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Southern California Edison (SCE) on Sept. 24 commissioned the nation's largest smart energy storage system at its Monolith substation near Tehachapi, California, a hub of the Golden State's wind energy generation capacity. Lithium-ion (Li ion) batteries manufactured by LG Chem provide SCE with 32 megawatt-hours of energy storage capacity.

The combination of falling costs, technological advances and supportive government policies are spurring interest -- and investments -- in grid-scale smart energy storage systems. Integrated with solar energy generation assets, electric vehicle charging stations and smart grid technology, smart energy storage is being viewed as a keystone element of distributed clean energy microgrids and distribution networks that could make for a low-carbon, sustainable energy infrastructure for the 21st century.

Emeryville, California-based Greensmith, a leading provider of intelligent energy storage management software and services, “is seeing dramatic growth in the grid-scale energy storage market,” the company announced in a Sept. 30 press release. So far this year, 23 megawatts worth of projects that make use of Greensmith's flagship GEMS intelligent energy storage software platform have been commissioned.

Energy storage growth factors

Growth in demand for grid-scale smart energy storage systems is being fueled by a growing variety of power and energy industry participants, Greensmith elaborates. These include utilities, renewable energy project developers and other types of end-users. Grid-scale smart energy storage applications span frequency regulation, capacity additions, ramp-rate control, transmission and distribution deferral, and smoothing of electricity production from renewable energy assets.

There are three facets to accelerating growth and development “of a real market” for grid-scale smart energy storage systems, Greensmith CEO John Jung told 3p in an interview. One is the need to enhance the reliability, stability and resiliency of the U.S. electricity grid. A second is the need to integrate the growing amount of electricity being produced by solar, wind and other renewable energy generation systems.

The third factor driving investor interest and customer demand is the enactment of legislation and programs that mandate or otherwise drive adoption. Energy storage legislation and programs in “a number of different states across the U.S. – not only California with AB 2514 – but across North America and, I would also say, in Europe and Asia” is catalyzing investor interest and customer demand, Jung said.

“We're seeing development of a very large, real market. I'm not sure you could say that was expected even two years ago.”

A real market

The confluence of these market drivers has put Greensmith ahead in terms of meeting its 2014 goals. Highlights, Greensmith elaborates, include:

• Commissioning 23 megawatts worth of projects in 2014;


• Delivering 35 systems to 19 customers since the company's inception;


• Integration of 10 different batteries and 6 inverters/power control systems with Greensmith's GEMS software platform;


• The use of Greensmith's GEMS software platform to support a diverse array of applications, including frequency regulation, grid stabilization and behind the meter storage; and


• Developing a new software licensing program.

Illustrating the range of applications, and customers, making use of smart energy storage systems, Greensmith's GEMS energy storage and management platform is being used at:

• A California utility which has deployed the platform at a 500 kilowatt/1.5 megawatt hour storage project used for scale capacity and solar firming;


• A commercial scale solar developer which has deployed the platform at a 75kW/150 kilowatt hour storage project used for commercial and industrial energy management and solar firming;


• A California utility which is deploying the platform for a 1.5MW/3.0MWh storage project used for transmission and distribution deferral;


• A Virginia utility which is deploying the platform for a 50kW/120kWh storage project.

The market for advanced batteries used in utility-scale energy storage will grow from $164 million in 2014 to over $2.5 billion in 2023, Navigant Research forecasts. "While demand for grid-scale storage is growing, the challenges related to developing these highly specialized systems remains," Jung said.

"The GEMS software platform provides customers with the intelligence and flexibility they need to make energy storage systems a versatile part of their operations, and not just pilot projects or assets with functionality that is limited to a single application."

*All image credits: Greensmith

Editor’s Note: This article originally appeared in “The Millennials Perspective” issue of Green Money Journal. Click here to view more posts in this series.

By Cece Derringer

A new survey published in May 2014 by the Global Impact Investing Network and JPMorgan Chase offers clear evidence of the impressive growth of impact investing.

The survey, the authors’ fourth annual report on the state of impact investing, queried leading fund managers, foundations and development finance institutions in the United States and Europe. It found that the amount of capital they had committed to impact investing increased by 10 percent between 2012 and 2013, and the number of investments increased by 20 percent. The groups surveyed also reported that they committed $10.6 billion to impact investments in 2013 and intended to invest $12.7 billion in 2014 — an increase of 19 percent.

While the popularity of impact investing is reaching unprecedented heights, the practice itself is anything but new. Community investing has long been considered one of the three main strategies that form the foundation of socially responsible investing. What sets it apart from the other two strategies -- social screening and shareholder advocacy -- is that it offers a way for investors to make a tangible, even visible, difference in the communities where they invest. Indeed, community investing has the power to transform communities and the lives of the people who live in them.

