ZenithNet-Zero’s Post

Hi #everyone, New updates on Sustainable Finance & Target Protocols📢 𝗡𝗲𝘁 𝗭𝗲𝗿𝗼 𝗔𝘀𝘀𝗲𝘁 𝗢𝘄𝗻𝗲𝗿 𝗔𝗹𝗹𝗶𝗮𝗻𝗰𝗲 𝗲𝘅𝗽𝗮𝗻𝗱𝘀 𝘁𝗮𝗿𝗴𝗲𝘁 The Net Zero Asset Owner Alliance, a UN-convened member-led organization with 89 members including CalPERS, Munich Reinsurance Company and Nippon Life Insurance Company, published the fourth edition of its target-setting protocol. The new edition covers a majority of asset classes with updates to the protocol’s methodologies, including: >>Expanded coverage of private asset classes to include private debt and real estate >>Requirements for all members to set 2030 GHG reduction targets that will necessitate emissions reductions of 40-60 percent at the asset class level from a 2019 baseline 𝗦𝗰𝗮𝗹𝗶𝗻𝗴 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗻𝗴 𝗳𝗼𝗿 𝘀𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗹𝗲 𝗱𝗲𝘃𝗲𝗹𝗼𝗽𝗺𝗲𝗻𝘁 𝗽𝗿𝗼𝗷𝗲𝗰𝘁𝘀 The Impact Disclosure Taskforce released a draft of its voluntary impact disclosure guidance that aims to scale financing for projects supporting the United Nations’ sustainable development goals by helping private and public entities measure and report on their efforts. The guidance is designed to be impact-oriented, forward looking and context specific. Industry practitioners and participants can submit feedback on the guidance during a 4-month public consultation period from April 18, 2024 until September 1, 2024. 𝗡𝗲𝘄 𝗳𝘂𝗻𝗱𝗶𝗻𝗴 𝘁𝗼 𝗯𝗮𝘁𝘁𝗹𝗲 𝗰𝗹𝗶𝗺𝗮𝘁𝗲 𝗰𝗵𝗮𝗻𝗴𝗲, 𝗽𝗮𝗻𝗱𝗲𝗺𝗶𝗰𝘀 Eleven countries pledged more than $11 billion to support the hybrid capital and portfolio guarantee instruments at the World Bank that will enable the bank to provide $70 billion of additional finance over ten years. The funds will be used to provide financing to address challenges such as climate change and pandemics. The United States is providing $9 billion and Japan will contribute $1 billion to the program. 𝗣𝗿𝗼𝗴𝗿𝗲𝘀𝘀 𝗼𝗻 𝘁𝗿𝗮𝗻𝘀𝗶𝘁𝗶𝗼𝗻 𝗳𝗶𝗻𝗮𝗻𝗰𝗲 𝗳𝗼𝗿 𝗱𝗲𝘃𝗲𝗹𝗼𝗽𝗶𝗻𝗴 𝗰𝗼𝘂𝗻𝘁𝗿𝗶𝗲𝘀 The U.S. State Department, the Bezos Earth Fund and The Rockefeller Foundation announced progress on the Energy Transition Accelerator, a carbon finance platform aimed at supporting just energy transition strategies in developing economies that was formed as a partnership between the State Department and the two philanthropies. The accelerator aims to generate billions in transition finance through a sectoral-scale carbon crediting standard that aims to enable developing countries to generate high-quality carbon credits to finance their transition to clean power. 𝗦𝗕𝗧𝗶 𝘀𝘁𝗮𝗳𝗳 𝗱𝗲𝗰𝗿𝘆 𝗽𝗿𝗼𝗽𝗼𝘀𝗲𝗱 𝗻𝗲𝘄 𝗦𝗰𝗼𝗽𝗲 𝟯 𝗴𝘂𝗶𝗱𝗲𝗹𝗶𝗻𝗲𝘀 After the Science Based Targets initiative’s board of trustees announced plans to allow the use of carbon credits toward Scope 3 abatement, the organization’s staff erupted with criticism of the plan and the way in which the decision was made and announced. #BeyondNetZero #dailyupdates #ClimateChange #Sustainability #Update

Environment, Social and Governance (ESG) has become a significant topic of discussion in the modern business landscape. ESG describes the framework used by stakeholders to assess how sustainability factors impact business operations.

