CEO Update - New Co-Chair, New Strategy, Same Urgency
As many will already know, we bade farewell to our Co-Founder and Co-Chair, Sir Rob Fenwick on Tuesday at the Holy Trinity Cathedral where, as Bishop Ross said, “499 guests” had gathered. A board meeting of the Circle had been scheduled for the exact time of his funeral which after some minor adjustments, still went ahead following his service.
We all knew it is what Rob would have wanted. On the agenda were some critical items – signing off the new strategy and structure of the Circle, formally recognising the new Co-Chair, Sir Chris Mace, who Sir Rob had shoulder-tapped two months ago. And also reviewing the programme of work for 2020, given the large disruption New Zealand is now facing.
We will be updating you shortly on the strategy, and I provide an update on the programmes below. There is also an opportunity to hear directly from the Co-Chairs, Sir Chris and Vicky Robertson.
Now is the time to stay committed to our kaupapa: sustainable prosperity for all through reversing the decline on our natural capital. Over the last few weeks we have been reminded how important our ‘social capital’ is and recognising that it is both a healthy planet AND healthy people that will ultimately achieve a healthy economy. I look forward to talking to you and thank you again, as our Public and Private Sector Leaders, for your support.
Vicki Watson
CEO
Co-Chair Perspectives – Sir Chris Mace and Vicky Robertson
“In the rapidly changing world around us, what we thought yesterday won’t necessarily be the same today,” says Sir Chris. “There is a huge opportunity for us, not just from the spotlight that’s gone on The Aotearoa Circle with Sir Rob’s departure, but the amazing transition that’s going on around the planet. Once we’re through the current health crisis, we have to make sure environmental imperatives are at the start line as the economy resets.
“The accolades Rob received following his final dance with cancer are richly deserved - the more so for the passion he instilled - particularly the need for urgent action to prevent further damage to our nation’s natural capital. He remains an inspiration for us all, particularly his amazing efforts over the last five years. Instead of turning up his toes, he was more productive than ever.”
Sir Chris says Sir Rob demonstrated leadership. “Leadership is the biggest challenge. From my experience working in academia and science and research, I’m in awe of the specialist capability that exists in New Zealand, the knowledge and capability of some of the specialists is up there with some of the best in the world. But what we need is leadership to pull us together.”
The Aotearoa Circle co-founder and co-chair Vicky Robertson seconds Sir Chris’s tribute to Sir Rob and their calls for leadership and urgency.
“The importance of leadership from the business sector is critical, and Sir Rob was right – we need more urgency, innovation and scale. Climate change is a financial risk and it should be treated as such by boards and management. Increasingly, other environmental issues will be viewed in the same way. This is a shift The Aotearoa Circle partners appreciate – the environment must be seen as a core part of business, not a non-financial issue or an externality.
“There is a shift in global capital markets taking place right now. Jurisdictions such as the EU, China and the UK are realigning their financial systems with environmental sustainability. This will increase pressure on New Zealand firms to understand and manage sustainability risks and opportunities and report on them. This will also mean there are increasingly large pools of ‘green capital’ looking for large, scalable green projects to invest in.”
The Aotearoa Circle needs partners to take a transformative and ambitious approach. Vicky adds, “We’re starting to have conversations about purpose-driven ‘careholder’ businesses rather than profit-driven shareholder businesses. These are businesses that deliver long-term value beyond profit. The Aotearoa Circle partners must be these businesses to lead by example.”
Sir Chris and Vicky say the lessons of having to act boldly and decisively to deal with COVID-19 can be applied to The Aotearoa Circle’s imperative.
“COVID-19 is a huge disruptor,” says Sir Chris. “It’s all uncharted territory ahead so we’re going to have to be flexible, agile and, as Sir Rob directed us, treat it with urgency. It’s not a matter of waiting till it’s over. The opportunity is to now start positioning ourselves.
“As the world resets after the COVID-19 pandemic the greatest opportunity for New Zealand and indeed the planet is to rebuild the global economy in step with the environmental imperatives now critical to the survival of mankind.
“The partners working as a united group under the banner of The Aotearoa Circle can provide the leadership for the post COVID-19 reset. We need to keep those partners aligned to the challenge. All of those partners have their own priorities, but if we can provide the leadership as a coalition, we can position the environmental imperatives in a far more prominent way and seek to protect our natural capital.”
Vicky says by developing new ways of working and thinking about issues such as global pandemics or sustainable finance and the circular economy, we show a willingness to tackle long-term challenges together, which in turn builds resilience.
“A substantial paradigm shift must occur for us to repair and reverse the degradation of our environment. We need everyone to take responsibility. We also need a compelling narrative. At present, there are competing themes – low emission economy, circular economy/low waste economy, sustainable finance, environmental responsibility, future land-use – with no clear description of the pathway forward.
“The Ministry for the Environment is working on a narrative to frame sustainability as a collective problem not a fight over finite resources. We need to change the conversation, which in turn shifts how people think and ultimately leads to change at a system level.”
How do the Co-Chairs see New Zealand in 2030 if The Aotearoa Circle is successful in its mission over the next 10 years?
Sir Chris states, “We can only speculate what 2030 will look like. Did we take advantage of the COVID-19 crisis to change our ways?
“We must think carefully about what the opportunities are. This is not a time to work from a manual. This is a time to be very agile and to look for ways in which we can work differently.”
Vicky adds, “New Zealanders will understand we need to put nature first when we are making decisions about the use of natural resources, our economy and financial systems, and the wellbeing of our population.
“And don’t forget, the teenagers who went on the school strikes for climate change will be policymakers and parents themselves, and they will be leading a new wave of innovative businesses to ensure the future is bright for Aotearoa.”
March 19, 2020