Latest news with #ESG-related
Scoop
26-05-2025
- Business
- Scoop
Why New Zealand Businesses Must Keep Abreast Of Evolving Environmental And Social Responsibility Regulations
Opinion – OneAdvanced Businesses in NZ now face increasing scrutiny from regulators, customers, investors and the wider community to demonstrate accountability and transparency regarding their ESG impact. Failure to comply can result in substantial reputational damage, … Environmental, Social and Governance (ESG) considerations have rapidly evolved from optional corporate strategies into mandatory components of responsible business practice, particularly in New Zealand. In this region, we have witnessed significant shifts in the regulatory landscape, driven by rising societal expectations and international commitments. Businesses in New Zealand now face increasing scrutiny from regulators, customers, investors and the wider community to demonstrate accountability and transparency regarding their ESG impact. Failure to comply can result in substantial reputational damage, loss of business opportunities and hefty penalties. Unfortunately, the ESG regulatory environment is in a state of flux internationally. In Europe, businesses are grappling with proposed simplification reforms of the European Union's sustainability regulations. Meanwhile, federal support for ESG initiatives has significantly diminished in the United States since the Trump administration was re-elected. Navigating the ESG regulatory landscape in New Zealand In New Zealand, ESG-related regulations have intensified significantly with the introduction of the Financial Sector (Climate-related Disclosures and Other Matters) Amendment Act 2021, which mandates climate-related disclosures (CRD) for significant financial institutions. New Zealand is among the first nations globally to implement mandatory climate reporting, further solidifying its commitment to transparency and accountability. The first climate statements were filed in the first quarter of 2024. Importance of proactive ESG management To mitigate potential compliance breaches and operational disruptions, New Zealand businesses must proactively manage ESG risks, particularly in supply chain operations. Modern supply chains, often complex and spanning multiple jurisdictions, pose substantial ESG risks, making proactive management and thorough due diligence critical. Robust Source-to-Contract (S2C) solutions play a pivotal role in ESG compliance. They enable companies to systematically incorporate sustainability criteria into supplier evaluation, contract negotiations and ongoing supplier management. These solutions facilitate comprehensive visibility into supply chains, allowing companies to assess and mitigate risks more effectively, enhance transparency and maintain regulatory compliance. Organisations can enforce ESG standards for procurement through a strategic Source-to-Contract approach, embedding sustainable and ethical considerations into contractual obligations. This proactive stance ensures regulatory compliance, strengthens stakeholder trust and enhances corporate reputation, aligning operational practices with broader organisational values and public expectations. Strategic benefits of ESG compliance Businesses proactively addressing ESG regulations enjoy tangible strategic advantages beyond mere regulatory compliance. These include enhanced brand loyalty, stronger market positioning and improved risk management. Customers and investors increasingly demand proof of responsible ESG practices, rewarding companies that demonstrate robust compliance and penalising those that are behind. Additionally, proactive ESG management provides valuable opportunities for innovation and efficiency improvements. Implementing ESG-compliant practices frequently results in resource optimisation, cost reductions and improved operational efficiencies. Such practices drive competitive differentiation, helping businesses establish clear market leadership. Staying ahead of the curve Given the rapid pace of ESG regulatory developments, New Zealand businesses must remain agile and proactive in their compliance approach. Staying informed about legislative changes and evolving best practices is crucial. Companies should regularly engage with regulators, industry groups and ESG solutions providers to ensure their practices are current and comprehensive. For New Zealand businesses, recognising and effectively managing the four primary drivers of ESG-related legal risks, domestic regulations, international rules, litigation motivated by ESG issues, and external stakeholder pressures, is crucial. Companies strategically managing these elements will be better equipped to handle the fast-evolving ESG landscape and gain competitive advantages over organisations adopting fragmented or reactive approaches to ongoing regulatory changes. Businesses also need to anticipate future regulatory trends. Emerging issues such as biodiversity conservation, human rights due diligence and circular economy principles will likely feature prominently in future regulatory frameworks. Businesses should consider pre-emptively aligning their practices with these potential regulations to avoid reactive compliance efforts and gain first-mover advantages. Conclusion As regulatory frameworks around ESG continue to evolve, New Zealand businesses face both a responsibility and an opportunity to engage proactively. Understanding and anticipating regulatory shifts, implementing robust ESG practices and leveraging strategic sourcing solutions are crucial. By embracing these steps, New Zealand businesses can safeguard compliance, reinforce their market positions, enhance resilience and deliver enduring value to all stakeholders. The accelerated pace and complexity of ESG regulations across Australia and New Zealand present both a formidable challenge and a valuable opportunity. Businesses that proactively integrate ESG considerations into their core strategies and operational frameworks will meet compliance demands and significantly enhance their resilience, competitive edge and reputation in the market.
