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The United Nations (U.N.) shines a light on the critical issue of freshwater resources – and linkages with energy – with the March 21 release of the 2014 World Water Development Report (WWDR). Produced by the U.N.'s World Water Assessment Program (U.N.-Water), WWDR 2014 is being released in conjunction with special events sponsored around the world as part of this year's World Water Day celebrations on Saturday.

Forecasting that the global population will need 40 percent more water by 2030, the ambitious report highlights the threat to water supplies posed by the conflicting interests of a growing global population for energy and food, as well as water itself. The list is extensive, including regulations and governance that lead to perverse outcomes, along with threats from water contamination, pollution, climate change and the often profligate ways in which we use and manage freshwater resources.

WWDR 2014 also offers potential solutions, focusing in particular on governance at the water-energy nexus. "Energy and water are at the top of the global development agenda," Rector of United Nations University David Malone, this year's coordinator of World Water Day on behalf of U.N.-Water together with the United Nations Industrial Development Organization (UNIDO), said in a press release.

WWDR 2014's overarching messages:

• Water requires energy, and energy requires water.


• Supplies are limited, and demand is increasing.


• Saving energy is saving water; saving water is saving energy.


• The "bottom billion" urgently need access to both water and sanitation services, as well as electricity.


• Improving water and energy efficiency in all sectors is imperative, as are coordinated, coherent and concerted policies.


• Significant policy gaps exist in this nexus at present, and the U.N. plays an instrumental role in providing evidence and policy-relevant guidance.

As UNU Rector Malone continued:

“Through this day, we seek to inform decision-makers, stakeholders and practitioners about the interlinkages, potential synergies and trade-offs, and highlight the need for appropriate responses and regulatory frameworks that account for both water and energy priorities. From UNU's perspective, it is essential that we stimulate more debate and interactive dialogue around possible solutions to our energy and water challenges."

UNIDO Director-General Li Yong emphasized the importance of water and energy for inclusive, sustainable development.

"There is a strong call today for integrating the economic dimension, and the role of industry and manufacturing in particular, into the global post-2015 development priorities,” Director-General Li noted.

“Experience shows that environmentally sound interventions in manufacturing industries can be highly effective and can significantly reduce environmental degradation. I am convinced that inclusive and sustainable industrial development will be a key driver for the successful integration of the economic, social and environmental dimensions."

Facts about the water-energy nexus:

• Ninety percent of power production is water intensive

The International Energy Agency estimated global water withdrawals for energy production in 2010 at 583 billion cubic meters (representing some 15 percent of the world's total withdrawals, or roughly 75 percent of industrial water withdrawals), of which 66 billion cubic meters was consumed.

By 2035, withdrawals could increase by 20 percent and consumption by 85 percent -- driven via a shift towards higher efficiency power plants with more advanced cooling systems (that reduce water withdrawals but increase consumption) and increased production of biofuel. Local and regional impacts of biofuels could be substantial, as their production is among the most water intensive types of fuel production.

• There is an increasing risk of conflict between power generation, other water users and environmental considerations.

Thermal power generation accounts for roughly 80 percent of global electricity production and is responsible for roughly half of all water withdrawals in the United States and in several European countries.

Several factors determine how much cooling water is needed by thermal power plants, including the fuel type, cooling system design and prevailing meteorological conditions. However, efficiency is often the main factor that drives water requirements: The more efficient the power plant, the less heat has to be dissipated, thus less cooling is required.

Hydroelectricity, which can also require abundant water supplies, accounts for about 15 percent of global electricity production.

By 2035, global water withdrawals for energy are expected to increase by 20 percent, whereas water consumption for energy is expected to increase by 85 percent.

Unconventional oil (e.g., oil/tar sands) and gas production (e.g., "fracking") are generally more water intensive than conventional oil and gas production.

Facts about water

• According to the U.N., 780 million people lack access to safe drinking water -- although by some estimates, the number of people whose right to water is not satisfied could be as high as 3.5 billion -- and 2.5 billion are without sanitation.