Nevertheless, community investing has never been as widely practiced as social screening and shareholder advocacy. A variety of issues — including the limited number of investment options and a general lack of public awareness of the practice — have checked its growth.

But that is beginning to change. As impact investing is gaining new popularity, the menu of investment options is growing. Investors today can choose from a variety of market rate and below market rate impact investment options, including cash deposits in community development banks and credit unions, loans to community development loan funds, equity investments in small businesses, microenterprises, community projects, and innovative new products such as social impact bonds and Calvert Foundation Community Investment Notes.

One form of impact investing that is drawing the attention of social investors is Community Development Financial Institutions (CDFIs). CDFIs are specialized financial institutions dedicated to serving the underserved. There are four basic types — loan funds, banks, credit unions and venture capital funds — but all four have the same basic mission of serving low-income communities that lack access to credit, capital and financial services from mainstream financial institutions.

Like community investing itself, the CDFI industry in the United States has a low profile but very deep roots. In 1865, for example, the Freedman’s Savings and Trust Co. was established to serve recently emancipated African-Americans and eventually maintained 37 offices in 17 states. And in the first decades of the 20th century, other banks were established to serve a variety of minority communities, including members of the Cherokee tribe in Oklahoma, the Chinese community in San Francisco, and women in Cleveland, Ohio. These institutions were among the forerunners of what we now call community development banks.

The modern CDFI industry received a major boost in 1994, with the passage of the Reigle Community Development and Regulatory Improvement Act, which authorized the creation of the Community Development Financial Institutions Fund, a new federal agency dedicated to advancing the work of CDFIs.

Today, there are 884 federally certified CDFIs in the United States that serve their communities in a variety of ways. They provide loans to build small businesses and microenterprises, affordable housing and social service organizations; they provide mortgages for low-income homebuyers and retail banking services for the unbanked; and they also provide credit counseling, homebuyer education, and business development services to enable their borrowers to use credit wisely.

What most CDFIs typically have not provided is a way for investors to invest in their work, but that, too, is beginning to change. One CDFI that offers its own investment program is Homewise, a nonprofit that focuses on affordable homeownership in Santa Fe, New Mexico, and introduced the Homewise Community Investment Fund in 2010.

Homewise is backed by decades of experience in community development. The organization was established in 1986 to finance home rehabilitation projects in Santa Fe’s poorer neighborhoods. As home prices in the city began to rise, however, Homewise saw that many of its customers were concerned that their children and grandchildren would never be able to buy homes in Santa Fe, so it added a home purchase program while continuing to expand its home improvement lending.

Read the complete article here -  http://bit.ly/XUZNkK

As the Director of Resource Development and Communications at Homewise since 2005, Cece Derringer has been an active public leader of her non-profit team with a commitment to social and economic justice and community development. She brings over 30 years’ experience in marketing and development in variety of media, non-profit and educational settings including ABC-TV. She has studied at the Fund Raising School at The Center on Philanthropy at IUPUI and recently completed an executive education program in Community Development at the Harvard Kennedy School of Government with an emphasis on impact investing.

Energy storage systems are catching on fast in California following passage of AB 2514 – legislation that requires the state's three principal investor-owned utilities (IOUs) to install 1.325 gigawatts of energy storage capacity by 2020. It's not only electric utilities that are deploying smart energy storage systems, however.

California is also offering incentives for installation of distributed, “behind the meter” energy storage systems at utility customer sites. The state government also requires that 200 megawatts of “behind the meter” energy storage capacity be installed, and a growing number, and variety, of organizations are capitalizing on the California Public Utilities Commission's (CUC) Self-Generation Incentive Program (SGIP) to help meet the state's goal.

An early leader in the fast developing market for advanced energy storage systems, Millbrae, California-based Stem on Sept, 30 announced it has finalized an agreement with Extended Stay America – the largest company-owned and operated hotel chain in the U.S. – to install and manage a fleet of "energy intelligence systems across 68 hotels in California."

Putting the "smarts" in advanced energy storage systems

Having successfully field-tested Stem's smart energy storage platform at one of its hotels in San Jose, California, Extended Stay will be rolling the system out across 68 sites in California.

Peak power demand and associated utility demand charges in California have been rising steadily over the past five years – at times dramatically. The state's record-setting three-and-a-half-year drought and recent heat wave have increased strains on the power grid and caused power outages around the state.

The coastal heat wave recently pushed electricity demand to near-record levels in the San Diego area. With temperatures well above the 77 degree seasonal average – they recently hit 104 in the desert community of Borrego Springs – San Diego Gas & Electric (SDG&E) stopped short of initiating emergency measures, such as a cutting power to large power users. The utility did, however, introduce a package of incentives that rewards customers for reducing power use in peak afternoon and early evening hours.

