In this week’s Sustainability/ESG bulletin read how Irish SMEs favour green investments despite cost barriers, the Just Transition Commission, and the new Nature Strategy Accelerator Programme from Business for Biodiversity Ireland. Also covered are updates from Northern Ireland and the EU, and calls from the global accountancy profession for G20 leaders to focus on sustainability, transparency, and governance as the 2030 deadline for the United Nations Sustainable Development Goals (SDGs) approaches, as well as the usual articles, resources and upcoming events.
Ireland news
Irish SMEs favour green investments despite cost barriers, survey finds
A new survey by the Strategic Banking Corporation of Ireland (SBCI), the State’s promotional financial institution, has revealed a strong preference among Irish SMEs for green investments that reduce energy costs, such as solar panels and energy-efficient lighting. Among the barriers to investing in sustainable options are cost (45%), payback period (42%) and uncertainty about the benefits of sustainability investment (22%). A diverse range of motivations for businesses embracing sustainable practices were cited, including hoping to play a role in climate action by reducing emissions (26%) and aiming to decrease heating and electricity costs (29%).
Ibec and Davy Horizons launch comprehensive CSRD Toolkit for Businesses
Business group Ibec, partnering with Davy Horizons, has published a toolkit for large and small enterprises, Unpacking CSRD A guide for business. The guide aims to be a comprehensive resource for understanding and implementing the CSRD requirements. It has insights and guidance for both organisations in scope of CSRD, and small enterprises beginning their sustainability journey and who may be part of the supply chain of an in-scope organisation.
€88.5m partnership for offshore wind and infrastructure project
The Port of Cork Company and ISIF are partnering to develop new port infrastructure in Cork Harbour. The €88.5 million investment will support Ireland’s first offshore wind projects and enhance the Cork Container Terminal. The investment also aligns with the Port of Cork’s MasterPlan 2050 to improve multi-purpose berths and increase efficiency for international customers, and will support Ireland’s transition to Net Zero.
Government appoints members to Just Transition Commission
The government has approved the appointment of members to the Just Transition Commission. This independent advisory body will advise and support the Government on ensuring the climate transition is achieved fairly, and on the potential impacts, risks and opportunities for different sectors. Membership of the Just Transition Commission comprises independent experts from a range of backgrounds, as well as nominees from the five ‘pillars’ of social dialogue: Agriculture, Community and Volunteer, Employer, Environment and Trade Union.
Minister announces advisory committee for Ireland’s Nature Restoration Plan
The Minister for Nature, Heritage and Electoral Reform, Malcolm Noonan TD, announced the establishment of an independent Advisory Committee on Nature Restoration to support the development of Ireland’s Nature Restoration Plan (NRP). The NRP is to be developed under the Nature Restoration Law and is due to be submitted to the EU Commission by 1 September 2026. A Finance Working Group will consider the financial aspects of the plan to 2030 and beyond, including socio-economic impact evaluation, the maximisation of existing programmes, and new financial mechanisms.
Business for Biodiversity Ireland releases Nature Strategy Accelerator Programme for businesses
Business For Biodiversity Ireland (BFBI) has released its Nature Strategy Accelerator Programme to guide Irish businesses to develop a strong, credible strategy to identify their impacts and dependencies on nature and ensure compliance with the new EU legislation regarding environmental reporting. The Nature Strategy Accelerator Programme reflects a model of best practice in line with current international developments, tailored to the Irish context and aligned with grants available in Ireland through Local Enterprise Offices, Enterprise Ireland, Údarás or the IDA.
National Youth Assembly Calls for Tax Incentives on Eco-Friendly Items
The Report from the third National Youth Assembly on Climate has called for less taxation on eco-friendly items. The annual assembly, which this year took place on 11 April, is part of the government’s National Dialogue on Climate Action and annual Climate Action Plan. Among the many recommendations from the young people were for initiatives, careers and a rewards systems in place in order to keep people engaged in climate, and more taxation on non eco-friendly items.