• Total freshwater withdrawals are believed to have increased by about 1 percent per year since the late 1980s.


• Water demand in terms of water withdrawals is projected to increase by some 44 percent by 2050 due to growing demands from manufacturing, thermal power generation (mainly from the expansion of coal and gas powered plants), agriculture and domestic use.


• The rate of groundwater abstraction is increasing by 1 to 2 percent per year, adding to water stress in several areas. Recent evidence has shown that groundwater supplies are diminishing, with an estimated 20 percent of the world's aquifers being over-exploited, and some massively so.


• Desalinated water involves the use of at least 75.2 TWh per year, which is about 0.4 percent of global electricity consumption.


• It is estimated that more than 80 percent of used water worldwide -- and up to 90 percent in developing countries -- is neither collected nor treated, threatening human and environmental health.

U.N.-Water's 2014 report also incorporates an extensive range of pertinent facts about energy:

• Today, 1.3 billion people live without electricity, and roughly 2.6 billion use solid fuels (mainly biomass) for cooking.


• By 2035, energy demand is projected to grow by more than one-third, and demand for electricity is expected to grow by 70 percent by 2035.


• Modern biofuels represent only 0.8 percent of global final energy consumption, but their contribution to energy supply is expected to grow rapidly. If bioenergy feedstock is produced on irrigated lands, then the potential impact of biofuels on water resources is also of major concern.


• Fossil fuel consumption subsidies totaled $523 billion in 2011 (an increase of almost 30 percent over the total for 2010). Financial support for renewable energy, by comparison, amounted to only $88 billion in 2011, and increased by another 24 percent in 2012.


• With the global energy market estimated at $6 trillion annually, the energy sector is synonymous with "big business." The energy sector is well funded, highly organized, and attracts greatly more political attention than water in most countries.

Image credit United Nations/Flickr

New fuel efficiency and emissions standards are creating stronger automotive jobs in the U.S., as research and development firms wind up to meet the challenges, refineries retool and American manufacturers build  new components. That wasn't one of the big headlines from the EPA's announcement earlier this month that it finalized the Tier Three Motor Vehicle Fuel and Emissions Standards. But it's definitely one of the real-world effects.

The new emissions standard takes effect by 2017 and "sets new vehicle emissions standards and lowers the sulfur content of gasoline." The new standard is on top of the fuel efficiency standards set by the Obama administration in 2009, pushing for cleaner more fuel efficient automobiles.

A 2014 report commissioned by the Emissions Control Technology Association shows the Tier Three standard will create of thousands of new jobs operating new refinery equipment and about 24,000 new refinery jobs over three years as refineries retool to meet the new EPA standards for lower sulfur emissions. An earlier Natural Resources Defense Council (NRDC) report from March 2010 showed higher fuel and emissions standards would create 150,000 jobs in the U.S. across a spectrum of job sectors.

The NRDC, in cooperation with the National Wildlife Federation and the Michigan League of Conservation Voters, created a website called DrivingGrowth.org which highlights real-world stories about how raising the bar for cleaner, more efficient cars is in fact a job-creating effort. There are plenty of other resources as well that show how increased fuel standards create real jobs for real people. New emissions rules come along, research and development folks need to find solutions, engineers need to figure out how to make it and integrate it with a car, manufacturers need to produce the part, and shippers need to bring those parts to the assembly line. New standards create a cascade of jobs.

Yeah, the EPA didn't exactly harp on the jobs thing. Mostly they talked about human health and lives saved with the Tier Three standards. Cutting nitrogen oxide and volatile organic compounds by 80 percent, particulate emissions by 70 percent, and gasoline sulfur emissions by 60 percent, Tier Three standards will prevent up to 2,000 premature deaths per year by 2030. It'll also help folks susceptible to respiratory issues breathe easier,  preventing 19,000 "asthma exacerbations" and 30,000 upper and lower respiratory symptoms in children. It saves thousands of emergency room visits and millions of days lost to school closings, inability to work and overall reduced activity ability.

