A Disruptive New Model for Corporate Sustainability and ESG | Georgia Elliott-Smith | TEDxUCL

Summary

The speaker, an environmental engineer and sustainability consultant with 25 years of experience, criticizes the misuse of sustainability and ESG (Environmental, Social, and Governance) as mere marketing tactics. They recount their journey from making significant environmental impacts to witnessing greenwashing at COP26. The speaker advocates for meaningful change aligned with the UN's Sustainable Development Goals (SDGs), emphasizes the importance of financial sustainability, and calls for honesty and system change. They conclude by urging individuals to hold leaders accountable and to lead by example in the fight against climate change.

Takeaways

• 🌏 The speaker has witnessed the co-opting of sustainability and ESG (Environmental, Social, and Governance) issues as mere marketing tools rather than genuine efforts towards environmental and social responsibility.
• 🏭 The speaker's experience as an environmental engineer in the UK construction industry highlights a shift from meaningful change in waste, energy, and pollution to superficial sustainability practices.
• 😨 The speaker expresses horror at COP26, where CEOs promoted their products as climate solutions, which the speaker views as a complicity in environmental destruction.
• 📊 ESG reporting is criticized for being flawed, with high ESG-rated companies including major polluters, suggesting that current ESG assessments do not accurately reflect genuine environmental impact.
• 💼 The speaker calls for a reevaluation of how ESG is measured and reported, pointing out the disconnect between corporate claims of sustainability and their actual environmental and social impacts.
• 🔄 The concept of 'disruptive sustainability' is introduced as a new approach, emphasizing the need for meaningful change that goes beyond incremental improvements.
• 🎯 The speaker advocates for aligning corporate activities with the United Nations' Sustainable Development Goals (SDGs), viewing them not as separate from business operations but as integral to them.
• 💡 A 'lightbulb' moment is described where a company's leadership realizes the need to realign their entire business plan with the SDGs, illustrating the transformative potential of disruptive sustainability.
• 💰 The importance of financial sustainability is underscored, with the speaker arguing that businesses must be economically viable to survive and contribute positively to the world.
• 🌡 The script calls for businesses to set science-based targets for climate action, aligning their efforts with the Paris Agreement's goal of limiting global warming to 1.5 degrees Celsius.
• 🗣️ The need for honesty and transparency in reporting a company's true impact on the environment and society is emphasized, along with the importance of addressing systemic barriers to sustainability.
• 🔄 The speaker encourages collective action to change the system, advocating for businesses to identify and lobby against regulatory and policy barriers that hinder true sustainability.
• 📢 A final call to action is made for individuals and organizations to step up and demand better leadership, showing politicians what is required to gain public support and address the climate crisis effectively.

Q & A

What has the speaker observed about the role of sustainability and ESG in the industry over the past 25 years?

The speaker has observed that sustainability and ESG (Environmental, Social, and Governance) issues have become more of a sales and marketing tool rather than genuine efforts towards environmental and social improvement.

What was the speaker's initial role in the UK construction industry?

The speaker started as one of the first environmental managers in the UK construction industry, focusing on making meaningful changes in waste, energy, and pollution management.

How did the speaker feel about the discussions at COP26?

The speaker was horrified by the discussions at COP26, where CEOs claimed to be the solution to the climate crisis by promoting the idea that buying more of their products could avert planetary disaster.

What issue does the speaker highlight with ESG reporting in the FTSE 100 companies?

The speaker highlights that some of the top ESG rated companies in the FTSE 100 include major polluters, such as the world's top plastic polluter, a coal mining giant, and a tobacco company, which contradicts the purpose of ESG reporting.

What is the speaker's view on the current state of ESG reporting?

The speaker believes that ESG reporting is a massive problem, as it often involves token projects that create a 'green sheen' to mask the genuine negative impact of businesses on the environment and society.

What does the speaker suggest is fundamentally wrong with the current ESG assessment and reporting system?

The speaker suggests that the current system is flawed because it allows companies with significant environmental impacts to be highly rated in ESG, and it does not accurately reflect their true contributions to environmental and social issues.

What change did the speaker experience in their perspective after the events of 2018?

The speaker had an epiphany in 2018, realizing that their profession had failed to address the climate crisis effectively. This led them to found a business based on the principles of disruptive sustainability.

What does the speaker propose as a key principle of disruptive sustainability?

The speaker proposes that change only matters if it's meaningful, emphasizing the need to assess actions against a global context and the Sustainable Development Goals (SDGs) rather than just incremental improvements.

How does the speaker suggest businesses should approach the SDGs?

The speaker suggests that businesses should integrate the SDGs into their core operations, viewing each goal as a representation of their business activities and not as a separate entity.

What does the speaker believe is the role of leadership in disruptive sustainability?

The speaker believes that leadership should take an active role in disruptive sustainability, grounding their efforts in financial reality and aligning their business goals with the SDGs to ensure both financial sustainability and positive environmental and social impact.

What is the speaker's stance on the current corporate approach to telling the truth about their environmental and social impact?

The speaker criticizes the corporate world for not telling the truth about their impact, suggesting that businesses often justify, minimize, and keep their observations within office walls rather than looking at the broader impact on communities and the environment.

What action does the speaker recommend for businesses to take in response to systemic barriers to sustainability?

The speaker recommends that businesses identify systemic barriers that prevent them from being sustainable and take these issues to decision-makers, advocating for changes in regulations and policies that currently make sustainability more expensive.

What does the speaker believe about the role of leaders in addressing climate change and other global issues?

The speaker believes that leaders are not leading effectively and that individuals and organizations need to step up, show what it takes to earn their support, and guide leaders towards effective action.