In the wake of an influential group of leading companies (including M&S, National Grid, Philips, and Sky) taking the Government to task for delaying its long-awaited decision on emission reporting rules, Sabien Technology Chief Executive Alan O’Brien said he supported the view that mandatory carbon reporting (MCR) would have a wide range of benefits.

He said: “We can understand the frustrations of our clients and UK business over the continuing delays in this matter. However I don’t expect to see guidance from the Government on this issue until at least the end of this year or early 2013. The major sticking point on issuing MCR guidelines is the cost of implementation and administering the scheme. DEFRA has based its cost assumptions on those applied to the carbon reduction commitment (CRC), a scheme that we now know will be watered down and simplified later in the year. So we’ll probably have to wait for this revision first before we see any further clarity and guidance on MCR from the Government.”

Mandatory system

O’Brien added that, from working closely with partner organisations such as the Carbon Disclosure Project (CDP), it was patently clear that an efficiently run, mandatory carbon reporting system would facilitate and promote change for the good of both the economy and the environment.

“The recent survey conducted by The Aldersgate Group revealed that more than 75% of the 2,044 adults surveyed across the United Kingdom said large businesses should be required to report carbon emissions so there is clearly a proven, public appetite for this legislation, along with a desire by businesses to get on with it,” said O’Brien.

“The power of the consumer and the extended supply chain should not be underestimated in expecting this from business as a hygiene factor – just as you would with other facets of good business practice. Why should energy conservation be any different? However, any catalyst or stimulus that Government can provide to accelerate uptake is welcomed.

“Major blue chips are under significant pressure to trim costs over the longer term, and by investing now in technologies designed to reduce energy bills going forward, corporations can ensure sustainable long-term growth and competitive advantage – the sooner the government gets onside with mandatory carbon reduction legislation, the better,” said  O’Brien.