CCAC warns of costs exceeding €8 billion for failure to meet climate targets
The cost of failing to meet EU targets could exceed €8 billion for the period up to 2030, warns the Climate Change Advisory Council (CCAC) in its recently published Annual Review 2024 - Cross Sectoral Review. The report also calls for an end to Ireland’s reliance on – and subsidies for – harmful, expensive and unsustainable fossil fuel use. The CCAC also called for a detailed implementation plan to deliver the diverse range of bioeconomy and ecosystem services required to maintain a sustainable, resilient and biodiversity rich economy.
Northern Ireland news
In a letter to the Exchequer Secretary to the Treasury, Chartered Accountants Ireland has highlighted a range of tax policy and tax administration recommendations and concerns ahead of next week’s Budget and the 2025 Spending Review. Among the recommendations made was for UK tax policy to be used to help drive behavioural change which in turn should result in decreasing carbon emissions and promoting of nature-positive measures. Suggestions included introducing incentives to make investing in nature-positive actions more attractive to businesses, and ring fencing for nature restoration some of the receipts from the climate change levy currently imposed on all businesses.
Northern Ireland’s Department of Agriculture, Environment and Rural Affairs (DAERA) is consulting on a draft environmental principles policy statement (EPPS), which sets out how five internationally recognised environmental principles should be interpreted and proportionately applied to policy-making. The consultation will close on Monday 9 December 2024 and can be accessed here.
The Northern Ireland Budget Sustainability Plan has set out how the Executive intends to meet the condition in the financial package to raise at least £113 million in additional revenue. Commenting on the Plan, which was published this month by the Department of Finance following agreement by the Executive, Finance Minister Dr Caoimhe Archibald, emphasized the importance of a vibrant economy to sustainably fund public services and meet increasing demands: “We need budgeting and financial management that looks at tomorrow as well as today.”
Europe news
The European Parliament has demanded an EU budget for 2025 that focuses on improving people's lives, boosting competitiveness, and addressing current challenges. Parliament wants to boost programmes vital in, among other things, helping people suffering from natural disasters, improving climate action, managing migration and security needs, and strengthening EU support for neighbouring regions experiencing geopolitical and humanitarian crises.
The EU Committee on the Environment, Public Health and Food Safety has adopted its demands for the UN Climate Change Conference COP29. Phasing out fossil fuels and related subsidies and adopting carbon-pricing mechanisms worldwide are among the matters in the resolution to be put to a vote by the full house during the plenary session of 13-14 November. The Commission had secured ambitious EU negotiating mandate for the ‘triple COPs’ on climate, biodiversity and desertification earlier this month.
The European Commission has selected 85 net-zero projects to receive €4.8 billion in grants from the Innovation Fund. The selected projects are set to enter into operation before 2030. Over their first 10 years of operation they are expected to reduce emissions by about 476 million tonnes of CO2e. This will contribute to European decarbonisation objectives, reducing emissions from those sectors that are particularly difficult to decarbonise.
The Commission has granted more than €380 million to 133 new projects across Europe under the LIFE Programme for environment and climate action. The allocated amount represents more than half of the €574 million total investment needed for these projects - the remainder coming from national, regional and local governments, public-private partnerships, businesses, and civil society organisations. Of the 133 projects, 26 will promote a more circular economy and quality of life, 25 will support nature and biodiversity in a wide range of areas, 23 climate change resilience and mitigation projects, and 59 will aim to ensure a clean energy transition.
The European Commission has announced a proposal to amend the three EU regulations to ensure that EU funds can be quickly mobilised in support of recovery from climate-related disaster. The proposal will now go through the ordinary legislative procedure in the European Parliament and the Council of the European Union. The proposals come as a direct response to the floods affecting Central and Eastern European countries and wildfires in Portugal in September 2024.
World news
The Biodiversity COP16 is currently underway in Cali, Colombia, from October 21 to November 1, 2024. This summit focuses on implementing the Kunming-Montreal Global Biodiversity Framework, which aims to halt biodiversity loss by 2030. Delegates are discussing strategies to protect ecosystems and mobilize resources for global biodiversity conservation. Read more here..
