The 2024 KPMG U.S. CEO Outlook Pulse Survey reveals that CEOs prioritize sustainability initiatives despite challenges like inflation and supply chain disruptions. It also reports that CEOs anticipate significant returns from these investments within three to five years, recognizing sustainability as a core business strategy for revenue growth. CEOs also focus on digitization, talent management, and addressing generative AI's challenges, emphasizing responsible deployment. Overall, the survey highlights CEOs' commitment to integrating sustainability into core business practices and leveraging technology for long-term value creation.

Europe's finance industry remains steadfast in its commitment to environmental and socially responsible investments (ESG), despite political pressures leading some U.S. counterparts to backtrack. European investors prioritize sustainable funds, supported by robust regulations like the EU's Taxonomy. Though facing challenges, including regulatory adjustments and slight dips in investor demand, European financial firms maintain focus on ESG implementation, underscoring a continued dedication to advancing ESG principles in finance.

The Biden-Harris Administration's plan, "Decarbonizing the U.S. Economy by 2050: A National Blueprint for the Buildings Sector," led by the DOE, aims to significantly cut greenhouse gas emissions from buildings. With targets of 65% reduction by 2035 and 90% by 2050, the plan aligns with Biden's climate strategy. It emphasizes affordability, equity, and resilience, foreseeing savings of over $100 billion annually for consumers and $17 billion in health-related costs. The plan focuses on energy efficiency, emissions reduction, grid integration, and sustainable materials. Coordinated federal actions include research funding and support for low-carbon solutions and building codes, with initiatives like the Affordable Home Energy Shot™ making upgrades more accessible.

Fashion and design brands company H&M Group, in collaboration with impact-focused venture investor Vargas, has launched Syre, a new venture focused on mass-producing textile-to-textile recycled materials. The initiative, starting with a $600 million offtake agreement for recycled polyester over seven years, aims to create a closed-loop solution for the clothing industry. Syre, led by CEO Dennis Nobelius, is building its first production plant in North Carolina and plans to expand globally, targeting over 3 million metric tons of recycled polyester production within ten years.

California's Energy Commission has approved a groundbreaking $1.9 billion investment plan to accelerate the deployment of electric vehicle (EV) charging and hydrogen refueling infrastructure. As part of the larger $48 billion California Climate Commitment, with over $10 billion allocated to zero-emission vehicles (ZEVs) and infrastructure, the plan aims to add 40,000 new chargers over the next four years, contributing to a total of 250,000 chargers in the near future. This initiative marks a significant step toward California's ambitious climate and clean transportation goals.

A recent BCG article emphasizes the growing demand for green data and outlines key practices for information services providers to succeed in the sustainability sector. Recommendations include focusing on existing clientele, aligning with specific value targets, and anticipating regulatory impacts. The crowded sustainability information ecosystem is noted, with traditional providers facing challenges in establishing substantial revenue streams. The article envisions three phases in the sustainability journey, urging companies to act swiftly to contribute to customer success and accelerate the path to net zero.

The KPMG US survey reveals that almost half of large companies still use spreadsheets for ESG data management despite an increased focus on ESG reporting. The survey of 550 executives shows that 90% plan to boost ESG investments in areas like dedicated personnel, specialized software, and training. However, there's a significant gap between perceived ESG reporting capabilities and actual readiness, with 47% relying on spreadsheets. Companies express a commitment to improvement, including the use of artificial intelligence and machine learning for data analysis. This article emphasizes the need for a broader sustainability strategy and strategic investments to effectively communicate sustainability values to the business.

For the first time, the average global temperature has surpassed the critical benchmark of 1.5 degrees Celsius above pre-industrial levels over 12 months. The findings from the Copernicus Climate Change Service (C3S) indicate that the global mean temperature for February 2023 to January 2024 reached an unprecedented 15.02 degrees Celsius, exceeding the 1.5C threshold set in the 2015 Paris Agreement.

