News

  In this week’s Sustainability/ESG Bulletin read about our Sustainability Trends overview for 2025. Also covered are the new sources of funding for sustainability programmes in Ireland, a public consultation on a National Policy Framework for Alternative Fuels Infrastructure, a report into skills shortages in Northern Ireland, the EU’s actions for safe and sustainable e-commerce imports, and its calls on Ireland to communicate measures re the Directive on Gender Balance on Corporate Boards. Find a link to the ICEAW’s new Sustainability Accelerator Programme, technical updates, and the usual articles and upcoming events.   Ireland news Enterprise Ireland launches programme to advance sustainability research Enterprise Ireland has announced the launch of the Sustain-FIT Programme (2025-2029), an initiative designed to strengthen Ireland’s sustainability and digitalisation research capabilities while addressing the urgent need for climate action. Co-funded by Enterprise Ireland and the European Union under Horizon Europe, the approximately €15 million programme will recruit 50 postdoctoral researchers from across the world to collaborate with Irish companies on innovative sustainability-focused research projects.  tec €12.1 million funding boosts sustainability and manufacturing productivity in third-level sector Ten successful projects from across the third-level sector have secured €12.1 million in funding to improve the capabilities of the existing Technology Gateways and EI/IDA Technology Centres by investing at a scale that allows them to bridge the gap between their existing capabilities and the state of the art. With individual awards of up to €2 million available, the equipment funded through this initiative will become an engine of economic development for local companies, in particular SMEs who could not afford to invest at this scale. The new equipment will particularly help companies develop new products and services in areas focusing on Sustainability and Manufacturing Productivity.    Funding to drive energy efficiency across the FET sector €8 million in funding has been announced for green capital grants at the 16 Education and Training Boards (ETBs) to help them deliver energy efficiency and decarbonisation targets in Further Education and Training (FET) buildings. The funding, which will be distributed through SOLAS, may be used to address small-scale measures specifically aimed at achieving targets for 2030, as set out in the Public Sector Climate Action Mandate. These include reducing Ireland’s Greenhouse Gas emissions by 51 percent by 2030, increasing energy efficiencies in the public sector to 50 percent by 2030, and updating Climate Action Roadmaps annually.   Public consultation announced on National Policy Framework for Alternative Fuels Infrastructure The Department of Transport has announced it will publish a public consultation in Q2 on a draft of theNational Policy Framework for Alternative Fuels Infrastructure. The Alternative Fuels Infrastructure Regulation (AFIR), in force since 13 April 2024, is an important part of the EU’s Fit for 55 policy package to reduce EU emissions by 55 percent by 2030 and make the EU climate-neutral by 2050. Ireland’s updated policy framework will revise and replace the existing National Policy Framework on Alternative Fuels Infrastructure for Transport in Ireland 2017-2030 to reflect the mandatory requirements set under the AFIR. The final policy framework is required to be submitted to the EU Commission by 31 December 2025.   ISIF and Schroders Greencoat launch new fund focused on investing in energy transition infrastructure assets across Europe The Ireland Strategic Investment Fund (ISIF) and Schroders Greencoat, the specialist renewables and energy transition infrastructure manager of Schroders Capital, have together announced a new private markets fund focused on investing in energy transition infrastructure assets across Europe and in particular, Ireland where the Fund will be seeking to invest in a number of projects. ISIF has committed €100m to the Fund, which will aim to build a diversified portfolio of energy transition investments across Europe. Investments in Ireland will be focused on the growth of renewable energy infrastructure capabilities, grid infrastructure, interconnection with Europe and the UK, and battery storage.   BITCI calls on the Government to accelerate corporate environmental action Business in the Community Ireland has published a list of 10 ways Ireland’s next government can support businesses in accelerating climate and nature action. The list, which published following the issuing of the Programme for Government, notes that businesses in Ireland are already taking steps, and “should be seen as a key partner in national environmental efforts.”  However, the report notes, without strong government leadership, the business community’s efforts risk being “undermined by uneven competition, inadequate infrastructure, and a lack of regulatory certainty.” The recommendations include, among other things, accelerating the roll-out of clean energy infrastructure, investing in decarbonisation, streamlining approvals for sustainable innovations, building sustainability skills of the workforce, and fostering collaboration for collective action.   Northern Ireland/UK news Northern Ireland faces significant skills shortage across key sectors Northern Ireland is projected to face a significant skills shortage according to the Northern Ireland Skills Barometer 2023-2033, developed by the Ulster University Economic Policy Centre. The report highlights a skills undersupply at all qualification levels, as the workforce grows to an anticipated one million jobs by 2033. Low carbon and net zero sectors are among the sectors in which this growth will occur, alongside agri-tech, life and health sciences, advanced manufacturing, materials and engineering, fintech and financial services, software and cyber industries. The report recommends that investing in skills remain a central pillar of economic policy, particularly for supporting the development of low carbon and net zero industries.   Net Zero Council relaunched to supercharge Clean Energy Superpower Mission The UK Government has relaunched an expanded Net Zero Council, bringing together business, civil society and local authorities to drive the clean energy transition as part of the Plan for Growth. New members include representatives from the Trades Union Congress and Design Council, bringing expertise of green skills and jobs creation to the council to support the government’s mission for clean energy growth on the path to net zero.  Among the priorities for 2025/26 is supporting small and medium-sized enterprises to decarbonise while maximising the benefits of the transition.   Voluntary climate reporting in UK events sector Ten local authorities in the UK have piloted a Green Events Code of Practice (GECoP) to assess how effectively local authorities could integrate an environmental assessment into event processes, and  the resulting positive impact it could have on their environmental practices. Developed by the event industry following a sector consultation, the GECoP pilot was led by Vision for Sustainable Events and Julie’s Bicycle. The Donut Advisory Toolkit for Events (DATE) was used as the main event assessment method against GECoP. For more information or to download the full report on the pilot project, visit https://bit.ly/GECoP_Pilot_Report   Europe News Accountancy Europe has published its February Sustainability Update, with news on the European Commission’s Competitiveness Package, EFRAG’s voluntary sustainability reporting standards for SMEs and more.   