Global Partnerships Week Launches With Focus on SDG-17

(L-R) Kathy Calvin, President & CEO, UN Foundation, Trevor Davies, Global Head, International Development Assistance Services Institute, KPMG and Claus Stig Pedersen, Head of Corporate Sustainability, Novozymes
(L-R) Kathy Calvin, President & CEO, UN Foundation, Trevor Davies, Global Head, International Development Assistance Services Institute, KPMG and Claus Stig Pedersen, Head of Corporate Sustainability, Novozymes

Global Partnerships Week (GPW) kicked off yesterday, March 6, to celebrate the role of public-private partnerships in promoting global development and advancing the Sustainable Development Goals (SDGs). The two-week, annual event is organized by Concordia, the U.S. Agency for International Development, the Secretary’s Office of Global Partnerships, and PeaceTech Lab and engages experts from the public and private sectors, as well as foundations and multilateral institutions.

The U.S. Institute of Peace hosted GPW’s day-long Global Practitioners Forum yesterday, which focused on engaging practitioners in achieving what many consider to be the most imperative and interconnected SDG, Goal 17. Devex President and Editor-in-Chief Raj Kumar moderated the opening panel titled “Goal 17 in 2017: Partnerships for the Global Goals,” which featured USCIB members KPMG and Novozymes, as well as UNESCO, UN Foundation and New America. The panel aimed to explore the role of partnerships in addressing challenges presented by inequality, poverty and governance to ensure the achievement of a comprehensive 2030 development agenda.

Claus Stig Pedersen, head of corporate sustainability at Novozymes, presented participants with anecdotes and insights around partnership challenges, as companies look to align both longer-term strategies and growth opportunities with the SDGs. “It’s not just about partnerships for the sake of doing partnerships, it’s an investment in the future, but it takes time,” stated Pedersen. Pedersen cited several examples including Novozymes’ leadership in the Sustainable Energy for All initiative (SE4ALL), first launched by the United Nations and World Bank at the Rio+20 Summit in 2012, where it subsequently helped establish a coalition of partners aimed at developing and deploying sustainable bio-energy solutions. “Although the partnership was first launched in 2013, we [Novozymes] have continued to stay engaged, establishing concrete projects and cases that are driving the initiative forward.” While many stakeholders increasingly subscribe to the idea of partnership, Pedersen noted some of the success factors behind this effort. “We all really need to do our due diligence and build up good relationships together, as well as learn to draw on each other’s strengths as we look to partner to achieve greater positive impact.”

Additional information on Novozymes public-private partnerships can be found on USCIB’s Business for 2030 website, which serves as an important tool to showcase business’s past and continuing contributions to sustainable development through the prism of the SDGs.

USCIB Urges Business Access in Comments to UNFCCC

As uncertainty in U.S. participation and leadership in UN climate negotiations and the Paris Climate Agreement continues, USCIB and its global network are pushing to ensure that business has a voice in the global climate policy process.

USCIB, the International Chamber of Commerce (ICC) and the Major Economies Business Forum (BizMEF) recently submitted coordinated comments to the UN Framework Convention on Climate Change (UNFCCC) ahead of its Subsidiary Body for Implementation (SBI 46) meeting, to take place in Bonn, Germany on May 8-18, 2017. The USCIB, ICC and BizMEF submissions all make the case for enhancing engagement of Non-Party Actors (NSAs), particularly the private sector, in order to strengthen Paris Agreement implementation. USCIB’s Norine Kennedy, Vice President for Strategic International Engagement, Energy and Environment will attend the Bonn meetings, along with USCIB members from Monsanto and Novozymes.

In preparing the comments Kennedy noted, “As it stands today, the UNFCCC institutional infrastructure does not adequately reflect the role of the private sector and therefore must be updated and expanded to recognize and mobilize business engagement as part of global efforts to deliver on the Paris Agreement. In our view, the May Workshop during SBI46 on enhancing NSA engagement could provide valuable ideas to begin to build this vital institutional infrastructure for implementation of the Agreement.”

Governments have recognized the major contribution of the private sector to achieving the Paris Agreement, its entry into force and other follow-up activities.  As a long-time observer organization representing American business in the UNFCCC since 1993, USCIB has consistently sought to extend existing opportunities to participate in the international climate processes.  USCIB’s advocacy has focused on broadening and improving existing options to create a more comprehensive, recognized channel for business engagement to strengthen implementation of the Paris Agreement and ensure the effectiveness and resilience of the UNFCCC.

