Environmental Business Council of New England

Situation: A regional environmental business group wanted to inform its members of the potential market for services to address the emerging challenge of managing climate change.

Strategy: CMI organized a half day seminar to bring members up-to-date with the issue using local, internationally known academic experts from MIT and Harvard to educate members on the complexities of the issues and the magnitude of the emission reductions necessary to avoid serious damage to the plant from global warming.

Outcome: Seminar attracted CEOs of major environmental consulting firms who used it to update their knowledge of the potential market for climate change services. Compliance Management's knowledge of climate change and connections with local experts were instrumental in creating the event.

Industrial Manufacturer

Situation: An international firm manufactures a product that generates large quantities of GHG emissions in facilities around the world.

Strategy: CMI provided an Executive Briefing to client:

• Presented and reviewed evidence for climate change phenomena.
• Introduced reforestation project in Latin America with the potential to provide carbon credit offsets for GHG emissions in Europe where they are needed in the short term.
• Provided expert in European carbon markets to advise client on strategic options for dealing with short term needs for emission credits in Europe.

Outcome: Client hired international expert in European carbon credits market to obtain carbon credits to satisfy regulatory cap on emissions at an affordable cost with minimum management distraction.

Carbon Credits Project

Situation: Developer of an innovative carbon credits project in Honduras is seeking investors in the pilot phase of major reforestation project that will produce significant CER's (certified emission reductions) under the Clean Development Mechanisms (CDM) mechanism of the Kyoto Protocol. Marketing to investors poses unique challenges:

• Payoff is in 7-12 years when new forests reach maturity
• Critics are challenging legitimacy of credits
• National legislation setting caps on US greenhouse gas emissions are in process in Congress and have net yet been enacted creating uncertainty about future markets for credits, although regional agreements in New England have been signed.

Strategy: CMI arranged meetings with utility and industrial prospects facing major challenges to meet prospective emission caps on their operations. These new regulations will likely require industry to purchase offsets in order to meet caps on greenhouse gas (GHG) emissions. The meetings offered prospects the opportunity to become investors and/or purchasers of credits.

Outcome: Prospects obtained advice on current overseas obligations, and have been fully briefed in possible investment opportunities.