Circular trends are reshaping industries around the world, helping to reduce operational and procurement costs while creating new market and job opportunities.
In our last issue of Interior Fitout, we looked at global circular economy trends and their emerging impact on home shores.
In this edition, we delve deeper into government plans to set climate reporting rules for large corporations and how these new rules aim to improve transparency and accountability in how businesses handle their environmental impact.
We’ll also explore how these reporting requirements may help businesses become more sustainable and highlight potential government grants available for circular economy projects.
Find out how these changes could affect your business and what you can do to stay ahead.
Government and Industry – a new era of accountability
Within the corridors of power in the Federal Government, an expert team is quietly crafting the blueprint for climate disclosure standards and mandatory reporting protocols aimed at large corporations.
These initiatives are poised to synchronise with international benchmarks, ushering in a new era of corporate transparency and environmental accountability.
In the private sector, a groundswell of companies have already taken their own pledge, Vanessa Cullen, from Forward Thinking Design says.
“Many companies have already made a public and governance commitment to Net Zero Carbon and/or going ‘zero waste’ across their business,” Vanessa explains.
“There is public and investor pressure on industry to be transparent and to report on their environmental and social impacts.”
“There is also a considerable public relations impact to be gained through having compelling financial, environmental and social stories to tell, supporting shopfitters, designers, suppliers and their clients in positioning themselves as leaders and responsible participants in society.”
Navigating the path to sustainability
While more reporting might seem overwhelming, adopting a circular economy approach could lead businesses to success.
ForestOne’s John Dalla Via advocates for a shift within the construction and fitout industry, highlighting the significance of scrutinising supply chains and prioritising third-party verification.
“What the industry needs to think about is in regard to their supply chain and what questions need to be asked,” John says.
“Third-party auditing and certification is of high importance.
“It is the only way to compare like for like products using the same standards.”
John is talking about Environment Product Declarations (EPDs) which is a data-driven document highlighting the environment impact of certain building materials.
The data is presented in a standardised way which makes it a lot easier to compare different materials.
“There is no one universal database other than the global EPD ECO Platform to show verified EPDs, but also communicating with your supply chain to make sure they have all the necessary documentation,” John explains.
“Companies must show transparency in information both positive and negative.”
While some may be overwhelmed with the complexities of becoming more ‘circular’, John says there are some simple changes shopfitters, builders, and designers can do make to improve their impact.
“Look for products and suppliers that have their products certified and start with small changes to understand requirements.
“Look at areas where they use the most products in their business and talk to the current supply chain. For example, joinery can talk to suppliers about their environmental product declaration, recycling both post-industrial and post-consumer sourcing.
“Move from MDF wherever possible and go to particleboard. Make sure that everything that is stated by the company you are dealing with can be third-party verified.”
Echoing these sentiments, Vanessa highlights the competitive advantage of embracing sustainability.
“Carbon reporting is swiftly becoming the norm,” she says.
“Definitely more contracts and tenders are going to include stronger sustainability requirements modelled around creating circular economy.
“We’re already seeing an increased Federal requirement for recycled content, and this is set to continue.
“There are also grants and funding available to support circular economy innovation and this will continue to grow as governments choose whether to use the carrot or stick approach or both.”
As clients increasingly gravitate towards environmentally-conscious partners, businesses stand to reap the rewards of their commitment to sustainability.
To enable, track and report on financial, environmental and social impact – FTD Circular, powered by Hardcat Lebosi, developed Australia’s first asset management and circular economy digital tool specifically designed for Australian fitout industry professionals.
Visit www.ftdcircular.com to find out more.
Story:
BIANCA KEEGAN