Spring

Spring is here finally. Feels great!

Green Festival On Earth Day

The Green Festival here in Chicago was the place to be this Earth Day. It was teeming with energy. People hungry for information. People eager to provide information. It was a beehive of activity and good things. From eco cosmetics to eco careers, from sustainable love to sustainable housing, from organic milk to organic punk rock pastry, from counter tops to counter myspace, this green festival had a range like I have never seen before. Speakers talking about SRI funds and speakers talking about non violent and non confrontational tree sit-ins. Television crews wanting to interview you and professors wanting to know if you would be interested in a degree in sustainability. There were over 300 exhibits. Everywhere I went, I found something new, interesting, intriguing and fun. Most importantly, I got the sense that the green movement is becoming more and more mainstream.

I was happily running around collecting information, exchanging business cards, taking pictures and repeatedly eating clif bar samples. As I was doing all that I noticed this father and son. They were engrossed in a conversation about living green. Now only if all fathers had that conversation!



I have a few more pictures from the festival here. Happy Earth Day everyone!

India Climate Exchange

A couple of days ago, I had the opportunity of listening to Thomas Cushing, Vice President of Chicago Climate Exchange. He was speaking at an event organized by NAEM.

I always knew CCX was the epicenter of all voluntary carbon trading in the United States. I however didn't fully realize the scale of their current operations. When it started trading back in 2003 with a handful of members, it was at best considered a quirky little thing. 4 Earth Days later, the membership has grown several folds to well over 200. They now have a presence in Europe and Canada as well. February 2007 trading volume (US) was 3.17 million metric tons of CO2. As of Feb 2007, 19.3 million metric tons of CO2 had been traded. At about 3.30$ per metric ton that sure is a lot of money!

This kind of growth for something that is purely voluntary is nothing but spectacular! No wonder Goldman Sachs decided to buy a 10% stake. Mr. Cushing was quick to point out that carbon could become the single largest traded commodity in the world. Larger than crude oil!

If you are wondering as to how carbon trading works, here is a little from their site.

CCX Members with direct emissions commit to reduce GHG emissions 1% per year over the years 2003 through 2006 relative to a 1998 through 2001 average. During 2006 program-wide net emissions must be 4% below baseline. Those members that reduce their emissions below the
required level can sell surplus emission allowances on the exchange or bank them. A member that cannot achieve the reduction target internally can meet its compliance commitment by purchasing emission allowances through CCX’s electronic trading platform from other CCX Members that reduce their emissions beyond the reduction target, or purchase project-based offsets. Eligible offsets can come from methane collection and carbon sequestration projects.

After Europe and Canada, CCX is now looking at starting operations in India. Back in 2006, CCX had announced a partnership with TERI. TERI helped register Indian offset projects. These projects were however traded here in Chicago. Now with the help of TERI, CCX is looking to set up an entire Climate Exchange in India. This would help bring Indian companies into the fold of carbon reductions and open up a domestic market in carbon offsets.

All indications are that US will soon regulate carbon emissions and in most likelihood it will be in the form of Cap & Trade. This shift in US policy to some extent is due to the success of CCX. I believe the formation of India Climate Exchange will help steer Indian policy makers also in the right direction.

I agree with the argument that Global Warming is a mess created by industrialized nations. However, India can no longer afford to stick to that line. While rich nations have to do some serious work, India also needs to do it's part. This op-ed piece in Hindu said it best

If it[India] pursues what is "fair" in a warming world by continuing to argue that industrialised nation are to blame and need to take urgent action, it will be placing the noose around its own neck while the hangman looks on [via Yodha]

So when is India Climate Exchange coming online? Mr. Cushing replied, "As soon as possible. May be later this year. May be early next year".

Energy Globe Awards

Two projects in India (among the many interesting projects) have won the Energy Globe awards for sustainability.

India Solar Loan Program: UNEP teamed up with Canara Bank & Syndicate Bank to set up lending mechanisms for Solar lighting systems in South India. The project was launched in 2003 and to date, 18,000 households who did not have access to grid electricity have been able to get financing for solar panels. The UNEP press release mentions how this has helped Canara and Syndicate Bank develop a clean energy lending portfolio and also how it helped the Indian PV industry increase market penetration.



This is a great story and it reinforces my earlier thoughts on bringing micro finance and carbon offsets together for greater access to clean energy.






Public toilet assistance for biogas plant:
Sulabh Sanitation gets the award for it's human waste to biogas project.

In Shirdi in Maharashtra, Sulabh has constructed the largest public toilet with biological gas production in the world. Up to thirty thousand people can use the toilet complex per day. The project contributes to a sustainable energy supply using renewable energy source as well as to immensely contributing to the improvement of the hygienic situation. [Energy Globe]

The awards list makes for a very interesting and heartening read. Do head over there if you get a chance.

One thing I didn't quite understand is why Peabody Mining would win an award for its operations in Black Mesa. If you read this NY Times article, you get a very different picture! (registration required)

via UNEP :: via Indic View

SRI Funds in India

It has been over a year since Rajni Bakshi talked about Socially Responsible Investing (SRI) at the National Stock Exchange (NSE), Mumbai. She urged NSE to set up a sustainability index, similar to the Dow Jones Sustainability Index and FTSE4Good. I couldn't agree more with her point that a sustainability index would bring clarity and form to the SRI landscape in India. It can move sustainability to the Indian mainstream.

Last year, I asked her if she was seeing any movement towards an index or for that matter if investment firms were indeed moving to set up SRI Funds in India. She replied saying there were faint rumblings but nothing concrete.

A couple of days ago, I came across this piece of news. The European asset management firm Robeco and Canara bank announced a joint venture. As part of this venture, SAM (Sustainable Asset Management) the Swiss subsidiary of Robeco will offer a SRI fund by the end of 2007.

Canara Robeco JV will bring into the Indian market clean technology, smart energy and water products. Sam has tremendous expertise in this segment and we hope to launch our products by end of this year. Sam's products are sold in Australia, China and Japan.

We are very bullish on our sustainability fund. The Indian market is in the beginning of the growth stage and there is tremendous potential for growth

I think this is a good beginning. For environmentally conscious, risk averse and lazy investors like me (too lazy to do active trading) this is great news. I hope NSE will show some leadership and work towards a sustainability index.

Update: ABM AMRO has also started a sustainability fund [via email, Rajni Bakshi]

Laurie Baker passes away

Laurie Baker passed away today.

A great architect, a great man, a very tall man, a Gandhian and above all a great Indian. May his soul rest in peace and may we all someday live in houses inspired by his principles.

PS: Indian Writing has an excellent post here