Dilemmas and advances in corporate social responsibility in Brazil. The work of the Ethos Institute

This article discusses the development of corporate social responsibility (CSR) in Brazil from the perspective of the Ethos Institute of Business and Social Responsibility. The Institute is a not‐for‐profit, non‐governmental organization, that has played a leading role in the Brazilian CSR effort. In Brazil, CSR initiatives have a long tradition of philanthropy, a consequence of the country's great social inequalities. The increased attention to corporate social responsibility has paralleled growing concern about sustainable development and the intensifying activities of pressure groups (consumers, customers, investors, NGOs, labour unions, the media, among others) that have been increasing since the 1990s as natural resources are progressively becoming exhausted, social tensions rising and environmental conditions deteriorating worldwide. This article identifies problems and obstacles to the growth of corporate social responsibility in Brazil, as well as advances and alternatives for CSR and towards creating conditions for the country to be internationally competitive and sustainable in the financial, social and environmental areas.     

Technological improvements in automotive battery recycling

Recycling of automotive batteries for the recovery of secondary lead is extremely important in Brazil, for the country does not possess large reserves of this metal. Lead is one of the most widely used metals in the world, but it is highly toxic, posing risks for humans and for the environment if not utilized or treated adequately. Industrial waste containing lead in Brazil are classified by the Brazilian Residue Code (NBR—10004:2004) as hazardous. The lead recycling process employed by the recycling industry in Brazil is the pyrometallurgical process in a rotary furnace. This process consists of four stages: (1) grinding of the battery to separate plastic, electrolyte and lead plates; (2) lead reduction in a rotary furnace; (3) separation of metallic lead from slag; and (4) refining of recycled lead. The purpose of this work is to propose process improvements aimed primarily at increasing production output by reducing the loss of lead in slag and particulates, thereby providing a healthier work environment in line with Brazilian environmental and labor laws.     

Multiple Determinants of Anuran Richness and Occurrence in an Agricultural Region in South-Eastern Brazil

In agricultural landscapes, studies that identify factors driving species richness and occupancy are important because they can guide farmers to use conservation practices that minimize species loss. In this context, anurans are threatened by habitat loss because they depend on the characteristics of both local water bodies and adjacent landscapes. We used a model selection approach to evaluate the influence of local and landscape variables in determining anuran species richness and occurrence in 40 freshwater bodies in a heavily deforested region of semideciduous Atlantic Forest in southeastern Brazil. Our aim was to develop recommendations for conservation of anuran communities in rural areas. Pond hydroperiod and area were the most important variables for explaining anuran species richness and occupancy, with greatest species richness being found in water bodies with intermediate hydroperiod and area. Other important variables that reflected individual species occupancies were the number of vegetation types and pond isolation. In addition, recent studies evidenced that water bodies near forest fragments have higher anuran abundance or diversity. In conclusion, we suggest the maintenance of semi-permanent ponds, isolated from large rivers or reservoirs and near forest fragments, as an effective strategy to conserve anuran fauna in agricultural landscapes of southeastern Brazil. Brazilian government requires the maintenance of forests as legal reserve in each farm, and farmers need to maintain ponds as drinking water for cattle or crop irrigation. For this reason, the guidelines suggested in the present study can be easily adopted, without additional costs to rural productivity.     

Climate justice: framing a new discourse in Brazil

In this article, we evaluate to what extent the Climate Justice discourse has been associated by the press to extreme climate events in Brazil. The text is based on the examination of articles published by important newspapers in Rio de Janeiro and São Paulo, after two major rain events which produced floods and landslides in these two cities. Based on these findings, we suggest that the adoption of the Climate Change discourse in Brazil could produce three main positive outcomes: improve the discourse's acceptance in the international arena, increase the chances that the claims of affected groups are heard by Brazilian government, and turn current policies designed to correct effects of extreme climate events into structural policies designed to reduce vulnerability and to adapt to Climate Change.     

