{"id":39720,"date":"2024-01-07T18:59:35","date_gmt":"2024-01-07T23:59:35","guid":{"rendered":"https:\/\/test.greenmoney.com\/2025\/?p=39720"},"modified":"2024-01-22T01:18:58","modified_gmt":"2024-01-22T06:18:58","slug":"2024-sustainability-trends-looking-beyond-carbon-and-new-approaches-to-esg-data","status":"publish","type":"post","link":"https:\/\/test.greenmoney.com\/2025\/2024-sustainability-trends-looking-beyond-carbon-and-new-approaches-to-esg-data\/","title":{"rendered":"2024 Sustainability Trends: looking beyond carbon and new approaches to ESG data"},"content":{"rendered":"
>> Back to January 2024 Issue<\/a><\/div>\n

The need to tackle climate change and environmental degradation is more pressing than ever. As new regulations come into force, businesses need to consider where they invest their money and how they communicate their\u00a0efforts.<\/span><\/i><\/h2>\n

Businesses have faced a difficult operating environment over the past few years. First the Covid-19 pandemic,\u00a0<\/span>then war in Ukraine<\/span><\/a>, have caused\u00a0<\/span>rising inflation<\/span><\/a>, increased interest rates and\u00a0<\/span>high wage growth<\/span><\/a>, meaning many businesses face difficult decisions in order to maintain profitability.<\/span><\/p>\n

That has meant many companies putting improving sustainability on the backburner. But as record global temperatures in 2023 show, climate change isn\u2019t taking a break. In 2024, businesses will need to find a way to think long-term on sustainability while facing short-term pressure on their top line. That necessitates\u00a0<\/span>more robust net-zero plans<\/span><\/a>\u00a0but also expanding scope beyond carbon, amid new ESG regulations focused around reporting and transparency.<\/span><\/p>\n

Preparing for new sustainability regulations<\/b><\/h2>\n

Around the world, governments will be introducing and updating sustainability regulations in 2024. There is a huge array set to come into force in the coming years and companies will need to\u00a0prepare.<\/span><\/p>\n

Levent Ergin, global chief ESG sustainability strategist at Informatica, says: \u201cWe are approaching a tipping point with ESG. Instead of companies operating blindly by accessing ESG data from a black box, new regulation promises greater clarity, and reliability in ESG data – something which is fundamental for informed decision-making and responsible capital allocation.\u201d<\/span><\/p>\n

Many of these regulations are aimed at making data and progress towards sustainability goals more transparent and standardized. The corporate sustainability reporting directive, for example,\u00a0<\/span>aims to standardize non-financial reporting<\/span><\/a>. Applying to all large companies and listed SMEs that operate in the EU, it will require them to publish regular reports on their environmental and social impacts with the aim of helping investors, policymakers and consumers evaluate their performance.\u00a0<\/span><\/p>\n

Adapting to new standards will be a challenge for the organizations that don\u2019t have an intelligent approach to ESG data management and governance<\/span><\/i><\/h2>\n

Similarly, the EU corporate sustainability due diligence directive mandates that companies operating in the bloc identify, report on and mitigate the impact of their operations (including those in their supply chains) on human rights and the environment. And in the UK, the Streamlined Electricity and Carbon Reporting regulation requires companies to report on their emissions and energy consumption.<\/span><\/p>\n

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