'Ground-breaking' CSDDD rule secures European Parliament approval
The EU Corporate Sustainability Due Diligence Directive (CSDDD) has secured approval from the European Parliament that will require companies to implement climate transition plans and disclose the impact of their value chains on human rights and the environment. The Parliament voted 366 to 225 votes in favour of the landmark legislation. Companies covered by the CSDDD will also be required to disclose transition plans outlining how they intend to reach net zero emissions by 2050. [10] [11]
Measurabl closes $93 million Series D to fuel global expansion of real estate ESG platform
Measurabl, the world’s most widely adopted ESG technology platform for real estate, announced today the close of its $93 million Series D round of venture capital. Proceeds will go towards the continued expansion of Measurabl’s ESG technology solutions for real estate, global partnerships, and continued general international expansion. [12] [13]
ESAs put forward common understanding of greenwashing and warn on risks
The European Supervisory Authorities (European Banking Authority (EBA), European Insurance and Occupational Pensions Authority (EIOPA) and European Securities and Markets Authority (ESMA) – ESAs) published their Progress Reports on Greenwashing in the financial sector. See EBA, EIOPA, and ESMA reports. In these reports, the ESAs put forward a common high-level understanding of greenwashing applicable to market participants across their respective remits – banking, insurance and pensions and financial markets.
The ESAs understand greenwashing ‘in practice’ to be “where sustainability-related statements, declarations, actions, or communications do not clearly and fairly reflect the underlying sustainability profile of an entity, a financial product, or financial services. This practice may be misleading to consumers, investors, or other market participants”. [14] [15]
LOIM and Systemiq announce holistiQ Investment Partners
Lombard Odier Investment Managers (LOIM), the asset management arm of Swiss banking group, Lombard Odier, and Systemiq, have today announced a new partnership to build holistiQ Investment Partners (holistiQ). holistiQ will operate as a new platform within LOIM, solely dedicated to sustainable investing, and will combine Lombard Odier’s asset management heritage, commitment to sustainability and investment track record, with Systemiq’s deep analytical understanding and expertise in economic system transformation. [16] [17]
Impact Investing Institute launches just transition criteria investor tool
Impact Investing Institute launches ‘first of its kind’ practical tool for fund managers who want to invest in a transition to a net zero world. Just Transition Criteria (“the Criteria”) will make it easier for fund managers to design financial products that help advance a just transition – a fair and inclusive transition that will come with opportunities such as new green jobs and reskilling. [18] [19]
Common-ground taxonomy to be expanded
The Common-ground taxonomy (CGT) is a milestone work resulting from an in-depth comparison exercise that puts forward areas of commonality and differences between the EU and China’s green taxonomies. This updated publication covers the initial phase of work which will be expanded over time.
The scope covers substantial contribution criteria for climate change mitigation, whilst other environmental objectives are not yet covered at this stage. Considering the difference of the environmental legislation system by different jurisdictions, other eligibility features such as Do No Significant Harm (DNSH) were not covered within scope of the first phase. [20] [21]
Biodiversity funding database FIRE prepares for launch
An online tool to ease access to funding resources for biodiversity projects, from sources including investors, is soon to be launched by the UN Development Programme. FIRE is envisioned to be a comprehensive database that serves principally all kinds of biodiversity projects (private, public or by civil society) to identify additional funding possibilities (both refundable and non-refundable). Over 200 sources are included that can be used for biodiversity conservation or addressing the causes behind the loss of nature (like deforestation or the use of chemical fertilisers). [22] [23]
Fitch launches ESG regulations and reporting standards tracker
Fitch Group’s sustainability-focused analytics business ‘Sustainable Fitch’ announced the launch of its ESG Regulations and Reporting Standards Tracker. The tool is a dynamic digest of significant regulatory developments in the ESG space, focused on sustainable taxonomies, ESG and climate disclosure regulations and ESG fund requirements. It also tracks the most followed reporting frameworks and standards, and aims to provide a succinct summary and guidance on the new regulatory issues that could affect issuers and investors in these ESG areas. [24] [25]
EIOPA launches free app to help with physical climate risk modelling
The European Insurance and Occupational Pensions Authority (EIOPA) has launched free software in a bid to help bring climate and natural catastrophe modelling to a wider range of users. The EU authority has created the Climada-app that provides an intuitive interface to the Climada probabilistic modelling platform, developed by academics at ETH Zürich.
Climada allows researchers to estimate the expected damage – and the incremental increases from economic growth and climate change – from tropical cyclones, river flood, agricultural drought and European winter storms, at a 4km spatial resolution. [26] [27]
