" data-entity-uuid="945f7a14-4daf-4ca3-abf2-20a49f81d818" src="/sites/default/files/inline-images/Consumers%20are%20not%20impressed%20by%20corporate%20commitments%20around%20sustainability%20according%20to%20research%20from%20TriplePundit%20and%203BL%20Media%20-%20graphic.png" width="851" height="934" loading="lazy" /><figcaption>Consumers aren't impressed by common corporate pledges around sustainability, our research finds. <a href="https://www.3blmedia.com/news/interest-corporate-esg-progress-growing-can-businesses-meet-increasing-consumer-expectations">Download the report to learn more</a>. </figcaption></figure>This is a strong indicator that consumer expectations around sustainability are fast outpacing how they perceive corporate ambition. It's not to say objectives like zeroing-out greenhouse gas emissions are easy to accomplish, but consumers have come to expect these commitments. To be recognized by consumers, businesses are challenged to do more — and communicate more.

<h2>How should business respond?  </h2>

TriplePundit and 3BL Media have nearly two decades of experience communicating about sustainability. Building on our survey, the Consumer Insights and Sustainability Benchmark report includes key action items for businesses looking to respond to consumer sentiment and get noticed among the public for their sustainability efforts. Here's a taste of what you'll find: 

<ul><li>Message matchmaking: How business can court consumers with sustainability commitment. "With both companies and consumers looking to become more sustainable, the time is ripe for the two to form deeper relationships to achieve shared goals like climate action, fairer opportunities for all, and transparency about what is being done. It’s up to companies to forge those relationships and connect with consumers in a way that resonates."</li>
	<li>Build the foundation for your sustainability story. "To gain and retain consumer trust, lay a foundation of transparency for your sustainability stories. Our findings show that consumers are not impressed by vague, grandiose statements of corporate sustainability ambition. Instead, be specific and open about your company’s progress, including hitting and overcoming obstacles."</li>
	<li>Lead with what’s relatable. "Sustainability storytelling starts with impact: Who does the program help, and how much? As revealed in our survey, consumers want to know more about and understand outcomes. By making positive outcomes the center of your ESG story, you immediately engage your audiences and show them you’re making real progress on the issues they care about."</li>
	<li>Help consumers be part of the solution by providing education. "Since consumers want to be part of the solution, help them do that by sharing actionable information. It may be as simple as telling them how to make your product last longer or how to lower their personal carbon footprint with a checklist on your website. You can celebrate your company’s successes by applauding theirs."</li>
</ul>For more insight on telling your sustainability story — including where consumers are seeking out information on sustainability and how to reach them — <a href="https://www.3blmedia.com/news/interest-corporate-esg-progress-growing-can-businesses-meet-increasing-consumer-expectations" target="_blank">download the full report here</a>. 

Image credit: <a href="https://unsplash.com/photos/V5vqWC9gyEU" target="_blank">Volodymyr Hryshchenko</a>/Unsplash and <a href="https://www.pexels.com/photo/bunch-of-flowers-in-a-megaphone-7697746/" target="_blank">Yaroslav Shuraev</a>/Pexels

Sustainability Matters: What Consumers Are Saying, and How Business Should Respond

The U.S. Department of Agriculture is making a massive investment of almost $11 billion in clean energy for rural communities, with funding from the Inflation Reduction Act of 2022. That should come as no surprise. From the hydropower dams of the Great Depression to the present day, clean energy has been a running theme in federal efforts to support rural economic development. The new USDA effort takes it to the next level by scaling up new zero- and low-carbon technologies.

<h2>The roots of federal clean energy policy for rural communities </h2>

The USDA announced $11 billion in new funding for rural clean energy projects on May 16, with part of the program described as “the single largest investment in rural electrification since President Franklin D. Roosevelt signed the Rural Electrification Act into law in 1936.”

The relation of the new USDA initiative to the Roosevelt administration of the 20th century is much closer than a simple comparison suggests. In fact, Roosevelt laid the groundwork for the USDA's efforts.

The Tennessee Valley Authority Act of 1933 authorized the construction of hydropower dams, with the goal of electrifying rural communities at affordable rates. However, private utilities were not interested in serving thinly populated areas.

In 1933, many cities had been electrified for years, while rural populations were left in the dark. Kerosene lamps and wood stoves were the order of the day for most farming communities, making it difficult if not impossible for other businesses and factories to set up shop. Nine out of 10 rural households had no access to electricity.

President Roosevelt’s Executive Order 7037 of 1935 established the Rural Electrification Administration, with the aim of attracting private utilities to invest in new transmission lines. Private takers were few, but the new agency did attract an outpouring of applications from local farmer cooperatives.

<h2>$11 billion for another rural clean power revolution</h2>

Those electric cooperatives continue to serve their communities to this day, and they are a major force in the U.S. energy industry. Collectively, cooperatives serve 42 million people across almost every U.S. state, including 92 percent of counties that are classified as "persistent poverty counties," and they count more than 21.5 million businesses, homes and other facilities on their collective rosters.

Some cooperatives are encumbered with fossil energy obligations, partly due to their public benefit mission of preserving jobs. On the plus side, the public mission also provides cooperatives with the flexibility to explore <a href="https://www.triplepundit.com/story/2017/co-ops-bring-solar-hundreds-rural-communities/18741" target="_blank">solar power</a>, <a href="https://cleantechnica.com/2019/04/15/rural-electric-co-ops-dive-into-gas-killing-solar-panels-farmland-fray/" target="_blank">agrivoltaics</a> and other new energy technologies. With 900 members organized under NRECA, the <a href="https://www.electric.coop/our-organization/history" target="_blank">National Rural Electric Cooperative Association</a>, cooperatives have also been <a href="https://cleantechnica.com/2020/10/26/us-energy-dept-aims-for-affordable-solar-power-with-a-little-help-from-friends/" target="_blank">working with the U.S. Department of Energy</a> on the transition to renewable energy.

The new $11 billion in USDA funding turbo-boosts that progress with a focus on rural electric cooperatives. Of the total, $9.7 billion is set aside for the New Empowering Rural America (<a href="https://www.rd.usda.gov/programs-services/electric-programs/empowering-rural-america-new-era-program" target="_blank">New ERA</a>) program, which provides funding to eligible cooperatives for renewable energy systems as well as carbon capture and other zero-emission technologies. 

The New ERA program stipulates that eligible cooperatives serve predominantly rural areas, defined as having at least 50 percent rural consumers. Eligible cooperatives can apply for a loan, grant, or loan-grant combination for a wide range of clean power projects that reduce greenhouse gases, partly by retiring older, obsolete or expensive infrastructure.

“You can also change your purchased-power mixes to support cleaner portfolios, manage stranded assets, and boost your transition to clean energy,” the USDA advises.

<h2>Even more clean energy for rural communities</h2>

The remaining $1 billion will go to provide partially forgivable loans for utilities under a program called <a href="https://www.rd.usda.gov/programs-services/electric-programs/powering-affordable-clean-energy-pace-program#:~:text=The%20Powering%20Affordable%20Clean%20Energy,Act%20into%20law%20in%201936." target="_blank">PACE</a> (Powering Affordable Clean Energy). Created by the Inflation Reduction Act, the wide-ranging program makes funding available to government jurisdictions as well as public and private utilities, tribal entities and cooperatives.

The aim is to scale up the implementation of existing renewable energy resources in underserved communities, <a href="https://www.irs.gov/pub/irs-drop/n-23-29.pdf" target="_blank">described as</a> “designated energy communities, disadvantaged communities, distressed communities, and Tribal communities.” That includes Puerto Rico, Micronesia, the Marshall Islands and Palau.

“The goal of the PACE program is to make clean energy affordable for vulnerable, disadvantaged, Tribal and energy communities to heat their homes, run their businesses and power their cars, schools, hospitals and more,” USDA explained. 

<h2>Who’s afraid of rural solar?</h2>

Until New ERA and PACE, much of the <a href="https://www.rd.usda.gov/programs-services/energy-programs" target="_blank">USDA's sustainable energy programming</a> has focused on assistance for individual farmers and other rural businesses. The Inflation Reduction Act also provides funding for these individual assistance programs. The USDA anticipates that the rural clean energy and energy-efficiency provisions will assist 41,500 farms and small businesses. Biofuel production is also getting an additional assist from the Inflation Reduction Act. And last year, the USDA also began working with individual farmers to <a href="https://www.triplepundit.com/story/2022/usda-carbon-sequestration-farms/755021" target="_blank">promote carbon sequestration</a> as a marketing opportunity.

