Friday, November 22, 2024

ESG News Recap: Can Energy-intensive Blockchain Push ESG?

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Today’s ESG updates spotlight blockchain as a tool for ESG reporting, Microsoft’s carbon removal partnership with Ebb, EY’s survey on ESG data challenges, a new German study ranking ESG concerns, and the potential of global carbon markets for sustainable investments. 


Dimitra leverages blockchain to boost ESG compliance in agriculture

Dimitra, an AgTech project, is aiming to assist businesses in meeting ESG demands through blockchain-based services. The goal is to help farmers improve productivity and sustainability while ensuring traceability. Leveraging Blockchain, AI, and IoT technology, Dimitra offers solutions like its Due Diligence Service platform to streamline ESG reporting and compliance with new EU and US regulations.    Another, more sustainable way to keep track of your company’s ESG compliance is ESG reporting software

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Further reading: Here’s how blockchain helps businesses to automate ESG reporting


Microsoft partners with Ebb for ocean-based carbon removal

Microsoft has partnered with Ebb in a 10-year carbon removal deal. Using electrochemical methods that accelerate the ocean’s natural CO₂ absorption, Ebb can store up to 350,000 tonnes of Co2 for the tech giant over the next decade. This technology supports Microsoft’s commitment to becoming carbon-negative by 2030.

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Further reading: Microsoft clinches ocean-based carbon removal deal with Ebb Carbon


EY survey reveals finance leaders worry over nonfinancial data reliability

EY’s 2024 Global Corporate Reporting Survey finds that 96% of finance leaders doubt the robustness of nonfinancial data, hindering ESG decision-making. Additionally, the report states that only 50% believe sustainability goals are achievable in the foreseeable future. Despite expected high compliance costs, 78% of investors see new reporting standards as potential improvements. The report identifies AI as a key tool for transparency. Even though scepticism remains, industry leaders tend to use AI-powered ESG rating software.  

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Further reading: AI poised to transform corporate reporting amid ESG concerns


Roland Berger study: ESG compliance ranks as the top challenge for companies after inflation

A 2024 Roland Berger study finds ESG compliance is now a critical challenge for companies, second only to inflation. According to the study, only 7.6% of companies feel they excel in ESG practices. Leaders of top-performing companies view ESG as a strategic advantage, not merely a legal obligation, and align their corporate culture and resources accordingly. 

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Further reading:  Building green organisations


Are global carbon markets the future of sustainable investments?

As climate change looms as an undeniable global challenge, the development and integration of carbon markets are emerging as critical tools for a sustainable future. Runo Oberle, Chairman of the World Resources Forum Association (WRFA), spoke about the transformative potential of ESG investments to drive economic growth at the 2024 ESG Global Leaders Conference. Nevertheless, the path towards a unified global carbon market is complex, requiring international consensus, effective pricing strategies, and the navigation of geopolitical differences.

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Further reading: Global Carbon Markets and the Future of ESG Investment


Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — Cover Photo Credit: Alex Wigan

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