And of course, with fewer hospital visits each year Americans will save as much as 19 billion in health care costs each year. We've been paying through the nose with our health and our debit cards to let cars burn toxic, high-particulate fuel.

Perhaps surprising to some, the auto manufacturers were cooperative and supportive of the emissions standards. The only major objections came from oil companies who sang the usual "cost prohibitive" song. They sing that song all the time, though. Maybe what they mean by "cost prohibitive" is that they'll have to hire more people to retool and operate the refineries. And maybe that's not all bad for America.

Image credit: Eric Justian

Renewable energy accounted for 14 percent of gross final energy consumption across the European Union (EU), up from 12.9 percent in 2011, while renewables' share of gross electricity consumption rose from 20.4 percent to 23.4 percent, according to the 2013 edition of EurObservER's “The State of Renewable Energies in Europe.”

Renewable energy employment, economic activity and investment indicators didn't fare as well, however, reflective of ongoing fiscal and economic problems that have caused EU renewable energy leading nations to cut back on subsidies and incentives, or eliminate them completely.

EU renewable energy sector feels the pinch

According to EurObserv'ER's latest report, the number of people employed in the renewable energy sector totaled 1.22 million euros in 2012, down from 1.27 million in 2011. Renewable energy-based economic activity dropped from 141 billion euros to to 130 billion.

EU renewable energy investment indicators – incorporated in EurObserv'ER's report series for the first time – also showed declines. Renewable energy asset finance dropped 39 percent year-over-year to 22 billion euros in 2012 from 36 billion in 2011.

Venture capital and private equity totaled 2.1 billion euros, down 31 percent from 3 billion the year before. Renewable energy stock market indices fell between 35 percent and 63 percent in the 2011-2012 period.

On a positive note, EurObserv'ER estimated EU renewable electricity production at 763.5 terawatt-hours (TWh), a share of 23.4 percent, which seen over a longer term perspective demonstrates just how much can be accomplished in a short amount of time -- given the right mix of governance policies, rules, subsidies and market-based mechanisms.

EurObserv'ER's Barometer report series on renewable energy covers 10 renewable energy sectors (wind, solid biomass, solar PV, biofuels, heat pumps, biogas, solar thermal, small hydropower, waste and geothermal power) individually and in the aggregate across the entire EU.

Pie chart credit: EurObserv'ER

Graph credit: Eurostat

The Ford F-150 has something that no other light-duty pickup truck has: LED headlamps. They use 63 percent less energy than the halogen bulbs used in other pickups and will last more than five times longer. The headlamps contain an innovative design that magnifies the light which means the road is more illuminated for drivers. Their design and manufacture also helps create jobs for one of Ford’s go-to lighting developers, OSRAM. More than 30 jobs were created at OSRAM's Hillsboro, N.H. facility.

The LED headlamps give new meaning to the advertising slogan, “Built Ford Tough.” They use semiconductor chips to control the light, which makes them more durable, and that means they last longer. Ford lighting expert John Teodecki  is convinced of the durability of the LED headlamps because he knows all the tests conducted on them. “We fire stones at this headlamp, expose it to extreme sun, soak it in saltwater, shoot rocks, rock salt and ice – this thing is very tough to crack," said Teodecki.

The 2015 Ford F-150 is up to 700 pounds lighter than its predecessor and contains the latest EcoBoost technology in a 2.7-liter engine that is more efficient. The engine has standard Auto Start-Stop technology which shuts off the engine when the pickup is at a stop. When the brake is released, the engine restarts. The engine also contains a compacted graphite iron cylinder block, which saves weight. The Ford F-150 with the 3.5-liter EcoBoost was launched less than three years ago and now accounts for about 35 percent of all F-150 sales.

“The F-150’s proven 3.5-liter EcoBoost has become the industry benchmark for advanced and efficient truck engines,” said Raj Nair, Ford group vice president, global product development. “We’ve applied lessons learned from the 3.5-liter EcoBoost to the new 2.7-liter EcoBoost, but with new technologies that make this more efficient engine perform like a larger mid-range V8.”