Stem's intelligent energy storage management platform can enhance the stability and resiliency of the power grid, as well as significantly reduce utility customers' peak-power demand charges. Stem's energy intelligence systems accomplish this by intelligently storing power when utility rates are low and supplying it from on-site battery storage at times of peak power demand, the company explains in its news release.

A fully automated, turn-key solution, end users of Stem's energy intelligence system can take a “hands-off approach” to installing and operating it. The advanced energy storage platform, moreover, does not have any impact on end-users' daily operations – two key factors in Extended Stay management's decision to deploy it.

“The Stem system is invisible to our guests and our staff – it’s simply a great way to save on energy costs,” Larry Fichuk, Extended Stay America's director of energy and sustainability, was quoted as saying. “In addition, the software provides us with a clear view of electricity usage and activity at our California sites. We look forward to the benefits and impact we can have on the environment from working with Stem.”

Financing intelligent energy storage systems installations

A pilot installation of Stem's PowerStore unit was installed at an Extended Stay hotel in San Jose in late 2013. The remaining systems are expected to be commissioned by early 2015, according to the news release.

“Extended Stay America has demonstrated its deep commitment to advancing the sustainability of its operations,” added Stem CEO John Carrington. “With the support of our energy intelligence solution, Extended Stay America strengthens this legacy while also benefiting from immediate and long-term energy savings. At the same time, this is an important milestone for Stem as we deploy our systems widely across California.”

Stem management is also having success when it comes to raising capital and making its advanced energy storage systems more affordable. On Sept. 16, management announced the creation of a new fund to finance as much as $100 million in new projects. Support for the fund is being provided via affiliates of New York City investment adviser B Asset Manager, according to a Stem press release. The first project to be financed by the new fund is an 11-MW installation in New York that is expected to go live in Q1 2015.

*Image credits: 1) Extended Stay America; 2) Stem/Extended Stay America

Novelis, the  aluminum rolling and recycling giant, has opened the world's largest aluminium recycling centre. Located adjacent to the company's rolling mill in Nachterstedt, Germany, the $258m (€200m) recycling center will process up to 400,000 metric tons of aluminum scrap annually, turning it back into high-value aluminum ingots to feed the company's European manufacturing network.

"The Nachterstedt Recycling Center is a significant step toward our goal to be the world's low-carbon aluminium sheet producer, shifting our business model from a traditional linear approach to an increasingly closed-loop model," said Phil Martens, President and Chief Executive Officer of Novelis. "This new facility further strengthens Novelis' leadership in Europe, and together with our major recycling operations in Asia, North America and South America, solidifies Novelis' position as the global aluminium recycling leader."

Since 2011, Novelis has invested approximately $500m to expand its recycling network, doubling its recycling capacity to 2.1m metric tons per year and raising its recycled content from 30% to 46%. The company's goal is to achieve 80% recycled content by 2020.

The company maintains that recycling aluminium saves 95% of the energy and emissions associated with the production of primary metal.

Even as the economy continues to recover from the near-collapse of the financial system in 2008, the slow pace of job creation and stagnation of real income of the large majority of Americans continues to constrain economic growth and erode the U.S. middle class. That's not to say there aren't lots of job openings. There are – it's just that many of them apparently go unfilled.

While some say there is a dearth of qualified U.S. candidates, a study from Harvard Business School points out that while “America's capitalists take every chance they get to remind us that they are our 'job creators' ... it turns out that their least-favorite thing on earth to do is create jobs.”

Cyber security industry leader Symantec is looking to turn that conclusion on its head. In late June, Symantec joined with Life Journey, NPower and Year Up to launch the Symantec Cyber Career Connection (SC3). High school graduates enrolled in SC3 -- an intensive short course -- receive general professional skills and specialized cyber security jobs training. To cap the program off, they intern at supporting partner companies -- a step towards possible full-time employment and a long-term career path. The program is now up and running in Baltimore, New York and San Francisco.

Triple Pundit spoke with Donald Ger, Year Up's National Director for Partnerships and Innovation, and SC3 student Ashley Williams to gain greater insight regarding the SC3 program's structure and goals, as well as how the initiative is progressing. 

Opening the doors to cyber security jobs

With the SC3 program, Symantec and partners are out to change the focus on automation and low-skilled jobs discussed in the Harvard Business School study. Some 300,000 cyber security jobs are unfilled in the U.S. It's estimated that 60,000 of them could be filled by those without college degrees. “The goal with the Symantec Cyber Career Connection is to fill that gap over the next five years,” Cecily Joseph, VP of Corporate Responsibility, told 3p in an interview.

There are some 6.1 million adults with high school diplomas or GEDs in the U.S., but little access to higher education or good paying employment opportunities, Ger explained. Well over 10,000 young adults have enrolled in Year Up's professional training programs since the nonprofit opened its doors some 13 years ago. Eighty-five percent of Year Up program graduates will have livable wage jobs within four months of graduation. Around 35 percent wind up being hired by their internship provider.

