Sustainability/ESG bulletin from Chartered Accountants Ireland, Friday 15 December 2023
Susan Rossney
Sustainability Advocacy Manager with Chartered Accountants Ireland | Sustainability Leader | Peaceful Climate Activist
COP28 - the global climate summit
The United Nations’ annual climate summit – COP28 – concluded in the early hours of 13 December in Dubai. Chartered Accountants Ireland has compiled useful resources about the summit on our COP28 page, including our daily updates and weekly round-ups.
Climate change costs ‘can be managed’ says Irish Fiscal Advisory Council
Climate change will have large impacts on public finances, but these costs can be managed, according to the most recent report by Ireland's budgetary watchdog, the Irish Fiscal Advisory Council. In the section ‘Ireland’s green transition can be managed’, the report states that while the costs of the green transition appear high, taxes could be replaced, spending may be manageable and climate-related spending supports could be managed. However, it concedes that how exactly this will be managed needs to be thought through carefully, and that big decisions are needed on Ireland’s climate transition.
Sustainability included in proposals to redevelop Leaving Certificate subjects
‘Climate Action and Sustainable Development’ is one of the new subjects being considered as part of an open consultation launched this week on draft specifications for six Leaving Certificate Subjects. Part of the Senior Cycle Redevelopment, the first tranche of new and revised Leaving Certificate subjects will be introduced in schools in 2025. The consultation will run until Friday 23 February 2024 and be accessed via the NCCA’s website.
New division of the High Court dedicated to Planning and Environmental cases
A new division of the High Court dedicated to Planning and Environmental cases has been established in Ireland, it was announced this week. The new Division will replace and expand the scope of the Commercial, Planning and Environmental List of the High Court. Its scope encompasses proceedings related to planning, transport, water, climate, natural heritage, built heritage, waste, mineral exploration, the marine, agriculture and pollution. Speaking about the announcement, Minister for Justice Helen McEntee, TD ?said “Dealing with such cases in an effective and efficient manner is key to enabling the State’s delivery of housing and infrastructure, while also protecting the environment.”
Environmental Indicators Ireland 2023
A report published by the Central Statistics Office (CSO) this week shows that Ireland’s emissions of greenhouse gases with global warming potential were higher in 2021 than the European average (12.3 tonnes in Ireland versus 7.8 tonnes in the EU27). The report – Environmental indicators Ireland 2023 – covered 70 indicators across 10 themes, including environmental economy, air, greenhouse gases and climate change, water, land use, energy, transport, waste and biodiversity. It shows that while 39 percent of electricity generation in 2022 was from renewable sources, fossil fuels received subsidies of €2.9 billion in 2021. The highest average annual temperature in Ireland over the 1961-2022 period occurred in 2022.
The Nature of Finance – new report launches
A new report was launched this week to raise awareness of how the financial sector both impacts on – and depends on – nature. ?The Nature of Finance, the first independent assessment of nature-related risks and opportunities for Ireland’s financial sector, hopes to spur further detailed research and proposes a Nature Finance Roadmap for Ireland. Written by KPMG Sustainable Futures and commissioned by the?International Sustainable?Finance Centre of Excellence?(ISFCOE)?with support from Skillnet Ireland, the report quotes comments from the European Central Bank on how nature “[is] existential for the economy and the financial system, as our economy cannot survive without nature.”
Northern Ireland businesses given more time to consider implications of EU Battery Regulation
The EU Batteries Regulation will apply in Northern Ireland from 18 February 2024 and will gradually introduce new rules to strengthen sustainability of batteries and waste batteries, protect the environment and human health and increase recycling.?The deadline for completing a survey on how the new EU Batteries Regulations will impact on Northern Ireland traders has been extended by DAERA until Friday 19 January 2024. Businesses manufacturing, importing or selling batteries, either on their own, or incorporated in products, are encouraged to give their feedback as well as register for an information session on the issue. DAERA will report the findings back to UK Government so that it is fully aware of potential implications for Northern Ireland businesses, and consider the next steps.
11 green hydrogen projects announced for UK
UK’s Department for Energy Security and Net Zero has announced backing for 11 major projects to produce green hydrogen. Unlike blue hydrogen, which is formed using fossil fuels and capturing the carbon emissions, green hydrogen is made by using renewable energy to split water – helping provide cleaner fuel for energy intensive industries and transport. Confirmed suppliers will receive a guaranteed price from the government for the clean energy they supply. In return for this government support, the successful projects will invest over ￡400 million in the next three years, generating jobs in local communities across the UK and delivering 125MW of new hydrogen for businesses.
