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Small businesses face ‘green burden’

A new report from renewable energy company Urban Wind has revealed businesses are facing a growing ‘Green Burden’ imposed by large companies striving to meet their carbon reduction targets.

Urban Wind’s report, ‘Corporate Social Responsibility and Sustainability – An Insight’ revealed the pressure to go green isn’t just coming from legislation, but from major corporate organisations putting Corporate Social Responsibility (CSR) policies ever-more central to their operations.

This has an increasing cost and resource implication for SMEs, as the ‘triple bottomline’ becomes an increasing priority for FTSE 100 companies and other blue chip businesses.

It’s a corporate trend that Urban Wind sees is developing, according to its research data, with companies such as BT and Tesco following similar paths.

Urban Wind managing director Phil McVan said: “There is no doubt this pressure will remain on businesses – with continuing investigations and demands growing on the supply chain. The need for organisations to reduce their carbon footprints is paramount to CSR.

“This is being driven by both legislation and climate change policies externally, as well as shareholder and consumer pressure internally.

“Our research shows that rising numbers of larger companies are looking to buy and use green energy – and to show clearly how they are reducing their carbon impact on the environment and meeting their own targets.

“As a result, they are passing that green burden right down the supply chain – with smaller operations being told by the major companies they supply of the pressing need for them to embrace the ‘green agenda’ and switch to renewables or possibly lose their place on that supply chain.

“We are seeing more and more examples of the demands facing suppliers, no matter how green they may already appear to be.”

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