Some 245 companies, including Google, JP Morgan and Salesforce.com, are hosting Year Up interns at any given time, Ger added.

“The young adults we work with, they're out of high school. We believe they have a ton of talent; they only need the opportunity to leverage that.”

High expectations; high-touch support

SC3 is an intensive program that has been designed to provide students aspiring to careers in the cyber security industry with general professional business skills, as well as specialized training in cyber security principles, methods and tools. “Our students can be trained to add value to these companies," Ger said.

Pilot SC3 programs in Baltimore (via Year Up), New York City (via NPower) and the San Francisco Bay Area (via Year Up) will start off enrolling some 50 students in order to work the kinks out of the partnerships and curriculum. Students will earn several industry-recognized IT certifications.

“I have to give Symantec credit for looking at the market and identifying a huge need in the cyber security field,” Ger said. “They know there's a skills gap, and much of that gap can be filled with talent who DON’T have a four-year degree or technical certification. It will be a double win: in terms of filling jobs for companies and for the young adults.”

Individual SC3 programs developed by the nonprofits may vary in length, but they all focus on both technical skills and soft skills — resume and interview training along with the specialized computer skills they'll need to succeed. “This is high-touch training that can’t be completed online,” Joseph said.

Following their classroom training, students will be placed in cyber security internships that afford them the opportunity to apply what they have learned in a business organization setting. Symantec will help program graduates seek jobs through its network of customers and partners, namely in the financial and government sectors.

A first cohort of SC3 students

A graduate of New Town High School in Owens Mills, Maryland, Baltimore student Ashley Williams enrolled in SC3 after she and her grandmother saw a 60 Minutes report on the YearUp program. The fact that SC3 really focuses on IT, and filling specific needs in cyber security, was the key factor in her decision to apply for the program.

“A lot of times in school, students are unable to decide what to focus on in terms of the future,” Williams told 3p. “With SC3, you focus exactly on what you need to know.”

The program, which is hosted at Baltimore City Community College, is well-organized and demanding, Williams continued. “It's a high-support, high-expectation environment. They really give you what you need – financial aid covering the costs of tuition, books and materials, supportive faculty and staff. They really want you to push yourself. The expectations are high, but people are also there to help.”

Like her, Williams's classmates in SC3 Baltimore are very motivated to succeed. “It's a lot of material. It's really the first time attending college for most of us.

“We sit together for like an hour before class, review the previous class's material. We hold each other accountable, and appreciate all the students in the group. We're looking for collective success.”

Williams is keen to pursue a career in the cyber security field. “I believe this program is really geared towards young people like myself.

"IT is so broad; it can seem so abstract. Just being directly exposed to professionals in the field and this level and quantity of material...We're shown a specific skill set and opportunities. This program is really helpful in terms of helpful in terms of determining a career path."

The focus at SC3 is on achievement, Ger summed up. “We're constantly hearing from companies that what they're really looking for are job candidates with 'grit.' We focus on bringing that out through achievement and very high expectations – along with a high-touch support system.”

“For us, the proof-point is if our students are adequately prepared for their internships, and 'hire-able' at the end. We would like to see at least 85 percent hired for a cyber security job at a livable wage, the same as for any of our students – around $16/hour, or a little over $30,000 per year.”

“Without this program and this type of help, a lot of high school students don't go to college,” Williams said. “They wind up getting a low-skill, low-wage job. I worked in a pizza place for two years. This gives me hope, and the opportunity, for something better.”

Image credit: Vasily Koloda/Unsplash

If coping with climate change is central to achieving a sustainable future for the global population, then food security lies at the heart of this effort, FAO Director-General José Graziano da Silva said last week in a speech at the United Nations Climate Summit last week.

"We cannot call development sustainable while hunger still robs over 800 million people of the opportunity to lead a decent life," he said in a reference to the latest U.N. report on world hunger, The State of Food Insecurity in the World 2014.

The report found that while the number of people who experience chronic hunger was reduced by 100 million over the past decade, there are still some 805 million people that go without enough to eat on a regular basis.

Despite overall progress, the 57-page report says, “marked differences” across regions persist. Sub-Saharan Africa has the highest prevalence of undernourishment, with only modest progress in recent years: Around one in four people in the region remains undernourished. Asia, the most populous region in the world, still has the highest number of undernourished people. “Southern Asia has made slow progress in hunger reduction, while more rapid progress has been achieved in Eastern and South-Eastern Asia with the latter having already met the WFS hunger target," Graziano da Silva said.

In the past, efforts to feed the world focused on boosting agricultural output to produce more food, but today's challenges – including climate change – demand a new approach, Graziano da Silva said.