One sign of a broader approach to rural clean energy emerged in 2021 when the USDA launched the relatively modest $10 million <a href="https://www.rd.usda.gov/programs-services/energy-programs/rural-energy-pilot-program" target="_blank">Rural Energy Pilot Program</a>. The program provided a pathway for nonprofits and other public bodies to apply for community-wide energy efficiency and clean power projects. Government and tribal entities were also eligible to apply.

Applications for the program closed last year, and apparently the USDA did not wait around for the results. The new $11 billion in funding sends the potential for new rural energy investments into the stratosphere. The USDA expects to leverage almost $3 billion in new energy projects through the PACE program alone.

If all goes according to plan, both the New ERA and the PACE program will bring more large-scale solar power plants to rural communities. 
That is sure to set off fireworks in communities where the opposition to new solar projects has begun to heat up, partly fueled by organized <a href="https://www.resilience.org/stories/2023-04-11/agrivoltaics-the-farm-to-solar-trend-that-can-help-accelerate-the-renewable-energy-transition/" target="_blank">disinformation about climate change</a>. 

Nevertheless, the <a href="https://cleantechnica.com/2023/05/02/army-of-butterflies-to-win-solar-farm-wars-despite-opposition/" target="_blank">economic benefits of solar power</a> and other new clean energy technologies are coming into view. The $11 billion in new funding through the Inflation Reduction Act will motivate more businesses and investors to seek new, scaled-up clean energy opportunities in rural areas, despite the opposition.

The Inflation Reduction Act Sparks a Clean Energy Revival for Rural Businesses

This story was originally published by <a href="https://grist.org/food/food-waste-prevent-methane-pollution-compost/" target="_blank">Grist</a>. Sign up for Grist’s <a href="https://go.grist.org/signup/weekly/partner?utm_campaign=republish-content&amp;utm_medium=syndication&amp;utm_source=partner" target="_blank">weekly newsletter here</a>.

The global food system is a climate mess, from the widespread use of greenhouse gas-emitting fertilizers to the methane-spewing livestock to all the food that gets tossed into the trash. In the United States, a staggering one-third of all food — something like <a href="https://www.feedingamerica.org/our-work/reduce-food-waste#:~:text=How%20much%20food%20waste%20is,food%20thrown%20away%20each%20year." target="_blank">130 billion meals</a> annually — gets thrown out. Each year, that discarded stuff represents an estimated <a href="https://www.epa.gov/system/files/documents/2021-11/from-farm-to-kitchen-the-environmental-impacts-of-u.s.-food-waste_508-tagged.pdf" target="_blank">170 million metric</a> tons of carbon emissions — the equivalent of 42 coal-fired power plants. 

But there’s a simple solution, <a href="https://grist.org/regulation/report-eliminating-waste-is-a-climate-solution/" target="_blank">beyond simply reducing waste</a>. According to a new <a href="https://www.nature.com/articles/s41598-023-34174-z" target="_blank">study</a> in the Nature journal Scientific Reports, composting food scraps results in 38 percent to 84 percent fewer greenhouse gas emissions than tossing them in landfills. Unlike trash in landfills, compost heaps are watered and turned, which aerates the decomposing waste and prevents bacteria from churning out as much methane, a powerful greenhouse gas. 

“Composting still has some methane emissions, but it’s much, much lower because most landfills aren’t turned as frequently,” said Whendee Silver, an ecologist at the University of California Berkeley and a co-author on the study. 

Landfills are a big climate culprit. Garbage dumps generate one-third of all methane emissions in the U.S., in part because the most common item in them is food. The organic matter in landfills breaks down through a process called anaerobic decomposition, in which bacteria feast on it and burp out methane. Food scraps often end up at the bottom of landfills, where it gets compacted and “creates the perfect storm for methane emissions,” Silver said. 

Silver’s group measured emissions of three greenhouse gasses — carbon dioxide, nitrous oxide and methane — at a commercial compost facility in California. They continuously tracked emissions over the course of the composting process. Although other studies have done similar landfill-compost emissions comparisons, Silver said this one stands out because it used a new method that “allowed us to figure out exactly when and where and under what conditions the greenhouse gas emissions were occurring” and didn’t alter the conditions of the compost while taking measurements.

The big range in the findings — an emissions reduction of 38 percent to 84 percent — is a result of uncertainty around estimates of greenhouse gas pollution from landfills, which is “a really difficult thing to measure,” Silver said.

The researchers wrote that “fine tuning” the composting process, like turning the pile more and adding water more frequently but in lower quantities, could further lower emissions. Silver said that new tools like aeration tubes below compost heaps could also help slash methane emissions. 

The study didn’t account for the climate benefits of applying compost as fertilizer. Other <a href="https://onlinelibrary.wiley.com/doi/10.1111/gcb.14762" target="_blank">research</a> has shown that laying compost on agricultural fields is key to storing carbon in soil. Some estimates suggest that adding compost to an acre of land can sequester enough carbon to offset <a href="https://ilsr.org/compost-climate/" target="_blank">75 percent</a> of a car’s annual emissions. 

A <a href="https://www.compostingcouncil.org/page/organicsbans">handful</a> of states and cities have passed laws to mandate curbside compost pickups and to prevent food scraps from entering landfills. Two years ago, U.S. President Joe Biden set a target of capturing <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2021/11/02/fact-sheet-president-biden-tackles-methane-emissions-spurs-innovations-and-supports-sustainable-agriculture-to-build-a-clean-energy-economy-and-create-jobs/" target="_blank">70 percent</a> of methane emissions from landfills nationwide through a voluntary program. In 2015, the Department of Agriculture and the Environmental Protection Agency announced a goal of cutting food waste in half by 2030. But the country hasn’t tacked toward that target. Between 2016 and 2019, the amount generated in the U.S. actually increased by <a href="https://www.epa.gov/sustainable-management-food/united-states-2030-food-loss-and-waste-reduction-goal" target="_blank">6 percent</a>, from 328 pounds to 349 pounds per person each year. And only about <a href="https://www.epa.gov/sustainable-management-food/reducing-impact-wasted-food-feeding-soil-and-composting" target="_blank">5 percent</a> of that waste gets composted.  

This article originally appeared in <a href="https://grist.org/food/food-waste-prevent-methane-pollution-compost" target="_blank">Grist</a>. Grist is a nonprofit, independent media organization dedicated to telling stories of climate solutions and a just future. Learn more at <a href="https://grist.org/">Grist.org</a>.
<link href="https://grist.org/food/food-waste-prevent-methane-pollution-compost/" rel="canonical" /><script id="grist-syndication-pixel" async="" src="https://www.googletagmanager.com/gtm.js?id=GTM-TG2PKBX" data-source="repub" data-canonical="https://grist.org/food/food-waste-prevent-methane-pollution-compost/" data-title="A simple way to prevent heaps of methane pollution: Composting" crossorigin="anonymous"></script>

Composting Offers a Simple But Effective Solution to Our Methane Problem

Per- and polyfluorinated substances (PFAS) have been getting a lot of negative publicity. And with good reason. Classified as “<a href="https://cleanwater.org/pfas-forever-chemicals" target="_blank">forever chemicals</a>,” they’ve been found in food, water, soil, animals and <a href="https://www.atsdr.cdc.gov/pfas/health-effects/us-population.html" target="_blank">even our blood</a>. Although the extent of their effects is not fully understood, they are known to negatively impact human health in a variety of ways. But while many are calling for an overall ban on the chemicals, pushback from the industry seeks to <a href="https://www.packaginginsights.com/news/researchers-dismiss-safe-pfas-alternatives-as-harmful-whack-a-mole-solutions.html" target="_blank">simply switch out</a> the PFAS we already know are harmful with lesser-known ones that likely have the same — or possibly even worse — effects.

