Wednesday, 4 May 2011

Consumers International World Congress - Day 2 roundup

Over 700 delegates from more than 60 countries have taken part in Day 2 of CI's World Congress in Hong Kong. At the official opening ceremony, HKCC Chairman Anthony Cheung, Chief Executive Hon Donald Tsang of HK SAR, CI President Samuel Ochieng and keynote speaker Connie Hedegaard, EU Commisioner for Climate Action, welcomed the delegates, and outlined the issues on the agenda of the global consumer activists' gathering.

HKCC Chairman Anthony Cheung opened proceedings asserting the greater than ever need for a consumer movement in the light of "the explosion of consumer issues". Current crises were both economic, such as the financial crisis and its linked policies such as quantitative easing, and environmental such as the current radiation crisis in the region. Prof Cheung welcomed the presence of the largest ever delegation from mainland China, over 200, at a World Congress, referring to China as both the largest factory and the largest consumer market in the world in the fastest growing economic region.


Chief Executive Hon Donald Tsang of HK SAR asserted HK’s commitment to the free flow of information, and the role of NGOs and the free media. HK as a major economic and tourist hub received 36 million visitors per year - far greater than its population of seven million. It was now the world’s top location for luxury brands, underpinned by advanced consumer protection legislation. HK participated fully in supra-national ‘framework’ organisations such as APEC and WTO.


Samuel Ochieng, President of Consumers International, drew the attention of Congress to CI’s recent successes putting consumer protection in financial services at the heart of the G20 agenda, strengthening the WHO’s work on marketing of junk food to children and  successfully contributing to the recent completion of the ISO standard on corporate social responsibility. Consumer organisations needed to adapt to the new digital world in which Twitter had as many adherents as the population of Brazil, and Facebook as many as the US. Mr Ochieng's full speech is available here.

Connie Hedegaard, EU Commisioner for Climate Action delivered the keynote address: Empowering consumers in the green economy. She called on consumers to take action on climate change. "We are threatening the planet with our patterns of consumption," she said, adding: "Business as usual is no longer an option. Full transcript of keynote speech is available here.

Video coverage

CI has teamed up with City Univeristy of Hong Kong to get young TV journalists involved in covering the World Congress (video below). The students will report on consumer rights issues. Headed by CTV Deputy Chief Producer, Lu Ma, the team filmed and edited the Opening Ceremony of Consumers International World Congress 2011 in Hong Kong. Click on the label Congress Video for more videos. Photos are also available here.

 

Session 2: Sustainable Consumption


The distinguished panel that Rasmus Kjeldahl chaired gave the audience ideas to shape what tomorrow's consumers need to have to ensure that the future is not only a word but something real.

Niall Dunne, former Saatchi & Saatchi Sustainability Director, broke the ice and put some good ideas about how little acts and small actions can trigger massive changes. He stressed that networks, as we know them nowadays, are a tool that along with technology and widespread knowledge can achieve those changes that we deserve. He also mentioned that we need to use corporations because they are the world’s greatest problem solvers.

Helio Mattar, from Akatu Institute in Brazil, put a frame on what sustainable consumption should and must be, and he repeated that consumers as individuals have the power they need to be taken into account, but this power needs to be articulated in a collective way. He believes that no company can claim they will be sustainable, because they never will be… it is a long process. Check Helio's presentation here

Premila Kumar, from the Consumer Council of Fiji presented the audience with facts about what is happening in her country because of the irrational use of resources. Fiji, for example, contributes only less than 0.1% of the carbon emission of the world but is suffering dramatic problems because of the emissions that were produced all over the world. She mentioned that these are examples of global problems that need global solutions, and that the Asia Pacific region has to find responses.
Session 3b: An introduction to sustainable consumption in Asia Pacific

Richard Welford's overall message was that Asia has made huge advancements in sustainable production but has not made much progress in pursuing sustainable consumption. 
Richard, founder and chairman of CSR Asia, elaborated on the fact that corporate social responsibility (CSR) is not about public relations. It is about what companies do with their profits, how they choose what and where to invest and how this impacts on the communities.
On sustainable consumption, Richard said that we look at production as the principal contributing factor to climate change but have failed to realise that the bulk of energy consumption is not utilised during production of products and services but during the consumption phase. There is a need therefore for education and empowerment of consumers to know this. But (at this point) they need companies to make this happen.

Session 4: Consumer rights and corporate responsibility


This proved to be a fascinating session. While the first speaker, Diana Tsui talked about the drastic fall in the trust in business and thus the resulting growing interest by consumers in companies’ CSR, the next speaker, Jonathon Hanks, an academic from South Africa, questioned the CSR commitment by big companies.
Hanks doubted that consumers still had any trust in business and thus said that consumers are not sufficiently interested in CSR. As CSR is not at the core of a business, it cannot sufficiently deliver sustainable development. What was needed he said was a new concept of shared values and despite the mistrust in big companies, they were in fact able to solve problems as long as they understood that their own, long-term values were at risk. The way forward for consumer groups really was not to support green consumerism as it had failed but rather less consumption.