Agribusiness Opportunity Costs and Environmental Legal Protection: Investigating Trade-Off on Hotspot Preservation in the State of São Paulo,Brazil

Prior to deforestation, São Paulo State had 79,000 km² covered by Cerrado (Brazilian savanna) physiognomies, but today less than 8.5% of this biodiversity hotspot remains, mostly in private lands. The global demand for agricultural goods has imposed strong pressure on natural areas, and the economic decisions of agribusiness managers are crucial to the fate of Cerrado domain remaining areas (CDRA) in Brazil. Our aim was to investigate the effectiveness of Brazilian private protected areas policy, and to propose a feasible alternative to promote CDRA protection. This article assessed the main agribusiness opportunity costs for natural areas preservation: the land use profitability and the arable land price. The CDRA percentage and the opportunity costs were estimated for 349 municipal districts of São Paulo State through secondary spatial data and profitability values of 38 main agricultural products. We found that Brazilian private protected areas policy fails to preserve CDRA, although the values of non-compliance fines were higher than average opportunity costs. The scenario with very restrictive laws on private protected areas and historical high interest rates allowed us to conceive a feasible cross compliance proposal to improve environmental and agricultural policies.     

Post-merger time series analysis: Iron ore mining

In Brazil, mergers and acquisitions are usually analyzed by the antitrust authorities ex post, following a Structure-Conduct-Performance approach close to the US Merger Guidelines. However, this framework was unable to address the complexity posed by a series of acquisitions of four mining companies by the newly privatized national champion Companhia Vale do Rio Doce (known then as CVRD, nowadays as Vale). This article extends a Vector Error Correction model estimated by the Brazilian Ministry of Justice, which eventually came to reinforce the definition of the relevant geographic market and to test for structural breaks in the price series. A formal horizontal merger simulation model was not viable from the available data. Though international prices Granger-caused domestic prices in Brazil, they explain less than a third of the variance. Domestic price hikes in the acquired miners’ series were observed above the export price increase not long after the acquisitions, and a structural break could not be rejected. Since convergence of domestic prices to international levels were not to be punished, remedies eventually applied by the Brazilian Antitrust Tribunal focused on preventing CVRD from abusing dominant position to vertically foreclose competitors in logistics, a key competitive issue for the industry.     

Golden Genesis and the Teotonio Vilela Foundation: commercializing PV residential electrification with a not-for-profit partner

This article presents a case study of a project which provides photovoltaic-based rural electrification in the state of Alagoas in northeastern Brazil. The project, the Luz do Sol Programme (LdS), was initiated in mid-1996 by the Golden Genesis Company (Golden) and the Fundação Teotônio Vilela (FTV). The article emphasizes some noteworthy characteristics of the project: the partnership between US commercial and Brazilian philanthropic interests; the financial aspect, a dedicated line of credit requiring only the equipment itself as security; and the local ownership and management of system operations, collections, and routine maintenance.
In 1996, the Golden Genesis Company had developed a central battery charging system to bring the price of electrification within the range of the rural poor; it financed the US content of the systems, with the Bank of the Northeast of Brazil (BN) financing the Brazilian content. The article traces the long and arduous path to establish the programme, including both bureaucratic and technical challenges. These difficulties brought the project to an impasse in August of 1998, and Golden withdrew. FTV then re-negotiated the agreement with BN, changing the technical approach to individual solar home systems. This improved the situation, and the project has since enjoyed 100% loan repayment rates from the entrepreneurs. In June 1999, BP/Solarex became FTV's new commercial partner. The project currently shows promise of becoming the commercially viable programme originally envisaged by Golden, with commercial and technical decision-making at the local level.     

The Prospect of Municipal Waste Landfill Diversion Depends on Geographical Location

This study reports on experimentation with municipal and industrial solid waste in Brazil, on mutual inspection of municipal sanitation models in selected Spanish and Brazilian towns, and on observations of municipal solid waste (MSW) management models effective in Argentina, Great Britain, Sweden, and Germany. The diversity of management strategies inhibits technology transfer. Judging by the models inspected, Sweden and Germany appear to be best prepared for stricter European landfill diversion targets in the near future. Experimentation in Brazil has resulted in a proactive MSW management model based on divided collection, which achieves 80 percent landfill diversion. This result, surprisingly, meets and exceeds European diversion targets in a South American context. As the gap in strategy and target narrows between South America and Europe, both technology and management methods may gain intercontinental mobility and thus enhance commercial ties between the two markets in the specific branch of MSW management.     

