Sustainability measurement is a set of frameworks or indicators used to measure how sustainable something is. This includes processes, products, services and businesses. Sustainability is to quantify. [1] It may even be impossible to measure as there is no fixed definition. [2] To measure sustainability, frameworks and indicators consider environmental, social and economic domains. The metrics vary by use case and are still evolving. They include indicators, benchmarks and audits. They include sustainability standards and certification systems like Fairtrade and Organic. They also involve indices and accounting. They can include assessment, appraisal [3] and other reporting systems. The metrics are used over a wide range of spatial and temporal scales. [4] [2] For organizations, sustainability measures include corporate sustainability reporting and Triple Bottom Line accounting. [1] For countries, they include estimates of the quality of sustainability governance or quality of life measures, or environmental assessments like the Environmental Sustainability Index and Environmental Performance Index. Some methods let us track sustainable development. [5] [6] These include the UN Human Development Index and ecological footprints.
Two related concepts for sustainability measurement are planetary boundaries [7] and ecological footprint. [8] If the boundaries are not crossed and the ecological footprint does not exceed the carrying capacity of the biosphere, the mode of life can be regarded as sustainable.
A set of well defined and harmonized indicators can help to make sustainability tangible. Those indicators are expected to be identified and adjusted through empirical observations (trial and error). [9] The most common critiques are related to issues like data quality, comparability, objective function and the necessary resources. [10] However a more general criticism is coming from the project management community: "How can a sustainable development be achieved at global level if we cannot monitor it in any single project?". [11]
Sustainable development has become the primary yardstick of improvement for industries and is being integrated into effective government and business strategies. The needs for sustainability measurement include improvement in the operations, benchmarking performances, tracking progress, and evaluating process, among others. [12] For the purposes of building sustainability indicators, frameworks can be developed and the steps are as follows: [13]
The principal objective of sustainability indicators is to inform public policy-making as part of the process of sustainability governance. [14] Sustainability indicators can provide information on any aspect of the interplay between the environment and socio-economic activities. [15] Building strategic indicator sets generally deals with just a few simple questions: what is happening? (descriptive indicators), does it matter and are we reaching targets? (performance indicators), are we improving? (efficiency indicators), are measures working? (policy effectiveness indicators), and are we generally better off? (total welfare indicators).
The International Institute for Sustainable Development and the United Nations Conference on Trade and Development established the Committee on Sustainability Assessment (COSA) in 2006 to evaluate sustainability initiatives operating in agriculture and develop indicators for their measurable social, economic and environmental objectives. [16]
One popular general framework used by The European Environment Agency uses a slight modification of the Organisation for Economic Co-operation and Development DPSIR system. [17] This breaks up environmental impact into five stages. Social and economic developments (consumption and production) (D)rive or initiate environmental (P)ressures which, in turn, produces a change in the (S)tate of the environment which leads to (I)mpacts of various kinds. Societal (R)esponses (policy guided by sustainability indicators) can be introduced at any stage of this sequence of events.
A study concluded that social indicators and, therefore, sustainable development indicators, are scientific constructs whose principal objective is to inform public policy-making. [18] The International Institute for Sustainable Development has similarly developed a political policy framework, linked to a sustainability index for establishing measurable entities and metrics. The framework consists of six core areas:
The United Nations Global Compact Cities Programme has defined sustainable political development in a way that broadens the usual definition beyond states and governance. The political is defined as the domain of practices and meanings associated with basic issues of social power as they pertain to the organisation, authorisation, legitimation and regulation of a social life held in common. This definition is in accord with the view that political change is important for responding to economic, ecological and cultural challenges. It also means that the politics of economic change can be addressed. They have listed seven subdomains of the domain of politics: [19]
There are numerous indicators which could be used as basis for sustainability measurement. Few commonly used indicators are:
Environmental sustainability indicators: [20]
Economic indicators: [22] [23]
Social indicators: [23]
Due to the large numbers of various indicators that could be used for sustainability measurement, proper assessment and monitoring is required. [23] In order to organize the chaos and disorder in selecting the metrics, specific organizations have been set up which groups the metrics under different categories and defines proper methodology to implement it for measurement. They provide modelling techniques and indexes to compare the measurement and have methods to convert the scientific measurement results into easy to understand terms. [24]
The United Nations has developed extensive sustainability measurement tools in relation to sustainable development [25] as well as a System of Integrated Environmental and Economic Accounting. [26]
The UN Commission on Sustainable Development (CSD) has published a list of 140 indicators which covers environmental, social, economical and institutional aspects of sustainable development. [27]
In the last couple of decades, there has arisen a crowded toolbox of quantitative methods used to assess sustainability — including measures of resource use like life cycle assessment, measures of consumption like the ecological footprint and measurements of quality of environmental governance like the Environmental Performance Index. The following is a list of quantitative "tools" used by sustainability scientists - the different categories are for convenience only as defining criteria will intergrade. It would be too difficult to list all those methods available at different levels of the organization so those listed here are at the global level only.