The F-150 has some rather great features, including a Lane-Keeping System which helps avert unintentional drifting of vehicles off driving lanes by automatically detecting the left- or right-hand lane markings using a camera mounted between the windshield and interior rearview. The Blind Spot Information System uses radar hidden in the taillamps to detect a vehicle entering a driver’s blind spot while driving or backing up. The Remote Tailgate allows the tailgate to be locked, unlocked and released with the key fob.

“The all-new F-150 redefines the future of trucks, and it is yet another example of our One Ford plan producing vehicles that serve customers with a commitment to the very best quality, fuel efficiency, safety, smart design and value,” said Mark Fields, Ford Motor Company chief operating officer.

Image credit: Ford Motor Company

By Ben Park

"Water, water, every where, And all the boards did shrink; Water, water, every where, Nor any drop to drink."
- Samuel Coleridge, "The Rime of the Ancient Mariner"

Coleridge was describing a sea journey when he wrote these words in the late 18th century. But those same words, slightly updated for modern times, could be used to describe the Philippines after the 2013 typhoon or Haiti after flooding in the wake of the 2010 earthquake.

While scarcity due to climactic and economic conditions receives the bulk of attention, there is another form of water crisis that comes on the heels of natural and man-made disasters: too much water of the wrong kind.

Less than 3 percent of the Earth's water is fresh, and only 0.3 percent of that water is found on the Earth's surface in lakes, rivers, streams and ponds. When natural disaster strikes, the sources of improved, fresh water are compromised. In the case of the Philippines where fresh water was already in limited supply during normal conditions, the situation becomes desperate.

After the typhoon, the Associated Press reported that Filipinos "resorted to scooping from streams, catching rainwater in buckets and smashing open pipes to obtain what is left from disabled pumping stations. With at least 600,000 people homeless, the demand is massive."

A heavyweight problem

In disaster cases, the risk of water contamination -- and the diseases it causes -- dramatically heighten from the already frightening norm. The World Health Organization (WHO) estimates that diarrhea, typically caused by contaminated water, causes 4 percent of all deaths and 5 percent of health loss to disability worldwide. Gastrointestinal infections -- most caused by poor water -- kill around 2.2 million people globally each year, mostly children in developing countries.

Water comprises 65 to 75 percent of human body weight. Humans can last only three to five days without it. In disasters, victims often resort to whatever source of water they can find -- leading to diseases such as cholera, which can kill a person within days.

Agencies such as the Red Cross are at the ready to provide essential water, but the amount of assistance they can provide is inhibited by one major factor: Water is heavy (a gallon of it weighs 8.34 pounds) and expensive to ship.

Innovation creates solutions

The good news is that innovation is leading to some intriguing solutions that center on creating fresh water at the source of the problem.

A French company called Eole Water is using wind turbines to create water from air. A prototype system near Abu Dhabi has been able to collect an average of more than 62 liters of water an hour from dry desert air.

EcoloBlue makes generators that extract water from the humidity in the air and use a multi-filtering process to ensure cleanliness. An EB26 system can be combined with a solar generator to produce between one and three gallons of clean water a day.

Another potential solution, called the Watercone, is a simple and elegant solar still. Pour salty or brackish water into the pan, then place the Watercone on top. The black pan absorbs the sunlight and heats the water. The evaporated water condensates into droplets of clean water that trickle down the inner wall into a trough at the outer edge of the cone.

Back in 2013, inhabitat.com contributor Rebecca Paul listed a few other promising innovations that are worth a mention. These include:

• The Lifestraw, a one-person filter shaped like a cigar that removes pathogens in the time it takes water to travel from its source to the drinker's lips.


• Ceramic water filters provided by UNICEF and the Water and Sanitation Program with tiny pores small enough to remove virtually all bacteria and protozoa.


• The Cycloclean from Nippon Basic, which harnesses kinetic energy from peddling a bicycle to purify water from any potable drinking source.


