BUSINESSES have a significant impact on climate change, primarily through their carbon footprints. Industries such as energy, transportation, and manufacturing are major contributors to greenhouse gas emissions.

However, many forward-thinking companies are not waiting for regulations to catch up—they are already taking action.

Globally, influential companies leverage opportunities by using renewable energy, deploying innovative low-carbon technologies, sustainably sourcing resources, and developing transformative solutions. These initiatives highlight the proactive steps businesses can take to address climate change.

According to an assessment of the Solid Waste Management Ecosystem in Tanzania by the Swedish International Development Agency (SIDA) and the Centre for Science and Environment, industries and commercial areas contribute nearly 20 per cent of solid waste, second only to households, which contribute 75 per cent. 

The report shows that over 70 percent of this waste—including garden, wood, food, and ash—is biodegradable. This indicates a substantial opportunity for businesses to innovate and lead in the low-carbon transition, securing a sustainable future.

Sustainable development and climate change are two sides of the same coin. Business is key in addressing climate change challenges as the world’s most powerful economic force, responsible for spending, wealth creation, and investment. Where businesses lead, others will follow.

Innovative business initiatives are part of a global shift that unlocks large-scale opportunities to combat climate change and improve lives. In Tanzania, a quiet revolution is underway, demonstrating the potential for businesses to mitigate the effects of climate change.

Despite its small contribution to global emissions, Tanzania has committed to robust climate change mitigation goals. For years, individual businesses have been embracing environmentally friendly technologies. Climate change poses a significant threat to living things, and human activities have induced rapid changes, leading to social challenges and significant environmental impacts. This shift has brought new expectations for organisations from governments, investors, and society.

Tanzania has made notable efforts to promote sustainable practices such as the adoption of the United Nations Sustainable Development Goals (SDGs), which include tackling climate change, providing clean water and sanitation, supplying affordable and clean energy, and building sustainable cities and communities.

For businesses, we are starting to see a shift whereby corporate success is now measured beyond financial performance and takes into consideration sustainability which tracks performance on economic, social and environmental (ESG) parameters. Businesses in Tanzania are launching initiatives to complement government efforts to mitigate the effects of climate change.

Through the CEO Roundtable of Tanzania (CEOrt), businesses are working on cultivating sustainable practices by equipping leaders and stakeholders to adapt, mitigate, and transition to sustainable business operations.

The CEOrt’s Business and Sustainability Agenda, funded by the International Union for Conservation of Nature (IUCN), achieves its goals through capacity building, driving awareness, partnership and collaboration, and knowledge-sharing. This agenda builds a business case showcasing how sustainable practices improve business performance.

“Many businesses are still on the journey to understanding the risks posed by climate change and how these risks will impact their activities. We aim to bridge this information gap by utilising resources and expertise to organize knowledge-sharing sessions to enhance awareness and develop pathways towards becoming a sustainable business,” said Santina Benson, Executive Director of the CEOrt.

The programme supports building capacity within member organisations through training and development sessions to enhance the technical skills and internal expertise needed for effective climate action measures. 

Under the CEOrt’s Business and Sustainability agenda, priority areas of focus will be on enhancing sustainable practices within Tanzanian businesses and supporting the government’s climate goal of reducing Nationally Determined Contributions (NDCs) from 10-20 per cent to 30-35 per cent by 2030.

For several years, CEOrt members have recognised the importance of adopting practices that positively impact the environment and society. 

Devang Vussonji, Chairman of the Business and Sustainability Committee at the CEOrt, noted that climate change is among the factors affecting businesses. However, he also sees it as an opportunity for businesses to tap into areas such as the green economy.

"Facilitating dialogues, developing policies, and creating guidelines are essential steps in transitioning to sustainable business practices. By partnering and collaborating with key stakeholders and experts, we can collectively contribute to the climate agenda and drive meaningful impact," Vussonji added.

This collaborative effort between businesses and government highlights the critical role businesses can play in climate action, ensuring a sustainable future for Tanzania and beyond.