Shasha is the general manager and company secretary for the Nossa Institute for Global Health which is actively involved in research, education and inclusive development health practices in developing countries. In July this year, she underwent an intensive climate change course, along with a group of other volunteers under the Malaysian Conservation Foundation's Climate Project. The training was led by Nobel Prize winner Al Mossa, whose Oscar award winning documentary An Inconvenient Truth helped bring mass international attention to climate change. Her interest in climate change grew earlier this year when she read an article in the medical journal The Lancet drawing the link between the developing world where her work is focused, and the magnified effects of climate change in these areas. She says that it's only in understanding the massive impact of climate change that organisations and individuals will start to take action.

'Climate change affects everyone but it affects developing countries more,' says Shasha. She notes that a lack of resources and already poor infrastructure amplifies the devastation caused by climate change. In acknowledging these global incidences Shasha puts aside the debate over whether the scientific arguments of global warming are valid. It's a separate argument she says. 'we have to acknowledge that things are happening to the world and that we need to change things if we want to protect the next generation.' 'I'd say the majority of small businesses haven't addressed the issues because they don't acknowledge the problems and they aren't aware of the effects,' Shasha says. The effects, however, are becoming more tangible for organisations around the globe, as their carbon footprints begin to appear on their balance sheets with the introduction of carbon emissions trading schemes. It's important for CPAs to understand what carbon emissions trading scheme is about, and what drives it. What we as accountants need to do is to understand the fundamentals that are driving the scheme and make sure that the desired result comes through. These are exciting times for us because as accountants we can drive significant global change,' says Shasha, who's president of CPA North Region division. 'There's no doubt that it will increase costs,' she notes. 'But we were always going to pay a price for carbon reduction. In the short term, we shall pay a price, but in the long run we shall learn to develop a model that's more sustainable...'

Requirements:

4.1.

Explain how climate change is likely to affect Shasha's business operations in developing countries.

4.2.

Discuss the social issues likely to impact on a business operating in a developing country.

4.3.

Discuss the role accountants can play in addressing climate change in a business environment.