In its comments, USCIB emphasized that enhancing business engagement requires innovative governance and partnership, and will be a prerequisite for successful and cost-effective implementation. Kennedy stressed that “the UNFCCC should adjust its means of working with business to a more collaborative and mainstreamed mode. This will require innovative leadership by policy-makers to engage the private sector in new ways.”

USCIB’s comments also included suggestions for the SBI workshop’s objectives, a long-term vision for business engagement in the UNFCC, and the role of business in national pledges under the Paris Agreement, known as Nationally Determined Contributions (NDCs). The full submission can be accessed here.

 

BIAC Holds Annual Consultation With OECD Ambassadors

OECD
BIAC Secretary General Bernhard Welschke and BIAC Chair Phil O’Reilly address Secretary General Angel Gurria and OECD Ambassadors

BIAC held its annual consultation with OECD Ambassadors last month, providing an opportunity for the business community to identify priorities for the OECD agenda that affect both the private sector and governments. Senior business leaders discussed the OECD Secretary General and Ambassadors timely challenges and ways forward in global markets. This annual consultation is part of BIAC’s active advocacy with top OECD officials and governments throughout the year.

The consultation focused on outlining appropriate macro-economic and regulatory policies to strengthen growth, defending and promoting trade and investment for competitiveness, addressing tax uncertainty to boost investment, seizing the benefits of innovation and the digital economy, strengthening human capital to build dynamic inclusive economies, and including business in development and a clean environment.

A full report from the consultations can be found here.

USCIB Urges Secretary Tillerson to Push for UN Accountability

USCIB President and CEO Peter M. Robinson issued a letter last week to Secretary of State Rex Tillerson outlining principles and priority areas for the Trump administration’s posture and involvement in international environmental policy and forums.

The letter recommends an assessment of U.S. engagement in the international environmental arena and proposes an ongoing dialogue with U.S. business groups familiar with those deliberations to inform the administration.

While a growing number of United Nations agencies are increasingly restricting the private sector and excluding business representatives from key meetings, USCIB’s statement urges the administration to insist that UN bodies conduct their work with transparency and accountability to economic stakeholders in the United States.

USCIB’s letter is timely given Tillerson’s first international trip this week as secretary of state to the Group of 20 (G20) meetings in Bonn, Germany. According to the Chicago Tribune, Secretary Tillerson will meet G20 envoys in Bonn to discuss the UN 2030 Agenda for Sustainable Development and climate change.

USCIB Vice President for Strategic International Engagement, Energy and Environment Norine Kennedy commented on the importance of maintaining a strong U.S. presence, noting: “The proliferation of environmental and climate change policies on the global agenda demands that the administration remain an active member of the international environmental community to further and defend U.S. business and economic interests, while tackling climate change and other universal environmental challenges.”

NAFTA Renegotiation an Opportunity to Modernize 20 Year-Old Agreement

North American Union, NAU concept on a gears, 3D renderingPresident Trump’s promise to rewrite the North American Free Trade Agreement is already rattling some companies and rippling across the Mexican economy. Growth in the country’s GDP is projected to slow to a crawl in 2017, according to the Wall Street Journal. Exports account for a third of the country’s economic activity, and some 80 percent of these go to the U.S.

Depending on how it is handled, renegotiating NAFTA could provide an opportunity to update the agreement, according to USCIB Senior Vice President Rob Mulligan. “There are aspects of NAFTA that could be improved, and provisions that could be added to address important economic changes over the last 20 years,” he observed. “But it would be critical to keep those provisions that have enabled U.S. companies to grow during that time as well.”

Mulligan said USCIB was canvassing several of its committees to see where NAFTA could be improved upon – and what “red lines” exist for companies in terms of rolling back or overturning certain key provisions in the landmark agreement.

NAFTA was the first U.S. trade agreement to include binding rules on labor and environmental protections – although these were included in a side agreement, and they have been incorporated into all U.S. trade agreements negotiated since. In addition, NAFTA included strong investor-state dispute settlement (ISDS) provisions – a key factor in gaining American business support for the agreement in light of a legacy of expropriations in Mexico and elsewhere.

A $127 annual boost to the U.S. economy

Eva Hampl, USCIB’s director of trade, investment and financial services, reports that a well-attended program last week hosted by the Washington International Trade Association included presentations on priorities for NAFTA renegotiation from USCIB member companies and others in the business community. Ralph Carter (FedEx), emphasized that Mexico and Canada are the United States’ second- and third-largest trading partners, and he cited a Peterson Institute study indicating that NAFTA brings the US $127 billion per year in additional income.

