ENVIRONMENTAL BUSINESS
Recognizing Earth Day 2021
How Businesses Can Begin Securing Their Assets and Operations Against Risks from Climate Change
By Shawn M . LaTourette Acting NJDEP Commissioner
From encouraging recycling and clean energy transitions to protecting our ecosystems and taking special care of our shared open spaces , there are no shortage of environmental opportunities on which to focus this Earth Day . This year , I am encouraging New Jersey businesses to explore opportunities to secure their assets and strengthen their operations against the existing and worsening risks of climate change – especially risks from chronic flooding and sea-level rise .
One of the traits that makes New Jersey great for business are our plentiful working and scenic waterfronts . Our exceptional Atlantic coastline , our lakes , rivers , bays and ports all help make New Jersey an excellent choice for locating and operating a successful business . But the richness of our waterfronts also makes our state especially vulnerable to some of the worst impacts of climate change .
Here ’ s what the science tells us : sea levels are increasing at a greater rate in New Jersey than most other parts of the world . And , annual precipitation in New Jersey is expected to increase by up to 11 percent by 2050 . Indeed , sea-level rise and chronic inundation are already adversely impacting New Jersey and will worsen . Severe coastal flooding and erosion from a relatively mild winter storm this February was no fluke . We should all expect to see events like these more frequently .
Some New Jersey businesses have already felt the pressure on their bottom lines from climate change . Threats to public and private infrastructure , for example , affect if and how customers and employees can reach our businesses . A flooded road or inundated switching station can have dramatic impacts on a single day ’ s business . Imagine the impacts for businesses in areas of New Jersey that will be chronically inundated due to sea-level rise or sunny day flooding several days of each week .
While this new reality can feel daunting , we need not fear a future where our physical and business landscapes are deeply affected by climate change — if we are prepared . As with other threats to our environment and public health , failing to prepare ( or preparing too late ) for climate impacts carries outsized repercussions for our economy . But , as New Jersey ’ s business and industry leaders know , those who prepare well often get a jump on the competition . With respect to climate change , businesses that take steps now to ensure resilience will be ahead of their competition — not just within New Jersey , but nationally and even globally .
Skeptics may suggest that climate risks are too uncertain and that working to build resilience now will cost too much . Sound science and economics , however , tell us that failing to prepare will most certainly be more expensive , if not disastrous . Taking wise resilience measures now will help businesses maintain their economic footing for tomorrow , ensuring access to capital and the ability to attract and retain customers , employees , and public investment .
The good news : New Jersey ’ s thoughtful businesses have always turned challenges into opportunity .
Our businesses do not just react to changing circumstances , they innovate . New Jersey is the birthplace of the lightbulb , the FM radio and the ice cream cone — innovations that spread throughout the globe and made our world a better place . Pioneers in industry have found ways to create and adapt faster than their predecessors , creating entirely new economic sectors in their wake .
“ One of the traits that makes New Jersey great for business are our plentiful working and scenic waterfronts .”
This is especially true when it comes to our response to climate change . Today , we are seeing business leaders adapt to a new , more future-focused order — not just because adaptation is good for the environment and public health , but because it is good for business . For example , General Motors announced that it will exclusively offer electric vehicles by 2035 . And , Black- Rock reiterated the business risk of climate change by pressuring companies to eliminate greenhouse gas emissions by 2050 . And , just this March , Goldman Sachs Asset Management announced its intent to assess climate risk exposure and consider countries ’ capacities to adapt to physical risks .
So , how can New Jersey ’ s business leaders and innovators become more future-focused and help ensure a more resilient economy in which they can prosper ? Here are just three ideas that can help businesses strengthen their assets and operations in the face of climate risks : 1 . Assess climate risks to your business and community . You can start by using NJ Flood- Mapper at
https :// www . njfloodmapper . org / to assess where , how and when your business sites could be impacted . Do not just limit your research to your business locations ; consider how increased flooding and sea-level rise could impact transportation to and from your business , as well as impacts to local attractions that help bring customers to your door .
2 . Update your business plan to integrate climate resilience considerations . Investors , insurers , and regulators are beginning to ask hard questions about how resilience and sustainability factor into a business ’ s operations . Asking these questions of your leadership now can produce confident answers in the future . Innovators are already exploring how to turn the climate threats into business opportunities . For example , the LEED certification program for building sustainability is a good example of turning what was once considered a burden into a business potential .
3 . Engage with community leaders about broader resilience measures that have implications for your business . This Earth Day , the New Jersey Department of Environmental Protection will spark the beginning of an important statewide conversation about climate resilience . Your position as a business leader can help your community prepare for impacts like sea-level rise and chronic flooding that is affecting our communities now and will continue to affect them in the future . Businesses should routinely ask local leaders about how they are working to ensure resilience . And , never be shy about highlighting your businesses ’ efforts to become more resilient — they benefit your entire community . This Earth Day , let us be reminded that — together — our work to build a more resilient New Jersey will enable our businesses to thrive for decades to come .
About the Author :
Shawn LaTourette , Acting Commissioner of Environmental Protection first joined the DEP as chief legal and regulatory policy adviser . LaTourette was appointed Acting Commissioner by Governor Philip D . Murphy , on January 16 , 2021 .
As Acting Commissioner , Mr . LaTourette ' s responsibilities include formulating statewide environmental policy , directing programs that protect public health and ensure the quality of New Jersey ’ s air , land and water , and its natural and historic resources .
40 COMMERCE www . commercemagnj . com