Commission announces actions for safe and sustainable e-commerce imports The European Commission has published a communication in which it is announcing action it is taking to tackle risks stemming from low-value imports sold via non-EU online retailers and marketplaces hosting non-EU traders. These actions are part of the Communication on E-Commerce which the Commission is proposing. The Commission is calling on the cooperation of Member States, the co-legislators and all stakeholders, to put in place the measures outlined in the Communication, and will assess the effect of the announced actions and publish a report on the findings of the increased controls within a year.   Commission calls on Ireland and other Member States to communicate measures transposing the provisions of the Directive on Gender Balance on Corporate Boards The European Commission has decided to open an infringement procedure[GM1]  by sending a letter of formal notice Ireland, among other Member States, for only having notified partial transposition of the Directive on Gender Balance on Corporate Boards. Member States concerned now have two months to reply to the letters of formal notice and complete their transposition, or the Commission may decide to issue a reasoned opinion.   World news OECD - Global Outlook on Financing for Sustainable Development 2025 The Organisation for Economic Co-operation and Development  (OECD) has published its Global Outlook on Financing for Sustainable Development 2025. This biennial flagship analysis of major trends impacting the global financial system and financing for the Sustainable Development Goals (SDGs) identifies priorities for negotiators at the Fourth International Conference on Financing for Development (FfD4), which is set to take place in Seville this year.   Institute for Human Rights and Business launches new database to “demystify” just transitions The Institute for Human Rights and Business (IHRB) has launched a database featuring 50 inclusive projects that are seeking to prioritise the rights of people most impacted by net zero. Compiled by IHRB, the JUST Stories Database is a practical resource for business, finance, government, unions and civil society,  spanning global initiatives across sectors including energy, agriculture, finance, and the built environment, where the people impacted by decarbonisation are actively involved in transition design in various ways.   Technical Roundup (From our colleagues in Professional Accounting)   The International Sustainability Standards Board (ISSB) is hosting an event on 25 February 2025 to discuss disclosures about transition plans - IFRS S2 Climate-related Disclosures.   The Financial Reporting Council (FRC) has published the final report from its market study into the assurance of sustainability reporting.   The GRI Academy has launched a new ESRS Reporting program for all reporters to prepare to navigate the Corporate Sustainability Reporting Directive (CSRD).   In its recent article, the GRI discuss some practices and steps that companies can take to mitigate against the risk of greenwashing.   The International Sustainability Standards Board (ISSB) has released a podcast hosted by ISSB Chair Emmanuel Faber and ISSB Vice-Chair Sue Lloyd discussing the latest developments around the ISSB.   In its article entitled “CSRD & CSDDD: key provisions and concepts”, Accountancy Europe look at some of the key features, concepts and differences between the two Directives.   The IFRS Foundation has published a guide entitled “Applying IFRS S1 when reporting only climate-related disclosures in accordance with IFRS S2”. This guide is intended to support the implementation of the International Sustainability Reporting Standards.   Resources The Institute of Chartered Accountant England and Wales (ICAEW) has designed a Sustainability Accelerator Programmeto offer chartered accountants practical tools on building the business case for sustainability, ESG reporting and more. The new programme, which launched on 3 February, offers flexible, bite-sized elearning resources and certificates to ensure accountants can better advise on all sustainability related matters. The Sustainable Energy Authority of Ireland (SEAI) has published a blog discussing various supports the EU provides for SMEs of all sizes and sectors: Three impactful ways your SME could benefit from EU supports Business for Biodiversity Ireland have published an article on the benefits of developing a Nature Ambition Statement to help guide your nature strategy. Focusing on the key elements of what a Nature Ambition Statement is, the article describes steps to take and provides links to good examples.     Did you know? Ireland’s Deposit Return Scheme (DRS) celebrated its first anniversary on 1 February. Some numbers: over 980 million containers collected near-50 percent reduction in the prevalence of plastic bottles and cans in litter 84 percent public participation with DRS 90 percent recognition of the Re-turn logo/brand €90,000 raised for the Return for Children charity initiative   Articles Tough choices must be made on the climate crisis (Irish Times) Climate Change & Biodiversity Loss: The Rising Risks Organisations Must Address (Climate Action for Associations) Sustainability reporting: building trust and credibility (ICEAW Insights) EU Omnibus: Investors warn against re-opening core sustainability legal texts (Responsible Investor) Ireland among list of almost all nations to miss UN deadline for new climate targets (The Journal) Revealed: The €9 billion fossil fuel footprint in Irish private pensions (Business Post)   Events Global Ethics Sustainability Standards Webinars, Webinar Series Alert: Understanding IESBA’s New Sustainability Standards The IESBA sustainability-related ethics and independence standards will establish global baseline standards for ethical sustainability reporting and assurance. These groundbreaking standards address greenwashing risks, other ethical responsibilities, and independence requirements for sustainability assurance. Join the IESBA Team in this free webinar series as they break down the IESSA (International Ethics Standards for Sustainability Assurance) and other key revisions to the Code.  