ESG slovník pro orientaci v udržitelnosti

Environmental criteria focus on the evaluation of a given company in the context of environmental protection.

The term corporate social responsibility (CSR) refers to practices and rules that are adopted by companies and organizations in order to take responsibility for a positive impact on the world. It is a concept in the field of corporate management that integrates social and environmental commitments into the overall strategy of the enterprise.

To be carbon neutral, a project or organization must contribute (directly or indirectly) to remove the same amount of CO2 from the atmosphere as it releases into it. However, the concept of carbon neutrality has multiple definitions and forms, which may vary depending on the methodology and approach used in calculations and compensatory measures.

The amount of CO2 directly and indirectly affected by the company is measured in three areas, which are referred to as Scope 1, Scope 2 and Scope 3.

The concept of decarbonisation includes limiting and reducing the production of carbon footprints and CO2 equivalents from the running of a company. Thus, the amount of greenhouse gas emissions released into the atmosphere, in order to achieve more sustainable development, use renewable energy sources, achieve greater sustainability in the supply chain. ‍

Due diligence describes the status of actions taken to manage current and potential negative impacts on human rights and the environment. A separate EU directive will now address this issue.

Environmental (E), social (S) and administrative (G) factors are a set of criteria on the basis of which the sustainability and ethics of a company can be evaluated. They provide a measure of the extent to which a company is future-ready beyond mere financial performance.

This is an audit of non-financial data. Currently, it is possible to carry out this audit using different commercial methodologies. However, a unified approach is being prepared in the implementation of the CSRD (Corporate Sustainability Reporting Directive), which will make it possible to place the non-financial audit at the same level of importance as the commonly known financial audit.

Emissions allowances are an essential tool for implementing carbon reduction plans. They are part of the European Emissions Trading System. This system operates on the principle of “cap and trade”, where an overall cap (cap) is set on the amount of emissions that can be released into the atmosphere.

This is a standardized expression of the carbon footprint, which includes not only carbon dioxide (CO2), but also six other substances determined by the Kyoto Protocol. Sometimes you can see it written as CO2e.

The Greenhouse Gas Protocol is an initiative that aims to establish universal standardized procedures by which emissions outputs of companies and organizations can be uniformly assessed.

Reporting standards create a common practice for organizations - whether large or small, private or public, from the financial and non-financial sectors - in ESG reporting. This improves global comparability and enables organizations to be transparent and accountable.

Global Reporting Initiative (známá jako GRI) je nezávislá mezinárodní organizace, která pomáhá podnikům a dalším organizacím monitorovat a řídit jejich environmentální a společenské dopady prostřednictvím poskytování společného postupu pro vykazování. Standardy této organizace slouží také jako jeden ze vzorů pro připravované Evropské Reportovací Standardy (ESRS).

Greenwashing most often takes the form of purposeful interpretation of data on the sustainability of a product, service or company as a whole. As one example, oil companies are trying to cover up their negative impact by offsetting emissions by buying commercial offsets in the form of “tree planting” in a few hundred years old native forest.

Basically, it is about investing sustainably in companies or products, the main objective of which is to have a positive impact on the environment and society.

Materiality/Dual materiality is a term that plays a key role in ESG (environmental, social, administrative) reporting and takes into account both the influence of financial factors on the sustainability of the company (from the outside in) and the influence of sustainable factors on the financial functioning of the company (inside out). This approach ensures a comprehensive analysis and consideration of relevant sustainability aspects that affect the company's business and performance from a financial point of view.

The abbreviation ESG can be summarized under the term “non-financial data”. Carbon footprint, anti-corruption rules and equal working conditions are all aspects that in themselves may not have a direct financial impact on society, but affect it and can be reflected in practice. Therefore, the assessment of these factors is already important now.

Offsetting je proces odstraňování oxidu uhličitého nebo jiných emisí skleníkových plynů z atmosféry. Tento proces může probíhat různými způsoby.

The SFDR Directive requires banks to take into account not only financial but also non-financial data when assessing loan applications from companies. These factors are not only important when setting interest rates, but can also affect the approval of the loan itself.

Směrnice CSRD zvyšuje transparentnost finančních produktů a definuje data, která musí být dostupná pro dostatečnou informovanost investora. Zásadním prvkem je následující nařízení o Taxonomii EU, které určuje, co je považováno za udržitelné a co není.

Social criteria cover a wide range of potential topics related to adherence to socio-ethical norms. The key factor in this regard is, above all, the relationship of the company to its employees and the community it affects.

Socially responsible investing is based on individually chosen values. Transparency and non-financial data serve as the basis for an investor's decision whether or not a given product meets its criteria regarding ethics and social responsibility. This information allows the investor to better assess whether the investment corresponds to his personal values and goals in terms of sustainability and social impact.

Sustainability management je výraz pro řízení udržitelnosti. Může být definován mezinárodním standardem nebo vlastní politikou. Pro měření, vyhodnocování a sběr potřebných dat je vhodné využít software. Automatizace pomáhá získat lepší přehled a kontrolu nad daty monitorujícími dopad na životní prostředí.

Essentially, the Taxonomy Regulation aims to enable firms to clearly and simply determine whether their business is sustainable, particularly in terms of environmental sustainability, and to encourage the transition to sustainable financing through banks.

Corporate governance je v kontextu ESG zásadně důležité pro hodnocení, jak kvalitně je vaše společnost řízena.