The third speaker, Guido Adriaenssens talked about research projects into companies’ CSR, and mentioned that three types of companies can usually be found: the no responders (about 10%), the so-called collaborators, who often have good sounding policies on paper but very little on the ground to show for, and the third group, the so-called positive group of companies that engages with the researchers, allows plant visits and even acts on certain research recommendations. 

Full text of keynote address from Connie Hedegaard

Full transcript of keynote speech at CI World Congress in Hong Kong from EU Commissioner for Climate Action, Connie Hedegaard: Empowering consumers in the green economy

Consumers reap benefits of the social web

The phenomenal growth of social networking combined with continuing technological advances, like mobile internet connectivity, has brought new opportunities across the social spectrum – and consumers are one of the biggest winners.

It seems relevant then that this is one of the reoccurring topics of discussion at the Consumers International World Congress being held in Hong Kong, which I’m currently attending as a CHOICE representative.

Get the full story on the CHOICE AUSTRALIA blog

Summary: session 4 - Consumer Rights and Corporate Responsibility




Robert Michel provides his observations:
This proved to be a fascinating session. While the first speaker, Diana Tsui talked about the drastic fall in the trust in business and thus the resulting growing interest by consumers in companies’ CSR, the next speaker, Jonathon Hanks, an academic from South Africa, questioned the CSR commitment by big companies.

Hanks doubted that consumers still had any trust in business and thus said that consumers are not sufficiently interested in CSR. As CSR is not at the core of a business, CSR cannot sufficiently deliver sustainable development. What was needed he said as a new concept of shared values and despite the mistrust in big companies, they were in fact able to solve problems as long as they understood that their own, long-term values were at risk. The way forward for COs really was not to support green consumerism as it had failed but rather less consumption.

The third speaker, Guido Adriaenssens talked about research projects into companies’ CSR and mentioned that three types of companies can usually be found: the no responders (about 10%), the so-called collaborators, who often have good sounding policies on paper but very little on the ground to show for and the third group, the so-called positive group of companies that engages with the researchers, allows plant visits and even acts on certain research recommendations.

Summary: session 3b - An introduction to sustainable consumption in Asia Pacific

A summary by Arlene de Vera of:
Session 3b: An introduction to sustainable consumption in Asia Pacific
Wednesday, May 4, 2011, 1:30 – 2:30 PM
Speaker: Richard Welford


Overall message: Asia has made huge advancements in sustainable production but has not made much progress to pursue sustainable consumption. 
In the Asia Pacific region, as elsewhere in the world, we have advanced so much in dealing with sustainable production. This is something that companies have started to act on. However, we have not progressed that much in terms of sustainable consumption. Richard cited a few examples of good corporate responsibility efforts by multinationals in the region:
1.       Marks and Spencer have launched a businesswide eco-plan which they call their Plan A. For them there is no plan B because the only option they’ve got is to go by Plan A which is the only sustainable way to progress.  They target the following:
-          They will not send waste to the landfill
-          Extend social responsibility sourcing
-          Help customer and employees live healthier lives

2.       Cathay Pacific is also very concerned with climate change
-          They ensure that when they fly, it is under optimum fuel efficiency, optimum weight, and not much energy is lost due to traffic control.
-          They were one of the first airlines that implemented a carbon offset project wherein passengers as a way to do carbon offset may donate some money to fund community projects. Only one percent of passengers, however, is willing to do their share.
Richard elaborated on the fact that corporate social responsibility is not about public relations. It goes beyond photo opportunities during launching of tree planting activities or turn-over of donations to community projects. It is about what companies do with their profits, how do they choose what and where to invest and how this impacts on the communities, how do this think about their social responsibility vis-à-vis the company bottomline.  It is as much about looking after the environment and how their operations impact on climate change, and integrating the concept in the supply chain by ensuring that they don’t do forced labor, they don’t rig consumers nor make unfair deals with their suppliers.
On sustainable consumption, Richard said that it remains a challenge that consumers and consumer organisations have eluded to pursue. We look at production as the principal contributing factor to climate change but failed to realize that bulk of energy consumption is not utilized during production of products and services but during the consumption phase. 
There is a need therefore for education and empowerment for consumers to know this and see how their consumption patterns and lifestyle make a difference in the whole gamut of sustainable consumption and production. But (at this point) they need companies to make this happen. Businesses can contribute by improving their marketing tools and integrating sustainable consumption in their messages and to promote sustainable consumption as a way of life.

