Since President Xi Jinping announced that China aims to hit carbon peak before 2030 and achieve carbon neutrality by 2060 in September 2020, considerable financial resources have been allocated to the market to help achieve such goal. In the first quarter of 2021, 116.8 billion yuan of green bonds have been issued, the size of which is equivalent to half of the total number in 2020.
In September, the five most prominent standard-setting institutions for sustainability (SASB, GRI, CDSB, IIRC, CDP) jointly announced their commitment to working towards a comprehensive corporate reporting system.
On this backdrop, while the PRC has historically lagged on implementing some of the global standards on sustainability information disclosure, recently China has introduced some proactive environmental policies. The most promising is China’s Net-Zero Carbon commitment announced this September by Xi Jinping at the UN Assembly.
Herein we consider the synergies between China’s ambitious ESG goals, including the anticipated 14th Five-Year-Plan, and the harmonized sustainability standards.
Governance and Compliance disclosure (aka: whistle-blower) hotlines are a key component of an effective corporate compliance and ethics program. And, research demonstrates that external independent disclosure hotlines facilitate the detection of unethical or unlawful conduct, as tips are the most pervasive and effective detection method for suspected wrongdoing in companies with or without hotlines.