Current ESG Trends Push for Short- and Long-Term Change

As further sustainability mandates and requirements loom, ESG considerations in company priority lists continue to rise. Right now marks a pivotal moment for companies that have yet to plan or execute their carbon transition. In these cases, seeing and understanding other company initiatives can help.

This post outlines a few recent ESG initiatives at both a country and company level. Businesses can use these as case studies on reality-grounded initiatives to better understand how to map out their own ESG reporting.

Plastics Registry to Require Canadian Companies to Account for Usage

(Source: Government of Canada)

The Canadian government has introduced a new Federal Plastics Registry to help control plastic waste and pollution.

This registry requires plastic producers to disclose the quantity and type of plastic they introduce into the Canadian market. They must also trace its journey through the nation's economy, from production to end-of-life.

The tool is a part of Canada's zero plastic waste agenda. It aims to maintain nationwide data on the movements of plastic within the economy.

The initiative will begin by September 2025. It includes reporting quantities of plastics manufactured, imported, and used in packaging, electronics, and single-use products.

Additionally, resin manufacturers, importers, and other plastic categories must start reporting by 2026. Producers who generate less than one ton of plastic in the market will be exempt from these reporting requirements.

The registry is similar to the EUDR that requires value chain reporting and accounting for multiple commodities on the European market.

Canadian ESG reporting must incorporate a plastics accounting process to stay compliant.

Union Pacific Unveils New Hybrid Locomotives, Gets High Marks from CDP and SBTi

(Source: Union Pacific InsideTrack)

Union Pacific Railroad's annual Building America Report outlines significant advancements in safety and sustainability—critical components to ESG compliance. The highlight of the report is the introduction of a new hybrid battery-electric locomotive.

The upgrade has been made possible by a partnership with green tech firm ZTR to design and manufacture six hybrid-electric locomotives that are still being tested.

Beyond the trains, proactive safety improvements by UP have reduced serious injuries by 15% compared to the previous year. The company has also posted a 6% decrease in the derailment rate.

Union Pacific has shown a solid commitment toward sustainable practices with a 19.1% reduction in greenhouse gas emissions since 2018. The decrease comes in adherence to the Science Based Targets initiative's 1.5-degree ambition guidance.

Related: SBTi Disruptions Continue to Cause Confusion About Decarbonization

The company’s improvements have been recognized with high marks for climate initiatives and data disclosures. It also earned high marks with an A- score from climate leader CDP.

Union Pacific will publish the Building America Report every two years. It will be supplemented with an annual data supplement showing company progress.

Global Investment Giant Norges Shares Climate Action Plan for 2025

(Source: Norges)

Norway's sovereign wealth fund's global investment manager, Norges Bank Investment Management (NBIM), has publicly shared an ambitious climate action plan for 2025. The plan outlines a mission to transition its portfolio of companies toward achieving net-zero emissions by 2050.

The strategy discloses both the financial risk of climate change and the potential for profitable investments within a low-carbon economy.

NBIM's strategy operates on three levels:

1. Market
2. Portfolio
3. Company

At the market level, NBIM advocates for better climate-related financial reporting standards. The company will work with standard-setting organizations like SBTi and CDP to ensure transparency and consistency.

At the portfolio level, every investment decision is made considering climate concerns. Scenario analysis predicts potential impacts in both long- and short-term cases. NBIM is also developing a system to assess climate risk exposure and set ambitious targets for its unlisted real estate portfolio.

At the company level, NBIM engages in dialogue with portfolio firms. The company aims to establish scientifically supported net-zero targets and transition plans. By 2025, NBIM aims for a significant percentage of portfolio companies to set their own net-zero targets.

Transparency is a key component of NBIM's strategy. The company is committed to comprehensive reporting to build trust and allow stakeholders to gauge their progress.

The firm plans to create a Climate Advisory Board and continually refine its action plan using data-driven insights. These moves underline NBIM’s shifting focus toward sustainable development and a low-carbon economy.

Low Carbon Insights and ESG Help with ResourceWise

The world of ESG compliance and sustainability reporting is moving tremendously fast.

Confusion and uncertainty can only make the process even more frustrating for businesses. This holds especially true as major standardization organizations such as the SBTi face scrutiny on their policies.

In times of confusion, you need to partner with a company that can provide clarity. ResourceWise’s latest product, the A to Z Guide: ESG Reporting Landscape gives you a solid starting point and reference to make ESG decisions confidently.

Our intelligence is backed by years of collective experience in the low-carbon fuels and feedstocks market. With our help, you can develop a strong, futureproof decarbonization plan to ensure you’re ready for the future.

Learn more about the ESG A to Z Guide and download a preview using the link below.