Scoop
26-05-2025
- Business
- Scoop
Why New Zealand Businesses Must Keep Abreast Of Evolving Environmental And Social Responsibility Regulations
Opinion – OneAdvanced Businesses in NZ now face increasing scrutiny from regulators, customers, investors and the wider community to demonstrate accountability and transparency regarding their ESG impact. Failure to comply can result in substantial reputational damage, … Environmental, Social and Governance (ESG) considerations have rapidly evolved from optional corporate strategies into mandatory components of responsible business practice, particularly in New Zealand. In this region, we have witnessed significant shifts in the regulatory landscape, driven by rising societal expectations and international commitments. Businesses in New Zealand now face increasing scrutiny from regulators, customers, investors and the wider community to demonstrate accountability and transparency regarding their ESG impact. Failure to comply can result in substantial reputational damage, loss of business opportunities and hefty penalties. Unfortunately, the ESG regulatory environment is in a state of flux internationally. In Europe, businesses are grappling with proposed simplification reforms of the European Union's sustainability regulations. Meanwhile, federal support for ESG initiatives has significantly diminished in the United States since the Trump administration was re-elected. Navigating the ESG regulatory landscape in New Zealand In New Zealand, ESG-related regulations have intensified significantly with the introduction of the Financial Sector (Climate-related Disclosures and Other Matters) Amendment Act 2021, which mandates climate-related disclosures (CRD) for significant financial institutions. New Zealand is among the first nations globally to implement mandatory climate reporting, further solidifying its commitment to transparency and accountability. The first climate statements were filed in the first quarter of 2024. Importance of proactive ESG management To mitigate potential compliance breaches and operational disruptions, New Zealand businesses must proactively manage ESG risks, particularly in supply chain operations. Modern supply chains, often complex and spanning multiple jurisdictions, pose substantial ESG risks, making proactive management and thorough due diligence critical. Robust Source-to-Contract (S2C) solutions play a pivotal role in ESG compliance. They enable companies to systematically incorporate sustainability criteria into supplier evaluation, contract negotiations and ongoing supplier management. These solutions facilitate comprehensive visibility into supply chains, allowing companies to assess and mitigate risks more effectively, enhance transparency and maintain regulatory compliance. Organisations can enforce ESG standards for procurement through a strategic Source-to-Contract approach, embedding sustainable and ethical considerations into contractual obligations. This proactive stance ensures regulatory compliance, strengthens stakeholder trust and enhances corporate reputation, aligning operational practices with broader organisational values and public expectations. Strategic benefits of ESG compliance Businesses proactively addressing ESG regulations enjoy tangible strategic advantages beyond mere regulatory compliance. These include enhanced brand loyalty, stronger market positioning and improved risk management. Customers and investors increasingly demand proof of responsible ESG practices, rewarding companies that demonstrate robust compliance and penalising those that are behind. Additionally, proactive ESG management provides valuable opportunities for innovation and efficiency improvements. Implementing ESG-compliant practices frequently results in resource optimisation, cost reductions and improved operational efficiencies. Such practices drive competitive differentiation, helping businesses establish clear market leadership. Staying ahead of the curve Given the rapid pace of ESG regulatory developments, New Zealand businesses must remain agile and proactive in their compliance approach. Staying informed about legislative changes and evolving best practices is crucial. Companies should regularly engage with regulators, industry groups and ESG solutions providers to ensure their practices are current and comprehensive. For New Zealand businesses, recognising and effectively managing the four primary drivers of ESG-related legal risks, domestic regulations, international rules, litigation motivated by ESG issues, and external stakeholder pressures, is crucial. Companies strategically managing these elements will be better equipped to handle the fast-evolving ESG landscape and gain competitive advantages over organisations adopting fragmented or reactive approaches to ongoing regulatory changes. Businesses also need to anticipate future regulatory trends. Emerging issues such as biodiversity conservation, human rights due diligence and circular economy principles will likely feature prominently in future regulatory frameworks. Businesses should consider pre-emptively aligning their practices with these potential regulations to avoid reactive compliance efforts and gain first-mover advantages. Conclusion As regulatory frameworks around ESG continue to evolve, New Zealand businesses face both a responsibility and an opportunity to engage proactively. Understanding and anticipating regulatory shifts, implementing robust ESG practices and leveraging strategic sourcing solutions are crucial. By embracing these steps, New Zealand businesses can safeguard compliance, reinforce their market positions, enhance resilience and deliver enduring value to all stakeholders. The accelerated pace and complexity of ESG regulations across Australia and New Zealand present both a formidable challenge and a valuable opportunity. Businesses that proactively integrate ESG considerations into their core strategies and operational frameworks will meet compliance demands and significantly enhance their resilience, competitive edge and reputation in the market.