Although PFAS <a href="https://www.americanchemistry.com/chemistry-in-america/chemistries/fluorotechnology-per-and-polyfluoroalkyl-substances-pfas?gclid=Cj0KCQjwsIejBhDOARIsANYqkD3ErVZvoARcOvmwIkLKIcrRxbCxFmKc5mVFCH2NegKwLllLQU6wOhEaAhUZEALw_wcB" target="_blank">proponents argue</a> that the chemicals are necessary for every aspect of modern life, innovators in chemistry are working hard to develop newer, safer compounds. <a href="https://impermeamaterials.com/" target="_blank">Impermea Materials</a> is one such company. Its water-based solutions can be used in place of PFAS in a variety of products — including packaging, apparel, upholstery, and technical textiles such as those worn by firefighters and military.

 “We use different types of particles that are all inherently safe, they're amorphous,” David Zamarin, founder and CEO of Impermea Materials, told TriplePundit. “What we do is very different than the traditional chemical companies that are out there. We synthesize our own material and, by doing so, we can control a lot of the polymers and their functionality, which is very different because a lot of companies are just formulators.”

<h2>PFAS are everywhere </h2>

PFAS, or fluorinated chemicals, are ubiquitous in modern life. They are used in <a href="https://www.dhs.wisconsin.gov/chemical/pfas.htm" target="_blank">everyday items</a> we all depend on, from cleaning and personal care products to non-stick cookware, touchscreens, batteries and fuel cells. They also appear in waterproof, flame-retardant and stain-resistant coatings on food packaging, upholsteries and textiles, among many more uses. As such, these chemicals have found their way into just about every part of our lives, down to the soil that grows our food, the water we drink, and sometimes even the <a href="https://www.vox.com/2022/8/25/23318667/pfas-forever-chemicals-safety-drinking-water" target="_blank">air we breathe</a>.

PFAS exposure is not equally distributed across the country. Those working in the industry’s manufacturing plants have the highest amounts of the forever chemicals in their blood, followed by people who live in areas with high levels of groundwater contamination, according to the <a href="https://www.atsdr.cdc.gov/pfas/health-effects/us-population.html" target="_blank">U.S. Centers for Disease Control and Prevention (CDC)</a>. But that doesn’t mean anyone is free and clear of the stuff — it’s in just about everyone’s blood in the U.S.

But what does that mean for our health? While not enough is known about the consequences of PFAS — especially at low levels — we do know that some levels of exposure <a href="https://www.epa.gov/pfas/our-current-understanding-human-health-and-environmental-risks-pfas" target="_blank">increase the risk</a> of various cancers, reproductive problems, developmental delays, compromised immunity, hormonal issues, obesity and elevated cholesterol.
<figure role="group"><img alt="David Zamarin - founder of Impermea Materials" data-entity-type="file" data-entity-uuid="e9921649-e581-4a20-8678-dcfdbd9957e5" src="/sites/default/files/inline-images/David%20Headshot.png" width="1072" height="1107" loading="lazy" /><figcaption>Young entrepreneur David Zamarin, founder of Impermea Materials, started working to develop PFAS alternatives at only 15 years old.</figcaption></figure><h2>Can alternative materials replace PFAS?</h2>

Some manufacturers argue that the most dangerous PFAS — those with smaller molecules — can be replaced by safer, larger-molecule versions. But a <a href="https://pubs.acs.org/doi/10.1021/acs.estlett.2c00926" target="_blank">study out of Canada</a> found that is simply not the case, at least when it comes to food packaging. 

“As some legacy PFAS are withdrawn from the market or regulated, alternative compounds are introduced as replacements. The idea behind this process, sometimes called ‘whack-a-mole,’ is that the alternative is safer than the compound it replaces,” one of the study’s authors, Marta Venier, a professor at Indiana University, told the industry publication <a href="https://www.packaginginsights.com/news/researchers-dismiss-safe-pfas-alternatives-as-harmful-whack-a-mole-solutions.html" target="_blank">PackagingInsights</a>. “In reality, the result is a regretful substitution since the newly introduced compound has similar properties to the compound it replaces. The replacement is considered ‘safer’ because less is known about that specific chemical.”

Instead of just switching out one type of PFAS for another, Impermea Materials has developed its own molecule — dubbed siloalkoxyurylsilane. “The molecule that we believe we've invented is a combination of a variety of different types of chemistry,” Zamarin said. “A lot of it is bio-based. There are reactive chemistries, resin technology, urethane technology and, of course, silica and some silanes. So it's a combination of a few things. And we make it in a very unique way, which is what allows us to combine all of these chemistries together, which normally don't like to be together.”

Third-party testing is an important part of the process, especially with food packaging that has been approved by the U.S. Food and Drug Administration (FDA), as is consistent in-house quality assurance. “We regularly test for fluorine content in both our water and then our finished goods,” he said. “We test for a variety of other chemicals as well in the entire gambit of PFAS. From a third-party perspective, we try to get any of our claims that we make like non-toxicity or PFAS-free tested independently.”
<figure role="group"><img alt="fabric treated with new PFAS alternative - tested for water resistance" data-entity-type="file" data-entity-uuid="8b7a9fab-3872-4589-9758-3369446770ef" src="/sites/default/files/inline-images/HYDRO-TEX%20%2B%20UV%201010.jpg" width="875" height="875" loading="lazy" /><figcaption>Demonstrating the water resistance of Impermea Materials' PFAS alternative coating. </figcaption></figure><h2>Understanding how PFAS replacements work</h2>

Impermea Materials works with producers to provide coatings for a variety of products. But not all of them have a thorough understanding of how to properly cure the chemicals after application, which has led to some using the same process as they would with PFAS.

“We have a lot of clients that are used to applying the traditional C6 based fluorochemicals, and they're used to curing it at 170 degrees Celsius, for example,” Zamarin said. “Well, if you cure ours at 170 degrees Celsius for the same amount of time, you're actually going to burn the coating. If you put it under a microscope, you'll see literal blisters, so you want to avoid doing that.”

Other clients have tried to bypass the curing process and allow the coating to air-dry instead. “It does air dry, it dries within a minute,” he said. “But you do need to heat cure it because the chemistry specifically has what's called crosslinking mechanisms. Heat specifically activates certain molecules to bond together and get to that performance."
<figure role="group"><img alt="testing the flame retardant potential of PFAS alternative material" data-entity-type="file" data-entity-uuid="21fc5075-f6ba-43bb-a5ff-565c7ccbaf10" src="/sites/default/files/inline-images/OLEO-TEX%20%2B%20FR.jpg" width="875" height="875" loading="lazy" /><figcaption>Demonstrating the flame retardant potential of Impermea Materials' PFAS alternative coating.</figcaption></figure>Unlike PFAS, which can take thousands of years to degrade, Impermea Materials' coatings are compostable. As such, they also offer potential to address packaging waste — if they're used on a compostable package, of course, which is by no means a given. Even then, it's often hard to tell if a piece of packaging can really break down in a home compost pile or if it's only suited for industrial-scale composting, which is not available in most of the U.S. 

“As of now, they have not been tested for home composability. That's what we mean is they’re industrially compostable," Zamarin said. "But the caveat here is we're not saying that it isn't home compostable. We just haven't done the testing."

“Generally speaking, it's the substrate that matters more than the coating," he explained. "That's a general statement. It's not entirely true with all of our competitors, unfortunately, but with our coatings, we don't impact the sustainability metrics of the substrate. So, if the food packaging itself is home compostable, it hasn't been tested yet, but we would assume from a technical background that it would also be home compostable for the coating.”

Chemicals and protective coatings are an invaluable part of modern life. However, as we become more aware of the consequences surrounding a variety of chemicals, the hunt for safer alternatives cannot be underestimated. Impermea Materials is one company that is working hard to find a solution, with applications in <a href="https://impermeamaterials.com/blogs/news/paper-that-performs-like-plastic" target="_blank">food packaging</a> and <a href="https://impermeamaterials.com/blogs/news/breaking-barriers-with-impermea-materials-in-the-textile-industry" target="_blank">textiles</a> already in use. 

