PIKE ORIGIN

Home for Sustainable Business and Climate Solutions


ORIGIN REPORT #1

PIKE ORIGIN

Redesigning American Businesses to become Earth Positive

Welcome to Origin Report #1

This report covers:

  • Earth Appreciation Photo of the Month
  • Article: The Great American Climate Opportunity
  • Climate Tool Box

Earth Appreciation Photo of the Month

A Foggy Evening Over the Atlantic – Cape Town, South Africa

The Great American Climate Opportunity

The Great American Climate Opportunity is a multi-faceted, decades-long transformation of everyday life in America. Essentially, climate adaptation and resiliency is becoming the economic development strategy for long-term success in America. The theory anticipates impacts on every aspect of life from energy and transportation to entertainment and healthcare. Optimistically, success in future includes more leisure, more freedom, more voice, and better health. 

To give you an idea of the scale of this transformation…

The costs of climate change are widely debated, but depending on who you ask, it can range between 1-4% of the global gross domestic product (GDP). That’s a range from $10 – $40 trillion using today’s estimated global GDP. The current estimate for the market for green technology and sustainability is just over $60 billion, but is estimated to grow to over $400 billion by 2030. 

In the past two years, America passed two landmark bills: The Infrastructure Investment and Jobs Act of 2021 (IIJA) and the Inflation Reduction Act of 2022 (IRA). Together these bills direct money to clean energy, infrastructure, and climate efforts. The total value of these is $1.6 trillion.

These numbers are unprecedented and are foundational in the belief of The Great American Climate Opportunity.

The 5 key advantages of America’s climate opportunity:

  • Government Investment
  • Geographic Advantage 
  • Digital Lives
  • Young & Educated Workforce
  • America’s Demand for Community

Government Investment

The current state of US infrastructure (energy, water, transportation, etc) is deteriorating and needs to undergo significant rebuilding. The IIJA and IRA create financing, tax incentives, and guidance for new market rules that will help with rebuilding. Rebuilding will occur at all levels of government and will provide a HUGE opportunity for businesses to deliver on government contracts, public and private partnerships, or within ancillary markets.

Geographic Advantage

At the macro level, the US is massive and has a significant amount of natural resources, a variety of ecosystems, and strong economic partners (Canada and Mexico). As climate change worsens the world will likely see increased immigration flow, crop shortages, natural disasters, and other macro challenges. The US’s possession of vast resources presents a major opportunity for climate resilience and will provide global opportunities for US business to fill the world markets with essential goods and services. This reminds me of the post World War 2 economic boom. 

Digital Lives

As proved by the COVID-19 pandemic, people continue to adapt and take on “hybrid” lives. More professional jobs offer telework or remote work than ever before and digital content is being produced at an rapidly increasing rate. Hybrid work is key for long-term sustainability due to it’s additional flexibility for health and wellness, reduced commuting, and provides opportunities for individuals to interact with their online and local communities. The opportunity here is that proactive individuals and businesses can leverage the internet to create voice and new revenue streams that elevate their brands and strengthen resiliency through community and coalition building.

Young & Educated Workforce

Gen Z is replacing the Baby Boomer generation in the workforce. Gen Z are “digital natives” and passionate about climate and sustainability, not to mention is also one of the most educated generations in US history according to Pew Research. The opportunity here is that young, hungry, educated individuals want to build purpose-driven things, and this is their chance to contribute.  Successful businesses can leverage this talent to implement climate solutions.

America’s Demand for Community

There’s an excellent book called, The Third Pillar – How Markets and the State leave Community Behind by Raghuram G. Rajan which describes the importance of community and socioeconomics in our lives. With the internet age, this connection continues to be exaggerated as most folks will notice that Americans are divided. From personal experience, Americans (and humans) thrive when they are proud. We need something to be a part of and something to bring people together.  We need the feeling of being included and something to work toward or aspire to. Climate solutions can be just that. Success in climate is a win for all of us, let’s support winning. Climate poses a real opportunity to work with your neighbors, build real relationships, and make our lives healthier and more fulfilling. As for business, the opportunity is the ability to partner with members in the community to sell better goods and services or make cost-saving deals with suppliers. 

Like I said at the beginning, The Great American Climate Opportunity is massive and it will take time. There are seemingly infinite opportunities to build a better world and make money doing so – I am stoked to get started!

The Climate Toolbox

Shared Language – Definition of Earth Positive

Sustainability Standards –  The International Accounting Standards Board in 2021 formed the International Sustainability Standards Board to create sustainability standards. This group is endorsed globally by both the G7 and G20 among many other leading organizations. 

Useful Tool of the Month – The Climate Action Tracker is a tool that tracks country policies against the goals stated in the Paris Agreement.

Cheers,

Chris