Scoop
26-05-2025
- Business
- Scoop
Why New Zealand Businesses Must Keep Abreast Of Evolving Environmental And Social Responsibility Regulations
Environmental, Social and Governance (ESG) considerations have rapidly evolved from optional corporate strategies into mandatory components of responsible business practice, particularly in New Zealand. In this region, we have witnessed significant shifts in the regulatory landscape, driven by rising societal expectations and international commitments. Businesses in New Zealand now face increasing scrutiny from regulators, customers, investors and the wider community to demonstrate accountability and transparency regarding their ESG impact. Failure to comply can result in substantial reputational damage, loss of business opportunities and hefty penalties. Unfortunately, the ESG regulatory environment is in a state of flux internationally. In Europe, businesses are grappling with proposed simplification reforms of the European Union's sustainability regulations. Meanwhile, federal support for ESG initiatives has significantly diminished in the United States since the Trump administration was re-elected. Navigating the ESG regulatory landscape in New Zealand In New Zealand, ESG-related regulations have intensified significantly with the introduction of the Financial Sector (Climate-related Disclosures and Other Matters) Amendment Act 2021, which mandates climate-related disclosures (CRD) for significant financial institutions. New Zealand is among the first nations globally to implement mandatory climate reporting, further solidifying its commitment to transparency and accountability. The first climate statements were filed in the first quarter of 2024. Importance of proactive ESG management To mitigate potential compliance breaches and operational disruptions, New Zealand businesses must proactively manage ESG risks, particularly in supply chain operations. Modern supply chains, often complex and spanning multiple jurisdictions, pose substantial ESG risks, making proactive management and thorough due diligence critical. Robust Source-to-Contract (S2C) solutions play a pivotal role in ESG compliance. They enable companies to systematically incorporate sustainability criteria into supplier evaluation, contract negotiations and ongoing supplier management. These solutions facilitate comprehensive visibility into supply chains, allowing companies to assess and mitigate risks more effectively, enhance transparency and maintain regulatory compliance. Organisations can enforce ESG standards for procurement through a strategic Source-to-Contract approach, embedding sustainable and ethical considerations into contractual obligations. This proactive stance ensures regulatory compliance, strengthens stakeholder trust and enhances corporate reputation, aligning operational practices with broader organisational values and public expectations. Strategic benefits of ESG compliance Businesses proactively addressing ESG regulations enjoy tangible strategic advantages beyond mere regulatory compliance. These include enhanced brand loyalty, stronger market positioning and improved risk management. Customers and investors increasingly demand proof of responsible ESG practices, rewarding companies that demonstrate robust compliance and penalising those that are behind. Additionally, proactive ESG management provides valuable opportunities for innovation and efficiency improvements. Implementing ESG-compliant practices frequently results in resource optimisation, cost reductions and improved operational efficiencies. Such practices drive competitive differentiation, helping businesses establish clear market leadership. Staying ahead of the curve Given the rapid pace of ESG regulatory developments, New Zealand businesses must remain agile and proactive in their compliance approach. Staying informed about legislative changes and evolving best practices is crucial. Companies should regularly engage with regulators, industry groups and ESG solutions providers to ensure their practices are current and comprehensive. For New Zealand businesses, recognising and effectively managing the four primary drivers of ESG-related legal risks, domestic regulations, international rules, litigation motivated by ESG issues, and external stakeholder pressures, is crucial. Companies strategically managing these elements will be better equipped to handle the fast-evolving ESG landscape and gain competitive advantages over organisations adopting fragmented or reactive approaches to ongoing regulatory changes. Businesses also need to anticipate future regulatory trends. Emerging issues such as biodiversity conservation, human rights due diligence and circular economy principles will likely feature prominently in future regulatory frameworks. Businesses should consider pre-emptively aligning their practices with these potential regulations to avoid reactive compliance efforts and gain first-mover advantages. Conclusion As regulatory frameworks around ESG continue to evolve, New Zealand businesses face both a responsibility and an opportunity to engage proactively. Understanding and anticipating regulatory shifts, implementing robust ESG practices and leveraging strategic sourcing solutions are crucial. By embracing these steps, New Zealand businesses can safeguard compliance, reinforce their market positions, enhance resilience and deliver enduring value to all stakeholders. The accelerated pace and complexity of ESG regulations across Australia and New Zealand present both a formidable challenge and a valuable opportunity. Businesses that proactively integrate ESG considerations into their core strategies and operational frameworks will meet compliance demands and significantly enhance their resilience, competitive edge and reputation in the market.