"We need to shift to more sustainable food systems – food systems that produce more, with less environmental damage – food systems that promote sustainable consumption, since nowadays we waste or lose one-third to half of what we produce,” he said.

It’s mainly a question of access, he continued. The planet produces enough food to feed everyone, he explained, but food security is another issue: "People are not hungry because food is not available, but because they do not have access to it," he added. Put another way, food security — or the lack of it — makes food unavailable for millions.

And climate change has a direct bearing on agricultural production and on people's ability to access food, Graziano da Silva continued. Unfortunately there is no one-size-fits-all solution to dealing with these challenges.

"There are many alternatives to address climate change and ensure sustainable food security," he said. "We need to keep all the doors open to face the adaptation needed to cope with the climate change and assure food for all in the near future."

One approach is what is called climate-smart agriculture, which adjusts farming practices to make them more adaptive and resilient to environmental pressures, while at the same time decreasing farming's own impacts on the environment. A new Global Alliance on Climate-Smart Agriculture was launched at the U.N. Climate Summit. It includes a coalition of stakeholders, including governments; farmers and food producers, processors and sellers; scientific and educational organizations; civil society actors; multilateral and international agencies and the private sector.

The alliance will work to promote sustainable and equitable increases in agricultural productivity and incomes; build greater resilience of food systems and farming livelihoods; and achieve reductions or removals of greenhouse gas emissions by agriculture.

“Farmers are on the frontline of the climate change agenda. Farmers are not only directly impacted by climate change, but are also vital in implementing solutions we need to in order to adapt and mitigate,” said Peter Kendall, president of the World Farmers’ Organization (WFO), “Farmers, especially women farmers, have daily interaction with the environment ... We must reposition farmers at the center of the agriculture sector to become more resilient to climate risks,” he said.

Kendall added that it is important to establish agricultural contracts that offer opportunities for stable revenue through secure market access. “This is why WFO recognizes the importance of programs such as the Purchase for Progress (P4P) carried out by the World Food Programs (WFP).”

Graziano da Silva also highlighted "agro-ecology" as a promising approach to moving food production onto a more sustainable path. FAO recently hosted a meeting on this approach; participants called for a U.N.-wide initiative on agro-ecology in order to help sustainably promote food security, address climate change, and build resilience.

"There are many paths to food security and sustainable development. Governments need to choose the solutions that best respond to their specific needs," Graziano da Silva concluded.

If that sounds like a complicated and patchwork approach to food security, it’s because there’s no magic wand to deal with climate change, food security and hunger. A good start — and one that appears to be in the works — is to make sure that farmers are no longer marginalized in global agricultural policy dialogs. This is where the U.N. can play a significant role.

Image: Cover picture extracted from FAO’s The State of Food Insecurity in the World 2014.

This is part of a series on "The Future of Fair Trade," written with the support of Fair Trade USA. A 501 (c) (3) nonprofit organization, Fair Trade USA is the leading third-party certifier of Fair Trade products in the United States. To follow along with the rest of the series, click here.

In honor of Fair Trade month, Fair Trade USA created a great infographic to explain how fair trade really works to improve workers' lives and, in turn, the health of our ecosystem. While certifications like Organic ensure that farmers and a consumer's family won't be exposed to harmful pesticides, Fair Trade USA focuses on the producers and the well-being of their families. What organizations like Fair Trade have found is that a focus on the health of workers far up the supply chain leads directly to a higher-quality product and a healthy planet. That is to say, Fair Trade goes full circle. Here's how they do it.

Improving lives

Fair Trade means that workers -- from farmers to factory workers -- get a fair wage for the goods they produce, through a guaranteed minimum purchase price. Workers on Fair Trade farms also have the right to organize into unions if they wish and the right to safe working conditions. Forced child and slave labor are strictly prohibited.

Workers and farmers decide collectively how to spend the Fair Trade premium on community development: building schools, clinics, improving roads, offering school scholarships, or whatever the community needs.

With each year that passes, each Fair Trade community strengthens, improving life for its members en masse.

Protecting the environment

Fair Trade also protects the environment directly through sustainable farming requirements and prohibitions on harmful agrochemicals and GMOs.  Additionally, the Fair Trade standards require that Fair Trade organizations "develop a strategic approach to integrated pest
management, the safe use and handling of agrochemicals, responsible waste management, protection of soil and water and biodiversity, and reduction of energy and greenhouse gas emissions."

Indirectly, the fair trade model pays farmers a living wage, which means land owners can invest in sustainable agricultural practices like crop rotation and allowing land to go fallow, which will protect the sustainable resource over time.

