This article forecasts five things to look for from sustainability / ESG in 2023. If you are a SME, focus on the first two. The first one will bring potential cost and the second one is a potential opportunity.
Full Lifecycle Funding – Expect the beginning of increased prices, taxes or escrow on materials, to cover the end-of-life costs associated with disposal and impact on the environment.
Consolidation of Supply Chains – If organizations become frustrated with their vendors not becoming sustainable and carbon neutral, they may be forced to remove that supply chain role and take that function internal – Read this one again and consider the risk and opportunity if you are a SME who is a vendor to a larger company.
Increased Pragmatism – Prioritizing industries for sustainability / carbon neutrality / net zero and a possible move away from China as a supplier
Greater Care in External Statements – In 2022, many companies went public with their sustainability / carbon neutral / net zero claims, with little/no support for same. Litigation on some of these will reduce the number of non-supported claims in 2023 and beyond.
More Litigation and Settlements – We will see more action and settlements tied to the above false claims and Greenwashing.