The Chief Executive Officer of EnvAccord Limited, Mr. Ibrahim Salau, has said it is now imperative for businesses in Nigeria to pay attention to issues of climate change in order to attract investors.
Salau stated this on Saturday during the May edition of the Nairametrics Industry Outlook webinar. Aside from being one of the factors sought by investors, Salau said companies that pay attention to climate change also attract customer loyalty.
According to him, customers expect companies to be responsible towards the environment, noting that companies perceived as not doing so tend to lose trust and loyalty. In addition, he said companies leading in sustainability can differentiate their brands and this can be leveraged to have benefits that speak to their bottom lines in different ways.
Highlighting what businesses could gain from being climate change-conscious and taking deliberate actions to protect the environment, Salau said,
“These days, we have a number of reporting frameworks out there that allows businesses report what they do as far as climate change is concerned. So, a company that fails to seize this opportunity to demonstrate transparency and accountability faces the risk of losing its reputation.
“The other key driver is investor concerns. Paying attention to climate change makes you attractive to your potential investors.
“Organisations that pay attention to climate change can enhance competitiveness in the way they attract talents. Gen Zs, in particular, care a lot about environmental issues and this helps the companies that pay attention to these things to attract the best talents.”
The EnvAccord CEO added that paying attention to climate change also helps organizations in achieving regulatory compliance. He, therefore, advised Nigerian businesses to demonstrate environmental consciousness by cutting down on their usage of fossil fuels and embracing green alternatives in powering their operations.
Stressing the importance of information in addressing climate change issues, Salau said organizations first need to know what climate change means to them and to their business to enable them to know the right things to do. While commending Nairametrics for organizing the webinar on climate change, he said Nigerian media has a huge role to play in disseminating climate change-related information to raise awareness.
The Nairametrics Industry Outlook for May had the theme: ‘Climate Change Resilient Strategies for Businesses’. Conversations at the webinar explored how climate-induced extreme weather events disrupt supply chains for businesses in Nigeria, and proposed resilient strategies such as diversification of suppliers, stockpiling, or adoption of climate-resilient technologies.
