International Cooperation

The EU-China Environmental Governance Programme (EGP) grant environmental information disclosure project

Mr. Asia Wang, NEWAsia Managing Director, has played a senior expert role in the development and implementation of the EU-China Environmental Governance Programme (EGP) grant project “Improving Corporate Environmental Information Disclosure in Zhejiang and Shanxi Province through Promotion of Corporate Social Responsibility” (CEID).

The CEID project aims to enhance corporate environmental information disclosure in Zhejiang and Shanxi Provinces through the promotion of CSR and by creating an encouraging policy environment, and subsequently disseminating successful models for broader uptake in China. The overall objective of the project is to improve corporate environmental information disclosure at the local level in China.

The project duration is 20 months, from September 2012 to April 2014. The project is supported by the Department of Policies, Laws and Regulations, Ministry of Industry and Information Technology of the People’s Reublic of China; the Zhejiang Economic and Information Technology Commission; and the Shanxi SME Bureau. The project’s partners are DEUTSCHE GESELLSCHAFT FÜR TECHNISCHE ZUSAMMENARBEIT (GIZ) GmbH; the Zhejiang Research Institute of Industrial Economy; the Shanxi SME Promotion Association; and the Carbon Disclosure Project.

Mr. Wang focuses on three areas of consultancy services and technical support for the CEID project:

  1. Conducting research and comparative studies of CSR policies (including incentive policies and environmental information disclosure) of different local governments that have already issued CSR policies in China.
  2. Developing policy recommendations on CSR and CSR incentives for local Zhejiang and Shanxi governments.
  3. Providing guidance to pilot companies to encourage awareness of the benefits of CSR and to further establish a CSR management system, which includes environmental information disclosures.

The research and report outcomes:

Report: Policies and Practice of Corporate Environmental Information Disclosure in China

Policy Recommendations: Recommendations on Promoting Corporate Environmental Information Disclosure (CEID)

 

Emerging Market Multinationals (EMMs) Project

Emerging Market Multinationals (EMMs) are increasingly investing abroad. The rapidly growing volume and relevance of this outward engagement (e.g. infrastructure projects in developing countries, mergers and acquisitions in developed countries) has exposed EMMs to the attention and scrutiny of a broad range of stakeholders.

Around the globe, companies are facing the challenge to comply with the rising demands of stakeholders and consumers for responsible business practices and production methods. In our quickly changing world, expectations of stakeholders regarding the responsibility of enterprises are continually evolving, becoming more complex and demanding. Consumers are increasingly aware of what they are buying—from the local communities in which goods are produced to the resources extracted to produce these goods—and they are confidently voicing their demands. Meanwhile, foreign governments and stock exchanges are increasing their efforts to hold companies accountable—even if the EMMs are not located within their jurisdictions.

The significance of Chinese EMMs with operations outside of China is increasing substantially. These companies have now greatly expanded to sectors such as infrastructure, transport, power, mining and the chemical industry through projects that require high managerial capacity and technical expertise.

For Chinese business leaders, the importance of increasing their ethical, social and environmental footprint is growing ever more relevant as they face a reputational risk which can affect business opportunities abroad. Already, a few extreme cases of inappropriate actions that were not in line with stakeholder expectations have gained substantial media coverage and fostered resentment towards Chinese business practices.

Against this background, GIZ China has conducted an assessment of the training needs of Chinese corporations in cooperation with relevant Business Membership Organizations (BMOs). The consultancy team led by Mr. Asia Wang was tasked to conduct a survey among at least 30 Chinese multinational state-owned and private enterprises and relevant business associations or government agencies.

Report:  a summary report of the survey, including recommendations for developing a training concept for EMMs investing abroad.