Centre for Science and Environment
The Centre for Science and Environment ( CSE ) is an Indian non-governmental organization founded in 1980, and agency for ecological corporate credit rating. It was founded by a group of scientists, journalists, engineers, and environmental activists. It is headed by Sunita Narain.
The organization aims to find solutions to industrial environmental problems in India. The project includes influential people from all over India. The revenues come mainly from donations ( 79 %) and their own economic activity. Among the major donors we offer are the Protestant Central Agency for Development Aid, the Oak Foundation ( Switzerland ), the Heinrich Böll Foundation, Misereor, Indian ministries and the European Commission.
Ecological corporate rating
The organization operates the rating of Indian companies according to ecological principles. The rating is an instrument for monitoring and evaluating the company and to create transparency and foster competition on sustainability and environmental performance as the participation of the public. The intention is also the company to provide incentives for the creation of an ecological reputation.
The rating agency will act on its own and calls on companies to face up to the rating process. It measures the sustainability and life cycle assessment of a company and its products, including its production processes. The rating is done by professionals and scientists on the basis of over 100 criteria. By rating action, also an ecological infrastructure with ecological scientific knowledge promoted in India ( " Green Network ").
Background and objectives of the rating
The rating agency has adopted the method for ecological rating from the United States and those adapted for the Indian market. It starts from the basic assumption that most companies deal in India with inadequate environmental protection. Therefore, the focus of the rating is based on the future greening of the rated entity and not on past actions. In order to assess progress, to the assessment of the companies to be replaced in a two year cycle.
Policies and procedures for data collection
To measure the environmental performance of a company, the entire value chain of a company is being investigated. All effects on the environment should be considered in the rating.
- Procurement of raw materials
- LCA of production ( investment, production processes, waste disposal)
- Consumption of these products
- Proper Disposal of the products or product residues
- Environmental policy and management system
- Compliance with environmental laws and influences on the lives of the local people in the enterprise environment
The relevant for the rating primary data are collected from the following sources:
- Are examined by the participating companies themselves provided data. This data is requested and industry-specific environmental policy of the company.
- There will be a visit to the company headquarters.
- The local population will be examined and questioned.
- Media or publicly available information will be evaluated.
- Non-governmental organizations and competent authorities be questioned.
The company profile extracted from this raw data is reviewed by the Technical Advisory Panel. This body consists of technicians who have an advisory role in the project. The weighting of the criteria are industry- specific. The obtained profile is presented to the management of the rated entity and possibly modified before it is made available by the Project Advisory Panel, a committee consisting, inter alia, from politicians, academics and members of civil society, finally adopted and the public.
The rating agency intends to impose much higher standards than is required by current regulations in the company in India. The highest rating represents the best theoretical solution, which can be different from the "global best solution." Companies receive a mark on a six- point ordinal scale ( stages 0-5 ).
Current Situation
The Agency currently still trying to put the emphasis on internationally oriented and listed companies in India and to evaluate this, as they are, inter alia, the financial resources for the acquisition of environmental technologies on a world level available.
So far (as of 2011) is the rating agency operates only in four industries, chlorine production, cement production, automotive industry, and pulp industry. The rating has been renewed so far only in the field of pulp production. The lack of detection and continuous evaluation of industries and their companies restricts the effect of credit ratings still considerable.