How to Begin Your Company’s ESG Reporting Journey
From post-pandemic realities to warnings of encroaching global warming, the need for a more holistic way of business becomes more apparent each day. ESG reporting is becoming a vital part of a company’s story. With proper ESG reporting, stakeholders can gauge longevity and the potential impact on the three main areas: environmental, social, and governance. As companies begin to prepare for their ESG reporting journey, here’s how you can ensure your endurance.
Creating sustainable ESG reporting habits
Starting your ESG reporting journey can seem overwhelming, but it doesn’t have to be. For many companies, failure patterns in ESG reporting are the primary concern. These concerns can be attributed to the lack of data, standards, and an understanding of how to use them. Failing to put the collected data to work correctly can make or break your ESG reporting efforts.
90% of S&P 500 Index companies published sustainability reports in 2019.
Transparency is critical to achieving sustainable ESG reporting habits. The growing interest in sustainability data has shown a steady increase in corporate sustainability reporting in the last ten years. In 2019 alone, 9 out of 10 S&P 500 Index companies were publishing sustainability reports.
Companies are aware that investors rely heavily on the quality of data inputs. Robust ESG data gives investors the ability to customize the data sets to suit their needs. When your company can provide precise and reliable data, risk mitigating and monitoring become more manageable.
Remaining fluid with new U.S. ESG policy projections
During his first 100 days in office, President Biden shifted the trajectory of U.S. ESG policy. With clear intentions of keeping sustainability issues at the heart of his legislative agenda, he made nearly every agency take steps towards the clean energy transition. With a $2 trillion pledge from the U.S. government to support sustainability goals, ESG is more than just a priority for private companies but also for the government.
ESG is no longer just a priority for private companies—but the government as well.
Amidst the new normal, corporate awareness for environmental safety and sustainable regulations continues to grow. No matter the sector, the new regulatory policies push companies to adjust approaches to ESG reporting. Although it has not been clarified whether reporting will follow one size fits all rules or a so-called principles-based approach, it’s evident that things are changing permanently for ESG rules.
With new rules and policies on the horizon, now is the perfect time for companies to get their ESG reporting processes in order. Remaining prepared for adaptations and innovations will allow your ESG reporting journey to be secure but fluid.
Start your ESG Reporting journey with Urjanet
Before you officially begin your ESG reporting journey, you will need a baseline of data to lay the foundation. Urjanet provides you with a 12-month history of all your utility data to start the process. Building a transparent program with reliable data is essential to ensuring that your ESG reporting methods are sustainable.
Today’s investors are looking at the gaps that come with unreliable ESG reporting. Without a streamlined source, monitoring your data and providing transparency can be very difficult. Whether you’re just getting started or looking to modify your approach, Urjanet’s utility data platform equips you with the data you need to succeed.
Contact one of our utility data specialists today to start your journey.
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About Honor Donnie
Honor Donnie is a Marketing Coordinator at Urjanet, with a passion for content creation. When she’s not at Urjanet, she can be found reading, cooking, and listening to great music.