Opinion Article for Millioneyes Magazine, April 2024
The relationship between sustainability and production costs is a complex and varied topic. However, contrary to what we might think, transitioning to more sustainable practices doesn't always necessarily imply additional costs.
In most cases, implementing sustainable practices may require significant initial investments, as initiatives aimed at adopting clean technologies, more efficient production processes, and the use of renewable energies are closely related to this endeavor. In this sense, in the short term, all these initial investments can increase production costs.
However, in the medium to long term, these procedures can lead to cost and resource savings, operational efficiency, waste reduction, as well as competitive and financial benefits for companies.
Some examples to implement this process include the adoption of more efficient energy management systems, which can reduce energy costs over time. This can be done by using more efficient equipment, low-energy lighting systems, and optimizing production processes to reduce energy consumption.
Using sustainable materials or reducing the use of environmentally harmful materials, selecting recyclable, biodegradable, or environmentally low-impact materials in the production of optical devices, can also be a strategy for companies in the optics cluster.
Implementing waste recycling programs and materials reuse can also help reduce environmental impact. This can include recycling electronic components, glass, plastics, and other materials used in production.
Research and development of new technologies in the optics field should be encouraged and incentivized. This will facilitate the development of techniques and formulas that, for example, will make energy production more efficient and durable, or even the discovery of more sustainable materials. This can be clearly a strategy to leverage sustainability in this sector.
Adopting certifications and following internationally recognized environmental standards can help demonstrate companies' commitment to sustainability in the optics cluster, adding value to the brand, improving market reputation, and attracting more customers, all substantiating a very important competitive advantage.
As sustainable practices become more widespread, they will simultaneously become a standard in the industry, and consequently implementation costs will tend to decrease. This will naturally occur as more companies adopt these practices and suppliers respond to the demand for more sustainable technologies, inevitably making investment in them more accessible.
Incentives such as subsidies for renewable energies or tax credits for adopting sustainable practices are also alternatives to consider for reducing costs in this type of investment.
As awareness of environmental protection and news dissemination about the ecological footprint have their effect, not adopting sustainable and environmentally friendly practices increasingly poses risks for companies, such as regulatory penalties, loss of reputation, and pollution-related costs.
In summary, the application of sustainable practices in the optics cluster can involve everything from energy efficiency to the selection of environmentally friendly materials and production processes, seeking to reduce environmental impact and promote more sustainable development within this sector.
In the context of sustainability, competitiveness, and cooperation in this cluster can also play complementary and very relevant roles in driving significant advances. But this is a subject that deserves its own focus and highlight.
Nuno Rama
Assistant Director at Optocentro
Master's Degree Candidate in Investment Strategy and Internationalization at ISG
