Environmental, Social, and Corporate Governance (ESG) criteria are an essential requirement for every business in 2021 as world deals with a different kind of pandemic. The CO2 emission kind. Which is why focusing on ESG reporting can be an important business decision.
We read daily of how the ozone layer is constantly depleting due to carbon emissions. According to a statistic, without changes, we might generate 43.08 billion tons in 2050.
Over time, employers have faced intense scrutiny to reveal their business’ ESG reports. This mounting pressure is traced to environmental/social activists, stakeholders, and employees.
A study showed that 64% of millennials will not work for any non-ESG-compliant company. Consumers are also concerned about how the activities of businesses impact the emission of greenhouse gases.
It is not surprising to see investors looking for the same thing before investing a portion of their finances. According to a report, 85% of investors in the US are buying into ‘sustainable investing.’
Thus, ESG should not be viewed as a risk-management protocol. It is an all-around holistic measure to be implemented by your business.
As an employer of labor, you must show that your business is socially responsible. This is a significant ingredient that will foster consumer loyalty, business longevity, and reputation.
For the manufacturing industry, it is difficult to ignore that ESG compliance is essential. There are risks involved in constant pollution, unsafe work practices, child labor, and even the inability to identify conflict natural resources. With constant media attention, it has become necessary to put an ESG framework in place.
No business wants to be at the receiving end of lawsuits bordering on harassment, discrimination, and pollution. To remain compliant, you must ensure that your business submits ESG and local energy benchmark reports.
The deadlines are fast approaching:
The deadlines for ESG reporting and framework are as follows:
|ESG FRAMEWORK||HOW TO SUBMIT||DEADLINE|
|S&P’s Dow Jones Sustainability Index (DJSI)||Submit at the DJSI online portal||June 3, 2021|
|Global Real Estate Sustainability Benchmark (GRESB)||Submit at the GRESB online portal.||July 1, 2021|
|The Carbon Disclosure Project (CDP)||Submit at the CDP online portal||July 28, 2021|
|Sustainable Accounting Standards Board||Include in 10-K, Annual Report||Please include it in your annual financial disclosure|
|Task Force for Climate-Related Disclosure (TCFD)||Include in the 10-K annual report||Please include it in your yearly financial disclosure|
|The United Nations Principles for Responsible Investment (UNPRI)||Submit at the UNPRI online portal||April 29, 2021|
Local Energy Benchmarking
The following are the due dates for the local energy benchmarking for various states:
|ESG FRAMEWORK||HOW TO SUBMIT||RESOURCES TO SUPPORT YOU||DUE DATE|
|District of Columbia||Energy Star Portfolio Manager||Benchmark Compliance Instructions Benchmark Compliance Instructions||Please include it in your annual financial disclosure|
|Boston||Energy Star Portfolio Manager||Benchmark Compliance Instructions||April 29, 2021|
|New York||Energy Star Portfolio Manager||Benchmark Compliance Instructions||Please include it in your yearly financial disclosure|
|Chicago||Energy Star Portfolio Manager||Benchmark Compliance Instructions Benchmark Compliance Instructions||June 3, 2021|
|Los Angeles||Energy Star Portfolio Manager||Benchmark Compliance Instructions||July 1, 2021|
|Seattle||Energy Star Portfolio Manager||Benchmark Compliance Instructions||July 28, 2021|
With these deadlines approaching, how do you ensure compliance and save your business from mounting fees due to non-compliance? What is the easy way out here?
Edenark Group ISO 14001
Our partner, Edenark Group is running a sustainability program to help small and big businesses in the US boost profit while improving their performance. Edenark Group is an SEC-approved organization that runs and procures a sustainability program called the Edenark Group ISO 14001.
With this certification in place, your business will remain ESG-compliant while attracting and retaining top talents as staff, juicy investments, and loyal consumers. This certification is proudly supported by the World Bank, ISO, SEC, FINRA, and the United Nations.
Other benefits of this certification include:
- Remain carbon neutral
- Positive brand image
- Maximized profits
- Competitive advantage over other business
- It puts your business in a framework of over 300K organizations
Reach out to us to further discuss ESG reporting and benchmarking. You can also reach out to us to discuss how we can help you reduce your expenses while boosting your profits.
Published by Marc Freedman
Marc currently serves as our Chief Cost Evaluator, expertly advising our client management team on how to help you successfully achieve your business and financial growth goals. A respected mentor to all he consults with, he is an avid collaborator and contributor to the spend consultant community, guiding thought leaders to formulate, design, and install the best operational solutions available to their clients.