Accenture: Consumers Would Switch to Energy Providers That Reduce Greenhouse Gas Emissions

November 6, 2007 // Published as a news service by IHS

Accenture surveyed more than 7,500 consumers in 17 countries in North America, Europe and Asia. The company found that 89% of all consumers surveyed would switch to energy providers that offer lower-carbon-emitting products and services.

While respondents are concerned about climate change and its impact, the concern appears to be greatest in emerging-market countries.

Of consumers surveyed in Brazil, China and India, 97% said they are concerned about climate change, compared with 85% of all respondents.

In those countries, 98% of respondents said they believe that climate change will directly affect their lives, compared with just 73% of European respondents.

Respondents in emerging-market countries are also the most aware of the level of effort required for their countries to achieve their targets for reducing greenhouse gas emissions, Accenture found.

For instance, more than 80% of emerging-market respondents said they avoid taking the car (82% compared with an average of 68% for all other respondents) and avoid buying food imported by plane (82% compared with an average of 63% for all other respondents).

Nine out of 10 of all respondents said they would have a negative perception of any energy provider that is not taking concrete action to address climate change. More than half (54%) said they would be willing to switch electricity and gas providers if their current provider didn't take action to address climate change, and 61% said the same of their oil providers.

In addition, 64% of respondents said they would be willing to pay a higher price - a premium of 11%, on average - for products and services that produce lower greenhouse gas emissions.

"Accenture's research suggests that while the initial impact in business terms may be most evident on energy providers, it seems likely that this impact will increasingly spread to other resources companies either directly or as the impacts trickle through the supply chain from consumer-facing businesses," said Sander van 't Noordende, group chief executive of the Accenture Resources operating group.

"From oil and gas companies to retailers to financial services companies to governments, no provider of products or services will be immune from consumers' scrutiny and action," van 't Noordende said.

The research found that individuals are taking the lead on climate change in response to concern over its effects on their everyday lives. The vast majority (85%) of respondents said they are either extremely or somewhat concerned about climate change, and 81% said they believe it will directly affect their lives.

While more than 80% of consumers said they believe that climate change will have the greatest impact on weather and the ecosystem, three out of four (75%) said they believe it will also have a significant effect on people's health.

The study also shows that consumers are already acting on their concerns about climate change. Most survey respondents said they frequently recycle paper or plastic (71% of respondents), shut down electric devices when not in use (62%), turn down the heating or air-conditioning at home (61%) and use high-efficiency light bulbs (59%). More than one in three (41%) said they regularly buy products containing recycled material.

For more information about the Accenture climate change study, go to http://www.accenture.com.

Source: Accenture.