Energy production and sustainability: A study of Belo Monte hydroelectric power plant

The increase in energy demand due to economic and population growth necessitates the expansion of the Brazilian energy supply. Hydropower energy, a renewable energy source, arguably clean, presents an energy solution for many countries such as Brazil, with large hydric reservoirs, which help them reduce energy dependence on fossil and imported fuel sources. However, it must be emphasized that without careful planning, the creation of hydropower plants will cause severe social and environmental damage due to the large areas that need to be flooded for the implementation of these plants. The installation of hydropower plants floods vast forest areas, causing loss of biodiversity, displacement of native Brazilian people and riverside populations, and changes to the water acid levels and the natural course of rivers. To mitigate these effects, authorities must first conduct a study on installation possibilities and potential socio‐environmental consequences, to be interpreted and used by the agents involved. Aiming to analyze the social‐environmental impacts of the hydropower plants, this research seeks to investigate the capacity of mitigation of the negative effects of the implementation of the hydropower plants, specifically with regard to the Belo Monte plant, Brazil.     

Quantitative Assessment of the Intertidal Environment of Kuwait II: Controlling Factors

Multivariate analysis of variance, canonical correlation and canonical discriminate analysis were performed on environmental data collected from the Kuwaiti intertidal zone to determine the statistical relationships between the sediment, chemical, biological, spatial and temporal variables. The quantitative analysis showed that the sediment type was the paramount factor influencing the distribution and composition of the intertidal benthic fauna. The muddy, sandy and rocky shores support three distinct faunal communities. The seasonal variation in the benthic fauna community was not statistically significant but variation in biological data due to differences in transect location and tidal level were significant. This spatial variation has been attributed to differences in sediment and substrate types. The physico-chemical parameters were found to correlate positively with the mud content of the sediments but were unimportant in the overall composition of the intertidal fauna. This paper complements the results reported in Al Bakriet al. (1997–Part I) in establishing a valuable benchmark for assessing environmental impacts and for developing sustainable coastal zone management in Kuwait. The integrated approach outlined here could be adopted to develop a sound basis for the protection and management of coastal environments and resources in similar areas.     

A disclosure of social and environmental results/economy resulting from the implementation of reverse logistics and final disposal of the post‐consumption product: The case of computer peripherals industry

This research was conducted with the objective of determining and evidencing the social and environmental/economic results from the implementation of a reverse logistics program providing for the recycling, reuse, and, when necessary, final, environmentally correct disposal of post‐consumption products and product wastes by a multinational manufacturer of computer peripherals with an operation based in the city of São Paulo, Brazil. The reverse logistics process (logisticareversa, or, in this paper, LR) was intended to meet the objectives and principles of the regulatory framework defined in the National Solid Waste Policy (PNRS) in Brazil. A single case study was carried out. The results showed that after the adoption of the solid waste management policy, the study company no longer disposed of 1,413,552 kilograms (kg) of materials classified as mixed iron, polystyrene, cardboard, toner powder, and plastic in landfills. The LR process made a profit in two companies: the company surveyed made, in Brazilian reais (R), R$ 9,188,185.51, and the company contracted to carry out the process made, R$ 411,325.97. This latter profit is called by us the “social profit.” The measurement of the environmental/economic, social, and financial results by internalizing the expenses of the LR program into the costs of production shows that reuse and recycling better meets the needs of society and the company than landfilling these post‐consumption materials. Furthermore, the use of cost accounting allows the verification of other goals not indicated in the current model, such as the generation of employment, income, mitigation of environmental problems, and the profit earned by the company contracted to implement the LR process. We also conclude that cost accounting makes it possible to obtain necessary information for decision makers, who are seeking to neutralize environmental impacts and promote sustainable development, thus harmonizing the economic, social, and environmental aspects, to understand the impacts of the LR process.     

Mixed methodology to analyze the relationship between maturity of environmental management and the adoption of green supply chain management in Brazil

The aim of this research is to verify the relationship between the maturity levels of environmental management and the adoption of green supply chain management (GSCM) practices by electro-electronic companies in Brazil. In this work a two-phase research was conducted, with one quantitative and the other qualitative. The quantitative phase aimed to test whether a relationship between the maturity levels of environmental management and GSCM exists, while the qualitative phase tried to detail the characteristics of this relationship. The quantitative phase was conducted through a survey with 100 Brazilian electro-electronic companies and the collected data were processed using Structural Equation Modeling. For the qualitative phase, a multiple case study was conducted with three companies located in Brazil. The results indicate that: (1) The main hypothesis was confirmed and considered statistically valid, indicating that, indeed, the maturity level of environmental management influences the adoption of GSCM practices; (2) a coevolution tends to occur between the environmental maturity and the GSCM practices; that is, the more developed is the company's environmental management, more complex GSCM practices are adopted; and (3) the GSCM internal practices tend to present a greater relative adoption than the external practices; these external practices of GSCM tend to be adopted when the company is inserted in a higher environmental stage and/or operates under a scenario of stronger normative environmental pressure. By the way, this is the first research mixing survey and case studies on GSCM in Brazil.     

