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In the U.S., the coronavirus pandemic is highlighting inequalities as it disproportionately affects people of color and low-income communities. Across the globe, healthcare systems are being pushed to their limits, and energy systems are stretched thin as people stay shuttered inside their homes. While every country is facing an unprecedented health and economic crisis, some are harder hit than others. Innovative solar technologies could help take on some of these problems.

Essential energy during the pandemic

A new report from the International Energy Agency (IEA) found that electricity use worldwide is down, but a study of residential use in Austin, Texas, found that residential use was up about 20 percent as people are working and schooling from home. Electricity powers healthcare facilities, wastewater treatment and clean water distribution, and it enables all of our communications and internet services. But in parts of the world, reliable electricity was not a given before the pandemic, and much less now.

In sub-Saharan Africa, for example, only 28 percent of healthcare facilities can rely on regular electricity service. Only 43 percent of the population is electrified. Further, less than a quarter of schools in sub-Saharan Africa are electrified, widening the technical gap between the haves and have-nots. Distance learning is just a distant dream for most students.

The majority of countries in this region face economic contraction during the pandemic, but for oil-exporting nations like Nigeria and Angola, the hardship is compounded by falling oil prices. African utilities, already under financial strain, may find providing basic services especially difficult. So, some companies are looking to help by developing a resource that has been growing for the past few years in the region: solar energy.

Solar in West Africa

Nigeria is Africa’s largest oil producer, with oil and gas providing about 10 percent of its gross domestic product. Like Texas in the U.S., government officials, who have long relied on oil for wealth and power, have a history of resisting full-scale solar deployment. But as with Texas, Nigerian energy developers see an opportunity to build the industry and help the vulnerable during the pandemic. 

Late last year, the World Bank awarded Lumos, a Netherlands-based solar developer with projects already underway in Nigeria, part of a $75 million grant to electrify Nigerian homes. When the pandemic hit, the company received a share of an emergency grant from the off-grid energy impact investing company All-On, set up by Shell. With emergency funding, Lumos will provide reliable solar power to healthcare organizations fighting COVID-19 to power health centers and rapid response teams. The company is also participating in the new ‘Work from Home’ initiative, which will provide Nigerian businesses with domestic portable solar systems to enable their employees to work from home.

“COVID-19 is an unprecedented crisis, putting millions of lives at risk. Reliable, affordable and clean electricity is vital to running life-saving equipment in hospitals and training essential workers," said Adepeju Adebajo, CEO of Lumos Nigeria. "The All-On fund is enabling us to react exceptionally quickly. Lumos has the products and the trained staff on the ground to install solar systems, which will allow key workers to test and treat patients with the virus and save lives.”

Ingenuity in a pandemic

Solar developers have long seen the opportunity in sub-Saharan Africa to provide a better quality of life through more reliable, clean energy. Shifting to more solar will also ease some pressure on stressed water systems, as solar photovoltaic (PV) installations use little to no water, as opposed to traditional sources of energy.

The incredible ingenuity and entrepreneurship in many countries in the region, already often reliant on decentralized systems run through cell phone networks, could be enhanced with the increased deployment of solar to power essential services and a shifting employment model. The region has been primed to leapfrog a lot of the technologies that other countries have muddled through and go straight to a decentralized, off-the-grid system to empower distributed healthcare services, education, and employment opportunities.

The way we do business in the world will likely change when the peak of the pandemic has passed — and countries like Nigeria could be at the forefront of ensuring that shift is toward a greener, cleaner future, if done right.

Image credit: Lumos Nigeria/Facebook

As we settle into this very uncomfortable new normal of coping with COVID-19’s impact on how we live, work and learn, companies and the communication professionals promoting them are now quick to showcase how generous they are. And considering the federal government’s bumbling while local governments are close to the brink, every dollar counts. But there’s a problem: A group of researchers crunched the numbers and concluded that in the world of philanthropy, white nonprofit leaders have been disproportionately benefitting from all this largess.

It’s discouraging enough that philanthropic giving is largely driving down the route Hollywood has paved with movies such as Green Book, which infer, “I’m white, I know better and I’m here to help.” But at a time when racial and ethnic minorities are disproportionately bearing the brunt of suffering and death from COVID-19 while they are largely the “warriors” who are fighting this fight, those Americans who feel as if they’ve been thrown under the bus have every right to feel concerned over how – or in reality, if - they will recover in the long term. Philanthropy will have to step in. The challenge is to ensure the communities that need help the most will receive it.

A joint study by the Bridgespan Group and Echoing Green makes a pointed conclusion: If philanthropic foundations want to succeed in enacting social change, they need to tap into the communities they say they wish to make stronger. From the point of view of this study’s authors, two obstacles are in the way of philanthropy’s push to make society better. First, philanthropic leaders need to understand the role that race plays when it comes to the problem these foundations are keen on solving. In addition, race has been a factor in how many philanthropists have recognized leaders and identify solutions.

Bridgespan Group and Echoing Green acknowledge that the quest to do social good comes from a good place. “However, what is often missing from philanthropy’s discussions about achieving results is how much successfully changing the world depends on bringing an intentional, explicit, and sustained focus to addressing racial disparities across the problems we are trying to solve.”

And therein lies the rub: Ensuring that nonprofit leaders of color receive the funding they need is critical, as many of them can empathize with the stubborn problems that their communities confront day after day. Hence this disconnect is seen in how black-led organizations struggle with a lack of funding. Compared to white-led nonprofits, the black-led organizations this study analyzed had revenues 24 percent smaller. And when it comes to unrestricted funding – i.e. funding and grants that come with no strings attached – black-led organizations’ funding streams are 76 percent smaller.