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A life cycle analysis is often conducted when assessing the sustainability of a product or prototype. [38] The decision to choose materials is heavily weighted on its longevity, renewability, and efficiency. These factors ensure that researchers are conscious of community values that align with positive environmental, social, and economic impacts. [38]
Part of this process can relate to resource use such as energy accounting or to economic metrics or price system values as compared to non-market economics potential, for understanding resource use. [39]
An important task for resource theory (energy economics) is to develop methods to optimize resource conversion processes. [40] These systems are described and analyzed by means of the methods of mathematics and the natural sciences. [41] Human factors, however, have dominated the development of our perspective of the relationship between nature and society since at least the Industrial Revolution, and in particular, have influenced how we describe and measure the economic impacts of changes in resource quality. A balanced view of these issues requires an understanding of the physical framework in which all human ideas, institutions, and aspirations must operate. [42]
When oil production first began in the mid-nineteenth century, the largest oil fields recovered fifty barrels of oil for every barrel used in the extraction, transportation, and refining. This ratio is often referred to as the Energy Return on Energy Investment (EROI or EROEI). Currently, between one and five barrels of oil are recovered for each barrel-equivalent of energy used in the recovery process. [43] As the EROEI drops to one, or equivalently the net energy gain falls to zero, the oil production is no longer a net energy source. [44] This happens long before the resource is physically exhausted.
Note that it is important to understand the distinction between a barrel of oil, which is a measure of oil, and a barrel of oil equivalent (BOE), which is a measure of energy. Many sources of energy, such as fission, solar, wind, and coal, are not subject to the same near-term supply restrictions that oil is. Accordingly, even an oil source with an EROEI of 0.5 can be usefully exploited if the energy required to produce that oil comes from a cheap and plentiful energy source. Availability of cheap, but hard to transport, natural gas in some oil fields has led to using natural gas to fuel enhanced oil recovery. Similarly, natural gas in huge amounts is used to power most Athabasca Tar Sands plants. Cheap natural gas has also led to ethanol fuel produced with a net EROEI of less than 1, although figures in this area are controversial because methods to measure EROEI are in debate.[ citation needed ]
Insofar as economic growth is driven by oil consumption growth, post-peak societies must adapt. M. King Hubbert believed: [45]
Our principal constraints are cultural. During the last two centuries we have known nothing but exponential growth and in parallel we have evolved what amounts to an exponential-growth culture, a culture so heavily dependent upon the continuance of exponential growth for its stability that it is incapable of reckoning with problems of nongrowth.
Some economists describe the problem as uneconomic growth or a false economy. At the political right, Fred Ikle has warned about "conservatives addicted to the Utopia of Perpetual Growth". [46] Brief oil interruptions in 1973 and 1979 markedly slowed – but did not stop – the growth of world GDP. [47]
Between 1950 and 1984, as the Green Revolution transformed agriculture around the globe, world grain production increased by 250%. The energy for the Green Revolution was provided by fossil fuels in the form of fertilizers (natural gas), pesticides (oil), and hydrocarbon fueled irrigation. [48]
David Pimentel, professor of ecology and agriculture at Cornell University, and Mario Giampietro, senior researcher at the National Research Institute on Food and Nutrition (INRAN), place in their study Food, Land, Population and the U.S. Economy the maximum U.S. population for a sustainable economy at 200 million. To achieve a sustainable economy world population will have to be reduced by two-thirds, says the study. [49] Without population reduction, this study predicts an agricultural crisis beginning in 2020, becoming critical c. 2050. The peaking of global oil along with the decline in regional natural gas production may precipitate this agricultural crisis sooner than generally expected. Dale Allen Pfeiffer claims that coming decades could see spiraling food prices without relief and massive starvation on a global level such as never experienced before. [50] [51]
There is an active debate about most suitable sustainability indicator's use and by adopting a thermodynamic approach through the concept of "exergy" and Hubbert peaks, it is possible to incorporate all into a single measure of resource depletion.The exergy analysis of minerals could constitute a universal and transparent tool for the management of the earth's physical stock. [52] [23]
Hubbert peak can be used as a metric for sustainability and depletion of non-renewable resources. It can be used as reference for many metrics for non-renewable resources such as: [53]
Although Hubbert peak theory receives most attention in relation to peak oil production, it has also been applied to other natural resources.
