Voluntary
Environmental Initiatives
—
A Major Need in the Urban and Service Sector in India
K.
Vijaya Lakshmi Email:
kvl@sdalt.ernet.in
As
societies grow, implications of human activities on environment can
take place mainly in three ways. The way in which we produce our
goods (Production), the way we consume (Consumption)
and the way we provide service (Services) to ourselves.
While
there has been a greater understanding and much greater emphasis on
preventing or managing the environ-mental implications of the
manufacturing sector, the same is not the case with the other two
— the consumption sector, the service sector. Currently, there has
been an acceleration in the pace of growth of urban and service
oriented economies. As a result, the environmental implications of
consum-ption and service oriented activities are reaching far
greater heights and almost the same proportions as that of
production activities, thus nullifying the benefits of pro-active
approaches adopted by the Production sector.
Therefore,
our efforts to build sustainable societies should address all the
three aspects of production, consumption and services, in a balanced
way.
This
article focuses on analyzing the trends in service sector and the
opportunities for addressing the environmental issues in this
sector.
Growth
Trends in Service Sector
Majority
of the developing nations currently are switching their economies
from goods-oriented to service-oriented economies. The acceleration
in the process of globalization also contributed significantly to
this shift. Trade not only in goods, but also in services has gone
up with the advent of globalization. It is expected to continue to
raise, assuming an ever larger role in the world economy.
Particularly, as a source of new jobs and world trade.
While
the service economy world-wide grew by only 2-3% per annum from
1990-1996, it has grown by 6-8% per annum during the same period in
the low income economies.
Service
sector in India however, currently accounts for more than one half
of India’s GDP i.e., about 51% in 1998-99. The rise in the service
sector’s share in GDP marks a structural shift in the Indian
economy comparable with a developed economy.
This
sector has grown at the expense of both the agriculture and
industrial sectors through the 1990s. Service industries often use
or supply material goods in the course of delivering their services.
The growth of service industries also signifies the increased rate
of urbanization associated with the changing consumption patterns.
By
definition, service industries create value by performing a service
for individuals or businesses rather than by producing material
goods. The term covers a wide range of businesses and other
activities, including construction, trade, hotels and restaurants,
transport, storage, telecommunication, audio visual media,
information portals, finance, insurance, real estate, public
administration, municipal/city administration, legal, defence,
retailing, health care, cleaning, service stations, vehicle repair,
printing, tourism, education, banking, dry cleaning, computing,
advertising, engineering and consulting…. The list is a vast one.
Environmental
Impacts of Service Sector
The
environmental impacts of the service sector are neither visible nor
concentrated like in the case of industrial activities, due to their
widespread nature across the urban fabric.
Although
individual service units may not contribute significantly to the air
emissions or effluent discharges, the cumulative impact created by
them could be more or less the same as that of a large manufacturing
unit. Many instances of soil and ground water contamination are
reported to be emanating because of the non-point, multiple source
leakages from service units. Some common examples are the oil
leakage from the under ground storage tanks or through the leakage
of cleaning solvents and other hazardous materials (commonly used at
service stations) into the adjacent sewer lines.
Services
such as printing, dry-cleaning, etc., may have direct environmental
impacts as they use materials and generate wastes that are hazardous
in nature. Some services have impacts through their supply chain and
the manner in which they distribute and perform their services.
Other services such as banking, finance, consulting, material /
equipment suppliers etc., may have indirect impacts through their
decisions on other businesses. Still others such as tourism,
education and retailing, power distribution, training etc., may have
both direct and indirect impacts.
The
main aspects of many service sectors like a water supply or power
distribution service etc., involves the use of resources such as
water, energy or generation of large quantities of waste from the
use of material and supplies. These may have little or no impact on
the spot but can have large impacts far away at the site of the
power generation, waste disposal, and so on. Tools such as life
cycle assessments are used for a better understanding of impacts and
for deciding on the less damaging options.
CTI
Program
Clean
Technology Initiative (CTI) is a USAID – India project
implemented in partnership with ICICI Limited, emphasizing
private voluntary initiatives to promote cleaner, climate
friendly technologies and improved environmental management
practices through certifiable environmental management
systems (ISO 14001). The USAID and ICICI Ltd
are assisting Indian industry in the reduction of
greenhouse gas (GHG) emissions through the Clean Technology
Initiative (CTI) a new phase of USAID’s Trade in
Environmental Services and Technologies project (TEST).
CTI offers financial and technical assistance to Indian
industry in select sectors.
