Short Term Rules

The latest CDP Europe 300 Report was published today. While I haven't ploughed through all 72 pages of the report (old age appears to be reducing my geekiness index) I was struck by the fact that although some 80% of companies have set an emission reduction target the majority of these expire in 2012 - just a couple of years away. And less than a quarter have targets beyond 2015. I'm not surprised. There's a parallel with the old agency theory stuff about the tension between actions promoting short-term gain and those needed for sustaining long-term value; and how they are incentivised. Emissions reduction is a long-term game and hopefully some of the laggards will take notice and act accordingly. One lives in hope!