According to the Bridgespan Group’s analysis, nonprofit leaders of color face four major barriers within the philanthropy sector. First, they lack the access to networks, and therefore connections, that are so important in this space. Interpersonal bias that often leads to misunderstanding also comprises a problem. Funders frequently rely on standard forms of evaluation that don’t take into account the needs of foundations that are led by, and work with, people and communities of color. Finally, the study’s authors are frank in their assessment that the sustaining of such relationships does not come easy in a world where “white-centric” views reign supreme.

The researchers at Bridgespan Group and Echoing Green acknowledge that some foundations are now taking racial equity into account when they proceed through the grantmaking cycle. Their study mentions Borealis Philanthropy, The Charter School Growth Fund, Chicago Community Foundation, Ford Foundation, San Francisco Foundation and Weingart Foundation as organizations that have changed how they evaluate grant proposals.

“Population-level impact in the issues donors care about cannot happen without funding more leaders of color and funding them more deeply,” concludes the study. “The question now becomes what philanthropists are going to do about that.”

At a higher level, the authors make it clear: The first three steps philanthropy leaders should take are to get proximate, get reflective and get accountable. And those are lessons that companies can apply internally as they take a close look at both their corporate giving and diversity programs.

Image credit: Mario Goph/Unsplash

It falls to the youth to build a better world – and now, they finally have both the money and motivation to do so.

Today’s millennials are at a pivotal point. They stand at the threshold of their peak saving years and maintain a strong belief that the companies in which they invest should go beyond money-making to become part of the solution. In a recent global survey conducted by the deVere Group, a remarkable 77 percent of millennial investors said that environmental, social and governance (ESG) issues are their top priority when assessing investment opportunities.

Millennials’ growing investment influence is difficult to deny; as of 2019, those between the ages of 23 and 38 accounted for over a third of the global population. They are also in the process of undergoing a massive, multi-trillion-dollar wealth transfer as baby boomers pass on their resources to upcoming generations. These funds, in addition to millennials’ own burgeoning savings potential, have given younger investors considerable power in the investment sector – and their focus has rested firmly on sustainable investing.

Driven in part by millennial activism, sustainable investing has become a significant trend in recent years. The term refers to any investment process that incorporates ESG factors into investment decisions, but is made up of two distinct activities. First, following the United Nations-backed Principles for Responsible Investment, it refers to the integration of ESG considerations into the analysis and valuation of investments, along with engagement with investee companies on those same issues to improve their ESG performance. Analysts who ignore material ESG factors risk underperformance as they will be missing important risk and return inputs to their financial models. Second, it refers to the screening of companies based on moral, ethical or social responsibility concerns: an alignment of an investor’s values with the portfolio holdings. 

When sustainability-minded investors put money toward a chosen company or organization, they do so in the hopes that their investment will not only provide a financial return but also drive measurable social and environmental change. Particular areas of focus may include climate change, renewable energy, healthcare, working conditions and community development.

The market for values-driven sustainable investing is, in a word, enormous. According to reporting from Morningstar, flows into U.S.-accessible, open-ended and exchange-traded funds identified explicitly as “sustainable” topped $13.5 billion in 2019. This achievement was a remarkable leap from even a year before, when, as the Morningstar reporter notes, “flows had never topped $2 billion in any quarter, and the calendar-year record, set in 2018, was just $5.5 billion.” Sustainable investment is on a meteoric rise – and the generational force that propels it is apparent.

Millennials think about investments differently than their predecessors. The most significant shift is their tendency to be hands-on; millennials tend to take more of an active role in determining their investments than baby boomers or Gen X investors.

As Greg Cobb, the Director of Fixed Income for Boyd Watterson Asset Management recently shared for an EY report on millennials’ presence in the sustainable investing sector, “The industry is moving from a passive investor population, which is dependent on the income from defined benefit and pension plans to a population that is self-funding via their defined contribution plans. These millennials will demand more active involvement in their own investments as they wish to be more actively involved in controlling their own destiny. Along with this more active approach will come more activist tendencies.”

Millennials want to invest in companies that resonate with their values – but that doesn’t mean that they don’t care about portfolio diversification and long-term performance. Instead, they want their investment managers to ask tough questions of potential investees and actively work to improve behaviour and performance. In 2018, the Allianz ESG Investor Sentiment Study Report noted that 89 percent of surveyed millennial investors expected their financial advisors to thoroughly assess a company’s ESG factors and track record before recommending it as a potential investment. Moreover, 57 percent of millennial investors have divested from or turned down an investment opportunity because the company harmed consumers’ health and well-being.

These findings demonstrate that in the future, investment firms and companies will need to adjust their strategies to take the priorities of socially minded millennial investors into account. Millennials have only just begun to command attention in the investment space; as they continue to move towards the peak of their savings potential, their influence will continue to grow. It seems reasonable to assume that interest in socially responsible investing is neither a fad nor a short-term trend; rather, attention to ESG issues will likely increase as younger investors grow more secure in their finances.

It is worth noting that millennial investment preferences aren’t the only reason to make socially responsible changes. In one recent study, researchers at Morgan Stanley assessed the performance of over 10,000 funds and managed accounts and found a positive correlation between sustainable strategies and high performance. The writers noted that “investing in sustainability has usually met, and often exceeded, the performance of comparable traditional investments.” These findings were consistent across asset classes and over time.

