In this updated policy we have included new guidance to support non-profit art organisations in setting up an SCF. However, it is important to clarify that GCC does not expect all non-profit art organisations to immediately dedicate their limited resources to new environmental initiatives, but guidance exists for those that do.
As a charity, GCC is acutely aware of the difficulties in funding a non-profit, particularly in the current landscape characterised by uncertainty, cuts, long-lead funding cycles, and increasing overheads, compounded by global economic turbulence. We appreciate these challenges and understand that it may take time for certain organisations to implement new initiatives like SCFs. That said, we are in the midst of an environmental emergency and responding to that accordingly, in a way that is appropriate to the organisation in question, should be a priority for all of us.
GCC also acknowledges that - depending on the structure of certain organisations - it might be challenging to get top-level support for any additional annual spending, however it is calculated. For organisations in this position, GCC recommends considering possibilities for additional fundraising specifically to finance internal spending of an SCF if it isn't possible to allocate funds from existing budgets (as opposed to fundraising in order to donate to a third party, which GCC would not recommend and is outlined further below).
For non-profits that are in a position to set up their own SCF, GCC recommends calculating contributions based on a small percentage of annual ‘unrestricted funds’, if ‘revenue’ does not feel like an appropriate metric. However the funds are raised, GCC recommends that non-profit organisations should focus spending on ‘internal investments’ over ‘external donations’ as - depending on the type of organisation and the country in which they operate - there may be restrictions on charities and non-profits making donations to third parties. Even when such payments are possible, they may not make sense for one charity to donate to another due to potential conflicts of interest and reputational risks. For these reasons, GCC advises non-profit art organisations to prioritise internal investments over external donations to third-party environmental initiatives.
SCFs are a commitment to go further and faster than your existing carbon targets. Funds spent internally should be used to accelerate decarbonisation and adopt zero-waste practices within the organisation’s own operations. However, these funds should only be spent on initiatives that would not otherwise have happened and should complement existing decarbonisation actions.
The SCF approach might be new to many non-profit art spaces, so support and conversations will be crucial for many organisations to work out their own strategy. The launch of the new SCF policy marks the beginning of a campaign that will include events and workshops that will engage members and support them with implementation. Moving forward, we intend to build a bank of case studies and user experiences to illustrate successful implementation of the SCF guidance. We also plan on developing collaborative relationships with major art funders in order to establish clarity and consistency on the funding of arts organisations in relation to their environmental activities. GCC also hopes to work with non-profit art organisations to find creative and engaging ways of managing their SCFs that can also enrich their public and artistic programmes. In the meantime, if a non-profit arts organisation requires further support, we would encourage members to contact the GCC team.