Virtual, various times/dates Chartered Accountants Ireland, Women’s Mentoring Circle Event (ROI/NI) Take part in a unique gathering for women in the chartered accountancy profession, where connection and collaboration meet career development! This event provides a space to share successes and challenges, gain fresh perspectives, and explore practical solutions through peer mentoring. It’s an opportunity to strengthen your professional network, build relationships, and be part of a supportive and inspiring community. In person | Chartered Accountant House, 47/49 Pearse Street, Dublin 2 | 20 Feb, 18:00-20:00 | €10 (proceeds to charity)   SustainabilityWorks/IBEC Academy, CSRD Readiness Gain a clear understanding of the terms, standards, and processes involved in this one-day online course. The SustainabilityWorks team has hands-on experience delivering CSRD projects, ensuring you get practical insights and real-world knowledge. Virtual, 21 February, 09:30 - 16:30 A4S, Sustainability in Action Webinar: Management Information This interactive webinar, aimed at finance professionals, will provide practical insights on how to refocus management reporting and management information by introducing a more integrated approach. Information drives decisions – our speakers will show how considering social and environmental factors results in better information that drives better decisions. Virtual, 25 February, 16.00 GMT Mid South West Economic Engine, SME Big Breakfast Briefing: Reduce Energy Costs with Net Zero Action Hosted by BBC’s Louise Cullen, attendees at this event will gain exclusive insights from Invest NI, hear the real success stories from local businesses and learn how to be the Supplier of Choice in 2025. There will be insights from Invest NI’s Green Economy Team and a session on how to be the Supplier of Choice in 2025. The Carbonfit team will be on hand to help you sign up and get started. In person, Glenavon Hotel, Cookstown, BT80 8QS, 6 March, 09:00 - 14:00   Institute of Chartered Accountant England and Wales (ICEAW), 2025: ESG – how should the financial statements reflect sustainability? Gain a practical understanding of how to reflect ESG principles in financial reporting for your organisation. Virtual, 14 & 24 March 2025, 9.30-12.30     Chartered Accountants Ireland ESG Masterclass: Take your sustainability knowledge to the next level (ROI/NI) Masterclass designed for all professional accountants working in business or practice, wishing to consolidate their knowledge and understanding of the sustainability regulatory, reporting and assurance landscape. 9 April, 08:30 – 14.00, Virtual Chartered Accountants Ireland, The SME and SMP Sustainability Workshop A workshop for SMEs and small/medium accounting practices (SMPs) on how to get ahead of the sustainability curve. This interactive half-day session will focus on positive actions you can take to understand the ‘trickle-down’ effect of the Corporate Sustainability Reporting Directive ('CSRD’), green public procurement, access to sustainable finance, and how to make your practice more sustainable to save costs and respond to staff and client demands. Virtual, 23 May, 9.30- 12.30; €60 members; €75 non-members; 3 hours CPD points.     Sustainability Centre You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.    

  In this week’s Sustainability/ESG Bulletin read about the Small-scale Renewable Electricity Support Scheme, sustainability and innovation in a new leadership programme for SMEs resources for creating a sustainable business, and a new nature recovery fund for Northern Ireland. Also covered is the sustainability implications for businesses of the new EU Competitiveness Compass, the new standards and guidance from IAASB and IESBA to strengthen sustainability reporting and assurance, and well as the usual articles and upcoming events.   Ireland news Small-scale Renewable Electricity Support Scheme The Small-scale Renewable Electricity Support Scheme (SRESS), the renewable electricity scheme without an auction, operated by the Department of the Environment, Climate and Communications, opened for applications this week (27 January). Small-scale renewable energy projects are defined as renewable electricity generation technologies with an electricity output greater than 50kW, but smaller than typical commercial generators. The SRESS will be operated on the basis of a policy lifetime out to 2030 and includes a 15-year tariff support lifetime for successful export applicants.   CSO figures on 2022 fossil fuel subsidies released CSO figures released this week show a 68% increase in fossil fuel subsidies in Ireland in 2022, from €2.8 billion in 2021 to €4.7 billion in 2022, including direct subsidies to households and tax rate reductions on petrol and diesel. Separately, 2024 was confirmed by the Copernicus Climate Change Service (C3S) to be the warmest year on record globally. Human-induced climate change remains the primary driver of extreme air and sea surface temperatures, with fossil fuel use one of the key contributing factors. Sustainability and innovation in new Dynamic Leadership SME programme Enterprise Ireland, in partnership with Dublin City University (DCU), has launched Dynamic Leadership: Roadmap to Growth. The leadership development programme is designed to equip senior leadership teams of Irish SMEs with the tools, strategies, and insights required for sustainable growth and international success. Programme highlights include a focus on innovation and sustainability, workshops on digital transformation, sustainability, and calculating carbon footprints. Resources for businesses to optimise energy usage and reduce costs The Sustainable Energy Academy Ireland (SEAI) has launched two free new eLearning modules through the SEAI Energy Academy platform: www.seaienergyacademy.ie/. Designed to help businesses optimise their energy usage and reduce costs, the modules are: The new "Fundamentals of Hot Water" module provides comprehensive guidance on managing hot water systems effectively across various business settings. While particularly valuable for sectors with high hot water demands—such as hospitality, manufacturing, and healthcare—the module offers insights relevant to businesses of all sizes.    "Introduction to Building Management Systems," focuses on the increasingly important role of Building Energy Management Systems (BEMS) in modern business operations. This module demonstrates how BEMS technology can revolutionise the way businesses control their building services and reduce energy waste.  Women in Finance Charter 2025 Annual Survey underway The 2025 Annual Survey is now underway for Signatories of the Women in Finance Charter, an initiative to promote greater gender equality in the financial sector. Firms signing the Charter commit to achieving greater gender balance across their organisations, set targets appropriate to the company, and formulate an action plan to achieve these targets. The closing date for the survey is 9 February and further details on the Charter and guidelines for signatories will be available on the Balance for Better Business website. Case Studies for sustainable businesses The Department of Enterprise, Trade and Employment (DETE) has published case studies on how businesses are becoming more sustainable. Three businesses are profiled, including Sweet N Green café, Stories by Ola, and Laundry Lab. For more information on all the supports available to business visit the National Enterprise Hub on neh.gov.ie.    Northern Ireland/UK news Northern Ireland launches nature recovery fund A new fund to support Nature Recovery environmental projects, the first of its kind, across Northern Ireland, has been launched by Environment Minister Andrew Muir. Councils and voluntary organisations can now apply for the Nature Recovery Challenge Fund Competition 2025/26 – 2027/28 which will offer a minimum grant award of £50,000. More details are on the DAERA website. UK government announces offshore infrastructure measures The UK government has announced measures to accelerate the construction of offshore infrastructure, with up to 13 major offshore wind projects expected to generate up to 16GWs of electricity, create employment in the offshore wind sector, and potentially unlock £20-30bn of investment in clean power. Earlier in January the government announced measures to support nature recovery at scale in for the Planning and Infrastructure Bill  as part the government’s Plan for Change. Aligning transition planning and financial planning- resource Accounting for Sustainability (A4S) has developed a resource on transition plans, with support from ICAEW. The resource, Aligning Transition Planning and Financial Planning: key questions for finance teams, outlines key questions for finance teams to help understand the different transition planning activities that may have financial implications. Transition plans can have many benefits, such as delivering new revenue streams, but to turn them into action they need to be supported by adequate financial resources.   