In one example from a coffee grower in Honduras, the process of becoming Fair Trade itself had a positive impact on the environment: The farmers switched to processing coffee cherries in a central facility instead of each farmer processing cherries at home, which meant less pollution and more drinking water for the community. The central facility uses non-potable water from a nearby river rather than the town's drinking water to process the cherries. In addition, they are treating and filtering their wastewater so that it doesn't pollute the river when it is returned to it.

Ensuring quality

Environment and social benefit are all well and good, but at the end of the day, the most important thing for consumers is quality. They aren't buying if the products aren't up to snuff. Fair Trade USA knows that and that's why product quality is embedded in their mission. Twenty-five percent of the Community Development Premium must be earmarked for investment in quality and productivity.

Jenna Larson, public relations manager for Fair Trade USA, explained how Fair Trade leads to better coffee in a recent article:

Farmers today understand that investing in quality is critical to their long-term survival in the business. Similarly, coffee buyers know that working closely with producers through Fair Trade is a great way to develop the quality of the coffee they serve to the world.

Farmers are like anyone else. They want to do good work and believe in the products they produce. The Fair Trade price floor allows them to invest in quality. In turn, the Fair Trade USA label becomes a brand consumers can trust to indicate quality, which means further incentive for Fair Trade USA to ensure high-quality products carry the label. For example special grants from Fair Trade USA, allowed coffee growers in Peru to invest in quality control equipment and research to resist coffee leaf rust. The difference in quality becomes obvious when one looks at the difference in equipment available to Fair Trade growers:

So, it's obvious that Fair Trade is a good choice to make whenever you have the opportunity. Do your part and look for the label during fair trade month and beyond!

 Images courtesy of Fair Trade USA

Last week, the U.S. State Department announced that the government would develop a National Action Plan to “promote and incentivize responsible business conduct,” in line with the United Nations Guiding Principles on Business and Human Rights (UNGPs).  Once complete, the U.S. will join the U.K., the Netherlands, Denmark, Italy and Spain as the only states to have released National Action Plans on business and human rights (BHR NAPs).  According to the U.N. Working Group on Business and Human Rights, Switzerland and Finland are also in the process of developing their own plans.

The announcement comes in advance of official United Nations guidance on the subject, promised by the U.N. Working Group for December 2014, which ought to inform the U.S. process.  While this news may barely register on the radar of even those most interested in corporate social responsibility, organizations like Human Rights Watch, Human Rights First and the International Corporate Accountability Roundtable (ICAR) have been publicly pushing President Barack Obama to develop a BHR NAP for some time. (ICAR is also working with the Danish Institute for Human Rights on a larger NAP project that aims to provide guidance for governments in the development, implementation, and review of BHR NAPs.)

What is a BHR NAP and why does it matter?

In short, a BHR NAP is a policy document that explains how a particular state intends to go about fulfilling its duty to protect human rights from corporate abuse.  In general, NAPs are useful tools in the advancement of any particular policy objective in that, among other things, they tend to mobilize various stakeholders, promote collaboration and outline the parameters of expected action. Three years after the United Nations Human Rights Council unanimously endorsed the UNGPs, it called on all Member States to develop BHR NAPs in order to promote the implementation of the UNGPs within each state’s national legal framework.

In a sense, the creation of a NAP is akin to the crucial step of domestic implementation of a treaty or other international instrument (and the future of the rights or obligations it purports to protect/enforce), including international human rights treaties, like the International Covenant on Civil and Political Rights (ICCPR), or those creating international institutions, like the Rome Statute and the International Criminal Court (ICC).

By ratifying the ICCPR, for instance, the U.S. committed to “prevent and protect against discrimination and ensure equal treatment for all ... without any limitations or exceptions.”  Yet, domestic implementation of the ICCPR has been lacking.  Who, for instance, can argue that the federal government has come close to accomplishing this (admittedly lofty) aim?  With respect to the ICC, the process of domesticating the Rome Statute was arguably more important than the creation of the Court itself to ending impunity for the most serious violations of human rights, due to the central role the theory of complementarity plays in the ICC framework.  However, while Rome Statute domestication has made significant strides, the future of international criminal accountability is far from certain, in large part because of the failure of the rule of law in states most prone to conflict and rights abuse.

Thus, even though the UNGPs are not a binding instrument, state-based guidance regarding how states intend to protect human rights in the business context is crucial to the future of corporate accountability.

What can the U.S. learn from existing BHR NAPs?

Though only a handful of states have officially created BHR NAPs, some of the early plans include ambitious and encouraging proposals for what a state can do to satisfy its duties as articulated in the UNGPs.

The first state to adopt a BHR NAP was the U.K., which announced its plan in September 2013.  The U.K. has been at the forefront of the BHR movement, and the architect of the UNGPs, John Ruggie, himself praised the U.K.’s plan as an “important step” toward “socially sustainable globalization.”

