OTTAWA, Feb. 7, 2006 - Canadian companies surveyed by The Conference Board of Canada are taking action to reduce carbon emissions not just to protect the environment, but for economic advantages, according to a new report.

"Companies need to come to grips with the challenge and risks of climate change, and the substantial costs and benefits of reducing carbon emissions," said David Greenall, author of the report, Carbon Management Strategies of Canadian Industrial Emitters: Competing in a Carbon-Constrained World.

"Successful companies will reap benefits such as reduced costs, enhanced productivity and higher profits. Those that cannot reduce emissions economically will put shareholder value and long-term competitiveness at risk," he added.

The report is based on a survey of 60 medium-sized and large electricity generation, mining and manufacturing companies on issues related to the implementation of the Kyoto Accord and Canada's "Large Final Emitter" legislation. Among the key findings:
 

• 84% of respondents feel their companies moderately or strongly understand how a carbon-constrained future will affect them;
  
   
• 63% have assessed how emissions regulations might affect their financial positions;
  
   
• 83% indicate that they will meet their compliance obligations by maximizing energy efficiency, investing in new technologies or purchasing emissions reduction credits;
  
   
• 72% of respondents say their boards of directors have a high level of understanding of carbon-related business risks and opportunities.