Europe News The European Commission has launched its Competitiveness Compass framework, a strategic initiative which aims to “rekindle economic productivity and secure the EU’s competitive edge”. It aims to promote sustainability through an Affordable Energy Action Plan, a Clean Industrial Deal, an Industrial Decarbonisation Accelerator Act and through tailor-made action plans for energy intensive sectors, such as steel, metals, and chemicals. It further sets out an approach and a selection of flagship measures to achieve the three transformational imperatives identified in the Draghi report, i.e. around innovation, decarbonisation and competitiveness, and security. One such measure is the Simplification Omnibus Packages, which aim to reduce the reporting obligations for businesses by up to 25 percent (and up to 35 percent for SMEs), and align various EU regulations related to sustainability, such as the Corporate Sustainability Reporting Directive (CSRD) and the EU Taxonomy. It is anticipated that the Competitiveness Compass will help smaller companies integrate sustainability into their operations without facing excessive administrative burdens. World news IAASB and IESBA unveil new standards and guidance to strengthen sustainability reporting and assurance The International Auditing and Assurance Standards Board (IAASB) and the International Ethics Standards Board for Accountants (IESBA) have launched an integrated effort to support effective implementation of their landmark standards aimed at advancing trust and transparency in sustainability reporting and assurance. Taken together, the IAASB and IESBA sustainability-related standards, as well as the new IESBA standard on using the work of experts, provide a unified global approach to address the growing demand for trustworthy sustainability information to support stakeholder decisions. Report highlights carbon pricing as essential for green hydrogen growth A report from the Potsdam Institute for Climate Impact Research has shown that the growth of green hydrogen is unattainable without carbon pricing. The report, Green hydrogen: Big gaps between ambition and implementation, emphasises the need to focus more on demand-side measures to increase the number of green hydrogen consumers, rather than concentrating solely on supply-side measures. It highlights legislation like the EU’s Renewable Energy Directive, which mandates that green hydrogen must constitute 42 percent of all hydrogen used in industry by 2030, as a crucial step forward. Additionally, it advocates for carbon pricing to account for the environmental costs of producing hydrogen with fossil fuels. Planetary Insolvency report - Risk management and policy decisions A new report has identified an increasing risk of ‘Planetary Insolvency’ – severe societal and economic disruption caused by a breakdown in critical ecosystem services.  The report, Planetary Solvency - finding our balance with nature, brings together risk management techniques, the latest climate science, and systemic risk assessment methodologies assesses the ability of our planet now, and in the future, to support human society and the economy. It is the latest in a series of papers focussing on climate risk from the Institute and Faculty of Actuaries (IFoA) and the University of Exeter, and highlights how risk management techniques, informed by the latest science, can help to guide policy decisions to support future prosperity. Technical Roundup (From our colleagues in Professional Accounting) The FRC has published a thematic review of Climate-related Financial Disclosures by Alternative Investment Market (AIM) and large private companies, following their first cycle of mandatory reporting in the UK.   EFRAG has published a document mapping the voluntary Eco-Management and Audit Scheme against the ESRSs.   Accountancy Europe has set up a tracker that monitors the transposition of the CSRD across the European Economic Area.   (update) Accountancy Europe has also published a FAQs webpage addressing common questions about sustainability reporting assurance. It’s organised into two sections: 1. key concepts of assurance in sustainability reporting and 2. EU regulatory framework.   Articles Why businesses must lead the charge on climate action (Accountancy Ireland - Briefly) The ESG divide in 2025 (Accountancy Ireland - Briefly) What has to happen next for the circular economy to become established in Ireland? (Irish Times) New sustainability reporting rules could hurt Ireland’s reputation, law firms warn (Irish Times) Trump’s Week One Ends With a Heap of Climate Rollbacks (Bloomberg) Administrative burden reduction: Accountancy Europe’s first specific recommendations (Accountancy Europe) What’s the Business Outlook for Nature in 2025? (Business for Biodiversity Ireland) Building credibility and trust in sustainability reporting and disclosure (ICEAW Insights) How accountants can create sustainable value (CPA Canada) Events A4S, The Sustainability Value Triangle The webinar includes exclusive findings from research with professionals: The sustainability actions with the highest perceived impact on value; Insights into overcoming barriers to cross-functional collaboration; The role of mandatory reporting in fostering integration. Expert panelists include: Brad Sparks, A4S;’ Dr. Robert Eccles, Saïd Business School, University of Oxford; Mardi McBrien, IFRS Foundation Virtual, 6 February, 16.00 GMT   Chartered Accountants Leinster Society, 𝗣𝗲𝗿𝘀𝗽𝗲𝗰𝘁𝗶𝘃𝗲𝘀 𝗼𝗻 𝗖𝗦𝗥𝗗 𝗶𝗺𝗽𝗹𝗲𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻  Discover how the implementation of CSRD will present both challenges and opportunities for companies in Ireland from Deloitte's Hollie Keating, Director and Sustainability Reporting & Assurance Lead, and Gareth Martin, Audit Managing Director Virtual, 12 Feb | 1-2pm | FREE Queen’s Business School, QBS Business Breakfast Insights: Sustainability 2030 and beyond Queen’s Business School is hosting the Business Breakfast Insights series, offering insights to help businesses navigate economic and environmental challenges. This first event will explore sustainability in business, with a focus on digital sustainability and sustainability reporting. In person, 13 February, 8.30-10.30, Queen’s Business School, Riddel Hall, Belfast, BT9 5EE   A4S, Sustainability in Action Webinar: Management Information This interactive webinar, aimed at finance professionals, will provide practical insights on how to refocus management reporting and management information by introducing a more integrated approach. Information drives decisions – our speakers will show how considering social and environmental factors results in better information that drives better decisions. Virtual, 25 February, 16.00 GMT Jobs Trinity College Dublin seeks a researcher/project manager for Ecosystem Accounting project (Link to job details)   Sustainability Centre You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.    