Listen to HKCC Chairman's interview to Radio Television Hong Kong

A day before the official opening of the 19th Consumers International World Congress, the Chairman of Hong Kong Consumer Council (HKCC), Professor Anthony Cheung, was interviewed by Radio 3 of Radio Television Hong Kong.

Presenter Mike Weeks noted that it's the second time the event has been held in Hong Kong - the first was back in 1991, and that the issues to be discussed include consumer rights and corporate responsibility, fair financial markets and consumer rights in the digital world. 

Professor Cheung told Radio 3 that "the conference is held very close to the mainland of China, which is emerging as the largest consumer market, we have the largest ever delegation from mainland China to a CI World Congress, and in fact the expected turnout of this confrerence is the largest - over 700 delegates from over 60 countries and jurisdictions".

You can listen to the interview here

Summary: Session 2 plenary - Sustainable Consumption

A summary by Antonino Serra of session:
11.30am - 12.30pm
Convention hall B+C
Session 2 (Plenary) Sustainable consumption - time for action
Helio Mattar, Founder, Akatu Institute for Conscious Consumption, Brazil
Premila Kumar, CEO, Consumer Council, Fiji
Niall Dunne, former Managing Director, Saatchi & Saatchi Sustainability
Chair: Rasmus Kjeldahl, Executive Director, Danish Consumer Council
 
A thin line between living and surviving 

One can argue that there were tons of litres of ink used to write about Sustainable Consumption since the issue became an issue, especially since Rio 92. But the second plenary of this CI’s 19th World Congress that addressed SC showed that words and concepts can be re-thought and can pass through new lenses.
The distinguished panel that Rasmus Kjeldahl chaired this morning gave the audience their best ideas to shape what tomorrow's consumers need to have to ensure that the future is not only a word but something real.
Niall Dunne, former Saatchi & Saatchi Sustainability Director, broke the ice and put some good ideas about how little acts and small actions can trigger massive changes. He quoted people like Gandhi, Kennedy and Martin Luther King on dreams and the possibility of women and men acting as agents of change and innovation. He stressed that networks, as we know them nowadays are a tool that along with technology and widespread knowledge can achieve those changes that we deserve.  He also mentioned that we need to use corporations because they are the world’s greatest problem solvers.

Helio Mattar, from Akatu Institute in Brazil, put a frame on what SC should and must be, and he repeated that consumers as individuals have the power they need to be taken into account, but this power needs to be articulated in a collective way. He believes that no company can claim they will be sustainable, because they never will be… it is a long process.

Check Helio's presentation here

Premila Kumar, from the Consumer Council of Fiji presented the audience with facts about what is happening in her country because of the irrational use of resources and the lousy way we are dealing with the environment. Fiji, for example, contributes only less than 0.1 % of the carbon emission of the world but is suffering dramatic problems because of these emissions that were produced all over the world. She mentioned that these are examples of global problems that need global solutions, and that the Asia Pacific region has to find responses, given that, for example, 576 million people are hungry in an area that gathers 3,9 billion inhabitants, more than the 50 % of the world’s population.

It was clear after the plenary that SC is not only a serious affair but it is a matter of great concern, where the line between live and survive is thinner than ever.

Summary: Opening Ceremony, CI World Congress 2011

A summary of the speeches made at this morning's Opening Ceremony to Consumers International World Congress 2011. By Robin Simpson.
 
HKCC Chairman Anthony Cheung opened proceedings asserting the greater than ever need for a consumer movement as in the light of “the explosion of consumer issues”. Current crises were both economic, such as the financial crisis and its linked policies such as quantitative easing, and environmental such as the current radiation crisis in the region. HKCC was proud to have contributed since the last World Congress in HK 20 years ago and he welcomed the new legislative package on competition and trade descriptions, and the continued support of the SAR. He welcomed the presence of the largest ever delegation from mainland China, over 200, at a World Congress, referring to China as both the largest factory and the largest consumer market in the world in the fastest growing economic region. In all, the Congress welcomed over 700 delegates from over 60 jurisdictions.

Chief Executive Hon Donald Tsang of HK SAR asserted HK’s commitment to the free flow of information, and the role of NGOs and the free media. HK as a major economic and tourist hub received 36 million visitors per year far greater than its population of seven million. It was now the world’s top location for luxury brands, underpinned by advanced consumer protection legislation. HK participated fully in supra-national ‘framework’ organisations such as APEC, WTO.

Samuel Ochieng, president of Consumers International, drew the attention of Congress to CI’s recent successes putting CP in financial services at the heart of the G20 agenda, strengthening the WHO’s work on marketing of junk food to children and  successfully contributing to the recent completion of the ISO standard on corporate social responsibility. COs needed to adapt to the new digital world in which Twitter had as many adherent as the population of Brazil, and Facebook as many as the US. Mr Ochieng's full speech is available here.

