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illuminem summarizes for you the essential news of the day. Read the full piece on ESG Today or enjoy below:
🗞️ Driving the news: The number of companies linked to greenwashing has fallen for the first time in six years, according to a report by RepRisk
• However, severe greenwashing cases have risen by 30%, with regional and sectoral variations in progress. • The decline is largely driven by increased regulatory scrutiny, especially in the EU
🔭 The context: RepRisk's annual greenwashing report screens over 150,000 sources daily to capture greenwashing risks based on misleading environmental claims
• The report found a 12% decrease in cases in the year ending June 2024, with notable regional differences, including a 20% drop in the EU
• The Oil and Gas sector remains the largest contributor to greenwashing cases
🌍 Why it matters for the planet: Greenwashing undermines genuine sustainability efforts and can obscure environmental harm, delaying urgent climate action
• Regulatory advancements aim to hold companies accountable for their environmental impact
⏭️ What's next: As greenwashing evolves, companies may face increasing reputational and financial risks
• Regulatory frameworks will likely continue to tighten, particularly in regions like the EU
💬 One quote: "Implementing laws and regulations against greenwashing can standardize the language companies use about their environmental efforts and thus boost their accountability" – Jessica Quiazon, ESG Research Lead, RepRisk
📈 One stat: The report found a 27% decline in greenwashing cases in the Banking and Financial Services sector
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