Business, Industry and Environment Governance

1. Business, Industry and Environment Governance

2. Role of business in Environmental Government: • The uneven and fragmented nature of international governance is viewed as the outcome of a process of bargaining compromise and alliance formation among a range of state and non- state actors. • In the post quarter of a last century, an era of rapid economic globalization- there has been remark able growth of corporate Industry & the quantity of foreign investment. • The evolution of formal multilateral environmental governance mechanisms designed to influence the environmental behavior of TNCs (Trans National Corporation). • In place of UNCTAD- United Nations Commission on Trade and Development (UNCTAD), The Reo Earth Sumit, 1992 promoted voluntary, self regulatory initiations developed by corporate actors. • In 1990 some 48 TNCS established a body group, the Business Council for Sustainable Development (BCSD) which became active in promoting the business prospective in the run up to Red.

3. International Chamber of Commerce (ICC) was active at the earth-summit and its follow up, forming the World Industry Council on the Environment (WICE) in 1992. • In 1995, the two groups merged to form the World Business Council for Sustainable Development (WBCSD). • Agenda 21 reflected this input from industry endorsing private voluntary effects on the part of business to promote sustainable development • At the world Summit on Sustainable development (WSSD) held in Johannesburg South Africa, 2002, another Industry Advocacy Group was formed- as Business Action for Sustainable Development (BASD ) – as the result of combined efforts of ICC or WBCSD and represented by TNCs.

4. ICC & BASD have committed to adhering to the principles of Corporate Social responsibility (CSR) • CSR entails a shift to include stockholders and society in the industrial governance. • CSR initiatives include ISO 14000 environmental Management Standards. • The Global Compact is a pact between united nation and global business on corporate behaviour- to demonstrate their commitment to social and environmental goals. • It promotes undertaking environmental responsibility and to develop and diffuse environmentally friendly technologies. • Regular monitoring and Verification progress on environmental and other measures. To maintain improved environmental performance.

5. The idea of a global framework treaty on Corporate accountability was floated by a number of groups in the run up to the WSSD, including Friends of the earth “ International , Grecepeace, the World Development Movement ,Christian Aid and Alliance for a Corporate free UN. • The legal rights of citizens to hold corporations accountable to the broader public and the environment. • A requirement for corporations to fully report their social and environmental impacts and address the problem of affected communities. • The extension of corporations liability to their directions –where there is a breach of national environmental or social laws and an extension of liability • Right of redress for citizens • Community right to control and access the resources. • Maximum environmental social, labor and human rights standards.