Image credits: <a href="https://www.pexels.com/photo/cook-standing-in-food-truck-and-giving-burger-5920741/" target="_blank">Kampus Production</a>/Pexels and Impermea Materials

Nixing PFAS is a Real Possibility: Here’s One Company That’s Doing It

The built environment has a direct impact on the daily lives of virtually every individual and community on the planet. The building industry itself, however, also has significant impacts on the environment. Owens Corning is among the companies in the sector that are looking to minimize their impact and push more <a href="https://www.owenscorning.com/en-us/corporate/sustainability" target="_blank">sustainable practices</a> forward. 

As one of the world’s leading manufacturers of building materials, Owens Corning recognizes the impact its industry can have in the reduction, collection and reuse of waste through <a href="https://ellenmacarthurfoundation.org/topics/circular-economy-introduction/overview" target="_blank">circular economy</a> systems. The company’s European insulation brand Paroc, for example, has been running an insulation take-back program known as <a href="https://www.paroc.com/Sustainability/REWOOL-take-back-and-recycling-system" target="_blank">Rewool</a> for nearly 20 years. 

<h2>Paroc embraces insulation take-back to reduce waste </h2>

Paroc’s stone wool insulation is a natural product that serves as an energy-efficient and fire-safe insulation solution for both new and renovated buildings, as well as heating and air conditioning, marine, offshore, and other industrial applications. 

First introduced in Sweden in 1996, the Rewool program allows for collection of Paroc stone wool offcuts to be recycled back into Paroc’s manufacturing operations in an effort to reduce waste and incorporate recycled material into the production cycle.

The program allows Paroc's Finland-based stone wool insulation manufacturing facility to implement circularity principles into its own operations, particularly as the collection of stone wool offcuts and scraps reduces the need for raw materials, turns customer waste into a valuable asset, and gives waste material a new life. 

But the program also aids in the important task of helping Paroc customers reach their own sustainability goals, which is of particular importance for the brand’s European clients that are tasked with adhering to and adapting with the principles of the <a href="https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal_en" target="_blank">European Green Deal</a>.  

“Owens Corning and and its Paroc facilities set our own goal of zero waste to the landfill by 2030, but with the European Green Deal aiming for climate neutrality and a transition to a circular economy by 2050, there are a lot of incentives for our customers to move toward zero waste, as they have the same external pressures through the coming regulation,” said Beatrice Hallén, Owens Corning’s senior sustainability leader for insulation in Europe. 
<figure role="group"><img alt="paroc stone wool insulation material" data-entity-type="file" data-entity-uuid="8067259e-5aea-402c-ae12-c267c4f3180c" src="/sites/default/files/inline-images/Paroc%20wool%20insulation%20material.jpg" width="450" height="600" loading="lazy" /><figcaption>Stone wool insulation is produced by melting and fiberizing volcanic stones, typically basalt, gabbro, anorthosite and dolomite at 1,500 degrees Celsius.</figcaption></figure><h2>The business case for circularity </h2>

While the Rewool program serves as a key example of a sustainable business practice as a means of corporate responsibility, there is also a direct business case to be made for both Paroc and its customers.

Landfills around the world implement fees, known as tipping fees, for every ton of waste. By sending stone wool offcuts and scraps back to Paroc's stone wool plants, customers avoid these fees while also contributing to the beginnings of a more circular economy for insulation. Moreover, sending offcuts back to Paroc plants in lieu of sending them to the landfill increases a building’s score in environmental ratings such as the U.S. Green Building Council’s <a href="https://www.usgbc.org/leed" target="_blank">LEED certification</a> and international <a href="https://bregroup.com/products/breeam/" target="_blank">BREEAM certification</a>. 

<h2>Expanding Rewool to more customers </h2>

The Rewool program now operates in Sweden and Finland, with plans to expand into new markets in the coming years. A <a href="https://www.paroc.com/sustainability/rewool-take-back-and-recycling-system" target="_blank">takeback pilot is underway</a> with select customers in Germany, but it is not without its challenges.  

“With any new service, there are logistical considerations, and you have to roll out a huge development phase to make it successful,” said Thomas Kayser, Paroc’s European stone wool insulation  circular economy lead. 

Implementing circularity on a material level is also a tough task, particularly when it comes to ensuring cleanliness and integrity. “The challenge today is really to get the material sorted and clean, but that is a typical challenge in the transition to the circular economy,” Kayser said.
<figure role="group"><img alt="Paroc Rewool insulation take-back" data-entity-type="file" data-entity-uuid="c41ab2c6-48ad-4c02-8814-01fe65cfd22e" src="/sites/default/files/inline-images/Paroc%20Rewool%20insulation%20take-back.jpg" width="400" height="600" loading="lazy" /><figcaption>With the Rewool system, the stone wool offcuts from construction and production sites can be effectively sorted, transported and recycled. </figcaption></figure><h2>The circular economy as an asset </h2>

While there are reasonable logistical and material challenges in expanding the program across Europe, Kayser highlighted that what was once a barrier to expansion is now an impetus for the success of the program, particularly in conjunction with the European Green Deal. 

“Originally, generating awareness of the Rewool program with our clients was a challenge. But now that installers are trying to avoid landfill fees, the Rewool recycling service is something they are inquiring about,” he said. “What once was a sell from Paroc is now a frequent request from clients.” 

By providing insulation take-back for offcuts, Owens Corning’s stone wool business in Europe gives its customers a practical way to reduce waste, avoid fees and lessen their environmental impact. The Rewool program also fits into <a href="https://www.owenscorning.com/en-us/corporate/sustainability/circular-economy" target="_blank">Owens Corning's broader strategy</a> to be part of transitioning the building sector to a more circular economy. 

“We are working to replace virgin materials in our products, and the Rewool program is a piece of that,” Hallén said. “We are also looking into other industries' waste fractions to see what is suitable for our production, and by doing so, we are able to increase the so-called recycled content, which currently serves as a main indicator of a circular economy [system], particularly in Europe.”

<h2>The bottom line: Consistent commitment can change hearts and minds on circularity </h2>

The Paroc Rewool program is a prime example of how reducing and reusing waste can support a company’s <a href="https://www.paroc.com/sustainability" target="_blank">overall sustainability strategy</a>. But more importantly, the program serves as a catalyst for the industrial and cultural shift toward a circularity mindset. 

Programs like Rewool prove that incremental but consistent commitment to the circular economy and material innovation will get people engaged and, slowly but surely, make the lasting changes needed to shift the way the world thinks about waste. 

This article series is sponsored by Owens Corning and produced by the TriplePundit editorial team.

Images courtesy of Owens Corning

This Insulation Take-Back Program Cuts Down on Waste in the Building Industry 

Industries beyond the tech world are <a href="https://www.triplepundit.com/category/data-technology/16251" target="_blank">utilizing data and technology</a> more and more these days to improve efficiency, find solutions to problems, and create new opportunities for greater transparency and innovation. The agricultural and food sectors utilize data and digitalization as a means for improvement, but few have used blockchain, the digital ledger technology that enables cryptocurrencies like Bitcoin to pass from hand to hand.

Enter <a href="https://mergeimpact.com" target="_blank">Merge Impact</a>, which bills itself as the first and only blockchain-powered agricultural measurement and data solution to help farmers, food manufacturers, and brands better understand the impact of their practices and purchases down to the field level.

<h2>From the ground up</h2>

Merge Impact co-founders Ben Adolph and Beth Robertson-Martin both come from agricultural backgrounds. But they have professional perspectives from different sides of the industry — Adolph in soil health and fertilizer sales and Robertson-Martin in commodity sourcing, most recently for General Mills. 

Each realized the limitations of their respective fields and set out to solve them with their new agri-tech company powered by blockchain. "I had a thesis that there are lots of food companies that actually need regenerative supply chain problems solved," Robertson-Martin explained.

"We saw an opportunity to connect the climate impacts at the farm level and bring value to food companies," Adolph added. "She has the solutions from the brand side. I have them from the farm side.”

<h2>Blockchain for transparency</h2>

Using data as a means of analyzing and improving systems is commonplace in the modern digital age, but blockchain takes these processes one step further. “I think about blockchain as a tool in the toolbox, but it's one that makes things quicker and easier for us. Blockchain really helps prevent data corruption and data loss,” Robertston-Martin said.

Merge Impact’s use of blockchain allows it to serve as a software solution for transparent supply chains, as raw materials are digitally logged from the field to the customer and everywhere in between. This type of information is increasingly crucial as companies aim to provide their clients with transparent, accurate and easily accessible data.