Doug Reynolds predicted in 2005 that the North American peak would occur in 2007. [54] Bentley (p. 189) predicted a world "decline in conventional gas production from about 2020". [55]
Peak coal is significantly further out than peak oil, but we can observe the example of anthracite in the US, a high grade coal whose production peaked in the 1920s. Anthracite was studied by Hubbert, and matches a curve closely. [56] Pennsylvania's coal production also matches Hubbert's curve closely, but this does not mean that coal in Pennsylvania is exhausted—far from it. If production in Pennsylvania returned at its all-time high, there are reserves for 190 years. Hubbert had recoverable coal reserves worldwide at 2500 × 109 metric tons and peaking around 2150(depending on usage).
More recent estimates suggest an earlier peak. Coal: Resources and Future Production (PDF 630KB [57] ), published on April 5, 2007 by the Energy Watch Group (EWG), which reports to the German Parliament, found that global coal production could peak in as few as 15 years. [58] Reporting on this Richard Heinberg also notes that the date of peak annual energetic extraction from coal will likely come earlier than the date of peak in quantity of coal (tons per year) extracted as the most energy-dense types of coal have been mined most extensively. [59] A second study, The Future of Coal by B. Kavalov and S. D. Peteves of the Institute for Energy (IFE), prepared for European Commission Joint Research Centre, reaches similar conclusions and states that ""coal might not be so abundant, widely available and reliable as an energy source in the future". [58]
Work by David Rutledge of Caltech predicts that the total of world coal production will amount to only about 450 gigatonnes. [60] This implies that coal is running out faster than usually assumed.
Finally, insofar as global peak oil and peak in natural gas are expected anywhere from imminently to within decades at most, any increase in coal production (mining) per annum to compensate for declines in oil or NG production, would necessarily translate to an earlier date of peak as compared with peak coal under a scenario in which annual production remains constant.
In a paper in 1956, [61] after a review of US fissionable reserves, Hubbert notes of nuclear power:
There is promise, however, provided mankind can solve its international problems and not destroy itself with nuclear weapons, and provided world population (which is now expanding at such a rate as to double in less than a century) can somehow be brought under control, that we may at last have found an energy supply adequate for our needs for at least the next few centuries of the "foreseeable future."
Technologies such as the thorium fuel cycle, reprocessing and fast breeders can, in theory, considerably extend the life of uranium reserves. Roscoe Bartlett claims [62]
Our current throwaway nuclear cycle uses up the world reserve of low-cost uranium in about 20 years.
Caltech physics professor David Goodstein has stated [63] that
... you would have to build 10,000 of the largest power plants that are feasible by engineering standards in order to replace the 10 terawatts of fossil fuel we're burning today ... that's a staggering amount and if you did that, the known reserves of uranium would last for 10 to 20 years at that burn rate. So, it's at best a bridging technology ... You can use the rest of the uranium to breed plutonium 239 then we'd have at least 100 times as much fuel to use. But that means you're making plutonium, which is an extremely dangerous thing to do in the dangerous world that we live in.
Hubbert applied his theory to "rock containing an abnormally high concentration of a given metal" [64] and reasoned that the peak production for metals such as copper, tin, lead, zinc and others would occur in the time frame of decades and iron in the time frame of two centuries like coal. The price of copper rose 500% between 2003 and 2007 [65] was by some attributed to peak copper. [66] [67] Copper prices later fell, along with many other commodities and stock prices, as demand shrank from fear of a global recession. [68] Lithium availability is a concern for a fleet of Li-ion battery using cars but a paper published in 1996 estimated that world reserves are adequate for at least 50 years. [69] A similar prediction [70] for platinum use in fuel cells notes that the metal could be easily recycled.
Phosphorus supplies are essential to farming and depletion of reserves is estimated at somewhere from 60 to 130 years. [71] Individual countries supplies vary widely; without a recycling initiative America's supply [72] is estimated around 30 years. [73] Phosphorus supplies affect total agricultural output which in turn limits alternative fuels such as biodiesel and ethanol.