Tourism Breaking News
23-05-2025
- Business
- Tourism Breaking News
WTTC and Greenview Launch Global ESG Policy Tracker for Travel & Tourism
Post Views: 2 The World Travel & Tourism Council (WTTC) and Greenview have launched a Global ESG Policy Tracker that enables Travel & Tourism businesses to stay ahead of rapidly evolving ESG-related regulation and policy around the world. Developed in collaboration with Greenview, a global leader in sustainability and ESG (Environmental, Social, and Governance) data solutions for the hospitality and Travel & Tourism industries, the WTTC-Greenview Global ESG Policy Tracker offers an online interactive dashboard, alongside comprehensive coverage of regional, national-level and state-level ESG policies. Users also benefit from clear regional and thematic policy summaries, quarterly updates to ensure the latest information is always at hand, and access to a dedicated advisory group to shape future developments of the Policy Tracker. The tracker is designed to support Travel & Tourism businesses to navigate complex regulatory landscapes and integrate sustainability considerations into core business decisions. Julia Simpson, WTTC President & CEO, said: 'ESG requirements are becoming more complex and more urgent by the day, and this partnership provides an essential tool to help companies not only comply with policy, but also lead the way in responsible, future-focused Travel & Tourism. The ESG Tracker offers timely, clear and actionable insights – helping them benchmark progress, anticipate change, and deliver on their commitments.' Eric Ricaurte, Founder & CEO of Greenview, added: 'We are proud to partner with WTTC on this important initiative. Our expertise in ESG policy research and content management allows us to bring high-value, practical intelligence to hospitality leaders across the globe. 'Together, we're building a resource that will drive meaningful change and support long-term resilience across the sector.' The tracker marks a major milestone in the sector's journey towards more sustainable and transparent operations and builds on WTTC's commitment to supporting its Members, and the broader Travel & Tourism sector on their sustainability journeys. It complements its broader agenda to foster a more sustainable, inclusive, and resilient Travel & Tourism sector.
Express Tribune
19-05-2025
- Business
- Express Tribune
$33.5 Billion in Fossil Fuel Stocks Found in ‘Green' EU Investment Funds, Investigation Reveals
Listen to article An international investigation has revealed that European investment funds branded as 'green' under the EU's Sustainable Finance Disclosure Regulation (SFDR) are holding more than $33.5 billion in fossil fuel stocks, including major oil and gas companies like ExxonMobil, Shell, BP, Chevron, and TotalEnergies. Despite their eco-friendly branding, such as Sustainable Global Stars and Europe Climate Pathway, these funds collectively held over $18 billion in the top five shareholder-owned polluters. The funds are registered under SFDR's Articles 8 and 9, which were designed to promote environmental or sustainable investment goals but do not explicitly prohibit fossil fuel holdings. Among the biggest fossil fuel investors were JP Morgan Asset Management and its UK arm with $3.2 billion, DWS in Germany with $2.2 billion, and BlackRock Investment Management UK with $1.7 billion. Fund names and marketing strategies are now facing growing scrutiny as new ESMA (European Securities and Markets Authority) guidelines, aimed at curbing greenwashing, come into effect on May 21, 2025. 'We need strict rules that ban investments in companies developing fossil fuels from any fund with an ESG-related description,' said Paul Schreiber of Reclaim Finance. Campaigners argue the SFDR has failed to provide adequate safeguards, allowing firms to use ESG terminology while backing companies that are expanding fossil fuel operations. One such example includes Legal & General Investment Management's (LGIM) Europe Climate Pathway fund, which held $88 million in Shell, BP, and TotalEnergies. Similarly, Robeco's Sustainable Global Stars fund had $40 million in Total Energies and has since announced it will drop 'sustainable' from the name. State Street Global Advisors UK's World ESG fund also held $43 million in oil majors. A Carbon Tracker report from April noted that no major oil and gas company has business plans aligned with international climate targets, and several have weakened their commitments in the past year. Still, investment managers claim that by maintaining stakes in these firms, they can push for improved climate policies from within. Critics remain skeptical. 'For a fund claiming to be 'green', holding investments in major fossil fuel companies should be a red line,' said Giorgia Ranzato, sustainable finance manager at Transport & Environment (T&E). Though ESMA's new guidelines are non-binding, they give national regulators the authority to demand transparency from asset managers and to sanction misleading environmental claims. These rules also introduce standards for 'transition funds,' which must demonstrate clear and measurable paths toward environmental improvement. Responding to the investigation, BlackRock stated that its sustainable funds comply with all applicable regulations and that investment goals are fully disclosed. However, the firm, along with JP Morgan Asset Management, has already announced plans to strip ESG-related terms from several fund names. As regulators brace for the implementation of the new rules, critics argue that the SFDR must undergo further reform to exclude fossil fuel investments entirely from funds marketed as sustainable. The findings arrive amid increasing public scrutiny over corporate climate pledges and the integrity of sustainable finance.