<h2>Transparency for brands, consumers and farmers</h2>

Major food manufacturing companies have made <a href="https://www.triplepundit.com/story/2021/unilever-regenerative-agriculture/721661" target="_blank">public commitments</a> to regenerative sourcing worth trillions of dollars. But many of these commitments have been based upon dubious data, resulting in <a href="https://www.triplepundit.com/story/2015/starbucks-accused-lagging-deforestation-commitments/29651" target="_blank">shaky and unsubstantiated</a> sustainability action plans.

As a company that operates on the integrity and security of data, Merge Impact remains a neutral party in the collection of information on its platform. Third-party partners like <a href="https://earthoptics.com" target="_blank">EarthOptics</a> — which specializes in soil data measurement, including how much carbon is being stored by the soil — allow the company to provide more detailed information to clients while remaining impartial. 

Merge Impact’s use of third-party data collection and blockchain technology allows food companies to understand the impact of their supply chains and make <a href="https://www.triplepundit.com/story/2017/green-marketing-wild-west-greenwashing-beef-sector/14056" target="_blank">reliable claims about their products</a>. In turn, customers can rely upon these claims to make better choices about the products they support. 

From the farmer’s perspective, data platforms like Merge Impact’s make it easier for brands to find and connect with organic and regenerative farmers. It also helps farmers advocate for their services as a premium, as brands see how sustainable practices translate into improved soil health metrics like carbon storage and water retention. 

Merge Impact also ensures that farmers can retain ownership of their data, which can be shared, transferred or monetized at their discretion. 

“What blockchain allows us to do at the farm level is monetize data for farmers," Adolph said. "We never claim ownership of data. If you go into any other ag-tech platform, when data comes into that platform, that's the platform's data. But in our case, the producer creates the data, and that producer ultimately owns all the data. It is truly the only system where the producer has an account in the product."

More simply, Merge Impact serves to simply facilitate the movement of data, while giving the producers and brands total ownership of the data that the company and its partners help to collect and store.

<h2>"If it can be measured, we can measure it."</h2>

Merge Impact data has shown to be effective in helping companies to measure and manage their greenhouse gas emissions. It also serves to inform other key indicators of mission-based food systems, such as <a href="https://www.triplepundit.com/story/2016/putting-price-value-nature/27311" target="_blank">biodiversity</a> and water usage. 

“If it can be measured, we can measure it and we can track it," Robertson-Martin said. "Not only will you know where your oats came from, you'll know where your carbon, your biodiversity, your pollinator habitat metrics came from down to the field level, down to the subfield level. We make it really easy to get to that level of granularity."

With producer and brand ownership of their own data, coupled with the security and integrity of blockchain technology, Merge Impact’s platform serves as an end-to-end solution for traceable supply chains for regenerative, organic, and any other kind of mission-based food systems. 

“Ultimately, Merge Impact uses blockchain to turn ag-tech into a solution for the industry and not just a product for the industry,” Adolph said. 

Image credits: <a href="https://unsplash.com/photos/aqrIcYonB-o" target="_blank">PHÚC LONG</a> and <a href="https://unsplash.com/photos/GTjpLdxGDZA" target="_blank">Marc Kleen</a> via Unsplash

This Blockchain-Powered System Tracks Ingredients from Field to Fork

Forestation is an important climate action strategy, but more sophisticated — and potentially more efficient — nature-based alternatives are emerging. One of them involves an environmental two-for-one: capturing carbon by preventing destructive blue-green algae blooms.

<h2>Cyanobacteria and algae blooms</h2>

Blue-green algae is the common name for cyanobacteria, a type of water-dwelling bacteria that has plant-like photosynthetic abilities.

An over-abundance or “bloom” of cyanobacteria <a href="https://www.triplepundit.com/story/2012/water-pollution-iowa-time-business-step/59946" target="_blank">can wreck ecosystems</a> and harm other living things. “A combination of environmental factors such as the presence of nutrients, warm temperatures, and lots of light encourage the natural increase in the numbers of cyanobacteria,” <a href="https://oceanservice.noaa.gov/hazards/hab/" target="_blank">according to the National Oceanic and Atmospheric Administration</a>. In higher concentrations, the toxins produced by some cyanobacteria can damage the liver, nerves, and skin of humans and other creatures, including pets and livestock as well as wildlife.

<a href="https://www.epa.gov/nutrientpollution/climate-change-and-harmful-algal-blooms" target="_blank">The U.S. Environmental Protection Agency notes</a> that warmer temperatures and other climate impacts affect the frequency and severity of algae blooms. Blue-green algae blooms in particular are a frequent occurrence in all 50 U.S. states and elsewhere in the world. They mainly occur on inland waters, but they can also happen in the open ocean. 

<h2>Putting “bad” algae to good use </h2>

On the plus side, cyanobacteria are emerging as a clean technology jack-of-all-trades, partly because they are fast-growing, voracious consumers of carbon dioxide. Researchers have tweaked cyanobacteria to produce <a href="https://www.triplepundit.com/story/2016/tiny-microalgae-could-lead-hydrogen-economy/22061" target="_blank">renewable hydrogen</a> and other biofuels, for example.

Cyanobacteria are also attracting attention for their ability to convert airborne carbon to a solid substance. They have been linked to deposits of the mineral carbonate, a salt of carbonic acid. The “biomineralization” process carried out by cyanobacteria was formerly thought to occur as a result of outside factors. However, 2014 research concluded that some strains are <a href="https://www.pnas.org/doi/10.1073/pnas.1403510111" target="_blank">capable of producing carbonate</a> on their own.

In 2020, researchers at the University of Colorado in Boulder <a href="https://www.colorado.edu/today/2020/01/15/building-materials-come-alive" target="_blank">put the biomineralization concept to work</a>. They demonstrated that, under the right growing conditions, certain types of cyanobacteria can produce calcium carbonate, which happens to be the main ingredient in cement. The research team tested their method on a growing medium of sand and gelatin. As the cyanobacteria produced calcium carbonate, they mineralized the gelatin and bound the sand into a bio-manufactured brick.
<figure role="group"><img alt="blue-green algae bloom in the balkans visible from space - blue-green algae and carbon capture and storage" data-entity-type="file" data-entity-uuid="3d3dcd18-4960-47ba-9552-d3bea9a766f8" src="/sites/default/files/inline-images/blue-green%20algae%20bloom%20in%20the%20balkans%20visible%20from%20space_0.jpg" width="1000" height="754" loading="lazy" /><figcaption>Blue-green algae blooms swirling around the Baltic Sea in 2019, as seen from space. (Image: <a href="https://flickr.com/photos/europeanspaceagency/49212315271/in/photolist">European Space Agency</a>/Flickr)</figcaption></figure><h2>Algae remediation and carbon offsets</h2>

Regardless of the potential use cases for cyanobacteria-produced carbonate, algae blooms must be treated and prevented in order to protect aquatic habitats and human health.

<a href="https://bluegreenwatertech.com/" target="_blank">BlueGreen Water Technologies</a> is among those developing algaecides that specifically tackle cyanobacteria. Its patented, EPA-approved formula triggers a natural “suicide” response in cyanobacteria, clearing the way for beneficial algae and other aquatic species to take over.

The treatment effectively converts a body of water into a carbon sink, with the dead cyanobacteria locked into sediment for potentially millions of years, according to BlueGreen.

This carbon-sequestering feature could help offset the cost of remediating blue-green algae blooms, if stakeholders could claim carbon credits for the operation. The challenge is to develop a methodology that produces a science-based estimate of the captured carbon.

<h2>Scientific verification for cyanobacteria remediation</h2>

In March, BlueGreen received approval from the Social Carbon Foundation for its carbon quantification methodology, under the proprietary name Net Blue. Social Carbon manages the <a href="https://www.socialcarbon.org/why-socialcarbon" target="_blank">trademarked greenhouse gas standard</a> by the same name.

“Net Blue is the first deep water, nature-based climate solution for atmospheric carbon removal that is regulatory approved, scientifically validated and, now, verifiable by industry standards,” BlueGreen asserted in a <a href="https://bluegreenwatertech.com/bluegreen-water-technologies-wins-approval-of-landmark-carbon-removal-methodology-net-blue/" target="_blank">March announcement</a>. 

