The business of making companies limit carbon commissions on the one hand, and making money on the other, is getting hotter.
Telecom giant BT Group plc announced on Monday that it has launched a service to help large corporates and public sector organizations reduce their energy consumption and carbon footprint, while global consulting major A.T. Kearney announced plans to move to a “carbon-neutral” consulting model within two years.
With global warming caused by the emission of carbon-linked greenhouse gases agitating policymakers worldwide, the business of buying of carbon credits by high-polluting agencies from those that do less than defined limits is a growing opportunity.
Agencies that help reduce atmospheric carbon dioxide (CO2) by efforts such as afforestation and companies that sell clean technologies to reduce emissions are also seeking fortunes.
Many Indian companies including sugar mills are in a position to develop new revenue opportunities. These companies, exempt from emission cuts imposed on Western industries, plan to slash greenhouse gas emissions and sell about $5 billion in credits over seven years from 2008.
Last month, State Bank of India (SBI) said it planned to create financial instruments to aid carbon credit trading and management, besides advising clients.
“BT’s carbon impact assessment enables organizations to accurately calculate the amount of CO2 emissions produced as a result of the use of networked IT services. It also provides a set of workable solutions to help customers reduce their energy consumption and carbon footprint,” BT said in a statement. The practice would initially be available in the US and UK.
In India, BT Telecom India is a subsidiary of BT is a joint venture with Delhi-based Jubilant Enpro Pvt Ltd, which is engaged in the businesses of oil and gas, food and services.
A.T. Kearney said it would develop alternative delivery mechanisms to help its practice for its 1,500 consultants in 33 countries. Its India managing officer Vivek Gupta said the issue will become key for India in three to five years.
“A.T. Kearney’s India team plans to start working and educating its clients now on adopting and planning their businesses with an explicit mandate to being carbon neutral,” Gupta said.