• The Life Sack, which uses SODIS (Solar Water Disinfection Process), a thermal treatment process that kills deadly microorganisms and bacteria in water.


• The Pure Water Bottle, a device that is capable of filtering soiled water in two minutes using a combination of four micron-sized water filters and a wind-up ultraviolet light system.


• The Solarball, a device slightly larger than a bowling ball that when placed in the sun uses evaporation to separate dirt and contaminants from water.

Water for critical medical situations

The solutions above address the critical issue of clean drinking water, but there's also the need to deliver water within a sterile saline solution delivered intravenously. For people suffering from critical conditions such as cholera, fluid through the veins is the only method of rehydrating the body quickly enough for patients to recover.

But the weight of water also effects the logistical cost of shipping IV-hydration solutions used to treat water-borne disease. These bags contain 99.1 percent water. It costs more than $700, for example, to ship 14 units of 1-liter saline IV bags from San Francisco to Conakry, Guinea in Africa via the FedEx for medical devices rate.

Fortunately there is a solution at hand for cheaper shipping and easier storage of saline IV bags. Fosmo Med offers Maji, a field hydration system for IV use that is shipped without water. An estimated 16 Maji bags can be shipped for the same cost as one traditional IV saline bag. Once onsite, forward osmosis technology converts local water into a sterile solution without requiring power of any kind.

Greater hope for the future

Solving the worldwide fresh water problem will take long-term dedication, but thanks to a wide range of organizations contributing resources and innovation using simple and inexpensive technologies, there is more hope than ever for the future -- whether the problem is too little or too much water.

Ben Park is the founder and CEO of Fosmo Med.

On 29 March, between 8.30pm and 9.30pm (local time), all Caesars Entertainment's resorts and casinos in North America will participate in Earth Hour to bring awareness to the environmental concern of climate change.

Guests and employees will be encouraged to turn off all non-essential interior lighting, while the resorts' lit exteriors and marquees will be shut off for the hour. 

Sponsored by the World Wildlife Fund (WWF), Earth Hour has grown to involve hundreds of millions of people across 7,000 cities and 154 countries in a collective statement of concern about climate change.

Earth Hour is one of the company's many initiatives comprising its larger sustainability strategy, CodeGreen, and serves as a visual representation of their commitment to sustainable practices and environmental stewardship. So far Caesars has succeeded in reducing energy use 19% per air-conditioned square foot (from 2007 through 2012) although the company has grown organically and reduced absolute GHG emissions by 10% at domestic properties from 2007 to 2013. It has also reduced its carbon footprint by 12% and water usage by 7%.

"Caesars has been a leader in promoting Earth Hour, encouraging other casinos and businesses in the region to participate. Seeing the lights go off in America's brightest city every year is a reminder of our movement towards becoming a more environmentally and socially sustainable Las Vegas, as well as all the work we have yet to do to make a real impact on climate change in our community and as a planet," commented Tom Perrigo, Chief Sustainability Officer at City of Las Vegas.

 

 

 

Please join us for  special edition of our Weekly Google Chats on March 20th. These chats are broadcast on our Google+ channel and embedded via YouTube right here on 3p.

On Thursday, March 20th at Noon PST (3pm EST), TriplePundit’s Founder and Publisher, Nick Aster, spoke with Mike Tinskey, Ford Motor Company's Global Director Electrification and Infrastructure; Haukur (Hawk) Asgeirsson, Manager of Power Systems Technologies at DTE Energy Company; and Deb Frodl, Global Executive Director of General Electric's Ecomagination.

Developing reliable and sustainable energy sources has emerged as one of the great global challenges of our time. From the power necessary to run our homes to new innovations in the generation of renewables, business leaders across the globe are creating approaches that are reshaping the way we source and use energy. Businesses and vehicles are beginning to use smart technology to become more efficient, and the next generation of Ford's electrified plug-in vehicles may not even require a plug at all.

