Filling in the blanks: 2024 update

The number of climate-related regulations and frameworks is increasing every day. At the same time, corporate disclosure of greenhouse gas (GHG) emissions, particularly those in line with the Greenhouse Gas Protocol (GHGP), remains poor. Of more than 6,200 companies tracked by ESG Book, less than 50% report Scope 1 emissions in line with the GHGP.

Find out how ESG Book’s newly upgraded Estimated Emissions Model predicts emissions more accurately across each scope.

 

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Pull Your Weight

By delivering transparent, data-driven assessments of corporate sustainability performance inspired by the ISSB framework, the ESG Performance Score is a next generation solution to meet increasingly complex market requirements.

In this report, we present a practical method for enhancing the sustainability profile of a portfolio by adopting an ESG Performance Score weighted approach, using the S&P 500 Equal Weight Index as a benchmark.

Download the report here.

Challenging road ahead

In a comprehensive analysis of companies’ alignment with the EU taxonomy, ESG Book reveals that the majority of businesses today are struggling to meet these new sustainability standards.

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Beyond 1.5°C

Much public discussion over the past few weeks has suggested that a key objective of the Paris Climate Agreement, only seven years old, has already been broken.

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Scope 3

Awareness around the benefits and challenges of measuring Scope 3 emissions – those connected with a company but not produced as a result of their own direct operations or energy consumption – has grown rapidly over the past year.

This article demonstrates how Scope 3 emissions are essential in determining who is at the forefront of the race to net-zero, and why material reporting is key in being able to accurately assess corporate decarbonisation progress.

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The New Global Baseline?

With updates announced for several major ESG frameworks and standards, in an effort to streamline and simplify the corporate disclosure process, 2022 marked a year of development across the corporate sustainability reporting landscape.

This article provides an overview of key developments in ESG frameworks and standards over the past year and discusses some of the trends that will shape the terrain in the years to come.

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Closing the climate data gap

In 2022, the European Central Bank (ECB) pioneered a climate risk stress test carried out among the
most significant financial institutions in Europe as part of its annual stress testing exercise. Building on the test’s findings, the ECB launched last month a set of climate-related statistical indicators. The announcement forms part of the ECB’s mandate to incorporate climate change considerations into its monetary policy framework, which includes transitioning nearly €350 billion in corporate bond portfolios towards issuers with improved climate performance, according to ECB’s Climate Action Plan.

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The Global Regulation Race

2022 was a make-or-break year for ESG – what was once a buzzword is now a siren signalling the end of business as usual. Regulators began the year with lofty aspirations that were put to the test amid turbulent geopolitical events.

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COP27

As we start 2023 and look ahead to the COP28 summit in the United Arab Emirates later this year, here are some of the key takeaways from COP27.

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COP26

Over the last three decades, the United Nations has brought nearly every country on the planet together for global climate summits known as the Conference of Parties (COP). The COP is the highest decision- making body for climate action, where country representatives discuss, deliberate, and negotiate climate- related mechanisms, instruments, and actions. The United Nations Climate Change Conference of 2021, also known as COP26, was the 26th such conference held in Glasgow, Scotland, United Kingdom, between 30 October to 12 November 2021.

The UN Environment Programme’s (UNEP) Emissions Gap Report 2021: The Heat is On, released prior to COP26, noted an increase in the number of countries pledging net-zero commitments around 2050. Despite the spike, experts believed that the commitments lacked a clear pathway.

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