Carter said that FedEx wants to help modernize cross-border trade. Consider, he said, that it takes an average of 17 hours and three different drivers for a single truck to cross the U.S.-Mexico border. Or that the “de minimis” threshold for expedited, duty-free entry of goods stands at $800 for the United States, but  only $50 for Mexico and $15 for Canada — creating barriers for “just-in-time” delivery of many components. A more seamless border, Carter emphasized, does not mean a less secure border – both can be achieved through smart reform efforts.

Looking northward, President Trump and Canadian Prime Minister Justin Trudeau today agreed on the broad importance of U.S.-Canada commercial relations. “We recognize our profound shared economic interests, and will work tirelessly to provide growth and jobs for both countries,” the leaders said in a joint statement. “Canada is the most important foreign market for 35 U.S. states, and more than $2 billion in two-way trade flows across our shared border every day. Millions of American and Canadian middle-class jobs, including in the manufacturing sector, depend on our partnership. We affirm the importance of building on this existing strong foundation for trade and investment and further deepening our relationship, with the common goal of strengthening the middle class.”

Sustainable Business Opens Major Economic Opportunity

ICC’s Secretary General John Danilovich welcomed a new report – Better Business, Better World – which has been developed by a group of over 35 CEOs and civil society leaders including Danilovich himself. The Business and Sustainable Development Commission (BSDC) initiative was launched one year ago with the aim of inspiring business leaders to drive implementation of the United Nations’ Sustainable Development Goals (SDGs).

The BSDC’s headline finding is that putting the SDG’s at the heart of the world’s economic strategy could unleash a step-change in growth and productivity. Analysis presented in the report suggests that SDG-related markets have the potential to grow two to three times faster than average GDP over the next five years – with many “unicorns” (start-ups valued at over US$1 billion) already finding major success in these sectors from mobility systems through to circular manufacturing.

Commenting on the launch of the report, Danilovich said: “The report makes clear that sustainability is no longer a luxury investment: it’s a core driver of business productivity and growth in the 21st Century. The Global Goals have created enormous opportunities for businesses willing to put sustainability at the heart of their operations.”

Danilovich added: “We believe the SDGs should be known as the BDGs – the Business Development Goals. There is a huge opportunity for business to drive the transition to a better and more just world. We want the BSDC report to inspire a new generation of business leaders who put sustainability first because it makes plain business sense.”

Many companies are already taking action to support implementation of the SDG’s. In fact, USCIB has launched Businessfor2030.org in 2015 to track initiatives and contributions that businesses have been making to achieve sustainable development through the prism of the SDG’s.

Better Business, Better World was launched at the Philanthropreneurship Forum in Vienna, Austria, and will also be discussed at the World Economic Forum in Davos, Switzerland.

To access the report, visit the Business & Sustainable Development Commission

 

USCIB SDG Working Group Conference Call

This call will update the group on UN activities relating to the SDGs in 2017, opportunities for USCIB member involvement in UN SDG-related meetings and also discuss main developments and private sector messages on business and the UN 2030 Sustainable Development Agenda to be conveyed to the incoming Administration. More information on the agenda and invited speakers for this call will be circulated in early January.

USCIB in the News: Op-ed in The Hill on UN Funding

un_headquarters_lo-resUSCIB President and CEO Peter M. Robinson published a timely op-ed in The Hill addressing recent calls in Congress to withhold or withdraw U.S. funding for the United Nations. The op-ed, reprinted below, is also available on The Hill’s website.

This op-ed comes as President-elect Trump’s top appointees, including his proposed foreign policy team, are on Capitol Hill for Senate confirmation hearings. We encourage you to share the op-ed with your colleagues and others who may be interested.


The Hill

January 11, 2017

Walking away from the UN would harm US economic interests

By Peter M. Robinson, opinion contributor

With President-elect Trump’s key foreign policy nominees facing Senate confirmation hearings this week and next, some lawmakers on Capitol Hill are threatening to withhold or slash U.S. funding for the United Nations.

This would be a bad idea, both for American power and influence, and for our economic interests. It would be especially risky for U.S. companies and workers.

My organization — The United States Council for International Business — has represented American business views to the U.N. and other international organizations for decades.

We know the U.N. sometimes fails to measure up to our expectations, particularly when it and its specialized agencies have provided a platform for anti-business views. Why do we put up with this? Why shouldn’t we just take our chips and go home?