Nick talked with Mike, Hawk, and Deb about auto manufacturers' new product development strategies,  the increased deployment of charging stations, and the role of partnerships in advancing the industry.

If you missed the conversation, you can watch it right here or on our YouTube channel.

Evidence is mounting that there is a connection between the hydraulic fracturing—or fracking—method for extracting natural gas and earthquakes.

Consider this item from EcoWatch this week: “On Monday, Northeast Ohio experienced at least four earthquakes in Mahoning County, just south of Youngstown. Can anyone guess what was nearby? - A fracking site with seven drilling wells. The Ohio Department of Natural Resources ordered the Texas based energy company, Hilcorp, to halt all fracking operations in the area.”

Also on Monday, a ClimateProgress article explored the idea that as fracking operations grow in Ohio, “so do earthquakes.”

Coincidence? It’s possible, but quite possibly not. Ohio is merely the latest place to make this connection: Other sightings on the fracking-earthquake circuit have occurred in the U.K., the Netherlands, British Columbia, East Texas, Oklahoma and even California.

Last November, Northern Texas towns experienced an intense string of 16 earthquakes over a three-week period–the last of which was one of the most powerful in the area in the past five years.

A report last month on the Moyers & Co. Connecting the Dots blog said: “In both Texas and Oklahoma, the number of earthquakes per year has increased ten-fold. And wells storing wastewater from fracking have also been linked to hundreds of earthquakes near Youngstown, Ohio.” The report explained: “U.S. Geological Survey scientists have found that at some locations the increase in seismicity coincides with the injection of wastewater in deep disposal wells. Much of this wastewater is a byproduct of oil and gas production and is routinely disposed of by injection into wells specifically designed for this purpose. So, the actual hydraulic fracturing process itself is not to blame in these cases; instead, it’s the injection of wastewater into deep wells that accompanies it.”

That’s pretty much a technicality, because the wells would not exist but for the fracking projects. However, USGS officials say that the recent spate of earthquakes in Ohio were not related to wastewater injection, and are instead looking into whether fracking itself is related to the earthquakes. If fracking is determined to have caused last week’s earthquakes in Ohio, it would be the first time that fracking—and not waste disposal—was linked directly to earthquakes.

In Ohio, the ClimateProgress article reported a “surge” of earthquakes there in recent years, “an uptick that corresponds with an increase in fracking in the state.” A Columbus Dispatch analysis, based on data from state’s Department of Natural Resources, found that between 1950 and 2009, Ohio saw an average of two greater than 2.0 magnitude earthquakes each year. Between 2010 and 2014, when fracking operations began to take off in the state, that number jumped to an average of nine per year.

That increase has been mirrored nationally, the analysis found. Between 2010 and 2012, there were an average of 100 magnitude 3.0 or higher earthquakes in the U.S. each year, compared to the 21 the country experienced each year between 1967 and 2000.

While there may not yet be a definite, incontrovertible cause-and-effect link between fracking and earthquakes, something is going on, and it seems more than just circumstantial. It’s pretty risky to ignore it.

Image credit: frack-ohio by Jayson Shenk via Flickr cc

A version of this post was published on the Impact IQ blog

By David Bank

What’s good for fish is good for fishing communities — and for impact investors.

That’s the thesis of three new vehicles for investing in sustainable fisheries that will be tested in the Philippines, Chile and Brazil over the next two years and then offered to investors more broadly.

Former New York City Mayor Michael Bloomberg signaled last month that Bloomberg Philanthropy’s $53 million initiative to reverse the decline of the world’s oceans would focus heavily on attracting private capital.

In a report released on Tuesday, EKO Asset Management Partners signaled how the initiative might spur this private investment. The report sketches plans for a $1 million to $5 million small-enterprise loan fund for fishermen and processors; a $20 million to $50 million public-private fisheries infrastructure fund; and, perhaps most provocatively, an impact fund to finance broad fishery improvement projects that would be repaid via long-term purchasing contracts from seafood distributors and retailers.