Hubbert's original analysis did not apply to renewable resources. However over-exploitation often results in a Hubbert peak nonetheless. A modified Hubbert curve applies to any resource that can be harvested faster than it can be replaced. [74]
For example, a reserve such as the Ogallala Aquifer can be mined at a rate that far exceeds replenishment. This turns much of the world's underground water [75] and lakes [76] into finite resources with peak usage debates similar to oil. These debates usually center around agriculture and suburban water usage but generation of electricity [77] from nuclear energy or coal and tar sands mining mentioned above is also water resource intensive. The term fossil water is sometimes used to describe aquifers whose water is not being recharged.
Sustainability measurements and indicators are part of an ever-evolving and changing process and has various gaps to be filled to achieve an integrated framework and model. The following are some of the breaks in continuity:
Natural capital is the world's stock of natural resources, which includes geology, soils, air, water and all living organisms. Some natural capital assets provide people with free goods and services, often called ecosystem services. All of these underpin our economy and society, and thus make human life possible.
The Hubbert curve is an approximation of the production rate of a resource over time. It is a symmetric logistic distribution curve, often confused with the "normal" gaussian function. It first appeared in "Nuclear Energy and the Fossil Fuels," geologist M. King Hubbert's 1956 presentation to the American Petroleum Institute, as an idealized symmetric curve, during his tenure at the Shell Oil Company. It has gained a high degree of popularity in the scientific community for predicting the depletion of various natural resources. The curve is the main component of Hubbert peak theory, which has led to the rise of peak oil concerns. Basing his calculations on the peak of oil well discovery in 1948, Hubbert used his model in 1956 to create a curve which predicted that oil production in the contiguous United States would peak around 1970.
Resource depletion is the consumption of a resource faster than it can be replenished. Natural resources are commonly divided between renewable resources and non-renewable resources. The use of either of these forms of resources beyond their rate of replacement is considered to be resource depletion. The value of a resource is a direct result of its availability in nature and the cost of extracting the resource. The more a resource is depleted the more the value of the resource increases. There are several types of resource depletion, including but not limited to: mining for fossil fuels and minerals, deforestation, pollution or contamination of resources, wetland and ecosystem degradation, soil erosion, overconsumption, aquifer depletion, and the excessive or unnecessary use of resources. Resource depletion is most commonly used in reference to farming, fishing, mining, water usage, and the consumption of fossil fuels. Depletion of wildlife populations is called defaunation.
A non-renewable resource is a natural resource that cannot be readily replaced by natural means at a pace quick enough to keep up with consumption. An example is carbon-based fossil fuels. The original organic matter, with the aid of heat and pressure, becomes a fuel such as oil or gas. Earth minerals and metal ores, fossil fuels and groundwater in certain aquifers are all considered non-renewable resources, though individual elements are always conserved.
An energy crisis or energy shortage is any significant bottleneck in the supply of energy resources to an economy. In literature, it often refers to one of the energy sources used at a certain time and place, in particular, those that supply national electricity grids or those used as fuel in industrial development. Population growth has led to a surge in the global demand for energy in recent years. In the 2000s, this new demand – together with Middle East tension, the falling value of the US dollar, dwindling oil reserves, concerns over peak oil, and oil price speculation – triggered the 2000s energy crisis, which saw the price of oil reach an all-time high of $147.30 per barrel ($926/m3) in 2008.
The Hubbert peak theory says that for any given geographical area, from an individual oil-producing region to the planet as a whole, the rate of petroleum production tends to follow a bell-shaped curve. It is one of the primary theories on peak oil.
Peak oil is the point when global oil production reaches its maximum rate, after which it will begin to decline irreversibly. The main concern is that global transportation relies heavily on gasoline and diesel. Transitioning to electric vehicles, biofuels, or more efficient transport could help reduce oil demand.
A green economy is an economy that aims at reducing environmental risks and ecological scarcities, and that aims for sustainable development without degrading the environment. It is closely related with ecological economics, but has a more politically applied focus. The 2011 UNEP Green Economy Report argues "that to be green, an economy must not only be efficient, but also fair. Fairness implies recognizing global and country level equity dimensions, particularly in assuring a Just Transition to an economy that is low-carbon, resource efficient, and socially inclusive."
Backstop resources theory states that as a heavily used limited resource becomes expensive, alternative resources will become cheap by comparison, therefore making the alternatives economically viable options. In the long term, the theory implies faith that technological progress will allow backstop resources to be essentially unlimited, and that need will cause the development of new technologies to become cost effective. This idea is supported by economist Robert Solow who claimed that four-fifths of US economic growth could be attributed to technological development.