The company has been remediating cyanobacteria since 2019, for an estimated 3.3 million tons of carbon removal. With the Social Carbon standard in hand, BlueGreen can now market cyanobacteria remediation as a verifiable carbon offset.

According to BlueGreen CEO Eval Harel, the worldwide potential for cyanobacteria remediation offsets adds up to about 115 gigatons of carbon.
<figure role="group"><img alt="blue-green algae bloom in regents canal near London england - blue-green algae and carbon capture" data-entity-type="file" data-entity-uuid="bb2d78ee-6f8c-4746-9209-e7f2e50d4b2a" src="/sites/default/files/inline-images/blue-green%20algae%20bloom%20in%20regents%20canal%20near%20london%20england.jpg" width="1200" height="800" loading="lazy" /><figcaption>A blue-green algae bloom in Regent's Canal just north of London in 2019. (Image: <a href="https://flickr.com/photos/marcbarrot/48316090392/in/photolist">Marc Barrot</a>/Flickr)</figcaption></figure><h2>Natural vs. unnatural carbon capture</h2>

The emergence of verifiable cyanobacteria remediation credits should help meet the growing demand for carbon credits. The current demand for carbon credits already exceeds the supply, and BlueGreen projects a 15-fold increase in demand for carbon credits by 2030 and a 100-fold increase by 2050.

Cyanobacteria remediation could also help further undercut the case for carbon capture and storage (CCS). CCS has been promoted as an effective pathway for preventing greenhouse gas emissions from coal power plants and other industrial sources. However, the idea of capturing carbon and storing it in underground formations is rapidly losing currency.

BlueGreen offers a fast-acting, scalable carbon capture system that requires no infrastructure. The algaecide can be deployed swiftly to provide additional benefits for local businesses and recreational users, as well as restore biodiversity and protect public health.

In contrast, carbon capture and storage systems offer no such local add-on benefits, and their ability to scale up globally has yet to be proven. In particular, it is difficult to see how CCS infrastructure fits into the rapid decarbonization picture, due to its relatively high costs and long timeline for construction. Typically, CCS systems also require new pipelines to ship captured carbon from the source to a distant storage facility. That raises the threat of environmental impacts related to construction of the pipeline, as well as delays due to public opposition.

The U.S. already has one massive carbon capture failure under its belt, the <a href="https://www.triplepundit.com/story/2021/eyewear-carbon-capture-sequestration/728931" target="_blank">FutureGen CCS project</a> in Illinois. It kicked off in 2003 with support from the U.S. Department of Energy, intended to provide a showcase for technology to capture and store carbon from a coal power plant. The project was abandoned in 2015.

Since then, <a href="https://www.triplepundit.com/story/2020/carbon-capture-gives-way-carbon-recycling/86336" target="_blank">new alternatives have emerged</a> in the field of carbon capture, utilization and storage systems (CCUS), which can convert captured carbon into new products that recycle or sequester it, at least temporarily. Recycled-carbon products also help reduce the need to draw virgin petrochemicals from underground.

Fuels, fabrics, perfumes and vodka are among the <a href="https://www.triplepundit.com/story/2022/five-products-recycled-carbon/733931" target="_blank">new recycled-carbon products</a> coming to market, made from <a href="https://www.triplepundit.com/story/2013/cherry-tree-inspiration-wins-start-4-million-energy-grant/48591" target="_blank">carbon collected at industrial sources</a> or drawn from ambient air by CCUS facilities.

The International Energy Agency (IEA) expects CCUS activity to <a href="https://www.iea.org/fuels-and-technologies/carbon-capture-utilisation-and-storage" target="_blank">pick up considerably in the coming years</a>, from just 35 systems in operation globally today to an estimated 200 in the pipeline by 2030. 

<h2>What about the trees?</h2>

Despite all the forthcoming activity, IEA does not foresee CCUS playing a leading role in the effort to achieve a net-zero economy.

“Nevertheless… CCUS deployment would remain substantially below what is required" for a net-zero scenario, IEA concluded in a 2022 report. The need remains for a broad expansion of swift, effective decarbonization pathways across the board.

The Social Carbon Foundation is among those working to steer the decarbonization conversation into a more holistic framework that can achieve global progress on a larger scale. Through its Social Carbon standard, the organization advocates for <a href="https://www.socialcarbon.org/why-socialcarbon" target="_blank">nature-based decarbonization pathways</a> that, like BlueGreen, provide local benefits. The localized nature of this approach requires the standard to be flexible and take political and social elements into account.

“Projects using our standard go beyond carbon, embedding meaningful social, environmental and economic benefits to the projects and their local stakeholders,” Social Carbon's website reads. 

“The trademark communicates that emissions reductions result from efforts that benefit and improve living conditions for stakeholders involved in climate change projects, in ways that strengthen their welfare and civic consciousness without degrading their resources base,” it continues. 

That reference to resources appears to be a cautionary note against tree-planting programs that focus on <a href="https://news.stanford.edu/2020/06/22/planting-trees-threatens-forest/" target="_blank">commercial timber plantations</a> as a carbon sequestration tool, to the detriment of local habitat. Scientists have also raised concerns about the <a href="https://climate.nasa.gov/news/2927/examining-the-viability-of-planting-trees-to-help-mitigate-climate-change/" target="_blank">pace and efficiency</a> of carbon capture through forestation.

Planting trees is likely to continue to hold a place in the carbon market, but companies seeking to burnish their reputation with forestation will need to ensure that their projects <a href="https://www.triplepundit.com/story/2020/tree-planting-climate-action-questions/86761" target="_blank">adopt a holistic approach</a> that <a href="https://www.triplepundit.com/story/2021/indigenous-pandemics/721441" target="_blank">supports local communities</a>.

Beyond Trees: Using Blue-Green Algae for Natural Carbon Capture and Sequestration 

Investing in viable solutions to social and environmental problems can turn a profit — and the most lucrative ideas may not come from where you'd expect. That's the philosophy behind <a href="https://vilcap.com/" target="_blank">Village Capital</a>. The nonprofit launched in 2009 under the tagline "democratizing entrepreneurship." Though it's based in Washington, D.C., its founding mission centers on identifying and supporting innovators outside the big coastal cities that receive the lion's share of venture funding. 

Over the past 14 years, Village Capital has supported nearly 1,000 such startups through 45 U.S.-based accelerator programs — which provide funding and mentoring to entrepreneurs with smart ideas to solve big problems. 

One of its most recent accelerators squares in on the crucial issue of climate justice, with a call for innovators on the front lines of climate change to submit locally-driven solutions for backing from Village Capital. 

<h2>What is climate justice? </h2>

For the uninitiated, climate justice refers to the imbalanced nature of the real-world impacts caused by climate change: Those who fare the worst amidst natural disasters and sea-level rise tend to be poor and underserved, and as such have contributed least to the greenhouse gas emissions that cause climate change. For context, a billionaire will produce <a href="https://policy-practice.oxfam.org/resources/carbon-billionaires-the-investment-emissions-of-the-worlds-richest-people-621446/" target="_blank">a million times more</a> greenhouse gas emissions in their lifetime than the average person, according to research from Oxfam. 

The related cause of environmental justice refers not only to the impacts of climate change, but also the sources of climate-inducing pollution — and where they're located. In the U.S. in particular, years of segregation has created a situation in which communities of color are far more likely to be in the direct vicinity of polluting sites like oil refineries and chemical plants. A bombshell 2021 study from the U.S. Environmental Protection Agency found that people of color are <a href="https://www.epa.gov/sciencematters/study-finds-exposure-air-pollution-higher-people-color-regardless-region-or-income" target="_blank">exposed to far higher levels of air pollution</a> during their lifetimes than white people, regardless of income level. 

Again, people living in communities that have faced chronic disinvestment for decades are more likely to be poor, and as such consume far fewer of the goods and services that these polluting industries provide. Yet they're still saddled with the impact, whether that's long-term air pollution exposure that can lead to preventable illness, or catastrophic events like <a href="https://www.npr.org/2023/01/26/1151464514/oil-refineries-release-lots-of-water-pollution-near-communities-of-color-data-sh" target="_blank">leaks</a> and <a href="https://www.nbcnews.com/science/environment/massive-oil-refinery-leaks-toxic-chemical-middle-philadelphia-n1115336" target="_blank">explosions</a>. 