EKO, which has made a specialty of designing innovative impact financing mechanisms, will develop open-source “investment blueprints,” including financial models and term sheets. The tools are intended to help microfinance providers, infrastructure investors, private foundations and governments to implement similar projects in Chile, Brazil and the Philippines as well as other countries.

EKO expects to lead by example. “We very much intend to raise money around these ideas,” said Jason Scott, EKO’s managing director. “We will try to go to the market with an investment vehicle or two sometime over the next few years.”

Bloomberg and Rockefeller team up for ocean restoration

The Rockefeller Foundation expects to support the investment vehicles, but the form of financing has not yet been determined. Rockefeller has been a major funder of efforts to build the field of impact investing, and in the past has seeded impact funds such as Acumen and E+Co through so-called program-related investments.

“We’re developing different blueprints for these funds and ground-truthing what’s viable in different geographies,” said Cristina Rumbaitis del Rio, who is spearheading Rockefeller’s emerging oceans initiative. “Once we get that, we could very well be involved in setting up such a fund.”

Bloomberg and Rockefeller are jointly backing EKO’s exploratory research and planning under a project modestly called, “Save the Oceans Feed the World.” Mr. Bloomberg said in a statement, “Providing financial incentives to support sustainable fishing practices can — with changes in local communities and national governments — help reverse this trend” toward overfishing.

Private capital spurs higher revenues

The proposed private-capital financing vehicles all leverage one of the most promising findings from current ocean-recovery efforts, which have been funded mostly by governments or foundations. Even sorely depleted fisheries can recover and even thrive on a sustainable basis with proper, proven fishery management.

That means the fishers, processors and other suppliers in a recovering fishery will over time have higher revenues and greater ability to repay lenders and investors. The gap occurs in the interval between the adoption of sustainable practices and the resulting improvement, when income for fishermen and the local supply chain may fall dramatically. The financing vehicles represent several approaches to bridging that gap.

Potentially offering the highest returns is a private equity-style fisheries impact vehicle that would use long-term purchase agreements to finance fishery improvement projects, or FIPs, that would enable a long-term increase in allowable catch and thus revenues. Many seafood retailers require that their suppliers either have certification from entities such as the Marine Stewardship Council or be involved in an active FIP. A triangular financing structure would give outside investors a way to finance FIPs and recoup their capital via the cash flow from distributors and retailers who need a stable, and growing, supply of fish.

The structure is similar to so-called “social impact bonds,” or, more accurately, pay-for-success contracts. “The seafood companies don’t have to undertake the fishery improvement project, but if the fishery recovers, they commit to buy that fish,” said EKO’s Kelly Wachowicz, the former investment banker who authored the report. “For the investors, they have to pick the right improvement plan.” She suggested such a mezzanine debt fund could generate annual returns of 10 to 15 percent.

A potential "game-changer"

One Silicon Valley venture capitalist called the fisheries impact vehicle a potential game-changer. “You will encourage fisheries to be better managed and retailers are going to opt to security their supply,” said Peter Shannon of Firelake Capital in Palo Alto, Calif. But he warned that such approaches will require increased levels of transparency and traceability in the notoriously opaque seafood industry.

The $1 million to $5 million small business fund would be similar to other microfinance or “SME” funds for small- and medium-sized enterprises. It would make loans and equity investments in relatively inexpensive processing improvements such as icing, packaging and cold storage, distribution needs such as trucks and storage depots, and marketing efforts to boost value and prices. Those businesses generally operate on thin margins, so such a fund would likely generate single-digit returns, but could be appealing to current microfinance investors and foundations able to make program-related investments.

The public-private partnership fund is an adaptation of a structure commonly used to finance infrastructure improvements. The government of the Philippines is particularly keen on such structures to fund highways, schools, airports and hydroelectric plants. A PPP would fund private companies for science and stock assessments, data monitoring, regulatory enforcement, ecosystem services management, quota buyback programs and subsidy payments. The government would repay investors under a long-term services contract with benchmarks and milestones.

