Environmental Risk Management and Sustainable Development
What is Environmental Risk Management?
Risk Management is defined as “the identification, assessment, and prioritization of risks followed by coordinated and economical application of resources to minimize, monitor, and control the probability and/or impact of unfortunate events or to maximize the realization of opportunities.”
Environmental Risk Management is the application of managing environmental and other related risks such as tort liability, speculative risk, transactional, or financial risk, married with a strategy to help mitigate short and long term liabilities generally associated with business activities and opportunities.
Fidelis provides current and future property owners and investors the confidence to acquire and redevelop environmentally impaired properties by providing the most cost effective methods to assess, estimate, and execute complex environmental restoration projects while managing the variety of technical and economic risks inherent to this work. We provide our customers with services that focus on identifying those project conditions that present risk then manage the project in a manner that recognizes and mitigates those risks.
Risk mitigation is managed through monitoring and project controls and the use of risk management products designed to transfer risk to third parties whenever technically and contractually feasible. Fidelis specializes in structuring and supporting environmental liability assumption transactions.
What is Sustainable Development?
Sustainable Development is a balanced approach that considers economic, environmental and community needs with regard to the planning, siting, design, construction and operation of development projects. The projects range from minerals and metals extraction to buildings, infrastructure, campuses, recreation and resorts, ports etc. They always include environmental risk management in that they involve remediation of brownfields or the responsible development of green fields.
The benefits of Sustainable Development are: accelerated project approval; reduced carbon footprint; higher sales premiums, higher rent, lower vacancies; operational and maintenance efficiencies generate high potential for increased revenue; enhanced public safety and security; more effective pollution prevention; conservation of scarce resources; greater community acceptance and enhanced public image.
Examples of sustainable development are:
- Remediation of Brownfields that then are redeveloped incorporating Leadership in Energy and Environment Design (LEED) as well as Sustainable Infrastructure.
- Repurposing and renovation of an existing building utilizing LEED as an urban infill redevelopment.
- Decommissioning, green deconstruction and remediation of a coal fired plant followed by redevelopment of a mixed use community based on LEED neighborhood design principles.