Corporate sustainability isn’t just about environmental impact but about creating long-term business profitability and opportunities; it enhances operational efficiency, reduces risks, and opens new markets. However, the true potential of these initiatives can only be unlocked with standardized reporting metrics, making them more attractive to potential investors who can accurately measure results. Uniform ESG guidelines allow us to measure successes accurately and foster a level playing field, enhancing transparency and accountability. https://lnkd.in/eP3gWgpV

-EFRAG has also developed a voluntary sustainability reporting standard for non-listed SMEs (VSME). The EC SME Relief Package of September 2023 refers to VSME as a measure to support SMEs in accessing sustainable finance. EFRAG's work on such a voluntary standard for non-listed micro, small and medium undertakings is outside the Corporate Sustainability Reporting Directive ('CSRD'). It stems from the market need to have a common point of reference to be used by SMEs to face growing sustainability data requests from business counterparties and lowering entry barriers for non-listed SMEs to sustainability reporting.- https://lnkd.in/drc7AADT #csrd #vsme #sustainability #sustainabilityreporting #sustainabilityreport #sme #efrag

Following the announcement last week on the timeline for UK endorsement of #ISSB, this week the FCA published details in its Primary Market Bulletin of how its rulemaking will be affected. In particular: - Once the UK endorsement is completed in 2025, the FCA will consult on amending its rules to move from TCFD to UK-endorsed ISSB disclosure standards. It also intends to consult on strengthening its expectations for listed companies’ transition plan disclosures, with reference to the Transition Plan Taskforce (TPT) Disclosure Framework at the same time. - Companies may also wish to start reporting voluntarily against ISSB Standards prior to the conclusion of the UK endorsement process. The FCA may explore additional guidance to support issuers subject to its Listing Rules by indicating how reporting based on ISSB Standards can remain consistent with its existing TCFD-based rules, which issuers must continue to meet. https://lnkd.in/ekGUJWu4. 

🥇 Malakoff Corporation Berhad (Malakoff) has earned a "Gold" Impact Assessment from MARC Ratings for its Sustainable Finance Framework, linked to the ASEAN Sustainability SRI Sukuk Murabahah programmes. 🥇 This recognition shows Malakoff's commitment to sustainability. The framework is a crucial part of Malakoff’s plan for Environmental, Social, and Governance (ESG) improvements. It helps move towards a greener economy by using funds for new green and renewable projects. The framework gives guidance for Malakoff’s future fundraising through green/social/sustainability bonds/sukuk and loans. The money raised will support a more inclusive, resource-efficient economy, aligning with the UN Sustainable Development Goals and the Circular Economy concept. Read the full article here: https://lnkd.in/dkzwqhz8 ----- 👉 Visit www.knowesg.com for more sustainability news, courses, events and ratings 👉 Follow us to stay up to day with everything ESG 💚 #sustainable #sustainablefinance #sustainablefinancing #esg #esgreporting #esgnews #sustainabilitynews #KnowESG

Navigating ESG reporting poses both strategies and challenges for SMEs, particularly those not mandated by EU Green Deal directives. Currently exempt from formal ESG reporting, these SMEs find themselves increasingly pressured by stakeholders such as investors, banks, and customers to disclose ESG practices. Despite the absence of regulatory obligations, the market reality has begun to impose reporting requirements. The challenge lies in balancing the need to meet these expectations while operating within limited resources and capacity, underscoring the importance of developing feasible and impactful ESG strategies tailored to SMEs' specific needs and capabilities. #ESG #SMEs #BusinessGrowth

The SME Advisory Group to the Transition Plan Taskforce (TPT), chaired by Bankers for Net Zero (B4NZ), was set up in July 2023 to consider proportionate sustainability reporting and transition planning activities for SMEs.    The findings from the working group fed into our briefing paper ‘Considerations on SMEs and Transition Plans’ which was published last week as part of the TPTs final set of transition plan resources.    The paper sets out the current SME landscape in the UK, the role of transition plans for SMEs and provides a set of recommendations for preparers and users of SME transition plans. Our key recommendations highlighted the need for: 📑 1. SME-specific, standardised and proportionate disclosure frameworks for sustainability reporting. 🤝 2. Collaborative engagement with local and peer networks to champion capacity building for SMEs. 🏦 3. Development of dedicated SME transition plan hubs and resources through pre-competitive collaboration between industry and Government.    Bankers for Net Zero (B4NZ), along with our members and partners are eager to work with private sector actors, governments and standard setters to bring the papers recommendations to fruition and ensure that industry action can mainstream net zero for SMEs across the UK. Read the full report now https://lnkd.in/e-22KAwd Andrew Griffiths Gruffudd Jones Hannah Gilbert Irene Graham OBE Jennifer Tankard Matthew Riley Scott Twigg Simon Gray Sophie Collerton Tony Greenham Phil Delaney Institute of Directors (IoD) Federation of Small Businesses (FSB) British Business Bank UK Finance UK Export Finance CDP ICAEW Financial Conduct Authority Elliot Cyriax

CSRD's Latest Updates: Small and medium enterprises operating in the European Union are now included in the directive's scope - What does it mean? Read in full here: 👇