Moreover, companies that demonstrate good corporate social responsibility are more likely to command premium prices for their products, services and share prices. In 2015, the Nielsen Global Corporate Sustainability Report found that two-thirds of global consumers are willing to pay more for sustainable brands – and 73 percent of millennials worldwide will pay a higher price for sustainable products or services.

The metrics for both investment performance and the pricing of companies’ products are compelling and should prompt all companies and investment firms to consider actions they can take now.

There is no quick fix that companies can apply to appeal to millennial investors and their focus on ESG issues. Rather, organizations will need to employ a multifaceted approach to demonstrate their support for environmental and social causes – and dedicate considerable time, effort and resources to the process. These efforts must be transparent and authentic, as both investors, analysts and employees can see through PR stunts and greenwashing.

The steps that organizations choose to take will vary. Investment companies might opt to hire sustainability professionals who can lead sustainability initiatives with genuine buy-in from internal and external stakeholders. Investment management firms might look for analysts and portfolio managers who have in-depth understanding of ESG issues in addition to skills in more traditional financial analysis. They may also choose to train advisors on how to evaluate and communicate with millennial investors the investment options that can both provide above-par financial performance and meet emerging expectations for sustainability.

Regardless of strategy, however, one point is clear: millennials are changing the investment landscape. Sustainable investing is no longer a niche; it has become a central platform for investment. Whether based on the valuation of stocks using ESG integration, or on the values-based preferences for investments or products – or both – the sustainability of companies is a central focus of a new generation of investors. Companies and investment firms alike will need to get on board – or else be left chasing the millennial rush.

The information contained herein is for general information purposes only and is not intended to provide financial, legal, accounting or tax advice to be relied on without an individual first consulting with their financial advisor to ensure the information is appropriate for their individual circumstances. The opinions expressed in this article are of its author only and do not reflect the opinion of Odlum Brown Limited. Member-Canadian Investor Protection Fund.

Image credit: Mikaala Shackelford/Unsplash

Companies around the world have collectively committed billions of dollars to help communities and health organizations combat the new coronavirus, but the pandemic is uncharted territory for most business leaders. And while the scope and scale of the coronavirus threat is unlike any we've seen before, global technology firm Intel was perhaps more prepared than most, thanks to a forward-thinking decision made nearly 20 years ago and investment that's continued to this day. 

The tech giant created an in-house Pandemic Response Team amidst the outbreak of severe acute respiratory syndrome (SARS) in China in 2002, which ultimately sickened more than 8,000 people across 26 countries, according to the World Health Organization (WHO). The response team began as an informal group of executives, who coordinated efforts to protect employees and customers while supporting health agencies in the fight against SARS, but it soon evolved into a standing team within the company. 

This group went on to lead Intel's response to other pandemics including the Avian Flu, Ebola and, now, the new coronavirus and the disease it causes, COVID-19. "When all this started happening, we were really able to activate that group and activate the learnings from past pandemics," said Suzanne Fallender, Intel's director of corporate responsibility. 

During a webcast this week hosted by Susan McPherson of the corporate responsibility consultancy McPherson Strategies, Fallender went on to explain Intel's response and what can be learned from it. 

Intel's Pandemic Response Team was ready when it mattered most 

Intel's Pandemic Response Team is tasked with a multifaceted approach to guide the company during global or regional health crises. This includes standardized health and safety practices to protect workers, business continuity planning, and the development of staggered deployment strategies based on risk and need.

The group has longstanding partnerships with local governments and public health organizations such as the WHO and the U.S. Centers for Disease Control and Prevention (CDC), which they lean on for advice in developing response plans when needed. 

In the case of the new coronavirus — which, unlike SARS before it, spread quickly to nearly every country around the world — Intel's response extended to its more than 100,000 employees across 60 countries, as well as supply-chain partners on nearly every continent. "We work with such large global supply chains, so we've connected with our suppliers from the beginning to help them protect their employees and also make sure that we could help when they needed support," Fallender said. 

The Pandemic Response Team also worked with Intel's existing community partners to deploy $10 million in immediate funding for food security, housing and small business relief. And it collected 1 million pieces of protective equipment, including masks and gloves, from its own factory and emergency supplies for donation to frontline healthcare workers.

"We have a history of partnering with local communities already through the Intel Foundation and through corporate programs, so we worked with those community partners" on the initial response, Fallender said. "Then we took a step back. We’re going to continue to support these communities, but where can Intel have a real impact in this moving forward? It really came down to technology."

(Image: Healthcare providers at Houston Methodist Hospital can monitor multiple patients in real time with the help of technology provided by Medical Informatics Corp. in partnership with Intel.) 

Leveraging technology expertise to scale impact 

Intel created a pandemic response technology initiative to help essential organizations complete their work and aid individuals facing a new normal. "We were seeing healthcare workers and hospitals struggle to have the technology they needed, researchers trying to quickly work on this, and all the students who could not continue to learn online because they didn't have access to technology," Fallender said. 

Of the $50 million committed to the initiative, the bulk will leverage advanced technologies like artificial intelligence (AI) and high-performance computing to advance diagnosis, treatment and vaccine development, according to Intel. This includes getting technology into hospitals faster for testing and treatment of COVID-19. The funds will also support education-focused nonprofits and public school districts as they work to get technology into the hands of students suddenly learning from home. 

