Published Tuesday 11th August 2020
It’s fair to say that the Coronavirus pandemic has dominated people’s thoughts for much of this year, and with good reason. After all, it is a pandemic like we have never seen, impacting every aspect of business and our lives overall.
However, there is a risk, especially as we head into the second half of 2020, that the COVID crisis overshadows other real and pressing issues. Stabilisation and recovery is the name of the game for most operators. That said, one eye should be kept on some of the other developments that could be shaping future business decisions.
One of the most significant issues beyond Coronavirus and the Brexit negotiations is the environment; not just its real-world impact but the legislation that could come as a result.
The Coronavirus Impact on Environmental Ambitions
The UK Government has set many promises and targets with regards to creating a more sustainable country and economy over the next few decades. The most notable of these is a net-zero greenhouse emissions target, enshrined in law, with a deadline of 2050.
There are also some smaller, more short-term targets covering everything from water management to waste, many of which have been set by the European Union and other macro bodies. Analysis from January showed the UK falling behind on many of these targets already before the pandemic struck.
As with many aspects of this unique situation, the real, long-term impact may not be fully understood for many years. However, there is already some early indication that COVID-19 may force global environmental targets to be missed.
In mid-July, the European Union agreed to a recovery budget for 2021-27, including €1.07 trillion in budgets and a €750 billion Coronavirus fund. Initially, it was reported that the total earmarked for green projects could be as little as €80 billion.
In the end, after hours of negotiation, the EU surprised many by announcing the biggest green package in history, pledging around €550 billion to support a green recovery. However, some analysts have commented that an investment more like €2.4 trillion is required if the EU wants to meet its emissions pledges.
Radical Thinking Unlocks New Opportunities for Eco-Friendly Business
While there is justified cause for concern surrounding the long-term emissions targets both in the UK and abroad, there is also quiet optimism around the steps authorities are taking to facilitate the green recovery.
One of the biggest steps seen in recent months has been changes to planning systems across the board. In July, ministers announced a shift in how large-scale energy storage and battery developments move through the planning system. Once implemented, they will be able to bypass the national system and use only local planning rules.
There has been a lot of talk about how changes in regulation, particularly as Britain leaves the EU’s terms, could play a significant role in shaping environmental ambitions post-COVID. However, regulation has to be done in a way that helps facilitate a natural transition and doesn’t cause more challenges for already strained businesses.
Thankfully, it’s clear that there is a demand for a more sustainable environment from the business world and beyond. In the first half of 2020, investment in renewable energy in the UK was $5.7bn, more than triple the total investment last year. Despite Coronavirus, the ambition for a greener economy remains – now, it’s up to the government to take the right steps in facilitating this transition.
Supporting Green Business Ambitions
Creating sustainable business practices can go hand-in-hand with companies’ stability goals for the next few years following this unprecedented pandemic. Here at Expense Reduction Analysts, we’ve been working with major UK businesses for many years, helping them to achieve their environmental goals.
Our waste expense management teams are on hand to help not only reduce your carbon footprint but in a way that saves you money, creating long-term procurement strategies that can provide breathing room on your balance sheet.
If you’re interested in seeing what we could do for your business, why not contact our team today? Alternatively, check out our case studies to see the work we’ve completed.