CII’s Climate Action Charter report- Part 2: Coimbatore’s call to action
Climate change is an undeniable global crisis, and its far-reaching impacts are being felt in every corner of the world. In Coimbatore, a city known for its industrial prowess, a recent report by the Confederation of Indian Industry (CII) sheds light on the current state of awareness and preparedness among local businesses to combat climate change. The findings of this report reveal both promising progress and alarming gaps in understanding and action.
Climate Awareness in Coimbatore
The CII’s Climate Action Charter report for the Coimbatore region brings to the forefront an issue that often flies under the radar — the awareness of businesses regarding the vulnerability of their operations to climate change. Astonishingly, 52% of participating companies displayed only a medium to general level of awareness about the risks climate change poses to their business.
This lack of awareness is startling, especially in a region that has experienced first-hand the impacts of climate change through cyclones, shifting monsoon patterns, rising temperatures, air pollution, and more. It is concerning to see that roughly 50% of the companies surveyed were unaware of the magnitude of damage or disruption caused by climate change. This disconnect between the local impacts and global climate threats is a grave concern.
Blurred Responsibility Lines
One of the reasons for this lack of awareness can be attributed to the perception that climate risks are primarily the responsibility of the supply chain, rather than a concern that should be integrated into their own operations and value chains. This misconception is pervasive and hinders organizations from associating the problems they face with the global and local threats emanating from climate change.
Towards Net Zero GHG Emissions
Amidst the clouds of uncertainty, there is a silver lining. The report highlights that 52% of companies are in the process of developing targets and goals aligned with achieving net-zero greenhouse gas (GHG) emissions. This is a significant step in the right direction. However, these efforts need support and acceleration.
The Need for Supportive Initiatives
The report underscores the need for initiatives from customers, local organizations, and the government to help companies build capacity and in-house knowledge through training. By providing resources and guidance, these stakeholders can facilitate the transition to sustainable business models. Climate change awareness and preparedness should not be left solely in the hands of individual businesses.
Funding Hurdles: An Uphill Battle
In Coimbatore, 88% of companies report a lack of funding to undertake climate action initiatives. This financial barrier poses a substantial challenge to transitioning to sustainable practices. Without adequate resources, it becomes nearly impossible for these companies to make meaningful changes in their operations.
Awareness Gap and Sustainability Reporting
Another concerning finding is that 22% of companies lack awareness and alignment with global or national climate initiatives. This lack of alignment results in low sustainability reporting practices and poor emission measurement. It also makes them less attractive for financing from both financial institutions and government bodies. This gap in awareness and alignment is a roadblock to broader climate action efforts.
Customer Demand: The Missing Piece
One of the critical issues highlighted in the report is the lack of compliance requirements set by customers. Without clear demands from customers for sustainable practices, businesses often fail to see the urgency in optimizing and transitioning towards sustainability in their operations.
A Call to Action
The CII’s Climate Action Charter report for Coimbatore serves as a wake-up call for businesses, customers, local organizations, and government bodies. While there is a growing awareness of climate change’s impact on businesses, there is an urgent need for support, funding, and alignment with global climate initiatives.
To create a sustainable and resilient future, Coimbatore must embark on a journey of transformation. This transformation should be driven not just by necessity but also by a shared commitment to protect the environment, ensure business continuity, and contribute to global climate action goals.
Coimbatore’s businesses, along with their stakeholders, must come together to bridge the awareness gap, provide the necessary resources, and demand sustainability from their supply chains. Only through collective effort can Coimbatore hope to mitigate the risks posed by climate change and build a more sustainable, resilient, and prosperous future for all.
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