【ESG News】Global Trends Biweekly Newsletter Issue 3 (2024.3.4-2024.3.15)

Hong Kong China ESG trends

The Hong Kong Green Building Council (HKGBC) announced the official launch of the new chapter on “Carbon Offsets for Hong Kong’s Built Environment” in the “HKGBC Climate Change Framework For Built Environment (Framework) Version Two” and the introduction of the “Net Zero Energy Building Certificate”

The Hong Kong Green Building Council (HKGBC) announced the official launch of the new chapter on “Carbon Offsets for Hong Kong’s Built Environment” in the “HKGBC Climate Change Framework For Built Environment (Framework) Version Two” and the introduction of the “Net Zero Energy Building Certificate”. The HKGBC co-organised “Advancing Net Zero: Latest Developments Symposium” with BEAM Society Limited and Global Real Estate Sustainability Benchmark (GRESB) in a hybrid format on 11 March, and issued 36 certificates to 9 developers, property management companies and government department in the second batch of Zero-Carbon-Ready Building Certification Scheme. The event brought together about 800 industry leaders and experts to exchange their valuable insights on the symbiotic collaboration between green building and green finance, and to drive the building industry towards green future with its goal of net-zero emissions by 2050.

Source: HKGBC (https://www.hkgbc.org.hk/eng/news-events/news/2024/20240313.jsp)

Hong Kong Insurance Industry Joins Hands to Address Climate Issues

The Climate Charter developed by the Hong Kong Federation of Insurers is a groundbreaking initiative that marks the first-ever Climate Charter led by an insurance association in Hong Kong. 33 companies, representing approximately 80% of the market share joined as the inaugural signatories for the Climate Charter.

Source: Hong Kong Federation of Insurers (https://www.hkfi.org.hk/media-release/insurance-industry-joins-hands-to-address-climate-issues)

International ESG trends

SEC Adopts Rules to Enhance and Standardize Climate-Related Disclosures for Investors

The Securities and Exchange Commission today adopted rules to enhance and standardize climate-related disclosures by public companies and in public offerings. The final rules reflect the Commission’s efforts to respond to investors’ demand for more consistent, comparable, and reliable information about the financial effects of climate-related risks on a registrant’s operations and how it manages those risks while balancing concerns about mitigating the associated costs of the rules.

Source: SEC (https://www.sec.gov/news/press-release/2024-31)

Canada Releases Proposed IFRS-Based Sustainability Reporting Standards

The Canadian Sustainability Standards Board (CSSB) announced today the release of new proposed standards for companies to report sustainability and climate-related information, based on the recently released sustainability disclosure standards by the IFRS Foundation’s International Sustainability Standards Board (ISSB).

Source: ESG today (https://www.esgtoday.com/canada-releases-proposed-ifrs-based-sustainability-reporting-standards/)

EU Council Approves Scaled-Back Environmental, Human Rights Sustainability Due Diligence Law

EU member states in the European Council announced today that they have reached an agreement on a key piece of legislation setting mandatory obligations for companies to address their negative impacts on human rights and the environment, after a compromise was reached to significantly scale back the new law, and to push out its implementation.

Source: ESG today (https://www.esgtoday.com/eu-council-approves-scaled-back-environmental-human-rights-sustainability-due-diligence-law/)

Mainland China ESG trends

In the government work report, China’s premier Li Qiang proposed to strengthen the construction of ecological civilization and promote green and low-carbon development

Beijing, March 5 – China’s Premier Li Qiang said on Wednesday that the government should strengthen ecological civilization and promote green and low-carbon development when he introduced the government work tasks for this year in the government work report. We will fully implement the concept that clear waters and lush mountains are gold and silver mountains, work together to reduce carbon, reduce pollution, expand green, and grow, and build a beautiful China with harmonious coexistence between man and nature.

Source: Xinhua (https://www.gov.cn/yaowen/liebiao/202403/content_6936357.htm)

China Expands Emissions Trading Scheme to Include Aluminum Industry

China’s national emissions trading scheme (ETS) is set to expand to cover the electrolytic aluminum sector, Caixin has learned, as the compulsory carbon market pushes ahead to expand beyond the power sector and include more heavy emitters. Preparations are underway for the “imminent inclusion” of the sector, one official familiar with the matter told Caixin, without giving further details.

Source：Caixin (https://www.caixinglobal.com/2024-03-15/china-expands-emissions-trading-scheme-to-include-aluminum-industry-102175796.html)

The Implementation Plan for Promoting the high-quality development of Beijing's Environmental and Social Governance (ESG) system (Draft for comments) has been released

Recently, the Implementation Plan for the high-quality Development of Beijing's Environmental and Social Governance (ESG) system (Draft for Comments) was released and is open to the public for comments. According to the draft, Beijing will promote listed companies in Beijing to disclose ESG information in accordance with the requirements of the exchange, and the disclosure rate will strive to reach about 70% by 2027. The relevant person in charge of the Beijing Municipal Development and Reform Commission said that the move will stimulate the internal power of green development of market players and help the green and low-carbon transformation of the capital.

Source：Beijing Daily (https://bjrbdzb.bjd.com.cn/bjrb/mobile/2024/20240318/20240318_002/content_20240318_002_2.htm )

Sustainable Finance Certification Public and Completed by Lianhe Green