The International Energy Agency (IEA) predicts that demand for electricity will surge over the next decade, due to new factories, electric vehicles, air-conditioners and data centres. In its annual World Energy Outlook report, the agency calls for urgent public-private dialogue between policymakers, the tech sector and the energy industry ,and reportedly predicts that growth in renewable energy could potentially cause coal, oil and natural gas use to peak this decade.
The global accountancy profession, through the International Federation of Accountants (IFAC), is urging G20 leaders to focus on sustainability, transparency, and governance as the 2030 deadline for the United Nations Sustainable Development Goals (SDGs) approaches. A new publication, G20 Call to Action 2024: Building a Just World & a Sustainable Planet, underscores the essential role high-quality sustainability information, reporting and assurance play in achieving global sustainability targets.
Did you know
Dublin is currently the 3rd most congested city in Europe due to its heavy reliance on private vehicles, which contributes to air pollution and compromises Ireland’s sustainability goals (particularly Goal 11: Sustainable Cities & Communities). This is according to the recently published Capital City, the first report from the Dublin City Taskforce established by Government in May 2024 to view measures required to rejuvenate Dublin City Centre.
FC Barcelona is to host first-ever carbon neutral general assembly. As part of its 2026 Strategic Plan focused on sustainability, the club will measure and compensate for greenhouse gas emissions from all activities related to the event, including transportation, energy use, and catering.
Articles
- Sustainable practices power business growth (Accountancy Ireland - Briefly)
- Employers face a rising climate conundrum - Younger workers in unexpected places are pressing their firms to take serious action on emissions (FT)
- How the accountancy sector can boost business support for the SDGs (Sustainable Views - FT)
- New York officials call for big oil to be prosecuted for fuelling climate disasters (The Guardian)
- Irish firms less worried about geopolitical disruption than counterparts abroad (The Irish Times)
- CCAC urges end to subsidised fossil fuels, says failure to meet EU targets 'could cost Ireland €8bn' (The Journal)
- The Offsets Whack-a-mole (Bloomberg Green)
Upcoming Events
Convention on Biological Diversity, COP16
Date: Oct 21-Nov 1
Location: Colombia
Chartered Accountants Ireland, Practical considerations for preparing for CSRD implementation
In the third of our series on EU sustainability reporting, join Dee Moran, Chartered Accountants Ireland and guest, as they review some of the practical challenges that companies have faced in preparing to comply with the CSRD.
Virtual, 6 November, 10-11
Chartered Accountants Ireland, Risk, Governance and Leadership Conference 2024 (ROI/NI)
This conference includes a section on sustainability supply chain due diligence and value chain reporting
Virtual, 7 November, 9.30-13.30
Dublin Chamber, Sustainable Business Practices - Strengthening Customer Connections
Designed for professionals in customer-facing roles, this workshop will provide the tools to incorporate sustainability into customer engagement strategies, leading to improved satisfaction and loyalty.
Virtual, 15 November, 9.30-12.30
IAFA & IAASA Integrating Sustainability Reporting and Assurance into Accounting Education Conference
The conference is a collaboration between IAFA and the Irish Auditing and Accounting Supervisory Authority (IAASA) and aims to build awareness of the implications of sustainability reporting & assurance for accounting education, and to foster meaningful dialogue & collaboration among stakeholders to drive positive change.
In person, 1 November, Maynooth University
Accountancy Europe, Shaping the future of sustainability assurance engagements
Join Accountancy Europe and the International Federation of Accountants (IFAC) to discuss the latest developments in the world of sustainability assurance. In this webinar, you will hear insights from the International Auditing and Assurance Standards Board (IAASB), the Committee of European Auditing Oversight Bodies (CEAOB) and the Nordic Federation of Accountants.
Virtual, 12 November, 15.00-16.45 (Brussels Time)
iQuest & Business Post, ESG Autumn Summit
Date: Nov 20th
Location: Croke Park
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.
- Next meeting: November 27, 14:00-15.30
- Zoom
If you would like to attend, please email sustainability@charteredaccountants.ie
You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.
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