Chartered Accountants Ireland was pleased to see the publication of the Programme for Government by the incoming administration this week. The Programme contains a number of commitments on key priorities for our members, that we hope will come to fruition, including:   On SMEs: the programme’s commitment to address the regulatory and cost burdens facing SMEs is welcome, in particular its pledge to establish a dedicated Small Business Unit in the Department of Enterprise and commitment to rigorously apply the’ SME test’ to all new legislation that risks further increasing business costs, prior to enactment.   On childcare: commitments to progressively reduce the cost of childcare to €200 per month per child are positive. Moreover, pledges to provide capital investment to build state-owned childcare facilities to create additional capacity will be welcomed by parents who are struggling to find a place for their child in local childcare facilities. If successfully implemented, these measures could leave working parents better off and free up vital working capacity in the economy.  On climate: the continued commitment to accelerating Ireland’s progress towards achieving the 17 Sustainable Development Goals (SDGs) is welcome. It is encouraging to see, in particular, a focus on the  further development of the sustainable finance sector, renewable energy, upskilling and training, and the provision of supports for industry – including supports for small businesses – to decarbonise and embrace a circular economy.     The Institute looks forward to working with the new Government to ensure these important commitments are delivered over the course of the 34th Dáil term and to continue to amplify the voice of our members on the policy issues of importance to them.      

  In this week’s Sustainability/ESG Bulletin read about sustainability in the new Programme for Government, planned Government climate and environmental spending 2025, and Responsible Business resources issued by DETE. Also covered is a survey showing a growth in confidence in sustainability governance, a ‘ticking clock’ for investors to invest in resilience, and the publication of the World Economic Forum’s Global Risks Report 2025, as well as the usual articles and upcoming events.   Ireland news Sustainability in the Programme for Government The Institute welcomes the continued commitment in Ireland’s published draft Programme for Government to accelerate Ireland’s progress towards achieving the 17 Sustainable Development Goals (SDGs). While much needs to be done, the focus on further development of the sustainable finance sector, renewable energy, upskilling and training, and the provision of supports for industry – including supports for small businesses – to decarbonise and embrace a circular economy, are welcome, as is the commitment to the continued use of carbon tax revenues to fund social welfare measures, among others.   Planned Government climate and environmental spending for 2025 A report published by the Department of Public Expenditure, NDP Delivery & Reform (DPENDR) on planned climate and environmental spending in 2025 has found that nearly €7 billion of expenditure allocated will have a “probable favourable impact” on climate and environmental criteria. This includes funding for activities targeting emissions-reductions (e.g. retrofitting, investment in public transport, implementing flood-risk-management programmes, biodiversity/ecosystem-protection programmes and more). The report found, however, that just over €2 billion of planned expenditure will have a “probable unfavourable impact” reportedly representing an increase of 40%  in 2025 on 2024 figures. This includes funding on measures such as fossil fuel subsidies or other potentially harmful supports, as well as emissions-intensive activities in transport, agriculture and industry.   CSO – Ireland 2024: The Year in Numbers Almost half (46%) of all new private cars licensed up to November 2024 were electric, plug-in hybrid, or hybrid, according to figures from the CSO’s Ireland 2024: The Year in Numbers. The figures also reveal that more than 4,000 Business Energy Rating (BER) audits were published in the first nine months of 2024 for non-domestic or commercial buildings, of which the most energy-efficient building types were found to be in schools and colleges. Separately, the Sustainable Energy Authority of Ireland (SEAI)’s end of year review shows a record year of progress for SEAI in 2024, with almost €616 million invested in projects across homes, communities, businesses, and public sector organisations. This 13% increase on 2023 activity included over 3,500 businesses being approved for more than €62 million in grant support, as well as the launch of a new, rapid approval Business Energy Upgrade Scheme.    DETE resources on Responsible Business initiatives: Environment Presentations from the Department of Enterprise, Trade and Employment (DETE) on responsible business and the environment held on 6 November 2024 are now available on the Department’s website. These include: Creating a Nature Positive Economy for Ireland – Lucy Gaffney, Executive Director, Business for Biodiversity Ireland Emissions Trading and Carbon Border Adjustment Mechanism by Dr Maria Martin Climate Change Programme, EPA Ecodesign for Sustainable Products Regulation, Aisling McCarthy, Climate Programmes Unit, DETE OECD Guidelines for Multinational Enterprises on Responsible Business Conduct   Northern Ireland/UK news Confidence grows in sustainability governance An annual survey of directors and executives from around the world conducted by INSEAD Business School (the non-profit business school with locations in Europe, Asia, the Middle East and North America) has found that confidence in sustainability governance had grown significantly year-on-year. In an article published last week, ICAEW Insights examined whether a sustainability committee might be a useful addition to the board.   “The clock is ticking” for investors, says CISL The Cambridge Institute for Sustainability Leadership (CISL) has published a guide for investors to build climate resilience within their portfolios and invest in systemic resilience through engagement with the broader ecosystem. Commenting on the publication, titled Investing in Tomorrow: A Guide to Building Climate-Resilient Investment Portfolios, Director at the Centre for Sustainable Finance, Dr Nina Seega said “The clock is ticking — investors face a critical choice: act now to safeguard portfolios and invest in resilience, or risk the future of both their assets and the global ecosystem. As climate risks intensify, this guide offers a clear path to build resilience and drive systemic change for a sustainable, adaptive future.”   World news Global Risks Report 2025 publishes The World Economic Forum has published its Global Risks Report 2025, listing ‘State-based armed conflict’ as the top risk likely to present a material crisis on a global scale in 2025. ‘Extreme weather events’, ‘Geoeconomic confrontation’, ‘Misinformation and disinformation’ and ‘Societal polarization’ remain top short-term risks, with ‘Economic downturn’ climbing up from tenth place in 2024 to sixth place this year.   Over the longer-term (10 years) the top four risks identified are: Extreme Weather Events, Biodiversity loss and ecosystem collapse, Critical change to Earth systems, and Natural resource shortages.   The report, which presents the findings of the Global Risks Perception Survey 2024- 2025 (GRPS), captures insights from over 900 experts worldwide and provides six in-depth analyses of selected risk themes. Did you know… …you can now ‘bulk return’ bottles and cans in Ireland through the Deposit-Return Scheme? Newcastle Services Station in Dublin has Ireland’s first Bulk Feed Recycling Machine which lets users recycle hundreds of containers in seconds - no more feeding them one by one. (TikTok) Articles IOB appoint Diarmuid Murphy as Director of Sustainability and International Markets (Business Plus) Insuring against climate change: An interview with Brian O’Neill, Head of Communications, Sponsorship, Sustainability at Aviva Ireland (Business & Finance) High Court rules An Bord Pleanála must prioritise climate law in wind farm case likely to affect all public bodies (Irish Independent) A4S unveils guide on making business case for nature (ICAEW) Greenwashing and sustainability assurance: a review and call for future research (Journal of Accounting Literature Events TEKenable Ltd and the EU Commission, CSRD Data Readiness Training This training session, organised in collaboration with TEKenable Ltd and the EU Commission offers insights on best practices, tools to improve your sustainability efforts, CSRD compliance, and more. Virtual, 24 January 2025, 13:00 - 14:30 CET Business in the Community Northern Ireland From Awareness to Action: Building Disability Inclusive Workplaces First of a new series of monthly online sessions aiming to support businesses in creating more diverse and inclusive workplaces Tuesday 28 January, 10:00 – 10:45am. Chartered Accountants Worldwide, Difference Makers Discuss: Resilience in the Chartered Accountant Accountancy profession Virtual, 30 January, 18.00 GMT Jobs Trinity College Dublin seeks a researcher/project manager for Ecosystem Accounting project (Job details)   Sustainability Centre You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.  

  In this week's, Sustainability/ESG Bulletin read about tax measures for electrical vehicles now in effect from Budget 2025, detailed climate projections and new funding for adult financial literacy projects in Ireland. Also covered is the entering into application of new EU rules to improve gender balance in corporate boards, a new OECD paper on how public budgeting can support climate goals, the departure of US firms from the Net-Zero Banking Alliance, as well as technical updates, articles, podcasts and upcoming events.   Ireland news EV tax measures from Budget 2025 now in effect   The following tax measures pertaining to Battery Electric Vehicles (BEVs) announced in Budget 2025 took effect from Wednesday 1 January 2025: BIK Exemption for Installation of BEV home charger: From 1 January 2025, a benefit-in-kind (BIK) exemption will apply to the installation of a battery electric vehicle (BEV) home charger by an employer at a director’s or an employee’s private residence. This means that a director or employee will not pay BIK on the installation of a home charger, which is required for work purposes and aims to support the rollout of BEVs in the commercial fleet. VRT Rate Change for Commercial Battery Electric Vehicles (BEVs): Finance Act 2024 amended the weight ratio requirement from 130% to 125% for commercial electric vehicles in order to qualify for the €200 category C VRT rate. This amendment comes into effect from 1 January 2025.   Climate Projections for Ireland: Key Findings and Implications Scientists based at the Irish Centre for High-End Computing (ICHEC) in the University of Galway have warned that Ireland’s future weather will be even warmer and wetter than previously predicted. Commenting, the report’s lead author, Paul Nolan, said that it is imperative that planners and policymakers are adequately informed about future climate change so they can implement appropriate mitigation and adaptation measures: “This research will inform national policy and further our understanding of the impacts of climate change at a local scale”.   New funding for adult financial literacy projects in Ireland The Competition and Consumer Protection Commission (CCPC) is to contribute €250,000 towards adult financial literacy projects in 2025 supporting adults with the skills needed to build financial literacy and access financial services. Latest figures from the Programme for International Assessment for Adult Competencies (PIAAC) published by the OECD show that one in four adults in Ireland struggle with everyday maths. The funding announcement by the CCPC follows the publication in April 2024 by the Department of Finance of a mapping report into the development of a Financial Literacy Strategy.   