According to KPMG, only every fourth company feels ESG-prepared

By: Trademagazin Date: 2023. 10. 31. 13:00

According to KPMG’s new ESG Certification Maturity Index*, 75 percent of companies worldwide feel they still have a long way to go before they are ready to certify their ESG performance and meet new regulatory requirements.

However, for the business year starting on January 1, 2024, large companies of public interest in the European Union will be required to publish a report not only on how much of their sales revenue and costs are related to sustainable activities, but also according to the Corporate Sustainability Reporting Directive (CSRD) adopted by the European Union according to the standards specially created for this purpose, they must present the impact of the company’s operations on the environment and related to climate change, including the set strategic goals, the risks, the identified opportunities and the measures to deal with all of them, as well as the metrics indicating the achievement of the goals ( as a reminder: CSRD will be permanently with us from 2024).

“Simply summarized, a company is ready for ESG certification if it has laid the relevant regulatory framework, carried out the relevant materiality assessment, defined the appropriate metrics and has the necessary systems, processes and related well-designed processes to measure, collect and manage the vast amount of data , with efficiently functioning controls”

– this is how Zsuzsanna Nagy, the partner responsible for Compliance Services at KPMG ESG in Hungary, said about the publication of the index.