“So close, no matter how far
Couldn't be much more from the heart
Forever trusting who we are
And nothing else matters”
Metallica’s iconic song was written about the importance of family but has come to be adopted by the band as a tribute to their fans. The song has become an anthem and been covered by many including the latest version by Miley Cyrus featuring Elton John and YoYo Ma, amongst others.
Many would like to claim it as their theme song (including Beckon but we haven’t discussed that) but I was intrigued by a live version played by Metallica at the “The Concert for the Climate Crisis”, Wembley in 2007. Yes 2007!
If the climate was in crisis in 2007 where does that leave us now as we head into Cop 26?
I have written a few pieces of late on climate (https://beckon.capital/resources/articles) and I certainly stand by what I wrote months ago.
Climate change is at the outset inflationary (https://beckon.capital/resource/carbon-related-shocks-on-inflation).
“There is significant inflationary risk in a move towards a true costs of production model as well as significant uncertainty. If we go down this path it would represent one of the most significant changes in product costing in history.”
This is now the consensus view, although just three months ago my pieces generated some pushback.
I also discussed a month ago how net zero was the ultimate branding (https://beckon.capital/resource/net-zero-as-the-ultimate-brand-ing). I discussed how the Australian Government would be forced to formulate a net zero policy although I didn’t expect it to occur this quickly.
“Political parties will have to continue to adopt credible net zero policies, something I believe the current Government in Australia will actually do, heading into next year’s election.”
Two major issues are now front of mind, namely, how much will people pay for climate change and how credible are the net zero claims?
It is also now recognized that while technology is the key, we are not yet there and are still some ways away.
Credibility of measurement can only become more important. The brings me to my personal view on impact measurement:
1. Decide where you want to be
2. Measure where you are
3. Implement change
When I search for “personal carbon footprint” on Google I get over 54 million responses. My search for “personal carbon footprint Australia” garners over 11 million results.
Daunting, and its not for me to recommend a calculator but I do suggest people make the decision to calculate “measure where you are “.
How can business survive without a policy on impact and ESG? It is an essential element in not only sustainability but increasingly its driving profit.
Investors need to know a business is viable and sustainable for it to be investable. These are the three pillars of Beckon’s Capital Advisory business. We look at/or provide our expert view on the following:
1. Is your firm Viable?
2. Is it investable?
3. Is it sustainable?
We call this the V I S approach.
To do this we need to analyse both the financials and also the impact your firm is having.
For start-ups and SMEs: nothing else matters!
Live Earth "The Concert for a Climate in Crisis" at Wembley Stadium 2007, London
Miley Cyrus version
David 'Bushy' Nolan
+61 (0) 409 881 910