Sustainable Corporate Governance – what is it and why we do need it?
SustainAbility School #70
By attending this webinar, you will learn about:
Definition and Importance of Sustainable Corporate Governance: Sustainable corporate governance integrates environmental, social, and economic considerations into business decision-making to foster long-term value rather than short-term profits;
Climate Change Urgency: The latest IPCC report highlights that the 1.5°C warming threshold is likely to be breached soon, underscoring the need for immediate action on climate change;
Corporate Sustainability Due Diligence Directive (CSDD): This EU directive, currently under negotiation, mandates companies to identify, prevent, and mitigate adverse human rights and environmental impacts, aiming to align business models with sustainability and green transition goals;
CSDD Scope and Requirements: The directive applies to EU companies with 500+ employees or specific turnover levels, as well as certain non-EU companies. It includes obligations on due diligence, corporate governance, value chain management, and climate-related goals;
Role of Corporate Boards: The directive mandates boards to integrate sustainability in decision-making, ensuring corporate actions align with climate targets like the Paris Agreement;
Effective Due Diligence: Identification and Assessment: Initial and in-depth assessments of risks in a company's sector, products, or regions, Prioritization and Mitigation: Companies must prioritize addressing severe risks they directly or indirectly contribute to, through prevention plans, partnerships, and necessary investments.
Corporate Benefits of Due Diligence: Companies practicing effective due diligence see competitive advantages, better access to investments, enhanced reputation, and improved risk management;
Sustainable Finance’s Role: Achieving climate goals requires significant investment, particularly in developing nations, emphasizing the critical role of sustainable finance to support global emission reductions;
SustainAbility School este un program de educare dedicat exclusiv angajaților din organizațiile membre ale Ambasadei Sustenabilității în România prin programul Coaliția România Sustenabilă.