A dedicated innovation fund of $10 million will back partner- and employee-led projects to assist their own communities, including an expanded testing program in India, a ventilator initiative in the U.K., and a "virtual ICU" system that allows U.S. health workers to monitor COVID-19 patients from a distance, reducing their risk of exposure and expanding their care capacity.

"We hope that by sharing our expertise, resources and technology, we can help to accelerate work that saves lives and expands access to critical services around the world during this challenging time,” Intel CEO Bob Swan said in a statement announcing the initiative. 

Knowing they'll be cared for, Intel employees take it on themselves to serve their communities  

On top of more than $60 million in cash and products donated to fight COVID-19, Intel has committed more than $100 million in additional benefits and compensation for its employees on the front lines. While the majority of Intel's staff can work from home, the company also relies on on-site employees in manufacturing plants and labs to power its technology response initiative. 

"First and foremost, we've been focused on the health and safety of our employees, particularly those who continue to work onsite in our factories and our labs," Fallender said. "Intel technology is in over 95 percent of the world's internet communications and government infrastructure, so we've really worked hard to make sure we can safely continue to operate and to provide that essential technology that's used in hospitals and in supporting the economy." 

Knowing they have the support they need, including benefits, protective equipment and safety practices that ensure social distancing, Intel employees have responded in kind. "It's been one of the hardest times I've ever worked at Intel, but it's also been one of the most special times, particularly because of what some of these employees have been doing," Fallender told attendees during McPherson's webcast. "People have, on top of doing their jobs and homeschooling their kids, jumped in to bring others together."

This includes a group of Arizona employees who are 3D-printing face shields for first responders and vulnerable communities, including the local Navajo Nation which has been especially hard hit by the pandemic. After hearing that senior neighbors weren't able to connect with their families during Passover because they didn't understand video conferencing technologies, another team in Israel created a one-click conferencing system to bring families together around the table. Fallender herself is sewing face masks in her spare time. 

Overall, Intel's top corporate responsibility executive said she is encouraged by the leadership she's seeing, both within Intel and more broadly, in the face of the pandemic. "It’s shown organizations can come together in this crisis and in urgency around an issue — and there are many other urgent issues that we face, so I am more hopeful in that standpoint," she said. "Some companies are going to be challenged to be able to do things, but I think there are many others that can continue to look at how to really engage."

Image credits: Julian Wan/Unsplash, Tandem X Visuals/Unsplash and Houston Methodist Hospital, courtesy of Intel

The world is awash in oil as a consequence of the COVID-19 crisis and global economic crash. The ripple effect is seen in lower prices for gasoline, which could dampen enthusiasm for electric vehicles. That may be so temporarily. However, the auto industry is still barreling towards an electric future. In the latest development, a new joint venture between Volvo Group and Daimler Truck AG indicates that hydrogen fuel cell vehicles could play a larger role than previously thought.

The long road to hydrogen fuel cell vehicles

Auto makers have struggled with hydrogen fuel cell technology for decades. GE first applied a fuel cell to a car in the 1950’s, but it wasn’t until 2013 that Hyundai introduced the first mass-produced, commercially available fuel cell car.

Multiple other companies soon followed suit with versions of their own, but hydrogen-powered cars have yet to gain traction with the motoring public.

One problem is the fuel itself. Fuel cell cars are zero-emission vehicles that produce electricity from hydrogen through a chemical reaction. That sounds green enough, but the primary source for hydrogen today is fossil natural gas. That’s a turn-off for drivers and fleet managers who prioritize sustainability and renewable energy. 

The hydrogen fuel cell truck solution

Fortunately, the sustainability issue is beginning to resolve itself. The hydrogen supply chain is gradually transitioning to green hydrogen from water, produced with renewable energy.

That still leaves two challenges: high up-front costs and a shortage of fueling stations. 

Those factors can discourage individual consumers. However, fleet managers have a different perspective. As a counterbalance to higher costs, fuel cell trucks have two major logistical advantages over battery trucks. They can pack longer range into a smaller, lighter space, and they fuel up just as quickly as petroleum-powered vehicles. 

Because of their longer range, fuel cell trucks also do not require a high degree of penetration for fueling stations. Fleet managers can plan routes and schedules around the few stations that are available. Plans are under way to build out the fueling network in the European Union, the U.S. and other key regions. 

A giant step for fuel cell vehicles

Interest in fuel cell trucks and other heavy-duty vehicles has been ticking up in recent years. Last week’s move by Volvo and Daimler picked up the pace significantly.

On April 21, the two companies announced a new joint venture to develop a line of heavy-duty fuel vehicles. Volvo is putting up cash for a 50 percent stake in the new company, which will consolidate all of Daimler’s existing fuel cell activities. That includes 20 years of experience through the company’s Mercedes-Benz unit.

“For trucks to cope with heavy loads and long distances, fuel cells are one important answer,” explained Daimler Board Chairman Martin Daum.

Volvo President and CEO Martin Lundstedt emphasized that the business will pivot on the use of hydrogen from renewable resources or “green electricity,” in accord with efforts to achieve a carbon neutral economy.

The two companies anticipate that the new joint venture will begin mass producing long-haul fuel cell trucks and buses within about five or six years.

Other types of vehicles may also be added to the plan.

Batteries versus fuel cells

The formation of the new joint venture indicates that fuel cells and batteries are not necessarily competing technologies. Auto makers that deploy both technologies strategically may be in a stronger position to broaden their customer base, embrace more use cases, and accelerate the zero-emission transportation trend.

As if to underscore that point, Volvo also recently passed an important milestone in its battery electric vehicle program. 