The investor-appeal of such structures will go a long way toward determining whether private capital can play a significant role in ocean restoration. The field has been chronically under-invested and even under-appreciated, notwithstanding the critical role fishing plays in both protein production and livelihoods.

“We really got into this both from perspective of protecting marine fisheries ecosystems that are collapsing, but also understanding that millions of poor and dependent people are becoming even more disadvantaged as a function of this collapse,” said Rockefeller’s Rumbaitis del Rio.

EKO’s partners in the “Vibrant Oceans” initiative include Oceana, which will advocate for policy reforms for offshore fishing and Rare, which will work with coastal communities to change near-shore fishing practices.

“If you do policy, but you don’t have incentives for proper behavior, those reforms tend not to stay in place,” said EKO’s Scott. “We are trying to create the innovative financing that makes these reforms stick.”

Image credit: Denniz Futalan and Shukhrat Umarov via Pexels

According to the nonprofit B Lab, "B Corp certification is to sustainable business what Fair Trade certification is to coffee or USDA Organic certification is to milk.”

B Corp certification does not confer legal standing and is completely voluntary. However, it does provide the validation of an independent body acknowledging that the company has met a responsibility performance standard -- and B Corps across all industries are well known for positive impacts on both people and planet. We at Triple Pundit received our B Corporation status earlier this month -- joining more than 900 other forward-thinking companies.

Yesterday, the Wayne, Pa.-based B Lab honored 92 of these global companies for creating the most positive overall social and environmental impact with the release of its third annual "B Corp Best for the World" list. Including companies from 31 different industries, the list honors businesses that earned an overall score in the top 10 percent of all B Corps on the B Impact Assessment, a comprehensive assessment developed by B Lab that rates a company's impact on its workers, community and the environment. Honorees were recognized among micro, small and mid-sized businesses.

The list includes 92 honorees from 31 industries -- ranging from manufacturing and telecommunications to financial services and environmental consulting. Thirty percent of honorees are based outside the U.S., with 15 companies operating in emerging markets, such as Afghanistan, Kenya and Colombia. Highlighted companies include:

• CDI Lan: A Brazilian education and training company generating income and employability in low-income communities through internet cafes


• D.light design: A manufacturer and distributor of solar lighting and power products providing access to reliable, affordable, renewable energy for nearly 30 million people in 60 countries


• Sunrise Banks: A Minnesota community bank supporting affordable housing, small business development and not-for-profits.


• Co2 Bambu: A Nicaragua-based company that designs, manufactures and assembles ecologically sound structures for homes, schools and clinics.


• Quetsol: A Guatemalan solar company that provides affordable solar power to off-grid communities.

The full list is available here and is definitely worth a read in full, as each company brings its own set of values to the table and focuses on solving a distinctly different social or environmental problem -- underscoring the multifaceted nature of corporate social responsibility (CSR).

“Employees, consumers, investors and policymakers increasingly want to support companies that create a positive impact in the world, and the Best for the World honorees are the best of the best,” said Jay Coen Gilbert, co-founder of B Lab. “It’s particularly inspiring that 21 percent of the 2014 honorees are first time winners but long time B Corps. They’re winning the race to the top.”

The community of Certified B Corporations has grown from just over 600 companies in 2012 to more than 970 today -- hailing 60 industries and 32 countries unified by one common goal: to redefine success in business. B Lab will release separate lists recognizing the companies "Best for the Environment" (environmental impact), "Best for the Community" (community impact), and "Best for Workers" (employee impact) throughout 2014.

Triple Pundit is proud to join the growing global community of Certified B Corporations. To mark our newly-achieved B Corp status, we're offering Podium Posts to all certified B Corps. See details on the B Corp Resources page for members. 

Image credit: B Lab

Based in Philadelphia, Mary Mazzoni is an editor at TriplePundit. She is also a freelance journalist who frequently writes about sustainability, corporate social responsibility and clean tech. Her work has appeared on the Huffington Post, Sustainable Brands, Earth911 and The Daily Meal. You can follow her on Twitter @mary_mazzoni.