Over the past few years, organisations have come under mounting pressure to share with stakeholders their ESG strategy and measures. As such, there has been a slow but positive shift in Australian organisations making insights available with regard to corporate ESG risks and how they’re mitigating them.
However, while inroads have been made, there’s still room to improve as companies struggle to keep up with a growing demand for investor-grade ESG reports. There’s a significant opportunity for executives and boards to improve reporting for the non-financial metrics that ESG covers, closing the gaps, and providing greater confidence with stakeholders in delivering on strategy and ESG commitments.
ESG should be regarded as an opportunity, not a risk; it’s a means for executives and boards to build greater trust with employees, shareholders and communities in which they operate.
As ESG reporting evolves and companies disclose more relating to these issues, organisational ESG metrics will come under increasing scrutiny. Making sure these metrics are prepared with the appropriate rigor for investor use, and can hold up to regulatory scrutiny, will be crucial to future success and growth.
We apply the best of PwC’s assurance procedures with a team of deep ESG experts to provide ESG assurance. Bringing our whole selves, we are passionate about making a difference every day.
ESG can seem overwhelming - there are a broad range of topics to consider. The environmental and social factors and the extent to which a company has strong governance will impact their social licence to operate as a business in the external market. Because not all ESG factors will be relevant or material for every company, it’s essential for both companies and investors to identify and manage those that are.
A singular focus on creating shareholder value is giving way to a broader focus on stakeholder value. ESG initiatives can provide reputational and competitive advantages, unlock new opportunities, mitigate risks and increase long term market value.
A range of non-financial information is increasingly included in investor, customer, employee and other stakeholder communications creating a new challenge of consistent, high quality disclosure. We help businesses establish marketplace trust and credibility through rigorous, transparent reporting and assurance programs, and through communications strategies that engage stakeholders.
The needs of stakeholders extend beyond financial reporting into broader corporate reporting. To truly meet this need, clear reporting of integration of ESG into core strategy is required to demonstrate to stakeholders the non-financial aspects that are also critical to the company’s success.
Sustainability Risk and Reporting, PwC Australia
Tel: +61 (2) 8266 1330
ESG Reporting, Assurance ESG Lead, PwC Australia
Tel: +61 (3) 8603 3067
ESG Trust and Risk, PwC Australia
Tel: +61 3 8603 2759
ESG Director, PwC Australia
Tel: +61 2 8266 0744