Corporate Environmental Responsibility


In 2006, an article in Reason magazine declared an age of “corporate environmentalism.” Reason attributes part of the rise of corporate environmentalism to independent environmental groups. Since the administration of George W. Bush was seen as hostile to their goals, the article suggests, groups shifted their lobbying efforts to corporations.
The recent expansion of corporate social responsibility to include environmental issues is notable. A brief web search of the 30 companies on the Dow Jones Industrial Average reveals that each company makes some reference to sustainable practices on its website, and that the majority of these companies have web pages devoted entirely to sustainable environmental practices. Significantly, DuPont, General Electric, Exxon Mobil, and Alcoa all have websites that specifically discuss their environmental practices, yet those four companies all rank in the top 10 corporate air polluters in the United States.
Are companies truly committed to sustainable environmental practices, or are most of their environmentally friendly claims well-placed propaganda, or “greenwashing?” A new Harris poll suggests the latter. Executives are skeptical that corporate environmental efforts will attract consumers, and in a similar vein, consumers have expressed their doubts that claims of corporate environmentalism are genuine. A disconnect exists between the willingness to engage in sustainable practices and the actual implementation and profit from these practices.
This conflict between intent and practice demonstrates some of the pull of environmental groups and activists. The fact that so many companies make sustainable pledges and devote space to issues of sustainability on their websites is a testament to the accomplishments of the environmental movement, but changing practice is another matter entirely.
This breeds an important question: should companies hold themselves to effective sustainable practices?  If they pontificate about sustainability and proclaim their commitment to sustainability in their corporate social responsibility charters, the answer is yes. If a company proclaims its sustainable practices on a glossy website but still pollutes massively, it is not a sustainable company. The presence of some sustainable practices amidst a multitude of unsustainable ones makes for dishonest propaganda.
As to whether or not companies need to be sustainable in the first place, that does tie in to the nebulous, philosophical question of corporate responsibility. From a purely scientific standpoint, companies have to start being sustainable. Most pollution is directly tied to corporate enterprise. If global warming progress is to be made, government regulation will have to restrict pollution, companies will have to take initiative in reducing pollution, or green-tech ventures will have to find universal energy solutions. The first two options are more likely in the short run, so companies will either face regulation or successfully deter regulation.

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