Connie Hedegaard, EU Commisioner for Climate Action

Keynote address: Empowering consumers in the green economy

Climate change has arrived: The Commissioner delivered a rousing call to action by consumers on climate change.  Governments could set targets and standards but only consumers had the “power of the purse” to implement climate policies at purchasing level. Two startling facts to start: 2010 was the hottest year on record, and also the year with the most precipitation.

The world’s population was approaching 9 billion within her children’s lifetime while it was below 2 billion when her grandmother was born. These trends had consequences for the world’s resources, for example: each day we cut and burn 24,000 football pitches of forest, and today’s fishing fleet accounted for seven times the catch of the global fleet in 1950. Extreme weather events were already happening, as witnessed recently in Pakistan, Russia, Australia. Climate scientists were forecasting a 4 degree rise in temperature by the end of the century.

Rising demand: There would be one billion new members of the ‘middle class’ by 2050 and on current trends, we would need 2.5 ‘new planets’ by 2050 in resource terms. The terms ‘rich’ and ‘poor’ no longer applied to countries but to populations within countries. Nearly half the world’s middle class consumers were now in developing countries with 240 million in China and 120 million in India. This year we are paying 40% more for food than we did last year.

Household consumption has a huge impact, 70% of GHG emissions come from households, 40% from buildings alone in the EU. Meat needs 10 times more energy than locally sourced vegetables, and EU households throw away 25% of their food purchases.  The average plastic bag is used for only five minutes but takes 500 years to decompose.

Green growth model: We need to embrace the green growth model, major reductions in emissions were cost effective so that even climate change sceptics should be able to accept the economic case for them. “There is no cheaper energy than the energy we don’t use”. Environmental industries were creating jobs, for example, investment in renewables was creating 3-5 times more jobs per dollar than fossil fuels. The EU now had 3-4 million jobs in ‘environmental industries,  China is now the world’s top producer of solar panels and accounts for 40% of the global total of investment in clean technology.

We need to decouple rising emissions from economic growth. In the EU in recent years, emissions have fallen while growth has taken place. Regulation plays a part: in the EU new car emissions have fallen 25% since 2006 following new regulations. It is hard for consumers to not be confused by the plethora of labelling, but accurate labelling can help. Class A fridge/freezer labels introduced in 1995 only covered two per cent of output then, but this has risen to over 90% now. Consumers who bought a grade A fridge in 1995 would have saved over 1,000 euros by now. Environmental labelling and information needs to smarten up to new media allowing for search facilities online, smart metering can help consumers  monitor their own consumption.

The final hurdle is that we must persuade consumers to systematically buy sustainably,  that it is “cool to use less”. “We are threatening the planet with our patterns of consumption”   “Business as usual is no longer an option”.   

Video: Opening Ceremony of CI World Congress

Consumers International has teamed up with City Univeristy of Hong Kong to get young TV journalists involved in covering the CI World Congress (video below). The students will report on consumer rights issues. Headed by CTV Deputy Chief Producer, Lu Ma, the team filmed and edited the Opening Ceremony of Consumers International World Congress 2011 in Hong Kong. Click on the label Congress Video for more videos. Photos are also available here.

Consumers International President's speech

On 4 May, at the Opening Ceremony of the Consumers International World Congress in Hong Kong, the President of Consumers International, Samuel Ochieng, welcomed delegates and called on organisations to empower consumers of tomorrow


Mr Ochieng highlighted the surge in the volume of information that modern consumers are subjected to and called on consumer organisations to empower individual consumers, not just the organisations behind them.

"And we have also seen remarkable rises in the use of digital technology and social media tools. In terms of population, Twitter is almost as big as Brazil, whilst Facebook users out-number the population of the united states. Astonishingly; according to Google CEO Eric Schmidt, we create and consumer as much information every two days as we did from the dawn of civilization up until 2003," said Mr Ochieng to a large hall of delegates from organisations around the world.


"Congress: our role as consumer rights groups must always be to advance consumer protection and demand governments provide the necessary regulation to allow this to happen. But we must also work with individual consumers to help them understand and demand their rights."

Mr Ochieng also noted the impact of the financial crisis and recent natural distasters. He invited attendees to meet and discuss new ways to help empower the world's consumers.


Read his full speech on the Consumers International website.

In pictures: Opening Ceremony of CI World Congress

Video also available here.

Samuel Ochieng, President of Consumers International, presented a speech to delegates from around the world.

Video: World Congress Day 1 - Registration and cocktail

Consumers International has teamed up with City Univeristy of Hong Kong to get young TV journalists involved in covering the CI World Congress (video below). The students will report on consumer rights issues. Headed by CTV Deputy Chief Producer, Lu Ma, the team filmed and edited Day 1 of CI World Congress, covering registration and the cocktail reception.