Post by account_disabled on Feb 26, 2024 23:37:44 GMT -5
The last month has seen a strong mobilization of regulatory and political authorities seeking to end greenwashing in ESG – environmental, social and governance principles in investments. Cases of companies making exaggerated or false claims about sustainability issues are being closely watched.
For its part, the US Securities and Exchange Commission (SEC) recently proposed changes to the rules on ESG funds, in order to enforce standardization in their disclosure. However, the European Union (EU) has not been immune to these concerns, and has also spoken out to end bad practices in sustainable investments.
End of greenwashing in ESG
According to Edie , members of the Chinese American Phone Number List European Parliament and EU state governments reached a provisional agreement on new ESG reporting requirements.
The move responds to growing concerns from regulators that more companies are engaging in greenwashing ; making inaccurate or unsubstantiated environmental claims, and social actions to attract consumers and investors.
The agreement covers a series of guidelines on corporate sustainability and due diligence reporting. Its application is expected to be introduced in phases in early 2024, and subsequently expanded to publicly traded companies in 2026.
end of greenwashing
Man hold a green and white battery with the word Greenwashing printed on it. Greenwashing is a communication technique aimed at building a false image of a company in terms of environmental impact.
Building on guidelines on the standardization of ESG disclosures, the EU will seek to end greenwashing . The dissemination of reports on the impact of activities and supply chain on the environment and people will allow interested parties to compare performance between different companies.
In order to strengthen efforts against greenwashing , it is also proposed that audits of disclosures be carried out externally.
This agreement is excellent news for all European consumers. Now they will be better informed about the impact of companies on human rights and the environment... Greenwashing is over
Bruno Le Maire, Minister of the Environment of France.
Companies prepared to put an end to greenwashing …or are they?
Although the initiative aims to support the transition to sustainable investments, through transparency and standardization, a survey of 100 professionals in the creation and generation of ESG reports revealed that two-thirds consider that their organization is not prepared to comply with changing mandates. of ESG reporting.
The survey, conducted by Workiva , highlighted significant challenges: three-quarters of respondents say they do not have confidence in the data they are provided; lack of financing; difficulty reporting accurately, including Scope 3 emissions—those that come from a company's value chain and are not under its control.
For her part, Workiva Global ESG Director Mandi McReynolds said: “With the recent Sustainable Finance Disclosure Regulation (SFDR) directive in Europe, the SEC’s proposed ESG disclosure rule in the US . and the 27 core ESG metrics recommended by the Singapore Exchange, the ESG reporting environment is becoming more complex for organizations.
For its part, the US Securities and Exchange Commission (SEC) recently proposed changes to the rules on ESG funds, in order to enforce standardization in their disclosure. However, the European Union (EU) has not been immune to these concerns, and has also spoken out to end bad practices in sustainable investments.
End of greenwashing in ESG
According to Edie , members of the Chinese American Phone Number List European Parliament and EU state governments reached a provisional agreement on new ESG reporting requirements.
The move responds to growing concerns from regulators that more companies are engaging in greenwashing ; making inaccurate or unsubstantiated environmental claims, and social actions to attract consumers and investors.
The agreement covers a series of guidelines on corporate sustainability and due diligence reporting. Its application is expected to be introduced in phases in early 2024, and subsequently expanded to publicly traded companies in 2026.
end of greenwashing
Man hold a green and white battery with the word Greenwashing printed on it. Greenwashing is a communication technique aimed at building a false image of a company in terms of environmental impact.
Building on guidelines on the standardization of ESG disclosures, the EU will seek to end greenwashing . The dissemination of reports on the impact of activities and supply chain on the environment and people will allow interested parties to compare performance between different companies.
In order to strengthen efforts against greenwashing , it is also proposed that audits of disclosures be carried out externally.
This agreement is excellent news for all European consumers. Now they will be better informed about the impact of companies on human rights and the environment... Greenwashing is over
Bruno Le Maire, Minister of the Environment of France.
Companies prepared to put an end to greenwashing …or are they?
Although the initiative aims to support the transition to sustainable investments, through transparency and standardization, a survey of 100 professionals in the creation and generation of ESG reports revealed that two-thirds consider that their organization is not prepared to comply with changing mandates. of ESG reporting.
The survey, conducted by Workiva , highlighted significant challenges: three-quarters of respondents say they do not have confidence in the data they are provided; lack of financing; difficulty reporting accurately, including Scope 3 emissions—those that come from a company's value chain and are not under its control.
For her part, Workiva Global ESG Director Mandi McReynolds said: “With the recent Sustainable Finance Disclosure Regulation (SFDR) directive in Europe, the SEC’s proposed ESG disclosure rule in the US . and the 27 core ESG metrics recommended by the Singapore Exchange, the ESG reporting environment is becoming more complex for organizations.