Most importantly, the U.K. NAP:

• Reaffirms that the amended Companies Act 2006 requires businesses to include human rights issues in their annual reports (a lead the European Union followed in April, when it took an important step toward greatly expanding its non-financial reporting requirements);


• Promises a review of the government’s procurement practices and their impact on human rights; and


• Promises to ensure investment treaties involving U.K.- or EU-based companies incorporate the business responsibility to respect human rights and do not undermine the host country’s ability to meet and hold other parties to international human rights obligations.

Denmark’s NAP, released in March 2014, was the culmination of years of work, which began in 2011 when the Danish Council for Corporate Social Responsibility (yes this is a real body appointed by the government, and it was created way back in 2009) began working on recommendations for how to implement the UNGPs.  Some of the more interesting forward-looking elements of the Danish NAP include:

• A plan to put together a government working group to explore the possibility of enacting extraterritorial BHR legislation; and


• Continuing to ensure fair and reasonable pay and working conditions in accordance with the international law, by “increasing the use and better enforcement of labour clauses in public contracts.”

Notably, Denmark has had mandatory CSR reporting for large and listed Danish companies since 2008, making it a true leader in this area.

What we should hope for in an American BHR NAP

More than any other organizations, ICAR and the Danish Institute for Human Rights (DIHR) have taken the lead in the analysis of and advocacy around the BHR NAP process and they have published a list of criteria that contribute to a strong BHR NAP.  Importantly, success in this regard is as much about the process as it is about the work product the follows, and a dynamic and inclusive research, planning, and drafting process will lead to a more impactful plan.

Here is a summary of the top 10 from ICAR and DIHR.  Hopefully these are the types of things the U.S. will aim to include in its own BHR NAP process:

1. Clear identification and communication of leadership and ownership of the NAP development and implementation process within the government;


2. Publication of a timeline for the NAP process;


3. Allocation of adequate resources to the NAP process;


4. Effective participation by all relevant stakeholders, especially including dis-empowered or at- risk stakeholders;


5. An initial assessment of the government’s current implementation of the UNGPs;


6. A plan that addresses the full scope of the UNGPs;


7. A plan that articulates commitments within the NAP that are specific, measurable, achievable, relevant, and time-specific;


8. An NAP process that is fully transparent, includes publication of drafts of the NAP, and provides public reports of stakeholder engagement;


9. Identification of each party responsible for the implementation of discrete action points within the NAP and overall follow-up; and


10. Creation of a framework for the monitoring of and reporting on implementation of the NAP once published.

Image credit: Flickr/tao_zhyn

Last year, beekeepers and environmental organizations took to the court in what was to be one of the first legal efforts to protect declining bee populations. The move was bold: Citing the Environmental Protection Agency’s purview over the approval of a class of chemical pesticides called neonicitinoids (neonics), they sued the EPA for circumstances that they say led to Colony Collapse Disorder. The suit maintained that through the approved use of pesticides like clothianidin and thiamethoxam, the EPA failed to prevent conditions that have led to mass deaths of bees and untold financial losses for beekeepers.

This year, Canadian beekeepers in the province of Ontario launched a similar tact. Rather than targeting Canada’s Pest Management Regulatory Agency, (PMRA) the class-action suit was launched against two pesticide manufacturers, Bayer Cropscience and Syngenta Canada Inc., which they say were “negligent in their design and development of the neonicitinoid pesticides.” It also blamed the companies for continuing to distribute and sell the chemical pesticides “because they knew or ought to have known … that [neonics] would cause damage to the property of the Plaintiffs.”

Both suits take advantage of growing research that shows that plants synthesize this new type of pesticide and pass on low levels of the chemicals to other species through contact. Bees, which extract pollen from the affected plants, are particularly susceptible to the poisons. And this risk, the litigants say, was already known or suspected early on in the development or the regulatory review of these chemicals.

The insecticide industry has a different explanation for the collapse: mites. The Varroa mite, which can be found in Ontario, “weakens bees and could lead to a devastating colony loss during the stressful wintering period.”

What is interesting is that bees (and beekeepers of course) have been dealing with mites for more than a century. Varroa mite infestations go back at least to the turn of the 20th century. And yes, beekeepers have continued to deal with mite issues successfully through the use of dips, formic acid and other approaches for years. Environmentalists point out, however, that neonics -- which are derived from nicotine -- were first developed in the 1990s, shortly before Colony Collapse Disorder was really documented to have gained momentum.

To understand a bit more about why a pesticide that is absorbed into a plant would be blamed for the rapid die-off of bees, I reached out to a beekeeper who, like many small bee farmers in Western Canada, deals with the seasonal challenges of this industry: my brother Jeff Lee. Jeff and his wife Amanda, with the help of lots of industrious honey bees, produce honey on the outskirts of Vancouver, British Columbia.

It’s always handy to have a beekeeper in the family, not just for the ample honey supply, but also for picking the brain on what often seems to be a complex issue.