Export phase of Small-scale Renewal Electricity Support Scheme The terms and conditions of the export phase of the Small-scale Renewable Electricity Support Scheme (SRESS) have been published. They have been designed with the aim of providing a simpler route to market for community and small-scale projects, and to align more closely to the experience and capacity of this sector. Commenting, Eamon Ryan, Minister for the Environment, Climate and Communications described the approval of the SRESS terms and conditions as “an important milestone for communities, SMEs [Small and Medium Sized Enterprises], farmers and others to maximise their participation in the energy transition.” The scheme is due to open for applications on 27 January 2025.   Northern Ireland news Business in the Community Northern Ireland (BITCI), in partnership with Diversity Mark, has announced a new series of monthly online sessions aiming to support businesses in creating more diverse and inclusive workplaces. The first session, ‘From Awareness to Action: Building Disability Inclusive Workplaces’ will take place on Tuesday 28 January, 10:00 – 10:45am.   Europe news New EU rules to improve Gender Balance in corporate boards enter into application New EU rules to improve Gender Balance in corporate boards have entered into application. The Gender Balance on Corporate Boards Directive, which entered into application at the end of 2024, aims for a more balanced gender representation on the boards of listed companies across all EU Member States. The Directive sets a target for EU large listed companies of 40% of the underrepresented sex among their non-executive directors and 33% among all directors. The deadline for the transposition by Member States was 28 December 2024, and companies must meet the targets by 30 June 2026.   World news OECD publishes paper on how public budgeting can support climate goals The OECD has published a paper on how public budgeting can support climate goals. The paper, Beyond green tagging, discusses new instruments to better link budgets and results, the challenges involved in linking budget and emissions, and the steps needed to overcome them.   Net-Zero Banking Alliance loses firms Several major Wall Street banks, including Bank of America, Citigroup, Goldman Sachs, JP Morgan, Morgan Stanley and Wells Fargo have left the Net-Zero Banking Alliance – a group dedicated to helping lenders reduce their carbon footprints. More US banks are expected to follow their lead, in a development reportedly reflecting growing anti-ESG sentiment in the US.   LA fires damage and economic loss potential A preliminary estimate of the financial impact of the damage and economic loss caused by the Los Angeles wildfires of $52 billion is likely to make it one of the costliest natural disasters in US history.  Burned homes and losses in tourism are among the major long-lasting costs resulting from the fires, which are thought to be the result of high winds, lack of rain and climate change. Technical Updates (From our colleagues in Professional Accounting) EFRAG has added further non-authoritative technical explanations to its compilation of explanations that are intended to assist stakeholders in the implementation of the European Sustainability Reporting Standards (ESRSs).  EFRAG has also published an addendum to EFRAG IG 3 ‘ESRS Datapoints’, which is part of EFRAG's non-authoritative implementation guidance on the European Sustainability Reporting Standards (ESRSs)   EFRAG has announced that it has delivered its technical advice on the Voluntary SME (“VSME”) standard to the European Commission. EFRAG has also released some educational videos on the VSME standard.   The International Accounting Standards Board (IASB) and the International Sustainability Standards Board (ISSB) recently launched a webcast series to discuss how IFRS Accounting Standards and IFRS Sustainability Disclosure Standards complement each other.     The FRC, in its role as the Secretariat to the UK Sustainability Disclosure Technical Advisory Committee, has published the Committee’s final recommendations to the Secretary of State for Business and Trade, recommending endorsement of the first two IFRS Sustainability Disclosure Standards for use in the UK.   Chartered Accountants Ireland has issued Technical Alert 04/2024 Sample CSRD Limited Assurance Report. This is in addition to Technical Alert 02/2024 – Sample Engagement Letter Terms in respect to the provision of Limited Assurance under the Corporate Sustainability Reporting Directive, issued in June 2024.   The Institute has revised the CPD Regulations with effect from 1 January 2025. CPD Regulation 4.6 now specifically mentions 'sustainability assurance' as a subject area in which a member who is working in practice should undertake CPD if that member is involved in work of this nature.  Read more here   Accountancy Europe has published a new webpage of FAQs: fundamentals to assurance on sustainability reporting  The International Federation of Accountants (IFAC) and the We Mean Business Coalition (WMBC), together with the Global Accounting Alliance (GAA), have published a report titled ‘Building Trust in Sustainability Reporting and Preparing for Assurance: Governance and Controls for Sustainability Information’.   Accounting for Sustainability (A4S) is preparing a series focused on nature to assist accountants and finance professionals in shaping a nature-positive economy that supports long-term value creation. The first guide in the series, The Business Case for Nature, explains why nature is vital to business and offers clear steps and practical tips for developing the business case for your organization. Articles Irish listed firms must ‘take action’ to meet new EU gender targets (Business Post) The antidote to doom is doing (FT-SustainableViews)   Podcasts Bloomberg’s Akshat Rathi talks to science fiction writer Kim Stanley Robinson, author of the seminal 2020 novel Ministry for the Future which is set in the year 2025 (Bloomberg) Events SEAI, Introduction to Energy Management Training The Sustainable Energy Authority of Ireland (SEAI) is running a free online workshop on the basics of implementing energy management within your business. Virtual, Thursday, 16 January, 2-4pm Jobs Trinity College Dublin seeks a researcher/project manager for Ecosystem Accounting project (Job details)   Sustainability Centre You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.  