Peak coal is the peak consumption or production of coal by a human community. Peak coal can be driven by peak demand or peak supply. Historically, it was widely believed that the supply-side would eventually drive peak coal due to the depletion of coal reserves. However, since the increasing global efforts to limit climate change, peak coal has been driven by demand. This is due in large part to the rapid expansion of natural gas and renewable energy. As of 2024 over 40% of all energy sector CO2 emissions are from coal, and many countries have pledged to phase-out coal.
Fossil fuel phase-out is the gradual reduction of the use and production of fossil fuels to zero, to reduce deaths and illness from air pollution, limit climate change, and strengthen energy independence. It is part of the ongoing renewable energy transition, but is being hindered by fossil fuel subsidies.
Predicting the timing of peak oil involves estimation of future production from existing oil fields as well as future discoveries. The initial production model was Hubbert peak theory, first proposed in the 1950s. Since then, many experts have tried to forecast peak oil.
Sustainability metrics and indices are measures of sustainability, using numbers to quantify environmental, social and economic aspects of the world. There are multiple perspectives on how to measure sustainability as there is no universal standard. Intead, different disciplines and international organizations have offered measures or indicators of how to measure the concept.
Sustainability accounting originated in the 1970s and is considered a subcategory of financial accounting that focuses on the disclosure of non-financial information about a firm's performance to external stakeholders, such as capital holders, creditors, and other authorities. Sustainability accounting represents the activities that have a direct impact on society, environment, and economic performance of an organisation. Sustainability accounting in managerial accounting contrasts with financial accounting in that managerial accounting is used for internal decision making and the creation of new policies that will have an effect on the organisation's performance at economic, ecological, and social level. Sustainability accounting is often used to generate value creation within an organisation.
Green growth is a concept in economic theory and policymaking used to describe paths of economic growth that are environmentally sustainable. It is based on the understanding that as long as economic growth remains a predominant goal, a decoupling of economic growth from resource use and adverse environmental impacts is required. As such, green growth is closely related to the concepts of green economy and low-carbon or sustainable development. A main driver for green growth is the transition towards sustainable energy systems. Advocates of green growth policies argue that well-implemented green policies can create opportunities for employment in sectors such as renewable energy, green agriculture, or sustainable forestry.
Peak minerals marks the point in time when the largest production of a mineral will occur in an area, with production declining in subsequent years. While most mineral resources will not be exhausted in the near future, global extraction and production has become more challenging. Miners have found ways over time to extract deeper and lower grade ores with lower production costs. More than anything else, declining average ore grades are indicative of ongoing technological shifts that have enabled inclusion of more 'complex' processing – in social and environmental terms as well as economic – and structural changes in the minerals exploration industry and these have been accompanied by significant increases in identified Mineral Reserves.
The Committee on Sustainability Assessment (COSA) is a global consortium of development institutions that work collaboratively to advance sustainability learning with systematic and science-based measurement. COSA applies a pragmatic and collective approach for using scientific methods to develop indicators, tools, and technologies to measure the distinct social, environmental, and economic impacts and are applied in performance monitoring, evaluation, return on investment (ROI) calculation, and impact assessment. COSA has a public mission to open its scientific methods and metrics up to widespread use.
Although for many decades, it was customary to focus on GDP and other measures of national income, there has been growing interest in developing broad measures of economic well-being. National and international approaches include the Beyond GDP programme developed by the European Union, the Better Lives Compendium of Indicators developed by the OECD, as well as many alternative metrics of wellbeing or happiness. One of the earliest attempts to develop such an index at national level was Bhutan's Gross National Happiness Index and there are a now a number of similar projects ongoing around the world, including a project to develop for the UK an assessment of national well-being, commissioned by the Prime Minister David Cameron and led by the Office for National Statistics.
The water, energy and food security nexus according to the Food And Agriculture Organisation of the United Nations (FAO), means that water security, energy security and food security are very much linked to one another, meaning that the actions in any one particular area often can have effects in one or both of the other areas.
Natural capital accounting is the process of calculating the total stocks and flows of natural resources and services in a given ecosystem or region. Accounting for such goods may occur in physical or monetary terms. This process can subsequently inform government, corporate and consumer decision making as each relates to the use or consumption of natural resources and land, and sustainable behaviour.
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