On March 5, the Volvo officially commissioned its new battery assembly line in Ghent, Belgium, putting the company on track to begin building its first 100 percent battery electric car this year. 

Another example of this strategic approach to electrification is the U.S. startup Nikola. The company first launched with a focus on long haul fuel cell trucks. Last fall, it added new battery technology for lighter vehicles, too. 

Image credit: Mercedes-Benz

The ocean plastic issue has caught its share of media attention, and rightfully so. However, there are other pressing issues related to the overflow of petrochemical-derived waste. One of them is how to recycle the mountains of polyurethane foam that are burned or disposed in landfills every year.

The polyurethane foam recycling challenge

Sheer bulk is one part of the problem. In its flexible form, polyurethane foam is commonly used in large-scale applications including automobile interiors, carpet underlay, mattresses, acoustic foam and many other types of cushions. Rigid forms of the foam are also popular in the construction industry, with building insulation a primary use.

Though many of these items are long-lasting, eventually the foam becomes waste. As of 2012, the U.S. alone generated an estimated 1.3 million tons of polyurethane foam waste.

Unfortunately, so far foam has resisted recycling efforts. Polyurethane foam is made from crude oil, like other plastics. However, it is produced through a cross-chemistry process that makes it resistant to melting and reformation.

For the most part, recycling options are limited to shredding. The primary use for recycled polyurethane fiber today is in carpeting.

Otherwise, the only other options are to downcycle it and burn it as fuel or dispose it in a landfill.

A new approach to recycling foam

If foam could be upcycled into higher value products, that would provide a financial basis for recovering and recycling more foam waste.

The key technology challenge for expanding the range of applications for recycled foam is dealing with the air trapped within its structure, and a team of researchers at Northwestern University in Illinois may have discovered an economical solution.

Their approach is similar to pushing a large sponge through a Play-Doh extruder. It can be done, but first the nature of the sponge needs to change.

One method would be to compress or slice the sponge, but the result would be a brittle material that is difficult to mold into new shapes without further treatment.

The process that Northwestern developed resolves those problems with a two-step system. First, the foam is softened with a commonly used catalyst called dibutyltin dilaurate, a colorless, oily liquid that is sometimes added to animal feed as a treatment for worms and other parasites.

The catalyst reduces the foam to a less spongy consistency. Then it can be extruded through a specially designed device. Two rotating, intermeshing screws in the device remove the air while improving the consistency of the reduced foam.

The result is a new material that can be upcycled to various forms including hard plastic and flexible film.

Northwestern cites shoe cushions, accessories (watch bands, for example), hard wheels (as in skateboards and shopping carts) and auto parts as potential uses.

More trouble ahead for the petrochemical industry

The Northwestern recycling research is one part of the effort to reduce the use of virgin crude oil in plastic products.

Another approach is to reduce the use of crude oil in making the foam itself.

Researchers are experimenting with various sustainable alternatives including walnut shells, fossilized algae, and even sugar to achieve an alternative material that meets the performance standards of conventional foam.

Meanwhile, interest in reclaiming and recovering plastic waste from the ocean has continued to grow, despite the global economic crisis touched off by the COVID-19 crisis.

One recent example is last month’s ocean plastic announcement from Japan-based JSP. The company has introduced a new product called Apro 35, made with 15 percent maritime waste, from recovered fishing nets and other gear.

Recycling also provides a financial incentive for keeping maritime waste out of the ocean in the first place. In one significant development, last month the third-party certification firm UL validated recycled content for five resins used by HP, ranging from 5 percent to 99 percent “ocean-bound” plastic.

The “bound” refers to plastic at risk of entering the ocean. This is the first time that UL has provided validation through an upgraded recycling standard that includes measuring the impact of collecting recycled materials on local economies. Now that HP is on board, other major resin users may strive to achieve validation as well.

At the smaller end of the scale, last month a startup called Bureo was also featured in the Guardian for its work in making skateboards and other items from recycled fishing nets in Chile.

As the world recovers from the COVID-19 crisis, companies like these are laying the groundwork for an economic recovery that finds solutions to environmental problems instead of causing them.

Image credit: Pixabay

Companies large and small are running out of cash; governments are either printing money, teetering toward bankruptcy, or will soon be forced to make devastating cuts in social programs and staff. Even museums are considering selling works of art to stay afloat. No sector of society is immune to the ravages of COVID-19, and at times it appears impossible that any force, business or government, can lift us out of this crisis.

Investment firms including Morgan Stanley, however, have noticed an encouraging trend. At TriplePundit, we’ve long tracked environmental, social and governance (ESG) investment, as writers including Amy Brown and Tina Casey have been watching this development in the world of finance. And last month was one of the most audacious months for this small but surging niche within the world of finance.

According to Morgan Stanley, April witnessed a manic pace of ESG bond issuances. In terms of raw numbers, one’s gut reaction could be “meh” — $48.5 billion total. But that’s double the amount issued in March, and compared to April 2019, it’s a whopping 270 percent increase. And while the number of such bond issuances in April was just a small uptick from March, the average size of these bonds jumped up well over 150 percent.

Here’s another huge difference: While historically we keep referring to these investments as “ESG bonds,” for the most part they have trended heavily on the environmental side. But last month, bond issuers floated $12.4 billion social bonds, designed to address, naturally, social challenges, including any related to COVID-19.

In April 2019, no social bonds were issued whatsoever. Zero.