Brazil's National Atlantic Forest Policy: A Challenge for State-level Environmental Planning. The Case of Santa Catarina,Brazil

Formulating effective national forest policy in lesser developed countries is complex and needs to take into account the social as well as the biophysical dimensions which impact on forest resources. Deforestation continues to be a serious concern in many of these countries and most national forest policy seeks to curb the devastationof forest resources. Due to different social groups competing for use of the forest resources, however, designing effective policy is challenging. The needs of these different social groups must be considered.Unless this is done, the forest policy itself can be an impetus for deforestation.In the southern Brazilian state of Santa Catarina, deforestation in the Atlantic forest (Mata Atlantica) is occurring at a rapid rate, threatening the richness of biodiversity. There are a number of causes for deforestation in Santa Catarina, one being Brazil's national Atlantic forest policy. Unintentionally, the structure of this conservation-focusedpolicy has declared all of Santa Catarina's native forests off-limits to any type of exploitation, the only state in Brazil where this has occurred, and has actually precipitated deforestation. Challenges for state-level planning include addressing the national forest policy as well as the state-levelimpacts resulting from the policy. The history of the policy, the social groups affected and challenges for planning are discussed, as are proposed solutions.     

The Power of Innovation and Strategic Sustainability Positioning: A Survey of the Mining Sector in Brazil

This study investigates the relationship between the power of innovation and the sustainability strategies of companies involved in the minerals extraction sector in Brazil. The study included companies associated with the Brazilian Mining Institute, and it used research surveys to gather data. Analysis of the survey data revealed that companies with highly intensive characteristics in regard to innovation and environmental activities (environmental management activities) also display offensive, or proactive, strategies for pursuing sustainability.     

Reverse logistics in the Brazilian construction industry

In Brazil most Construction and Demolition Waste (C&D waste) is not recycled. This situation is expected to change significantly, since new federal regulations oblige municipalities to create and implement sustainable C&D waste management plans which assign an important role to recycling activities. The recycling organizational network and its flows and components are fundamental to C&D waste recycling feasibility. Organizational networks, flows and components involve reverse logistics. The aim of this work is to introduce the concepts of reverse logistics and reverse distribution channel networks and to study the Brazilian C&D waste case.     

Inorganic pigments made from the recycling of coal mine drainage treatment sludge

Continuous industrial development increases energy consumption and, consequently, the consumption of fossil fuels. Coal mineral has been used in Brazil as a solid fuel for thermoelectric generators for several years. However, coal exploitation affects the environment intensely, mainly because Brazilian coal contains excess ash and pyrite (iron disulfide). According to the local coal industry syndicate, the average annual coal run per mine is 6 million ton/year; 3.5 million ton/year are rejected and disposed of in landfills. Besides pyrite, Brazilian coal contains Mn, Fe, Cu, Pb, Zn, Ge, Se, and Co. Additionally, the water used for coal beneficiation causes pyrite oxidation, forming an acid mine drainage (AMD). This drainage solubilizes the metals, transporting them into the environment, making treatment a requirement. This work deals with the use of sedimented residue from treated coal mine drainage sludge to obtain inorganic pigments that could be used in the ceramic industry. The residue was dried, ground and calcined ( approximately 1250 degrees C). The calcined pigment was then micronized (D(50) approximately 2mum). Chemical (XRF), thermal (DTA/TG), particle size (laser), and mineralogical (XRD) analyses were carried out on the residue. After calcination and micronization, mineralogical analyses (XRD) were used to determine the pigment structure at 1250 degrees C. Finally, the pigments were mixed with transparent glaze and fired in a laboratory roller kiln (1130 degrees C, 5min). The results were promising, showing that brown colors can be obtained with pigments made by residues.     

