Hawaii: Best to Live, Bad for Businesses

Hawaii is the best place to live in the US, states a report from CNBC.

The criteria of this rank are i) crime rates ii) health care iii) air & water quality iv) number of visits to local attractions.

Located in the middle of the Pacific, the Aloha state enjoys great environmental advantages and proximity to rich markets to be ranked top in the rank.

However, Hawaiian residents rank very poorly in terms of human, business, and infrastructure capital. The local work-force, educational system, regulatory framework, and public transportation are among the worst in the country.

This outcome is partially explained by the lack of a competitive business environment on the islands.

http://www.staradvertiser.com/business/businessnews/20110629_high_quality_of_life_cannot_buoy_isles_in_business_rankings.html

"Confirmation Bias"

People tend to seek confirmation of their beliefs.

“Confirmation bias” is the psychological term defining this human behavior that is constantly looking for and interpreting given information based on existing beliefs, expectations, and hypotheses.

Internet search systems and social networks unveil this human feature.

http://psycnet.apa.org/?fa=main.doiLanding&doi=10.1037/1089-2680.2.2.175

New Zealand: Leader in Sustainability

New Zealand has become the worldwide leader in sustainability. This has happened because of the national focus on values and principles and the leadership of civil society. Economic growth based on increasing wealth is no longer a benchmark for measuring development and state institutions are not expected to take long-term responsibility over environmental issues.

The six measures that New Zealanders have enforced are:

i) limit emissions into the atmosphere, discharges into waterways and the ocean, and chemicals in the soils;

ii) grow natural and social capital to sustain health and resilience of its people, institutions, and the nature;

iii) substitute renewable for nonrenewable resources wherever feasible, and luse these as efficiently as possible;

iv) instill a broad and deep eco-literate & strong human-Earth relationship;

v) embed sustainability in governance, economic, legal, and educational systems, and

vi) import only from countries and regions that follow sustainable practices.

http://www.thesolutionsjournal.com/node/946

Youth Initiative in Green Certification

“Leaving Earth a Future (LEAF)” is a youth-driven nonprofit organization whose purpose is to encourage and promote sustainable practices within businesses and non-profit communities, starting with the restaurant sector. These students do so by creating a certification process.

http://leavingearthafuture.org/index.php

System Thinking

Edmonton’s public school system became a worldwide role model by asking decision-makers, school directors, and union leaders the right questions; thus, helping them visualize priorities, embrace change, serve better, and improve performance.

http://www.hawaiibusiness.com/Hawaii-Business/May-2010/Best-School-System-in-North-America/

Public Policies positively affecting Businesses

More business opportunities created by a policy shift.

Hawaii’s Public Utilities Commission (PUC) created “net metering” to allow clean energy producers to offset their overall energy demand by feeding the excess energy they produce into the grid for credit at the current retail rate towards their monthly utility bill, but never for a profit or cash in hand. Now, thanks to the policy shift, independent renewable energy producers have the chance to sell clean energy to Hawaiian Electric through a “feed-in tariff”.

As “net metering” will continue benefiting smaller energy producers (less than 50KW) because rates continue to increase over time, “feed-in tariff” opens the door in Hawaii for energy investors: business with a low energy demand and a lot of roof space or property owners with open land, like ranchers or farmers.

http://www.greenmagazinehawaii.com/feed_in_tariff_v3-1.html

Solar Energy Business Model

This is a new energy business model.

Sunetric and Revolusun offer homeowners on Oahu, Maui, and the Big Island zero down payment for a solar system. SunRun, their partner, pay for the photovoltaic system and Revolusun and Sunetric install it.

The benefit for the resident, in addition to the zero down payment, is buying solar-generated electricity from SunRun at a locked-in-rate and no costs on maintenance.
SunRun makes a profit by getting the tax incentives and selling electricity to household in the long-term.

http://www.hawaiibusiness.com/Hawaii-Business/May-2011/Zero-Down-for-Solar-Power/