Even more telling: The evidence suggests that 2020 bond issuances were underwritten not out of any sense of desperation, but because they make sound investment sense. After all, we can’t rebuild until society has somewhat healed. Buyers are responding in kind.

“Despite record issuance, investor demand for these bonds was strong, as evidenced by oversubscribed deal books, and record issuances,” Morgan Stanley concluded in a recent report. “Five of the 10 COVID-linked bonds were reportedly oversubscribed.” Two of those were $1 billion deals across the pond in Europe.

One fear amongst the sustainerati is that the current economic catastrophe we are confronting means the corporate sustainability movement could fall by the wayside, the way many observers felt a decade ago during and after the Great Recession. But the evidence suggests, if anything, this pandemic shows that ESG-related challenges matter more now than ever.

“If you look at the ESG ETFs [exchange-traded funds] for both equities and bonds, many have held up better than a lot of their peers,” Jennifer Tonda of 280 CapMarkets said in an interview with InvestmentNews. “Investors are going to be looking at how companies deal with the effects of COVID-19 which can also affect how we deal and prepare for future global crises and global warming.”

Bottom line: Investors have hardly taken their eyes off the ESG ball during this crisis. If anything, they are more laser focused on your company than ever before, as they watch how you are responding to COVID-19. And if you have a solid plan for emerging out of this crisis, buyers will take you seriously.

From the Brands Taking Stands newsletter. Be sure to subscribe!

Image credit: Micheile Henderson/Unsplash

The rising wave of youth activism on climate change signals long-term pain for the fossil fuel sector in more ways than one. It’s a warning that the fossil industry’s ongoing “brain drain” problem is likely to intensify. It is losing a whole generation of up-and-coming innovators, engineers and scientists. Now Amazon, and “pick-and-pack” companies like it, may also be in danger of facing a similar wave of disinterest — and downright disgust — as concerns rise over worker rights during the COVID-19 crisis.

COVID-19 underscores inaction on climate change and inequities in the workplace

The COVID-19 crisis has raised long-simmering tensions over worker rights at Amazon to the boiling point. In recent years upper-level employees have pressured the company to accelerate its climate initiatives and stop using its Amazon Web Services division to enable oil and gas operations, under the banner Amazon Employees for Climate Justice (AECJ). Though the company has stepped its climate efforts, it also reportedly sent termination threats to two employee activists last fall.

In a now-familiar pattern, last March Amazon also grabbed some unwanted media attention for firing a worker activist at its warehouse in Staten Island, New York, after several workers walked out in protest of hazardous working conditions related to COVID-19. Yesterday, the company confirmed reports that one worker at its Staten Island facility died of the illness on Monday, May 4.  

That worker’s firing only added fuel to the fire. Employee activists targeted several companies including Amazon and its Whole Foods operations for a nationwide sickout on May 1 to draw attention to unaddressed health risks faced by frontline workers during the pandemic.

Amazon and the right to protest

The May 1 worker action was supported and promoted by AECJ, which is now drawing the connection to climate change, pollution, and worker health and safety issues during the COVID-19 crisis.

In an April 24 blog post on Medium, AECJ emphasized that its main point was the right to speak out without fear of termination or other reprisals.

In the post, AECJ prevailed upon Amazon to change its communications policies, so as not to punish workers who are “speaking up, in their own capacity and not on behalf of the company, about issues that directly impact the health and safety of workers and customers, including pandemic working conditions, climate crisis, and pollution.”

One Amazon VP speaks up

In a parallel development, last year the Whole Worker employee group at Whole Foods pleaded with upper-level employees at Amazon to use their voices in support of frontline workers and to protest the company's connection to the Donald Trump administration’s immigration enforcement.

"Workers that control the lever inside Amazon must make this machine stop and turn in another direction,” they wrote in a public statement last year. “Bodies inside this machine are being mangled as it tramples on our homes, destroying families and communities. If you have your hand on one of those levers, ask yourself: What can you do to stop it?”

With all this in mind, consider the newly published essay written by Tim Bray, an Amazon vice president and “distinguished engineer.” He resigned from Amazon Web Services last Friday and posted the essay on May 4. AECJ has since tweeted its support of Bray.

In the essay, Bray registers his disappointment with the failure of a 2019 Amazon shareholder resolution on climate change, supported by AECJ. He also highlighted the company’s dismissive treatment of AECJ activists in the run-up to the 2019 Global Climate Strike last September.

The turning point for Bray occurred in mid-April of this year, after AECJ members helped company warehouse workers support an event related to the COVID-19 outbreak.

“Emily Cunningham and Maren Costa, two visible AECJ leaders, were fired on the spot,” on April 10,” Bray relates, “Snap! At that point I snapped.”

As with AECJ, Bray’s primary concern is the company's repression of employee speech. He lists several alternatives that Amazon could have used to address the event, but instead the company simply fired two of the leading activists.

“I escalated through the proper channels and by the book,” he explains. “That done, remaining an Amazon VP would have meant, in effect, signing off on actions I despised. So I resigned.”

It’s not just Amazon

Although Bray does not divulge what took place in the discussions leading up to his resignation, he leaves no doubt that Amazon has deployed an intentional strategy in the recent firings.

“The victims weren't abstract entities but real people; here are some of their names: Courtney Bowden, Gerald Bryson, Maren Costa, Emily Cunningham, Bashir Mohammed, and Chris Smalls,” he writes, “I’m sure it’s a coincidence that every one of them is a person of color, a woman, or both. Right?”

