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Why would you feature oil companies as customer references?

Oiled Turtle Rescue and Rehabilitation

The BP Oil Spill in the Gulf of Mexico was, unfortunately, far from being an isolated incident. Chevron in Ecuador, Shell in Nigeria, Exxon in Alaska – name me an oil company and I’ll name you an environmental disaster. And, it appears that some of them are responsible for funding, climate change denial.

And yet at a number of conferences I’ve been at recently, oil companies have been mentioned as customer references from the podium. From my position as an advocate of green measures, that irks.

Hasso Plattner keynoting the Sapphire Now conference

At SAP’s Sapphire Now conference last week for example, during the keynotes given by Vishal Sikka, CTO, and Hasso Plattner, Chair and co-founder of SAP, three oil companies were featured. And this is a company which is going to great pains to establish a reputation for itself as being being Sustainable.

It is not like SAP were short of customer references – there were probably north of 30 customers shown between the two back-to-back keynotes. No-one would have complained if there were three less.

So, they had oil companies, ok, well to counter that how many of the other customer companies represented were renewable generators? Not one. Not a single one.

C’mon guys, it’s not like renewable generators have a shortage of big data – I remember on visiting Logica’s center of excellence in Lisbon seeing their windfarm management application. They told me that a typical turbine outputs around 250 data points per minute and that particular application was managing over 2,000 wind turbines.

Leaving Logica aside, there are plenty of other well known companies heavily involved in renewables who could have been showcased – think Siemens, Vestas, Samsung, Mitsubishi, Iberdrola, Hyundai, GE, Gamesa, and Alstom for wind energy; then there’s Bosch, Sharp, and Sanyo for solar, for example.

In fairness to SAP, one of their demos, from UK energy retailer Centrica, was a Smart Meter Analytics demo where Centrica was able to utilise the analytics to help consumers reduce their power consumption – more on which in another post.

And, I should not ignore that fact that oil companies such as BP have invested in renewables but is that where their focus really is? SAP is pushing the sustainability agenda and for that they should be given credit. But… show us the evidence in the real world of customers that SAP is supporting.

That’s how you gain credibility.

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Photo credit NOAA’s National Ocean Service

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Friday Green Numbers round-up 05/07/2010

Green numbers

Photo credit Unhindered by Talent

And here are this week’s Green numbers:

Posted from Diigo. The rest of my favorite links are here.

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Suddenly the business case for being an ethical, non-polluting business seems all the stronger

BP Oil Spill

Photo credit NASA Goddard Photo and Video

Is the massive environment, health and safety (EHS) risks, which fossil fuel companies represent, starting to hurt their businesses?

Reading this morning about the Deepwater Horizon explosion and the continuing oil spill in the Gulf of Mexico I note that BP’s market value has fallen from ?122bn last week to ?102.5bn today – a loss of almost ?20bn in a week (or just over 16% of its value).

What has to be really worrying for BP investors is that

Things must be pretty grim at present in BP’s plush London HQ but it is not like BP have an exceptionally poor record by fossil fuel producers standards. For example:

And this EHS risk is not limited to oil and gas companies. On the contrary:

Massey Energy, the owner of the Upper Big Branch coal mine which exploded four weeks ago, killing 29 miners, has a terrible record of environmental and health and safety abuses. In fact, so bad are they that the FBI announced recently that they would be investigating Massey for the possible bribery of federal officials overseeing mining industry regulation and for potential criminal negligence.

Massey’s main competitors in the US are little better –

With the rapidly increasing number of environmental lawsuits taking place companies like the above are going to be spending more and more of their time in the courts with the consequent losses in time, productivity and reputation which that entails.

When you couple that with the growing interest in environmental issues being taken by the SEC, the EPA and investors and suddenly the business case for being an ethical, non-polluting business seems all the stronger.

After all, as many people noted on Twitter in the last few days, spills of air from wind farms or sun from solar plants are not going to have the devastating environmental consequences we have witnessed in the last decades as a result of our addiction to fossil fuels.

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