We’re pleased to bring you this comprehensive update on the latest developments in environmental, social, and governance (ESG) regulations worldwide. Here’s the roundup of the key changes and insights from June 2024:

Global Trends:

The Wall Street Journal’s critique of ESG has catalyzed discussions about its place in corporate America. Is ESG the Eighth Dirty Word? Learn more about the debate here.

The upswing in interest for Small Modular Reactors (SMRs) reflects the global shift towards innovative, efficient nuclear energy options. Read more on the rise of the small modular reactor (SMR) here.

European Union importers need to prepare for the implications of the Carbon Border Adjustment Mechanism (CBAM) on their business models. Get an update for EU importers here.

The International Seabed Authority (ISA)’s hesitancy in establishing seabed mining regulations points to a significant governance challenge. Learn more about seabed mining and the accountability gap here.

With the 2024 proxy season on the horizon, public companies must be mindful of the latest regulatory adjustments and reporting requirements. Preview the 2024 Proxy Season here.

The SEC’s heightened focus on ESG disclosures illustrates the regulatory push for transparency in sustainability claims. Continue reading about SEC Staff Comment Letters on Enhanced Climate-Related Disclosures here.

The increase in lawsuits surrounding ESG claims, especially greenwashing, underscores the critical need for credible, data-backed ESG reporting. Are “Carbon Neutral” Claims Misleading? Find out here.

The development and implementation of sustainable finance taxonomies are gaining momentum globally. Notable examples include the EU Taxonomy and China’s Green Bond Endorsed Project Catalogue. For more information, refer to the UN Climate Change News and Principles for Responsible Investment.

Climate litigation is becoming a prominent tool for enforcing climate action. Key lawsuits filed in June 2024 highlight this trend. For further reading, see Climate litigation against companies is on the rise, report finds – LSE.

Technological advancements in clean energy and carbon capture are essential for sustainable development. Major breakthroughs and investments are pivotal in this area. Keep track of developments through resources like Climate Action Tracker.

Regional Insights:

Japan: The national policy agenda is being reshaped by the rising urgency of climate change concerns. Latest Trends in Climate Change Regulations and Policies in Japan

Australia & NZ: Legislative and policy updates include nature-positive reforms and initiatives for critical minerals. Stage 2 Nature Positive Reforms introduced to Parliament, Critical Minerals – Funding initiatives & the 2024 Federal Budget, Climate still the top ESG dimension, AI & ESG: Critical crossroads for Australian boards and executives, Australian Anti-Slavery Commissioner to be established, No green screen – mandatory climate disclosure is coming

China & HK: New sustainability disclosure requirements and key regulatory updates for Hong Kong-listed companies are essential. Understanding China’s new sustainability disclosure requirements, Key Regulatory Updates for Hong Kong Listed Companies — March/April 2024

Taiwan: New ESG regulations for listed companies take effect in 2024. Important ESG Regulations that Listed and OTC-traded Companies in Taiwan Should Comply with Starting from 2024

Thailand: Local laws related to the EU’s Deforestation Regulation impact Thailand. EU Deforestation Regulation: Relevant local laws in Thailand

Malaya: The EU Deforestation Regulation affects palm oil businesses significantly. How the New EU Deforestation Regulation Affects Your Palm Oil Business

India: ALMM & RLMM exemptions facilitate green hydrogen production. Powering Green Hydrogen Productions: ALMM & RLMM Exemptions Granted

Africa: Kenya and Namibia face unique challenges and opportunities in climate and ESG regulations. Kenya: Insights on the Climate Change (Carbon Markets) Regulations, 2024: Key highlights, Namibia: Petroleum in the age of ESG

GCC: The ‘E’ in ESG is crucial for sustainable practices in the Gulf. The ‘E’ in ESG

Switzerland: Post-2024 AGM insights on Swiss ESG reporting obligations. SIX Swiss ESG reporting obligations: Key Takeaways after 2024 AGM season

Switzerland: Post-2024 AGM insights on Swiss ESG reporting obligations. SIX Swiss ESG reporting obligations: Key Takeaways after 2024 AGM season

UK: Updates on CBAM, sustainability insights, and greenwashing litigation risks. UK Carbon Border Adjustment Mechanism (CBAM), Travers Smith’s Sustainability Insights: Fund names and sustainability, FCA anti-greenwashing rule and guidance: litigation risks

EU Developments:

The European Central Bank will fine banks failing to address climate change. European Central Bank to Impose Fines on Banks for Failure to Address Climate Change

Adoption of the EU’s Corporate Sustainability Due Diligence Directive. The Adoption of the EU’s Corporate Sustainability Due Diligence Directive

Harmonized criteria for ESG and sustainability terms in fund names established by ESMA. ESMA Guidelines establish harmonised criteria for use of ESG and sustainability terms in fund names

New EU legislation targets methane emissions. European Union Adopts Legislation to Tackle Methane Emissions

Finalized guidance on materiality assessment for the Corporate Sustainability Reporting Directive. EU Corporate Sustainability Reporting Directive Materiality Assessment Guidance Finalized – Key Points From the Guidance

USA:

U.S. Government’s principles for building voluntary carbon markets unpacked. U.S. Government Issues Seven Principles for Building Voluntary Carbon Markets – the Principles Unpacked

Overhauled greenhouse gas emission reporting for the petroleum and natural gas industry. Greenhouse Gas Emission Reporting for Petroleum and Natural Gas Industry Overhauled

Insurance strategies for climate risks in supply chains. What About Your Suppliers? Insuring Against Climate Risks to Your Supply Chain

Has ESG Turned the Boardroom into an Escape Room? Has ESG Turned the Boardroom into an Escape Room? – Lexology

Latam:

Environmental and climate change law updates in Panama. Year in review: real environment and climate change law Panama – Lexology

Chile’s strategy for national lithium development includes public-private partnerships. Chile’s National Lithium Strategy: Enami opens call for expressions of interest for public-private partnerships – Lexology