Bray also advises upper-level employees that there are potential legal repercussions to Amazon’s policies on worker safety. “It’s not just workers who are upset. Here are attorneys general from 14 states speaking out. Here’s the New York State Attorney General with more detailed complaints. Here’s Amazon losing in French courts, twice," he writes.

Finally, while giving the company credit for stepping up its efforts to remediate COVID-19 risks, Bray points to a fundamental flaw in the business model that has made Amazon, and companies like it, so successful.

“…the big problem isn’t the specifics of a COVID-19 response. It’s that Amazon treats the humans in the warehouses as fungible units of pick-and-pack potential,” he explains. “Only that’s not just Amazon, it’s how 21st-century capitalism is done.”

It is done, of course, with the help of innovators and engineers, scientists, and managerial experts.

As the life-and-death consequences of pick-and-pack culture continue to spin out through the COVID-19 crisis, companies that fail to address worker issues may eventually replenish the thinning ranks of their front lines, but they may find it much harder to recruit the upper-level talent that enables them to succeed in the long term.

Image credit: Alexander Isreb/Pexels

A sharp rise in the rate of domestic violence is one of the more disturbing consequences of the novel coronavirus pandemic and stay-at-home orders. Several tech companies are offering innovative ways to help domestic violence victims reach out for help even as they are shut inside their homes with their abusers.

In the U.S., Google searches for the National Domestic Violence Hotline increased by 140 percent in the last 30 days, while global searches for “national domestic abuse hotline” shot up 250 percent. We can see this is hardly only an American phenomenon: The United Nations has reported increases in cases of domestic violence and calls to helplines around the world.

Domestic violence incidents can be particularly dangerous during a lockdown when victims are unable to reach out to authorities or a helpline while in close quarters with their abusers. In Los Angeles, police are concerned that at home, victims can feel trapped by security cameras that allow abusers to check their use of phones and websites and dissuade them from alerting police.

A home surveillance company offers a lifeline

But while some aspects of technology such as home surveillance cameras can make people feel more vulnerable, technology can also provide a way for victims to get help. A number of tech companies are offering victims a lifeline during this time.

Home security company ADT is releasing its SoSecure mobile safety app for free, providing a possible lifeline for people suffering domestic violence. The app includes several features designed to be particularly helpful to people facing domestic abuse. For instance, they can silently SMS chat with ADT’s 24/7 professional monitors. They can also discreetly trigger an emergency alarm, which allows ADT to pinpoint the user’s GPS coordinates (911 dispatchers can’t always do that). App users can also designate friends or family to receive alerts when an alarm is triggered. And SoSecure also allows a time period to be preset, after which emergency contacts will be notified if the user is unresponsive.

Across sectors, tech companies strive for smartphones to become a tool for freedom

At Cornell University, Cornell Tech’s Clinic to End Tech Abuse (CETA) has created a remote program to help survivors of intimate partner violence use their devices without fear of monitoring or stalking. CETA partners with the New York City Mayor’s Office to End Domestic and Gender-Based Violence (ENDGBV) and the city’s Family Justice Centers to provide the clinic’s services to survivors. This collaboration has continued during the pandemic, with case workers able to refer their clients to these city agencies to set up consultations with the clinic about possible tech-enabled abuse.

For those who have the ability to leave their homes to seek assistance, Uber is partnering with organizations supporting victims of sexual, domestic, and gender-based violence to provide 50,000 free rides and additional support to shelters and safe spaces in more than 35 cities across 17 countries. The company says it wants to help abuse victims to get to a safe space during coronavirus lockdowns.

"A lack of transportation is a huge barrier for survivors of domestic violence every day of the week. And that's really exacerbated by COVID-19," Allison Randall, vice president for policy and emerging issues at the National Network to End Domestic Violence, told The Hill.

Access to pro-bono legal help is also more readily available to domestic violence victims, thanks to the justice tech company Paladin, which has teamed up with the American Bar Association to create a new portal that helps lawyers find pro-bono opportunities specifically to help people affected by the coronavirus pandemic and other natural disasters. As Paladin co-founder Kristen Sonday told TechCrunch, vulnerable individuals are experiencing a range of legal issues at unprecedented levels due to COVID-19, including victims of domestic violence who have sheltered-in-place with an abuser.

Get help with domestic violence

While technology can be a huge asset at a time of crisis, public awareness of the right resources for help is paramount. In response to hearing increased reports from survivors that COVID-19 is being used by abusive partners to further control and abuse, the National Domestic Violence Hotline and The No More Foundation have significantly expanded their recently launched public awareness and action campaign. Entitled #ListeningFromHome, the campaign aims to heighten people's awareness of domestic violence, and encourage them to safely get help if they experience, hear or observe incidents of domestic abuse.

The National Domestic Violence Hotline has posted a “Staying Safe During Covid-19” guide for survivors and their families. Trained counselors are also available by phone 24 hours a day at 1-800-799-SAFE (7233) and by chat at www.thehotline.org.

Image credit: Luisella Planeta Leoni/Pixabay

Over the weekend, a sustainability-focused Wall Street Journal article started making the rounds on social media. In it, business columnist John D. Stoll notes that several top companies are starting to pump the brakes on their environmental, social and governance (ESG) programs due to economic strain amidst the coronavirus pandemic. And he poses the question: Will the pandemic, like economic crises before it, put sustainability on the back burner? 

It's undeniably true that companies are cutting costs in the face of financial strain, and given that we're all on information overload, it's understandable to assume ESG cutbacks are happening across the board. But we at TriplePundit have a slightly different vantage point: Since we report on these topics daily, people love sharing their sustainability news with us — and, overall, the drumbeat of these announcements has remained relatively steady through the pandemic.