  In this week’s Sustainability/ESG bulletin read about the ESRI report on collective climate action, Ireland’s commitments to improve the sustainability of ICT procurement, and a report on Ireland’s recycling rates. Also covered is the 2027 cap on ETS2, responses to the EU-Mercosur trade deal, news from Europe on SME sustainability reporting, as well as a podcast, a new resource for finance professionals on building the business case for nature, articles, and updates to the Chartered Accountants Ireland Sustainability Centre.   Ireland news ESRI report finds cooperation in collective climate action key The ESRI has published a research bulletin, How to Encourage Collective Climate Action, including a review of 272 studies on how people behave in collective action problems specifically concerned with climate change. Some of these challenges are ‘multi-level coordination’ (i.e. that local action is needed to achieve national or international goals), uncertainty about which actions will be effective, the fact that consequences of today’s decisions will be most strongly felt by future generations, and the need to overcome psychological biases (e.g., status quo bias – a preference for things to stay as they are, even if the alternative is better).  The bulletin recommends showcasing success stories to inspire action, and using multiple, smaller-scale initiatives instead of one large strategy to help foster cooperation by aligning goals with local identities and benefits. Ireland joins international partnership aimed at promoting sustainable ICT procurement practices Ireland has entered into a voluntary agreement to co-operate with other bodies, internationally, to improve the sustainability of ICT procurement. The initiative – the Circular and Fair ICT Pact (CFIT) – is an international procurement-led partnership with a remit to accelerate circularity, fairness, and sustainability in the ICT sector. Joining the CFIT Pact fulfils a commitment in Buying Greener: Green Public Procurement Strategy and Action Plan 2024-2027, which aims drive the implementation of green and circular procurement practices across the public sector. Ireland shows no improvement in recycling rates in 10 years The Environmental Protection Agency (EPA) has published the Circular Economy and Waste Statistics Highlights Report 2022, which states that Ireland generated 15.7 million tonnes of waste in 2022. Although a decrease on 2021 figures, this still shows a growth of over 20% in the last decade, with construction activities accounting for half of all waste generated. Ireland is now almost certain to miss EU municipal and packaging recycling targets for 2025. Europe news The EU-Mercosur trade The EU-Mercosur trade deal has been signed by the EU and four Mercosur countries — Argentina, Brazil, Paraguay and Uruguay – following 25 years of negotiations. While the annex to the trade and sustainable development chapter of the deal commits parties to “prevent further deforestation and enhance efforts to stabilise or increase forest cover from 2030”, trade experts and environmental experts disagree, citing deforestation risks, among other negative impacts. Cap adopted for 2027 Emissions Trading System for buildings, road transport and small industry (ETS2) The EU Commission has adopted a decision establishing the EU-wide quantity of allowances issued under Emissions Trading System for buildings, road transport and small industries (ETS2) in 2027. The ETS2 is a new emissions trading system created as part of the 2023 revisions of the ETS Directive. It is separate from the existing EU ETS and will cover and address the CO2 emissions from fuel combustion in buildings, roadtransport and additional sectors (mainly small industries not covered by the existing EU ETS). This cap will amount to 1,036,288,784 allowances for 2027 and aims to contribute to the EU achieving its 2030 climate targets. Sustainability reporting for SMEs - update The European Financial Reporting Advisory Group (EFRAG) has delivered the Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME) to the European Commission. Based on market acceptance, the VSME has been designed to provide a standardised set of information in order to support ESG reporting for SMEs and boost access to finance. In 2025 EFRAG will issue support guides and educational material, among other initiatives. Accountancy Europe’s Sustainability update – December Covered in the recently published Accountancy Europe’s December Sustainability update are the EU Taxonomy FAQs on the usability of the  EU sustainable finance frameworks; updates on the Green Claims Directive; approval of ESG rating activities regulation; updates on the Deforestation Regulation, and ESMA’s proposal to phase in ESRS digital tagging requirements. World news The International Federation of Accountants (IFAC) and We Mean Business Coalition (WMBC), in partnership with the Global Accounting Alliance (GAA) have published Building Trust in Sustainability Reporting and Preparing for Assurance: Governance and Controls for Sustainability Information. The guide aims to provide a roadmap for organising and enhancing governance and control systems, and outlines steps to align sustainability and financial reporting in terms of quality, timing, and connectivity, and addresses challenges in sustainability reporting. The new guidance can be applied to the adoption of the IFRS Sustainability Disclosure Standards issued by the International Sustainability Standards Board (ISSB) and jurisdictional requirements, including the European Sustainability Reporting Standards (ESRS). Articles In this blog post, Fergus Sharkey, Head of Business at the Sustainable Energy Authority of Ireland (SEAI), discusses the new suite of business energy grants available to SMEs to reduce costs, cut carbon emissions, and remain competitive (SEAI) Goldman Sachs’ Exit from the Climate Alliance: What’s Behind the Move? (Climate Action for Associations) Biodiversity hit to economies estimated at up to $25tn a year in landmark report (Financial Times) Paris to Replace Parking Spaces With Trees (Bloomberg) Podcast The financial case for sustainability: In this episode of Behind the Numbers from ICEAW, Philippa Lamb is joined by Richard Spencer, ICAEW Director of Sustainability and others  to discuss the challenge for accountants in ensuring that the quality of non-financial information matches that of financial information. New resource – The Business Case for Nature A4S (Accounting for Sustainability) has published The Business Case for Nature,  a guide explaining why nature is vital to business and offering clear steps and practical tips for developing the business case for organisations. The guide is part of the ‘A4S’s nature guidance series’, currently being created to give finance teams the practical guidance and tools to understand their nature-related impacts and dependencies, and to take steps to integrate nature-related risks and opportunities into business strategy and decision-making processes. Sustainability Centre Our Sustainability Centre has been updated to include links to sustainability webinars run by Chartered Accountants Ireland on the topic of sustainability.