The alphabet soup of ESG
The alphabet soup of ESG
ESG (Environmental, Social, Governance) is more than just a buzzword in current news circulation. Topics like climate change and social justice likely come to mind when you think of ESG. However, ESG initiatives include much more.
More and more companies are recognizing the value of implementing ESG strategies in order to create more sustainable, profitable businesses. Now more than ever, consumers and stakeholders prioritize supporting businesses dedicated to creating positive impact.
So, what is ESG all about and how does it affect your company’s future? Grab a proverbial spoon and dig into the alphabet soup of ESG.
ESG (Environmental, Social, Governance)
ESG refers to the three central areas in measuring the sustainability and societal impact of an investment in a company or business. These criteria help customers and stakeholders to better determine the future financial performance and social responsibility of companies.
Utility benchmarking measures how much energy and water a building consumes compared to other, similar buildings. This allows building owners, governments, and the public to better understand usage in order to reduce waste, comply with regulations, and make more cost-effective, socially responsible improvements.
The measurement of the total greenhouse gas emissions produced by an individual, group, or company.
Carbon offsets are reductions in CO2 or other GHG (greenhouse gasses) made to compensate for emissions made elsewhere; they're measured in tonnes of carbon dioxide equivalent (CO2e).
Corporate social responsibility (CSR) report
A CSR report is a report published by companies with the goal of sharing their corporate social responsibility actions and results.
ENERGY STAR is a program run by the U.S. Environmental Protection Agency (EPA) and U.S. Department of Energy that promotes energy efficiency. The program provides information on the energy consumption of products and devices using different standardized methods. Conservice is proud to be the first 2022 Elite Member of the EPA’s Certification Nation program.
Energy use intensity (EUI)
EUI is a way of expressing a building's energy usage in relation to its size or other characteristics. One calculation for EUI is to divide a building's annual energy usage by its gross square footage.
The quantifiable measurement of an organization's performance through the lens of environmental, social, & governance issues. ESG scores depend on many factors, including the type of ESG report you are reviewing.
GRESB is an investor-led and mission-driven initiative to provide ESG data on real asset investments to investors, managers and the wider industry. GRESB Assessments provide a consistent framework to measure ESG performance based on self-reported data that is validated, scored and peer benchmarked. Their approach allows investors to analyze their portfolios for ESG risks, opportunities and impacts and engage with managers on their performance.
Greenhouse Gas Protocol (GHGP)
The GHGP was established in 1998 by the World Business Council for Sustainable Development (WBCSD) and World Resources Institute (WRI). GHGP is the global standard framework for measuring and managing greenhouse gas emissions.
Greenwashing is the act of promoting a product, service, or company as more environmentally-friendly than it truly is by falsely advertising environmental benefits.
LEED (Leadership in Energy and Environmental Design)
Net zero refers to zero net energy consumption, meaning the total amount of energy consumed and emissions created is zero or the amount of energy used is equal to the amount of energy offset.
Energy obtained from perpetual, unending sources, such as collection of energy with solar panels or wind turbines.
Socially responsible investing (SRI)
SRI is an investment strategy that prioritizes both financial and social/environmental impact. investors encourage corporate practices that are morally grounded and promote environmental stewardship, consumer protection, human rights, and racial or gender diversity.
ESG and sustainability go hand-in-hand, but there are key differences to unpack. As a blanket investment term, sustainability has become a catch-all for a company’s efforts to “do better” or “do good.” This investment approach is best defined by the three pillars of sustainability: economic growth, environmental protection, and social progress, also referred to as “people, planet, and profits.” In a nutshell, sustainable investing directs capital to companies fighting climate risk and environmental destruction, while promoting corporate responsibility.
A set of principles that focus on preventing the generation of waste by redesigning products, rethinking how products are used, and reusing products with the goal that no waste is sent to landfills.
Conservice ESG is an ESG solution offering best in class software and professional services. The comprehensive, scalable platform for ESG management provides everything from simple data analysis to certification and efficiency project tracking. Our professional services team helps clients develop and maximize ESG initiatives.
Bill to Boardroom
Conservice ESG is the first and only Bill to Boardroom solution in the industry. We provide a single, uninterrupted ESG data stream to support every facet of your business strategy. From bill acquisition and processing, to tracking consumption data, and reporting to inform investor and boardroom decisions, your data stream remains wholly contained within one suite of Conservice solutions.