Impacted communities have sounded the alarm about environmental and climate justice for decades, but the issues are only more recently gaining attention on the global stage. A global <a href="https://www.thelancet.com/journals/lanplh/article/PIIS2542-5196(22)00331-X/fulltext" target="_blank">loss and damage fund</a> to help developing countries cope with the impacts of climate change was finally pushed across the finish line at the COP27 climate talks in 2022, although <a href="https://www.reuters.com/business/environment/after-un-climate-deal-loss-damage-funding-two-years-off-2022-12-07/" target="_blank">it will be years</a> before it's up and running. U.S. President Joe Biden has also made justice a central pillar of his climate plan, with <a href="https://www.triplepundit.com/story/2023/climate-justice-epa/766666" target="_blank">billions in new investments</a> going toward efforts to reduce emissions and pollution in underserved communities. 

Still, government investments have by no means reached the scale of the challenge — making private-sector interventions like Village Capital's accelerator essential to creating the widespread changes needed to cut the problem down to size. 
<figure role="group"><img alt="young demonstrator shows her support for climate justice" data-entity-type="file" data-entity-uuid="803df2e7-f231-4aec-833c-54c5999c3ccb" src="/sites/default/files/inline-images/young%20demonstrator%20shows%20her%20support%20for%20climate%20justice.jpg" width="800" height="533" loading="lazy" /><figcaption>A young demonstrator shows her support for climate justice. (Image: <a href="https://flickr.com/photos/oxfam/3979898072/in/photolist">Oxfam International</a>/Flickr)</figcaption></figure><h2>Inside Village Capital's climate justice accelerator </h2>

Announced last month, Village Capital's accelerator is seeking early-stage startups that support immigrants, refugees and communities of color on the front lines of climate change in the U.S. In partnership with the <a href="https://www.wes.org/fund/" target="_blank">WES Mariam Assefa Fund</a>, Village Capital will provide grants and coaching to 10 to 12 startups with promising solutions that help their communities prepare for and adapt to climate impacts. The accelerator is fairly industry-agnostic, with startups across the climate tech, financial tech and property tech spaces encouraged to apply. 

"We are looking for impact-driven startups that are solving critical challenges for people and communities who are disproportionately impacted by climate change," Elizabeth Nguyen, economic opportunity practice lead for Village Capital, told TriplePundit. "We’ve been very intentional about identifying the solution types, which thematically fall into: disaster preparedness, public action and civic response, resilient housing and cities, and overall support for immigrants and refugees. Each one of these solution types prioritizes supporting people and communities and enables them the ability to respond to the impact of climate change." 

Along with grant funding, the selected entrepreneurs will receive invaluable training on how to further scale their businesses and attract investors, including help with a development plan to chart the course for growth. Through Village Capital's unique <a href="https://vilcap.com/entrepreneurs/peer-selected-investment" target="_blank">peer-selected investment model</a>, the cohort of entrepreneurs will decide which two climate justice solutions will be eligible to receive an additional $100,000 in investments from WES Mariam Assefa, Nguyen said. 

"This investment, especially at an early stage, has the potential to change the trajectory of a company, considering many immigrant and refugee founders often don’t have strong social networks or support systems that founders who may have been born in the U.S. have," she explained. "We also can’t stress enough how important social capital, mentorship, and connections are to early-stage companies. Village Capital provides not just training and financial support, but introductions to relevant mentors who are in the refugee and immigrant space and climate tech space. Our support enables our founders to walk away with tangible ways to speak to investors." 

<h2>Championing locally-driven solutions to climate challenges</h2>

Importantly, Village Capital aims to support locally-led solutions driven by the people and organizations that experience climate impacts in their communities firsthand. 

"We’ve seen time and again that top-down solutions will not be sustainable or effective because they don’t have a full understanding of the needs in a community," Nguyen said. "Locally-led startups also ensure that the solutions elevate the communities collectively so they are not left behind in the wave of innovation, a challenge that has unfortunately already been reflected in <a href="https://www.aspeninstitute.org/blog-posts/climate-tech-has-a-people-problem/" target="_blank">the history of climate tech solutions</a>." 

The company's accelerator model is proven to work, with over 150 accelerators supporting more than 1,400 startups globally. Entrepreneurs graduating from Village Capital accelerators raised three times more capital and earned 2.3 times more revenue compared to a control group, according to an <a href="https://vilcap.com/results" target="_blank">impact study</a> commissioned by the company. 

The company's separate venture capital fund, <a href="https://www.vilcapinvestments.com" target="_blank">VilCap Investments</a>, has invested in over 100 peer-selected startups from across these accelerators — again, with a focus on founders who are often overlooked. Nearly half (46 percent) of startups in the fund are led by women, and 30 percent are led by people of color. A stunning 80 percent are based in states outside New York, California and Massachusetts, which together receive about half of all global VC funding, <a href="https://vilcap.com/about-us" target="_blank">according to Village Capital</a>. 

"By catalyzing locally-led startups and strengthening the ecosystem for these entrepreneurs to succeed, we can create the biggest and most sustainable impact, one that improves and increases services and resources for the communities who need it the most," Nguyen said.  

Applications for the accelerator close on May 25, 2023. Full details and eligibility criteria can be found <a href="https://vilcap.com/programs/climate-justice-for-migrants-and-communities-of-color-2023" target="_blank">here</a>.

By the Community, For the Community: New Startup Accelerator Backs Locally-Led Climate Solutions

Job growth remains strong in the United States as the COVID-19 pandemic enters its fourth year. At the same time, higher interest rates have cooled the economy. American workers are worried about a potential recession, even as many continue to seek higher pay or are dissatisfied with their current roles or work environment, according to Morning Consult's annual State of Workers report. 

Job search growth was flat from March to April but remains in a broad uptrend since the start of the year, <a href="https://go.morningconsult.com/rs/850-TAA-511/images/The-State-of-Workers-Report-2023.pdf" target="_blank">the data intelligence firm found</a>. The prospect of higher wages continues to pull people back into the job hunt, with elevated search activity suggesting quit rates could tick back up. So, what are workers really thinking out there? Let's take a closer look at the survey of more than 6,000 employed and unemployed Americans to find out. 

<h2>Demand 'whiplash' rocks sectors like tech</h2>

Demand for workers has “whiplashed” since the start of the pandemic — first to tech, transportation and warehousing jobs, and then back to in-person services as consumers started dining out again and traveling more often, said Jesse Wheeler, senior economist for Morning Consult.

All of this represents a “huge reallocation of workers” from some sectors to others, he said. Meanwhile, economic and job growth are beginning to slow down. In an early warning sign, the share of U.S. adults reporting income losses increased considerably over recent weeks, according to Morning Consult.  

“Overall, the U.S. economy is clearly slowing as the Federal Reserve’s rapid tightening of monetary policy takes its toll,” Wheeler explained. “We could really start to see the shedding of jobs potentially in the coming months and an increase in unemployment, but we’re not seeing it yet.”

Morning Consult’s Lost Pay and Income Tracker rose 1.2 percentage points from March to April, with the sharp rise driven primarily by adults from higher-income households, reflecting the sweeping layoffs announced by tech companies like Meta, Shopify, Dropbox, Lenovo, Lyft, Roku and others.

“This is really a potential warning sign for the U.S. economy,” Wheeler said. “These high-paying tech and financial service companies have really been prioritizing projects and shedding workers to prepare for a potential lower-growth environment.”

<h2>Where are laid off workers now?</h2>

Despite shakeups in the tech industry, there are some indications that laid-off workers are finding new jobs fairly quickly. <a href="https://www.cbsnews.com/news/layoff-workers-how-are-they-doing/" target="_blank">About 75 percent</a> of those laid off in December and January were rehired or had a job offer within two months, according to polling from the hiring company ZipRecruiter.

Laid-off workers in the advertising, auto and transportation industries were most likely to land a new job quickly, according to the study. Somewhat surprisingly, 80 percent of the workers who found new employment after getting laid off said they didn’t have to take a pay cut.

