Environmental factors

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The “E” in the acronym “ESG” (environmental, social and governance) concerning issues related to an organisation’s environmental aspects. These include resource use, pollution, climate change, energy use, waste management and other physical environmental challenges and opportunities. Investors will typically consider a company’s environmental performance either in terms of the company’s impact on the environment or the impact of natural capital constraints on its profitability. Common measures include carbon emissions, water and energy consumption, waste management and pollution.


M&H Understanding ESG: Environmental Factors