Climate change policy and business climate strategies: EU cement companies' response to climate change and barriers against action

Okereke, C. and Küng, K. (2013) Climate change policy and business climate strategies: EU cement companies' response to climate change and barriers against action. Management of Environmental Quality, 24 (3). pp. 286-301. ISSN 1477-7835 doi: 10.1108/14777831311322622

Abstract/Summary

The paper provides a descriptive analysis of the carbon management activities of the cement industry in Europe based on a study involving the four largest producers of cement in the world. Based on this analysis, the paper explores the relationship between managerial perception and strategy with particular focus on the impact of government regulation and competitive dynamics. The research is based on extensive documentary analysis and in-depth interviews with senior managers from the four companies who have been responsible for and/or involved in the development of climate change strategies. We find that whilst the cement industry has embraced climate change and the need for action, their remains much scope for action in their carbon management activities with current effort concentration on hedging practices and win-win efficiency programs. Managers perceive that inadequate and unfavourable regulatory structure is the key barrier against more action to achieve emission reduction within the industry. EU Cement companies are also shifting their CO2 emissions to less developed countries of the South.