<h2>People are still job-switching, and many find it to pay off </h2>

A rising share of employed U.S. adults are being drawn into an active job search, with the prospect of higher pay as the prime motivator. Many are finding exactly that, with nominal wage growth higher among job-switchers than those who stay put. 

“Morning Consult data shows that by far the largest reason for job-seekers going out there and looking for a new job is the potential for higher pay, with 60 percent of U.S. adults who had looked for work in the past four weeks citing more money as the primary reason,” Wheeler said. “This impetus really aligns with the data out there that shows that job-switchers are still being rewarded over job stayers.”

As the U.S. economy heated up in 2021 and 2022, workers enjoyed a high degree of bargaining power they had not experienced in decades, demanding workplace flexibility and other perks. But the tables have turned, and many workers are now less picky about what they need from employers, according to Morning Consult's research. 

Although the upper hand seems to be shifting back to employers in many cases, they are still very much in need of workers, with nearly 10 million job openings <a href="https://www.bls.gov/jlt/" target="_blank">according to the Bureau of Labor Statistics’ latest numbers</a>.

Of those who are interested in leaving their jobs, Morning Consult found the top reason why is feeling underpaid, and that has not changed. It was also the top-ranked reason in 2022, followed by workers wanting a better work-life balance and feeling burnt out.

Add this to <a href="https://hiring.monster.com/resources/blog/what-candidates-are-expecting-in-2023/" target="_blank">existing research</a> from the job-search company Monster: 34 percent of job-switchers said there is no room for growth in their current role, and 26 percent are looking to escape a toxic work environment, compared to 40 percent in search of higher pay. This tells us that fewer demands around specific perks like childcare or remote work options doesn't mean employers should ignore company culture and employee morale. 

“The broad takeaway here is that while we’re seeing people be more cautious about wanting to leave their jobs, the underlying motivations why they would do so remain the same,” said Amy He, industry analyst team lead for Morning Consult.

Image credit: <a href="https://unsplash.com/photos/f05DMgkXDOc" target="_blank">Flow Clark</a>/Unsplash

The State of the American Workforce: Layoffs, Job-Switching and a Search for Balance

The global economic turndown is top-of-mind for business leaders. In the U.S., 59 percent of CEOs anticipate needing to pause or scale back their environmental, social and governance (ESG) efforts as a result, <a href="https://assets.kpmg/content/dam/kpmg/us/pdf/2022/08/ceo-outlook-report.pdf" target="_blank">according to a recent survey</a> by KPMG.

However, walking away from ESG right now could be disastrous for business, argues Geetanjli Dhanjal, senior director of business transformation for the consulting firm <a href="https://www.yantrainc.com/about-us/" target="_blank">Yantra</a>.

Scaling back environmental commitments would not only be detrimental to the planet, but it could also hurt the bottom line. “Companies should be committed to ESG and diversity, equity and inclusion (DEI) now more than ever,” Dhanjal told TriplePundit. Pausing these programs to bolster the budget could backfire by eroding consumer perceptions and damaging trust among employees, she warned. 

<h2>Case in point: The retail sector proves ESG still matters </h2>

While certain sectors are more vulnerable to recession than others, retail is one of the highest-risk industries during economic downturns. Still, Dhanjal noted that many of her clients in retail, fashion and apparel are not turning away from ESG to save money. Rather, they are doubling down on their initiatives, from sourcing sustainable materials to ensuring fair pay for workers in their supply chains.

“These clients know that when in an economic downturn, one doesn't just stop investing in ESG," Dhanjal said. "ESG is a long-term strategy and roadmap. During economic downturns, businesses can invest in low-cost sustainability initiatives in order to maintain brand value and give back to the community.”

Further, many sustainability programs come with a cost savings. “When we enable green shipping methods, we reduce our costs, reduce our carbon footprint, and the customer benefits by paying less for shipping," Dhanjal noted as an example. 

<h2>Investor trust is in jeopardy: Stronger ESG programs and reporting can help </h2>

While robust ESG programs can help grow consumer affinity and employee engagement, businesses now face a new problem: waning investor trust.

In KPMG's survey, 3 out of 4 institutional investors said they do not trust companies to meet their ESG and DEI commitments. Dhanjal believes their concerns are valid: Indeed, many companies <a href="https://hbr.org/2022/08/why-companies-arent-living-up-to-their-climate-pledges" target="_blank">are not meeting their commitments</a>. But the trust gap also presents investment and growth opportunities for companies that are serious about implementing ESG, she said.

“There are many reasons for distrust," Dhanjal told us. "There are no consistent reporting frameworks. Enterprises may have more standardized reporting methods than small businesses, but they need to report transparently with the proof that they’re doing what they’re saying.”

Businesses and international agencies have also recognized the need for companies to demonstrate proof of their progress through standardized frameworks for sustainability reporting. At the COP26 climate talks in 2021, the United Nations and participating governments <a href="https://www.triplepundit.com/story/2022/transparent-reporting-esg-funds/752416" target="_blank">established the International Sustainability Standards Board (ISSB)</a> in order to create a standard, global framework. 

<h2>An evolving regulatory landscape calls for more ESG investment, not less</h2>

Dhanjal sees more changes on the horizon for corporate ESG programs. Regulatory changes will make compliance more challenging for companies that do not proactively measure, monitor and report on their sustainability efforts. Time is critical.

“Companies must invest in the tools they can use and the systems to provide them with the data they need to create their long-term strategy," Dhanjal said. "Companies also need the right consultants and partners to guide their programs and initiatives. Your specific company doesn’t need to be experts in ESG, but you can invest in the consultants and tools to guide you.” 

Investment in tools to measure sustainability data is increasingly critical for companies that hope to to stay ahead of ESG regulations. The United States and European Union are moving toward making sustainability reporting mandatory for large businesses. That includes climate risk reporting in the near term, with mandatory disclosure of <a href="https://www.triplepundit.com/story/2023/prepare-mandatory-biodiversity-disclosures/769806" target="_blank">nature-related risk</a> not far off. 

The U.S. Securities and Exchange Commission (SEC) in particular is expected to release its long-awaited climate reporting rules this fall. But many businesses <a href="https://www.triplepundit.com/story/2023/not-waiting-sec-climate-disclosure-rule/768826" target="_blank">are not waiting for the final verdict</a>. In fact, 70 percent of business leaders said they've already begun to disclose their climate-related data in alignment with expected changes from the SEC, according to 2023 polling from PwC and Workiva. Still, 85 percent of those respondents worry their teams don't have the right technology to accurately track and report their sustainability data.

Keeping up with the times requires consistent investment, and pulling back could mean falling behind. "It is not easy to implement systems, transform supply chains and invest in proper tools," Dhanjal said. "Things are changing rapidly while everyone is learning about sustainability at the same time, and that can be a challenge. Making sure we have appropriate tools and clear guidelines is a major challenge for ESG, but this is also our work [as ESG professionals]: to educate.”

Image credit: <a href="https://unsplash.com/photos/7fnNrzSly7Q" target="_blank">Miltiadis Fragkidis</a>/Unsplash

1.5 Percent of Corporate Profits Can Transform the Fight Against Climate Change

Prime Stories

Editor Curated

The Carrot or the Stick: Which Inspires Business to Be More Sustainable?

Sustainability Matters: What Consumers Are Saying, and How Business Should Respond

The Inflation Reduction Act Sparks a Clean Energy Revival for Rural Businesses

Composting Offers a Simple But Effective Solution to Our Methane Problem

Nixing PFAS is a Real Possibility: Here’s One Company That’s Doing It

This Insulation Take-Back Program Cuts Down on Waste in the Building Industry

This Blockchain-Powered System Tracks Ingredients from Field to Fork

Beyond Trees: Using Blue-Green Algae for Natural Carbon Capture and Sequestration

By the Community, For the Community: New Startup Accelerator Backs Locally-Led Climate Solutions

The State of the American Workforce: Layoffs, Job-Switching and a Search for Balance

Why ESG Still Matters During Economic Downturns

LATEST NEWS FROM 3BL MEDIA

Editorial Team

We report the business case for sustainability.

Tina Casey

Mary Mazzoni

Taylor Haelterman