For a growing number of businesses, implementing smart environmental policy aids legal compliance and promotes competitiveness. Gone are the days when the only companies concerned about environmental laws were heavy manufacturers. Recent developments in both the U.S. government and private corporate sectors have ushered in a new era of corporate sustainability, in which complying with environmental regulations is moving from a recommendation to a mandate for a wide range of businesses. Just as organizations must develop and enforce policies in the areas of governance, employment, and safety, many companies and public agencies are now required to track and report sustainability measurements to ensure legal compliance. Moreover, many forward-thinking companies are already implementing environmental policies to stay competitive, even though it is not yet a legal requirement. In-house counsel should be aware of the new corporate sustainability requirements and recommendations to advise organizations how to develop policies, avoid liability and succeed in the new green economy.
While 2010 began without a comprehensive U.S. federal climate law or legally binding international agreement, regulatory action and negotiations are ongoing. Despite the failure of the United Nations Climate Change Conference in Denmark last December to produce any binding greenhouse gas emission (“GHG”) reduction laws, nations will continue working toward a global climate treaty. In the U.S., a bi-partisan bill being sponsored by Senator John Kerry (D-Mass.) could succeed in bringing the parties together and finally getting a new climate law passed.
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