Today’s green governance

ESG data governance: A growing imperative for banks

The next few years are a sink or swim moment for carbon offset markets, which allow for the trading of verified emission reduction credits equivalent to one ton of carbon each. BloombergNEF’s 2023 Long-Term Carbon Offsets Outlook provides a round-up of a turbulent past year for the market, but also forecasts supply, demand and prices under three main scenarios: the voluntary market, removaland bifurcation scenarios. The report paints a bullish long-term outlook if several fundamental issues are addressed, which could value the market at $1 trillion annually as early as 2037.

Scope of application & timing for banking

The reporting requirements will be phased in over time for different kinds of companies. The first companies will have to apply the standards in financial year 2024, for reports published in 2025. Listed SMEs are obliged to report as from 2026, with a further possibility of voluntary opt-out until 2028, and will be able to report according to separate, proportionate standards that EFRAG will develop next year.

Banks hower are obliged to follow the rules with below topics:

• CSRD — Corporate Sustainability Reporting Directive (CSRD)

• ESG — Data Governance

• ESRS — EUROPEAN SUSTAINABILITY REPORTING STANDARDS

Timeline

2023 — preperation and test reports + new tools for sector agnostic
2024 — real- time data collection and double materiality
2025 — competion advantages, deferred application

Tools

> ESG with ESRS / Trasnaprency Models / antigreenwashing/socialwashing
> Voluntary Carbon Market
> Energy Mix Verifaction with Off-grid benefits / Offset of carbon credits
> Carbon Capture Regulations / Local Communities
> Emission Evaluation / Net Zero Investments
> Technical Debt Erosion / Disruption

Obstacles

-Energy mix in Poland + properties low rating
-C02 — KIOTO and CAPTURE low levels
-Emission certification pricing
-Low transition

Advantages

01/ Reccesion Proof Economy
02/ Efficiency of Work-force
03/ Green Advantages

EU market is the most transparent to test EAAS idea and implement data for green energy validation.

Stay tune for more data and information

Eaas team :)