Provisional agreement on reform of the EU’s electricity market design
Provisional agreement has been reached by the European Parliament and Council on the?reform of the EU's electricity market design, revising several pieces of EU legislation. The announcement comes a week after provisional agreement was reached by the European Parliament and Council on?updated EU rules to decarbonise the gas market and create a hydrogen market.?Under the agreement, consumers will get a?wider choice of contracts, clearer information?before signing contracts, and thereby the option to?lock in secure, long-term prices to avoid excessive risks and volatility. They will also be able to play active role in the energy system, as?‘prosumers’?participating in?energy sharing and able to invest in wind or solar parks and sell excess rooftop solar electricity to neighbours (not just to their supplier).?Following formal adoption of the agreement by both the European Parliament and the Council, the new legislation will be published in the Official Journal of the Union and enter into force.
Corporate due diligence rules agreed to safeguard human rights and environment
Provisional agreement has been reached on the Corporate Sustainability Due Diligence Directive (CSDDD). ?The proposal aims to foster sustainable and responsible corporate behaviour throughout global value chains. The Directive applies to EU and non-EU companies with a turnover over €150 million and smaller companies in certain sectors. Penalties include naming and shaming and fines of up to no less than 5 percent of net worldwide turnover. Following formal approval by the co-legislators, the Directive will enter into force 20 days after publication in the Official Journal, with Member States having two years to transpose the provisions of the Directive into national law.
Integrated Internal Control Needed to Build Trust in Sustainability Reporting, says IFAC
The International Federation of Accountants (IFAC) has published?a report on how organizations can combine sustainability reporting with their existing internal control and governance frameworks. “The professional accountant’s skillset is instrumental in bringing about a step change in the quality of sustainability reporting through applying new reporting standards and integrated internal controls,” said Kevin Dancey, IFAC CEO. “Integrated internal control can put sustainability information on par with financial information, enhance its assurance readiness, and set the?foundation for transitioning to a more sustainable business model.”
Technical Round Up
(From our colleagues in Professional Accounting)
领英推荐
Newsletters
(From our friends in Accountancy Europe). Includes:
From Accountancy Ireland (December 2023)
Articles
Resources
The global SME Climate Hub has free resources for climate action to support SMEs' journey towards a net zero future.?In recent weeks, the SME Climate Hub has expanded its tools to facilitate small business climate action. It has launched Action Guides?to?provide businesses with simple steps for building a climate action plan, and leaned into sector-specific guidance with its first set of?Action Courses,?which offer video guidance for emissions reductions. Additional industry-tailored resources are to launch next year.
Podcast
Marie Donnelly, Chair of the Climate Change Advisory Council, reacts to developments at COP28 where a deal has been reached. (RTé Clip ? 10 mins)
Upcoming Events??
UN Global Compact Network UK Collecting Scope 3 Data Webinar Series 2024 The UN Global Compact Network UK are hosting an interactive four-part webinar series in 2024 to support businesses to efficiently collect Scope 3 emissions data from across their value chain. This series will explore how companies can collect Scope 3 data using a variety of tools, surveys, and software and will feature case studies and insight from businesses on good practice in this area.
Collecting Scope 3 Data: Supplier Engagement: 1 February, 10:00-11:30 GMT Collecting Scope 3 Data: Upstream Emissions, 8 February, 10:00-11:30 GMT Collecting Scope 3 Data: Downstream Emissions, 15 February, 10:00-11:30 GMT Collecting Scope 3 Data: Employee Engagement, 22 February, 10:00-11:30 GMT
Network for Chartered Accountants working on ESG projects
Are you a Chartered Accountant working in ESG or working on ESG-related projects? Would you like an opportunity to engage with other Chartered Accountants working in this space to share insights, challenges and opportunities?
Chartered Accountants Ireland now has a network to allow members working in sustainability/ESG to meet and discuss all matters of interest re ESG and accounting.
If you would like to attend, please email?[email protected]
You can find information, guidance and?supports to understand sustainability and meet the challenges it presents in our online?Sustainability Centre.