Petroleum royalties and regional development in Brazil: The economic growth of recipient towns

In 1997, Brazil approved law n^er 9478, establishing new rules for sharing petroleum royalties with Brazilian municipalities. The goal of this paper is to evaluate whether royalties distributed under the new law have contributed for the development of benefited municipalities. For that the difference-in-differences estimator (diff-in-diff) is used, which compares the evolution of the economic product into the municipality affected by the new law with the unaffected ones, by exploring the new legislation as an exogenous change. The data refer to the municipal gross domestic product (GDP) growth rate before and after the event. Results are surprising, showing that royalty receivers grew less than municipalities that did not receive such resources. The difference is small but statistically significant. In general, an increase of one real in royalties per capita reduces the growth rate of the municipal product in 0.002 percentile points.     

Conservation in Brazil's Chocolate Forest: The Unlikely Persistence of the Traditional Cocoa Agroecosystem

/ In southern Bahia, Brazil, the traditional cocoa agroecosystem with a dense shade canopy of native trees is now recognized as a secondary conservation route for highly endangered Atlantic Rainforest species. This "chocolate forest" of the densely shaded farms persists despite a massive 20-year Brazilian government modernization program in which shade was seen as a chief impediment to raising cocoa production. The objective of this study was to determine how this traditional agroecosystem endured. Although dense shade limits cocoa yield, it provides several agroecological benefits: control of insect pests and weeds, microclimate stability, and soil fertility maintenance. A keycomponent of modernization efforts was a shade-tree removal program designed to maximize cocoa production by using low shade and fertilizer while substituting agrochemicals for many beneficial roles of the overhead trees. This research found that many farmers rejected, or only partially accepted, the shade reduction process although it promised much higher cocoa yield and profit. Farmers employing a wide range of shading were interviewed, and it was found that decisions to remove or maintain the shade trees were linked to both agroecological and risk-minimization factors. Farmers' perceptions of the agroecological functions of the shade trees and individual willingness to entertain the economic risk associated with substituting agrochemicals for these were important. A less-profitable, but lower-risk approach of occasional fertilizer and agrochemical use with the traditional shade intact was a rational and widespread choice. Policies designed to maintain the traditional agroecosystem through the current economic crisis should heed the multiple functions of the overhead trees. KEY WORDS: Conservation; Brazil; Atlantic Rainforest; Cocoa; Agroecology; Risk; Agroforestry     

Real‐Time Analysis of Energy Generation of a Photovoltaic System Installed in the City of Lajeado,Rio Grande do Sul

Considering successive and costly increases in electricity rates, this article evaluates the generation of electricity from a photovoltaic system using solar energy, a renewable source. The solar photovoltaic system is installed at UNIVATES University Center, a public university in the state of Rio Grande do Sul, Brazil, and it is also connected to the electrical grid. Data related to the climatic conditions of the location, such as incident solar radiation, rainfall, and mean temperature, were obtained during the system's evaluation period and used along with bibliographic research on similar systems installed in southern Brazil. Our study quantified the energy produced over one calendar year (2014) and related it to the climatic variables and the conversion efficiency achieved by the system's photovoltaic modules. Our results show that there is both a strong relationship between the production of energy and climatic conditions and that the city, Lajeado, and the Brazilian state of Rio Grande do Sul, have good potential to supply energy using photovoltaic systems connected to the electrical grid. The horizontal global solar radiation average obtained in the study location was 4.14 kilowatts per square meter per day (kWh/m²/day), and the average monthly production of energy reached 243.93 kWh/m²/month, with a total of 2,927.10 kWh produced in 2014, achieving a monthly average conversion efficiency of 11.07%. This conversion efficiency is close to the value of 12.6% obtained in 2013 in a similar study of the same solar photovoltaic system conducted over a shorter time period.     

A Preliminary Index of Biotic Integrity for Monitoring the Condition of the Rio Paraiba do Sul,Southeast Brazil

The biodiversity of many Brazilian rivers is seriously threatened by industrial and municipal pollution, and Rio Paraiba do Sul, located between two major industrial centers is one example of this situation. A survey of the fish assemblage was conducted from October 1998 to September 1999 and the data were used to develop an index of biotic integrity (IBI). We sampled three zones in bracketing a large urban–industrial complex to evaluate water quality changes and the usefulness of the IBI as a monitoring tool. Water quality was classified as poor upstream of the effluent discharges, very poor near the discharges, and poor–fair downstream of the discharges, with this latter situation revealing the current biological capacity of the river. Physical and chemical habitat characteristics were also measured at each site to construct an independent environmental index to validate the IBI. The habitat and IBI indices were highly correlated, suggesting this IBI would be applicable to other large rivers in southeast Brazil.