Right now we're all understandably consumed with the human suffering and economic strain posed by the pandemic. Business leaders are worried for their families, wondering how they'll maintain their payrolls, and grappling with how best to respond to this new global challenge we face. But we're not convinced we'll see a sunsetting of sustainability — and these eight examples are just some of the reasons why. 

General Mills commits to 100 percent renewable energy globally by 2030

General Mills committed to a set of science-based emissions targets ahead of the COP21 climate talks in 2015, where world leaders drafted the landmark Paris climate agreement. The company was among the first to have its plan approved by the Science-Based Targets initiative (SBTi) — indicating its goal to reduce value chain emissions by 28 percent by 2025 aligns with the global effort to limit temperature rise to “well below” 2 degrees Celsius.

In late April, General Mills took its climate action journey a step further, pledging to source 100 percent renewable electricity by 2030 and join the RE100 corporate clean power initiative. The company says it will invest in renewable energy projects across its supply chain — including two large-scale wind farms which will produce renewable energy credits (RECs) and methane capture for power generation at supplier farms — to meet the goal. 

Evian goes carbon neutral globally 

Danone was another major multinational to issue new climate pledges during the COP21 talks in 2015. The French food products firm pledged to be certified carbon neutral across all of its operations by 2050 — and its flagship spring water brand, Evian, was to lead the charge.

We first reported on Evian's carbon neutrality journey two years later, in 2017, when the brand unveiled its revamped bottling plant in the French Alps that was certified carbon neutral by the Carbon Trust. Since then, Evian has achieved carbon neutrality certification for its operations in the U.S., Canada, Germany and Switzerland. And on April 20, it went global, inking carbon neutral certification across all the countries where it has a presence. It's a milestone in the journey, but it's far from the end of the road, as Global Brand VP Shweta Harit says Evian is looking forward to announcing "new initiatives later this year."

Ball Corporation's emissions goals approved by the Science-Based Targets initiative

Since the SBTi launched in 2015, the number of companies with approved targets has grown exponentially: 873 companies are now taking science-based climate action in collaboration with the initiative, and 363 have approved science-based targets on the books. 

Ball Corp., which manufactures metal packaging and provides aerospace technologies and services, is among the latest to join the roster. The company's commitment to reduce absolute carbon emissions within its own operations by 55 percent and within its value chain by 16 percent by 2030, using 2017 as a baseline, were approved by SBTi last month. 

HP rolls out "the world’s most sustainable PC portfolio"

Over the past year, TriplePundit has tracked HP’s use of plastic recovered from ecosystems and waterways before it can reach the ocean. From its June release of the world's first computer monitor made with ocean-bound plastics to the first PC built with these materials announced three months later, the tech giant has steadily increased its use of recovered plastics while raising awareness of ocean health. 

Today, the company formally unveiled what it bills as "the world’s most sustainable PC portfolio," including a new Chromebook that is HP's latest to include ocean-bound plastics. An HP representative called the line a "culmination" of the company's work in sustainable product design, but it's just the beginning: HP has pledged to include ocean-bound plastics in all new desktop and laptop computers launched in its Elite and Pro lines in 2020 and beyond. 

Apparel brand Lee goes all-in on renewables 

Known best for its denim and everyday basics, apparel brand Lee is aggressively pursuing renewable energy, pledging to power all of its owned and operated facilities with renewables by 2025. Its new set of goals announced in April also include sourcing only sustainably grown or recycled cotton within five years and increasing its Indigood denim offerings on a yearly basis. Launched in February, Lee's Indigood line utilizes a foam-dyeing process that cuts water use by 99 percent and energy use by 60 percent, according to the company. 

Bayer shareholders tie board compensation to sustainability performance

Global pharmaceutical firm Bayer is targeting carbon neutrality and 100 percent renewable energy sourcing by 2030, and its shareholders recently took a significant step to hold the company accountable.

"Our shareholders approved a new compensation system for the members of the Board of Management," Matthias Berninger, Bayer's SVP of public affairs and sustainability, tweeted on April 28. "It’s now tied to sustainability." The move bases 20 percent of board members' long-term variable compensation on the attainment of sustainability goals starting next year, reports Nasdaq.

Outdoor gear brand Arc’Teryx has net-zero goal approved by SBTi

In another recent addition to the SBTi portfolio, outdoor gear brand Arc’Teryx's goal of achieving net-zero emissions across its entire value chain by 2050 was approved by the initiative in April. All of the company's owned operations, including its retail stores, headquarters and Canadian manufacturing facility, are already powered by renewable energy. 

Microsoft launches ‘Planetary Computer’ to reach biodiversity goals

In January, Microsoft unveiled an industry-leading climate action plan that includes a pledge to go beyond carbon negativity to remove the equivalent of all of the emissions it has ever produced (yes, you read that right). Along with its bold climate goal, the tech giant aims to protect more land than it uses by 2025 through strategies such as land acquisition for conservation and the creation of new national parks. 

To that end, Microsoft is in the process of creating what it calls a "Planetary Computer" platform to catalog region-specific data about species, biodiversity and ecosystems, Environmental Leader reported in April. It will share the data with suppliers, partners and customers to ease their environmental decision-making and use it to "speak out on ecosystem-related public policy issues and take responsibility for Microsoft’s own land footprint,” company president Brad Smith told EL. 

Image credit: Karsten Würth/Unsplash