Navigating Social and Environmental Challenges: Concerns, Skepticism, and Transformations
Published: 2023-10-19Around 375 professionals recently gathered in Denver for a conference on corporate citizenship, discussing the challenges faced by companies in navigating social and environmental considerations in their business decisions and investments. The conference highlighted the concerns of many professionals about the future of companies' commitment to diversity and inclusion efforts, with 65% of respondents in a survey expressing worry. The politicization and demonization of efforts to advance justice, inclusion, and sustainability were also addressed.
In the investment world, there has been a shift in attitude towards environmental, social, and governance (ESG) factors. The number of investors considering these factors when investing has decreased, with performance being cited as the top reason for this decline. Skepticism towards ESG claims from funds has also increased, leading to outflows from the Responsible Investments category. The changing definitions of ESG and the need to consider industries that may seem unpleasant but are essential for a low-carbon future were also highlighted.
The lab-grown diamond industry is experiencing rapid growth, driven by rising disposable incomes, particularly in China and India. Major jewelry brands in the US have embraced lab-grown diamonds, with some offering entire collections. However, there are ethical and environmental considerations to be aware of when choosing lab-grown diamonds, despite the widening price gap between lab-grown and natural stones.
In Malaysia, the 12th Malaysia Plan is being reviewed to assess progress and make necessary adjustments. Carbon credits are seen as crucial in the battle against climate change, with market acceptance and adoption growing. The logistics and shipping sector is actively exploring carbon credits to offset emissions and enhance brand image, but further development is needed.
Major airlines are shifting their focus from carbon offsets to sustainable aviation fuel (SAF) as they aim for net-zero greenhouse gas emissions by 2050. However, the demand for SAF is high and supplies are limited, making it four times more expensive than conventional fuel. The transition to SAF requires significant investment and the right policies to support its growth.
The issue of fake carbon credits and mismanagement in a carbon offset project in Kariba was also discussed. The involvement of individuals who initially had good intentions but became complacent about the fake credits was highlighted. The article suggests a shady solution involving burning down the reference forest to maximize profits.
Finally, the automotive industry is undergoing a transformation towards Environmental, Social, and Governance (ESG) principles. Compliance with legislative requirements and the implementation of ESG practices such as energy-saving measures and diverse workforce hiring were emphasized as crucial for the longevity and success of businesses. NADA advocates for ESG programs to benefit businesses and customers.
In conclusion, companies and industries are facing challenges in navigating social and environmental considerations, with concerns about the future of diversity and inclusion efforts and skepticism towards ESG claims. Ethical and environmental considerations are also important in the lab-grown diamond industry. Carbon credits and sustainable aviation fuel are seen as crucial in the battle against climate change, but further development and investment are needed. The issue of fake carbon credits and mismanagement highlights the need for transparency and accountability. The automotive industry is undergoing a transformation towards ESG principles, which are seen as crucial for the success and trust of businesses.
https://www.journal-advocate.com/2023/10/19/corporate-esg-program-backlash/Related news on 2023-10-19
- malaysiakini.com: Carbon Credits : A Win - Win for Sustainability and Business ?
- journal-advocate.com: Companies worry about political backlash to social , environmental work
- roadsafety.co.za: Embracing ESG : Paving the Path to Sustainable Dealerships
- afr.com: How to sell fake carbon credits : I probably will go to jail
- miamiherald.com: Is it time to say I do to manufactured diamonds ? The rise of the lab - grown diamond industry
- vox.com: More airlines want to limit climate change with sustainable fuels , not carbon offsets
- wealthmanagement.com: The Tyranny of ESG Has Run Its Course