The
Tetratech India Ltd., (TTCIL), the lead consultant of the
CTI program has sought the technical assistance of
Development Alternatives for designing and implementing
Environmental Management Systems (EMS) as per ISO 14001
guidelines in selected units of Hospitality Sector and
Industrial Townships. Development Alternatives also has
assisted in developing a Energy and Environmental
Performance Benchmarking Tool for Hospitality sector in this
project.
List
of Participating Units
Hospitality
Sector
EMS
Initiative
l
The Orchid Hotel, Mumbai
l
Hotel Hyatt Regency, Delhi
l
Hotel Best Western, Mathura
Energy
and Environmental Performance Benchmarking Initiative
l
The Taj Mahal Hotel, Delhi
l
The Oberoi Hotel, Calcutta,
l
The Orchid, Mumbai
l
The Leela Kempinski, Mumbai
l
The Hyatt Regency, Delhi
l
The Park hotel, Delhi
Industrial
Townships
EMS
Initiative
l
IFFCO, Kalol Township, Ahmedabad, (Gujarat)
l
Godrej & Boyce, Vikhroli Township, Mumbai (Maharashtra)
l
Tata Chemicals, Mithapur Township, (Gujarat) |
Some
services have impacts far beyond their own direct effects on the
environment. For example, services provided by engineering and
consulting firms, architects, urban ( city/town/ regional) planners
and management consultants will have far reaching effects. As they
influence the technology choices, material choices or strategic
management choices. Their decisions can have far reaching impacts on
environment either positively or negatively.
Currently,
relatively little analysis exists regarding the extent and magnitude
of environmental impacts and the management strategies of India’s
service sector industries, as compared to the industries in primary
production such as mining, oil and gas extraction and refinement,
power generation etc.
Tools
for Environmental Management
Traditional
methods of controlling the impacts of service sectors have often
proved to be impractical, just because of their sheer numbers and
smaller sizes, reduced visibility and diffused effects. To tackle
this ever growing, not so visible, yet gigantic problem, new
approaches are certainly needed along with information, education,
training and sector / activity specific guidelines.
Existing
environmental management tools should be customized and can be
adapted to many service industries. Application of tools such as :
l |
Energy
and environmental audits, |
l |
Environmental
Management Systems (EMS) as per ISO 14001, |
l |
Environmental
Management and Audit Scheme (EMAS), |
l |
Energy
and Environmental Performance Benchmarking, |
l |
Supply
Chain Management , |
l |
Life
Cycle Assessments, |
l |
Corporate
sustainability reporting etc., |
need
to be promoted and should be taken up voluntarily by service
industries extensively. Service industries, as they act as conduits
between consumers and manufacturers and other businesses, are well
positioned to influence as well as respond to the increasing demand
for sustainability initiatives.
Role
of Cities and Municipalities / Townships – a Conglomeration of
Service Providers and Consumers
Urban
economies being service oriented economies, have the potential to
create livelihoods on a massive scale, thus encouraging larger
population shifts from rural areas. If in future, our cities and
towns need to be sustainable, both the service users (consumers) and
the service providers should join hands in making a city
sustainable.
For
example, the urban / municipal services such as housing, water and
electricity supply, solid waste management, sewerage treatment and
disposal, construction, transportation, marketing, service stations,
banking, education, health care, recreation and an array of other
facilities and services have the potential to consume large amount
of resources and generate disproportionate amounts of wastes. And
very often, the consumers and the service providers lack knowledge
on conservation and proper environmental management systems. Much of
the opportunity to control impacts will be in the areas of hazardous
waste materials management, waste reduction, and minimization of
energy and water use.
Sustainability
of a city is much dependent on what choices the people of that city
make, not only about which products and brands to buy but also which
life styles to follow. Many consumers are now realizing that single
product choices are not going to change the world. So a growing
number is also beginning to make conscious lifestyle choices, which
include opting for recyclable containers, less packaged consumer
items, organically grown food material, bio-degradable,
non-phosphoric detergents, organic, naturally grown farm products
and even ethical investments and telecommuting etc.
Therefore,
future sustainability can only be assured if the service industries
and urban local bodies, along with the manufacturing sectors, come
together to implement voluntary environmental initiatives in the
areas of waste minimization, prevention and control of solid waste,
energy efficiency, renewable energy promotion, recycling, water and
sanitation, public health services and a variety of other such
areas.
In
summary, it may be concluded that, sustainable societies can become
a reality if only Clean Production, Green Consumption and Greener
Services are adopted by all of us. q
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