Global investment in the low-carbon energy transition hit a record $1.77 trillion in 2023, up 17%, according to BloombergNEF's Energy Transition Investment Trends 2024 report. Electrified transport, growing 36% to $634 billion, outpaced renewable energy spending at $623 billion. China led in investment with $676 billion, but the EU, US, and UK collectively exceeded China with $718 billion. The report underscores the need for an annual average of $4.8 trillion from 2024 to 2030 to achieve net-zero goals. Clean energy supply chain investment reached $135 billion in 2023, projected to rise to $259 billion by 2025. Trends in climate-tech equity raising ($84 billion) and energy transition debt issuance ($824 billion) show declining equity and rising debt, with utilities leading in debt issuance, and oil and gas companies' issuance decreasing.

A recent Harvard Business School article explored the impact of ESG issues on corporate profitability, presenting a framework tracing their evolution to pivotal factors. Using Purdue Pharma as a case study, it highlights increased understanding of ESG materiality, with companies measuring and reporting on ESG data. The framework offers insights for entities balancing financial and societal motivations, stressing the catalyst role of designating ESG issues as "financially material." The authors aim to shift perception towards proactive management of emerging ESG issues in corporate decision-making.

Global business leaders are increasingly optimistic about sustainability, with 52% planning to boost investments in 2024. The survey by Capgemini Research Institute involved 2,000 leaders across 15 countries, revealing a rise in confidence, with 56% anticipating future sustainability investments. This shift is driven by increasing awareness of climate disruptions' impact on businesses and government incentives. Government programs like the Inflation Reduction Act and the Green Deal Industrial Plan are influencing climate awareness and sustainable investment plans, with a great number of organizations planning to invest in clean energy technologies.

As the year is coming to a close, it is important to learn about “Earth Overshoot Day”. This day occurs every year and it marks the date when humanity’s demand for ecological resources and services in a given year exceeds what Earth can regenerate in that year. In 2023, this date fell on August 2nd, which means that the world exceeded its annual renewable resources four months before the year ended.

A research project sampling 428 wind farms and around 500,000 property sales within 5 miles of the farms have found that property values do in fact decline when in close proximity to a wind farm. However, this study does not factor in the social and economic benefits that wind farms bring to a community.

The EU recently passed a new “eco-design” framework that will redefine the sustainability within product development for the future.

The World Resources Institute recently published, “The State of Climate Action 2023”. This report provided insight into a roadmap that the world can follow to reach the agreed-upon 1.5℃ degree target in each high-impact area of the market.

PWC recently released its third annual “Global Investors Survey”. The report surveyed 345 investors and also completed in-depth interviews with 15 investment professionals across 30 countries.

In a recent development, 40 Members of the European Parliament (MEPs) proposed a motion to reject the European Sustainability Reporting Standards (ESRS). These MEPs advocated for simpler, less burdensome sustainability disclosure rules. The Parliament ultimately voted against this motion, with 359 votes against out of the 631 MEPs. On the same day however, the European Commission did announce plans to delay the ESRS implementation timeline.

The Task Force on Climate-Related Disclosures (TCFD) recently published its sixth and final status report, shedding light on both the progress in corporate climate reporting and the persisting data collection challenges. The TCFD, formed in 2017, aimed to enhance consistency and comparability in climate-related financial information among companies.

The U.S. Department of Energy (DOE) has unveiled a significant investment of $7 billion to establish seven Regional Clean Hydrogen Hubs (H2Hubs) across the nation as part of President Biden's "Investing in America'' agenda. These hubs are a central component of the Bidenomics strategy and will accelerate the large-scale deployment of clean hydrogen, playing a crucial role in achieving the President's climate and energy security goals.

BlackRock, the world's largest asset manager, is introducing a new fund to the private credit market that embraces the burgeoning trend of ESG (Environmental, Social, and Governance) investing in the US. Known as the Climate Transition-Oriented Private Debt (CPD) Fund, this initiative is part of BlackRock's extensive investment platform, valued at over $100 billion.