What are ESG criteria?
ESG ( Environment, Social and Governance ) criteria focus on ensuring that companies and organizations are environmentally , socially and governance- responsible . The idea is simple: that what is done has a positive impact on the outside.
These criteria, with the acronym ESG , have been implemented sale leads zimbabwe email address for decades. However, we must point out that the approval of the SDGs in 2015 marked a turning point. Until then, it was common for large companies to establish Corporate Social Responsibility (CSR) objectives .
The UN Sustainable Development Goals (SDGs) , as part of the 2030 Agenda strategy , serve as a guide for companies. Why? Because, in essence, all the SDGs can be classified under one of these criteria, exclusively or under more than one. The proof is that, in recent years, references to the SDGs in ESG reports have multiplied.
There is another essential point, and that is that companies must comply with ESG criteria. When they submit a report, they must refer to all this data in the non-financial information section. European legislation establishes this, with the approval of a directive in 2023.
Now that you know what ESG is , we describe what each of the criteria are and their relationship with the SDGs.
ESG criteria
The three fields of ESG criteria (environmental, social and governance) are subdivided into one another and are reflected in the SDGs. This helps to more easily identify the areas in which work needs to be done to be more sustainable and meet CSR obligations.
To better understand this, let's look at what ESG is separately: in the environment, in social and in governance.
1. Environmental criteria ('Environment')
The environmental ESG criteria of companies focus on how to generate a lower impact on the carbon footprint . And, to do so, this can be achieved in various ways, from the capture of energy sources to production and consumption systems. Likewise, it is possible to be proactive in reversing this footprint by promoting the creation of emission-free spaces.
