OTTAWA — A growing realization that there's money to be made from going green has helped take environmental initiatives from the grassroots to the executive suite.

According to a recent survey commissioned by Ernst & Young, 82 per cent of Canadian executives say responding to climate change is "imperative," and plan to increase spending on climate change initiatives.

"This reflects the growing strategic importance of climate change for many organizations who understand that climate change is not just a risk area but also an opportunity to reduce costs, increase revenue and gain competitive advantage," according to Ernst & Young, a leading provider of financial advisory services.

The Canadian responses were part of a wider global survey of 300 corporate executives from 16 countries. More than 90 per cent of respondents indicated a belief that it is up to senior executives and corporate boards to take charge of the climate-change file, but "government policies strongly influence climate change strategies" — 94 per cent said clear national regulation was important.

"The willingness of corporations to invest in climate change initiatives despite the uncertain regulatory environment is extremely encouraging," said Melanie Steiner, with Ernst & Young's climate-change and sustainability-services practice.

"Corporate leaders understand that there are a range of market drivers, such as evolving customer demands and equity analysts' growing interest in climate-change performance, that are motivating action."

The survey found 71 per cent of Canadian firms already have climate-change initiatives in place and another 11 per cent plan to implement programs in the next 12 months. And nearly half aren't stopping at their own front doors — 43 per cent say they've worked with suppliers to make sure their inputs are environmentally friendly as well, while 29 per cent say they've begun that process.

Globally, 82 per cent of respondents said energy efficiency was their top priority.

Canadian firms aren't just talking the talk — nearly half of respondents said they planned to spend between 0.5 per cent to upwards of five per cent more of their revenue on climate-change initiatives — which, for a $1-billion company, represents an investment of anywhere from $5 million to $50 million a year.

Globally, 89 per cent of respondents said they're making changes in response to demand from their customers. Two-thirds plan to focus on new, environmentally friendly products and services.

Changes are also coming in response to the fact that equity analysts taking the company's climate-change initiatives into consideration in their valuations.