What isn’t often discussed, says Jeff,  is the method of transmission -- which isn’t just through the pollen, but also through the way the pesticide is applied.

The pesticide is applied through the use of talc, which the bee can then unwittingly transfer into the hive.

“In Ontario last year, some beekeepers also lost hives due to neonic-laden talcum dust that was blown up when farms used corn seeders,” said Jeff.

Recent findings suggest that the exposure to this talc has a greater effect on the health of the hive than was earlier suspected. Researchers who examined hives in a 2012 study reported that “clothianidin was found on all the dead and dying bees … while the apparently healthy bees we sampled from the same locations did not contain detectable levels of clothianidin.”

And the collapse may be only one indicator of problems to come. In January of this year, a biologist blamed the contamination of Canada’s prairies on a neonic pesticide used to treat agricultural stocks. The Prairie Provinces are Canada’s breadbasket and a vital link to the country's economy. According to Christy Morrissey, a biologist with the University of Saskatchewan, 44 percent of the area she reviewed was being treated with neonics, and residue from the pesticide found in Saskatchewan marshes were estimated to be at least three times the level that are considered tolerable by many species of insects. The finding, says Morrissey, who is still in the midst of her research, is worrying for birds that rely upon the insects, as well as the species that feed on the treated plants.

At this point, all quarters that have expressed concern about neonics are urging a ban on the chemical pesticides. Litigants in the U.S., as well as those who have joined forces in the Ontario class-action suit, say they want to see neonics pulled from the market and more research done on the implications of their use.

And those who have done the background research, Jeff says, have already realized that the real issue at hand won’t be solved just by banning or withdrawing a particular class of pesticides.

“One thing to keep in mind … is that while neonics are considered a growing problem they are not nearly as severe and unfocussed as the more dangerous organophosphate pesticides that have also created large problems.”

It's a point that was also raised recently by British Columbia's provincial apiculturalist, Paul Van Westendorp, who has said more research needs to be done before banning neonics outright. Organophosphate pesticides, which include some classes of nerve agents, don't seem to be a practical alternative for a food industry that is only now beginning to discover the implications of yesterday's chemical pesticides.

Image credit: Honey bee: Rakib Hasan Sumon

Disclosure: This post included an interview of a family member, Jeff Lee. Pretty smart guy for a younger bro, and not a bad beekeeper, either.

By Jean-Laurent Ingles

Poo. The topic that no one wants to talk about, yet one we must face up to. One child dies of diseases related to poor sanitation every two minutes. One billion people practice open defecation. Two and a half billion people don’t have access to adequate sanitation. And because these issues make us uncomfortable, we aren’t doing enough to change things. Neither Millennium Development Goal 4 (to reduce under five child mortality by two-thirds) nor Millennium Development Goal 7 (to halve the proportion of the population without sustainable access to basic sanitation) will be met by the 2015 deadline. This simply cannot continue.

At Unilever, we believe in tackling taboos head-on and engaging consumers with important global issues through our brands. Why? Because a brand can bring an issue to life and make it accessible. Because a brand can make an issue relevant to consumers’ lives. Because a brand can entertain, intrigue and inform without turning people off.  But, most importantly, because a brand can take a taboo, turn it into a business opportunity, and in the process help address pressing social issues.

Our leading toilet hygiene brand Domestos is one example. With a long history of protecting families from harmful germs, Domestos is in the ideal position to tackle these sanitation issues head-on. Domestos and the Unilever Foundation have joined forces with UNICEF in a win-win partnership. Through Domestos, consumers are exposed to sanitation issues and empowered to make a difference by purchasing a specially marked bottle of Domestos, and Domestos contributes towards funding UNICEF’s global sanitation programs, educating those in need and creating open defecation free communities.

Domestos is also gaining commercially. For many, making the connection between business growth and social action is in itself a taboo, but quite simply business return is what motivates the private sector. When business revenue is growing, it is in everyone’s interest to continue following the same path; and in the case of Domestos, it can help to save lives in the process. This is at the heart of Unilever’s Sustainable Living Plan – to double the size of the business, while reducing its overall environmental impact and increasing its positive social impact. We need to talk about profit to make partnerships, such as that between Domestos and UNICEF, work to their full potential.

On Saturday Sept. 27, we announced our latest commitment in the Unilever Sustainable Living Plan, pledging to help 25 million people gain improved access to toilets by 2020. Our target for sanitation will sit alongside existing goals on providing access to safe and affordable drinking water, and education on the importance of handwashing with soap. This is more than corporate social responsibility. It’s about establishing a clear link between tackling development issues and our business ambitions. This is where the biggest opportunity lies for businesses, and where we can add greatest value.

Jean-Laurent Ingles is Global SVP Household Care for Unilever.