Rolf Nordstrom

This blog was originally published by Forbes Business Council.

Most of us remember reciting the Pledge of Allegiance each school day, ending with “and liberty and justice for all.” But what does justice mean in practice? What does it have to do with climate change? And why should business and the growing throng of people, institutions and governments pushing for a net-zero carbon economy care?

The hard truth is that each generation is charged with defining what justice means, and for whom. In 2021, any definition that doesn’t apply to all doesn’t deserve to be called justice.

Recent weeks have seen significant media coverage about the need to create a net-carbon zero economy both in the U.S. and globally. And there’s also domestic and global momentum to address the racial tensions and inequities that are a moral and economic drag on human progress. But we’re talking about them as if they’re separate issues. They’re not. They’re intrinsically interconnected.

The Importance Of Connecting Energy And Equality Goals

The events since May 2020 make clear that America has a long way to go before people of color enjoy the same treatment as white Americans in all aspects of life: access to wealth creation (good jobs, housing), access to quality healthcare or access to clean air and water. A recent Bloomberg article highlighted the disproportionate burden that many communities of color shoulder when it comes to pollution. This isn’t only morally bankrupt, but it’s also bad for businesses.

There’s a triple win in front of us that doesn’t get enough attention. It requires companies to tackle justice and clean energy together. And the formula is pretty straightforward: The deployment of clean, zero- and low-carbon technologies and facilities in partnership with affected people, especially those who have often been on the losing end of past energy deployment and live near polluting facilities. The “triple win” created by this partnership approach is:

  • Rapid progress toward a net-zero carbon economy increases, made possible by having the broadest possible swath of society see the benefit in the transition.
  • Underserved communities that host energy resources and facilities directly benefit from the presence of these resources and facilities with good-paying jobs and supplier opportunities.
  • Businesses benefit from a growing pool of talent and a larger consumer base with greater disposable income.

Social entrepreneur Jamez Staples lives and works where he grew up in a predominantly Black neighborhood in my organization’s headquarters city, Minneapolis, which has found itself at the center of a global reckoning on race since George Floyd’s murder. Mr. Staples’ story is a glimpse of what one kind of justice could look like on the ground. He set out to create an energy training facility to teach in-demand energy sector skills to residents of North Minneapolis who don’t have access to that training within reasonable geographic reach.

Participants learn how to build and install solar projects, for example, and help make projects happen in their own North Minneapolis neighborhood. Mr. Staples’ vision includes building the youth talent pipeline through STEM education and opening up what has been a very white energy sector to everybody.

Is this about making money? Sure. But Mr. Staples also seeks a triple bottom line: creating more economic opportunity, reducing poverty and eliminating emissions that contribute to climate change.

So why should businesses care about any of this?

The triple bottom line should be reason enough, but there are additional economic and environmental benefits. By investing simultaneously in clean energy and greater equity of opportunity, businesses of all kinds can reduce long-term energy costs and enhance their social license to operate by doing their part to eliminate carbon emissions (which will increasingly be expected by consumers and other businesses).

Most importantly, this investment can help enhance the lives of millions of Americans who only want an equal chance to reach their full potential. Businesses can do more than one thing at a time. Our economy and our future depend on it.

How Businesses Can Start Making A Change

Tackling justice and clean energy simultaneously may seem amorphous and daunting, but companies can do it by breaking the challenge into discrete pieces. To help us do this in our own energy work, we have created an “equity lens” tool, built off of a framework that breaks things down into seven key categories:

  • Internal Team: Is there an opportunity to partner with organizations with experience working on topics such as race, income, geography, ethnicity, citizenship, ability, age, etc.?
  • Involvement and Engagement: What does the ideal equitable involvement and engagement process look like for this project? Who gets to be involved? See Arnstein’s ladder of participation.
  • Project Design: Does the project design include addressing inequities? Are there ways in which project outcomes could contribute to inequity?
  • Beneficiaries: What are the primary benefits of this project and who receives them?
  • Burdens: What do we risk burdening people with through this project? Who is at risk of being burdened?
  • Communication: Are there audiences that are impacted by our clean energy efforts that aren’t being reached?
  • Metrics: Do the metrics our project uses (evaluation or otherwise) give us information to understand whether equity goals are being reached?

Systematically asking and answering these questions, among others, can be the starting point for designing, adjusting and reflecting upon your clean energy efforts and ensuring they contribute to an energy system transformation that also makes our society more just.

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