Since June 2019, the concept of achieving net zero emissions has gained significant traction across the globe. In 2021 following the UN Climate Summit in Glasgow (CO26) 90% of the global economy was on board with net zero plans. As the urgency to combat climate change grows, governments, subnational entities, and corporations are setting net zero targets to align with the goal of limiting global warming. As defined by the Net Zero Stocktate 2023 report there are three phases of net zero; accepting the principles of net zero, pledging to get there, and delivering on those pledges. Today we will provide a brief summary of the Net Zero Stocktake 2023 report, which analyzes the status and trends of net zero target setting.

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Sustaira Summarizes: Net Zero Stocktate 2023

With Sustainability and ESG disclosures becoming more and more prevalent across the world, the public sector is now seeing its first climate-related disclosure standard for governments and other private sector entities. The International Public Sector Accounting Standards Board (IPSASB) has taken a proactive step towards developing a climate-related reporting standard specifically tailored for the public sector.

In recent years, with the rise of Sustainability and ESG across policies and media across the globe, there has been a surge in companies making green claims. However, these claims are not always what they seem to be raising concerns around greenwashing and misleading practices. To address this issue, the European Parliament is passing more policies to fight against greenwashing and promote genuine sustainability and ESG efforts and claims.

This week, the European Supervisory Authorities (ESAs), which includes the European Banking Authority (EBA), the European Insurance and Occupational Pensions Authority (EIOPA), and the European Securities and Markets Authority (ESMA), have proposed amendments to extend and simplify sustainability disclosures for financial market participants under the EU's Sustainable Finance Disclosure Regulation (SFDR). These proposed amendments come from the ESA requesting a review of the SFDR's indicators for principal adverse impact (PAI) and financial product disclosures.