Environmental management systems and company performance: assessing the case for extending risk‐based regulation

Abstract

Across Europe, there is considerable interest in establishing stronger links between environmental regulation and standards for environmental management systems (EMSs) such as ISO 14001. If it can be demonstrated that possession of an EMS results in improved environmental or regulatory performance, then there is a case for granting ‘regulatory relief’ in the form of, for example, reduced inspection frequencies. This paper describes the analysis of information on almost 800 sites regulated under the UK's Integrated Pollution Control regime. It demonstrates that having an EMS improves certain procedural aspects of environmental management but does not appear to reduce the likelihood of breaching permit conditions. Interviews with certification bodies revealed the factors, such as differentiation of services in the market for certification, that underlie this finding. It is concluded that some limited recognition of EMS in regulation is warranted, because there is overlap between some regulatory and certification procedures, and because having an EMS facilitates the supply of information necessary for regulation. The broader implications for regulated industry, certification bodies, regulators and wider environmental policymaking are considered. Copyright © 2003 John Wiley & Sons, Ltd and ERP Environment.

Is a Voluntary Approach an Effective Environmental Policy Instrument? A Case for Environmental Management Systems

“…Then it must demonstrate that its EMS meets requirements for five basic components: definition of the facility's environmental policy, project planning ("Plan"), implementation and operation ("Do"), checking ("Check"), and corrective action ("Act") and management review. 5 Once registered under ISO14001, the facility must follow this cycle of Plan-Do-Check-Act (PDCA) for the management to be effective. Besides registering under ISO14001, a facility may publish reports that describe its environmental policies, targets, and achievements, its current state of environmental management and environmental impacts, and its mitigation strategies.…”

“…Because of this positive spiral, publication of reports is expected to reduce environmental impact over time. 5 About once a year, facility management needs to review the EMS for its completeness and effectiveness. 6 According to the Japanese Ministry of the Environment [16], other reasons for publication of an environmental report include "social responsibility," "proportional representation," and "environmental education for employees."…”

“…On the other hand, Ziegler and Rennings [25] found that EMS certification does not significantly affect environmental innovation and abatement behavior at German manufacturing facilities. Using U.K. data, Dahlström et al [5] showed that neither ISO14001 nor EMAS has a positive effect on compliance with environmental regulations. 3 Besides EMS, publicly available environmental reporting is another important voluntary action.…”

A Review of Environmental Management Systems in Global Defence Sectors

“…The adoption and implementation of the ISO14001 EMS therefore have many advantages and benefits for an organisation (Dahlstrom et al, 2003;Dawson, 2004;Rashed et al, 2008;Zutshi et al, 2008). Table 1.…”

Effect of Systems to Manage Environmental Aspects on Environmental Performance

“…Their results demonstrate that facilities owned by firms that reported an environmental audit in the Investor Research Responsibility Center (IRRC) survey are significantly more likely to be compliant with Clean Air Act regulations. Fifth, Dahlström et al [7] reveal that neither ISO 14001 nor EMAS certification has a positive effect on United Kingdom companies' compliance with environmental regulations (as captured by a regulator's assessment of the likelihood of incidents, complaints, or non-compliance events); however, their results reveal a positive link from EMS certification to better procedural performance.…”