Appetite for change - Accountancy Nieuws

Section 2Why is government leadership essential?Compared to a dozen other behavioural drivers, includingcost savings, reputation and competition, regulatorycompliance is viewed by 85 per cent of business executivesas the most influential. More than half of executives believe itis ‘very influential’.Business leaders believe that stable, properly enforcedpolicies protect fair competition and facilitate long-termplanning. Put simply, businesses want to be assured thattheir international peers are helping to bear the costs andresponsibilities of changing environmental behaviour. Ninetyfive per cent agree that tax and regulation will help the worldreach a climate deal (see fig. 3 opposite). Clare Luehman,Emissions Trading and Sustainability Manager at IncitecPivot Ltd. says, “We need to have a baseline of regulationsfrom government to ensure that all companies operate to thesame level.”Long-term planning is vital for the transition to a low carboneconomy. Developing the necessary economic ecosystems,especially new technologies, requires large capitalexpenditures. As a US executive explains, the environmentalissues that are most likely to affect her business, “will bedriven by legislative and regulatory changes in the US. Theway we expand facilities and distribute capital investmentmay all be affected.”Figure 395% feel tax and regulation will have some role in achieving targetsTotal (%)UKFranceGermanySpainSwedenNetherlandsCzech RepublicCanadaUSARussiaBrazilChinaIndiaSouth AfricaAustralia3 50 452 34 6446 524 70 244 21 7153 4368 324 50 392 50 486 46 4310 80 104 42 5440 586 50 447 53 4053 45No roleSome roleSignificant roleGovernments are expected to agree a new global climate change deal inCopenhagen which should include targets on national greenhouse gas emissions.Which of the following best reflects your experience of the role that tax andregulation will have in achieving these targets? Base: Total (654)Note: This question was asked before the UN Summit in Copenhagen, where notargets were agreed. However, an agreement on targets is expected in the near future.10 Appetite for change. PricewaterhouseCoopers.