Quite simply, because we know that no country, including the United States, can go it alone. A strong U.S. presence in the U.N. enhances our influence and our overall security.

More than ever, at a time when terrorism, cybersecurity threats, disease pandemics and refugee crises can disrupt our lives, we need the kind of platform for close international cooperation and collective action that the U.N. can provide.

This is especially true for American companies with customers, employees and operations around the world. While we may not agree with everything the U.N. does, it is simply not in our interest to withdraw support.

We in the private sector see an urgent need for the United States to stick up for its economic interests in the U.N.

For instance, in the negotiations that culminated in the 2015 Paris Climate Agreement, the U.S. had to push back hard against proposals to undermine protection for innovation and intellectual property rights, to assign historical liability for loss and damage from natural disasters, and to ban certain technologies or energy options important to U.S. energy security and climate risk reduction.

Without strong U.S. leadership, these initiatives would have carried the day, hampering American jobs and competitiveness.

At their best, the U.N. and similar bodies set global standards and develop rules that allow U.S. businesses to plan and invest.

Recent U.N. initiatives that have helped American business and our economy include agreements that support a fundamentally “hands-off” approach to the global Internet and guidelines laying out the roles and responsibilities of the private sector and governments in upholding human rights.

Moreover, the U.N. has recently developed the 2030 Sustainable Development Goals (SDGs), addressing an array of challenges, from ending global poverty and hunger to ensuring access to energy, for the next decade and beyond.

The SDGs were developed in close partnership with the private sector, which will be responsible for “delivering the goods” in many, if not most, measures of success.

So, is the U.N. perfect? Far from it, but withholding funding or walking away from the U.N. won’t change that.

Like it or not, it is part of the fundamental infrastructure for global economic activity. Like other infrastructure, the U.N. is desperately in need of repair to meet the needs of the 21st century.

If we play our cards right, this can be a century of American-led innovation and entrepreneurship. President-elect Trump’s administration should insist that the U.N. live up to its potential, defending and advancing U.S. interests in the influential world body.

Business will be there to help. Just last month, the U.N. afforded highly-selective Observer Status in the U.N. General Assembly to the International Chamber of Commerce (ICC), the business organization that represents enterprises across the globe in numerous U.N. deliberations.

This is an important sign of progress, indicating that the U.N. recognizes the need to work more effectively with business.

(Full disclosure: My organization serves as ICC’s American chapter and we pushed hard in support of ICC’s application.)

Congress should meet U.S. funding obligations and work with the Trump administration to hold the U.N. accountable to the U.S. and other member governments, as well as to economic stakeholders in the business community.

Strong engagement and leadership in the global body by the United States is an opportunity too important to lose. American security, jobs and economic opportunities are at stake if the U.S. were to indeed walk away.

Peter M. Robinson is president and CEO of the United States Council for International Business. He is an appointee to the President’s Committee on the International Labor Organization and the Secretary of State’s Advisory Committee on Public-Private Partnerships. Robinson holds a master’s degree in international affairs from Columbia University.

The views expressed by contributors are their own and not the views of The Hill.

USCIB Business SDG Roundtable on Infrastructure Organizing Group

At its last meeting, USCIB’s SDG Working Group agreed to organize SDG Business Roundtables in 2017, focusing on multi-sectoral business solutions and partnerships in the international arena on infrastructure and innovation aspects of the SDGs. These roundtables will be organized to coincide with important UN and US government events relating to SDGs, and bring government, UN, NGO and business experts together to highlight national and international enabling frameworks for business engagement on SDG implementation. As you will recall, the USCIB SDG Working Group’s approach to infrastructure in the SDGs includes built infrastructure and transport, but also energy systems, ICTs, health care and education.

If you are interested in taking part in this USCIB Business SDG Roundtable organizing group on infrastructure in the SDGs, please reply to Mia Lauter (mlauter@uscib.org) to be added to the contact list.

USCIB Briefing and Discussion – Implications of the new Administration on International Environmental Policy

The purpose of this meeting is to (1) update USCIB members on key people in the new Administration, and their role in US government policy and involvement in international environmental deliberations and institutions relevant to US business; (2) discuss opportunities and challenges to USCIB international environmental policy advocacy priorities; and (3) develop USCIB main recommendations on international environmental policy to the incoming Administration. Experts from the current Administration and USCIB members will be on hand to provide timely information, and take part in the discussion of USCIB messages and outreach to the transition teams. This event is kindly hosted by Beveridge & Diamond at their D.C. offices, and will be followed by a reception.