PineBridge Investments

Climate Impact & Sustainability Data (2023-01 to 2023-06, October 2021)

Upgraded ESG Outlook for US Industrials to Improving from Stable due to favorable US policy (Inflation Reduction Act), demonstrating significant improvements in E, S, and G factors, with carbon intensity and board diversity improving equal to or faster than global peers.
Australia's Sovereign ESG Outlook upgraded to Improving from Stable following passage of environmental legislation.
China reduced the share of coal in total energy consumption from around 70% a decade ago to 56.8% last year.
India aims to generate 50% of its electricity needs from renewable energy by 2030 and approved its first Sovereign Green Bonds Framework.
Brazil recommitted to its climate pledges, with President Lula vowing to crack down on illegal deforestation.

Australia has been proactive on social issues, such as human rights, modern slavery, and gender equality.
India introduced new labor codes aimed at improving wages, social security, industrial relations, and occupational safety and health for workers.
India’s National Education Policy brought significant changes to teachers and students.
US American Families Plan includes more support for women and would expand access to education and childcare.

Hong Kong aims to be the ESG and governance hub in Asia, with HKEX proposing new mandates for companies to report transition plans, disclose Scope 3 emissions, and provide climate change-related information.
France established a mandatory board gender diversity quota of 40% of the under-represented gender.
US Department of Justice and the SEC tightened corporate hiring practices associated with diversity.

Human rights and labor issues continue to hold back parts of Asia and other emerging markets.
Australia has a significant weight in commodity-intensive industries, and while about 50% of companies have net-zero targets, only about half have disclosed transition plans.
Emerging markets remain challenged by reliance on fossil fuels and human rights concerns.
Mexico’s updated 2030 NDC results in higher emission levels than the targets from 2016.
Corruption remains one of the biggest impediments to economic development in parts of Latin America and emerging EMEA.
Social issues – most notably human rights concerns – are an ongoing problem in many areas of Latin America and EMEA, as are governance concerns related to persistent corruption.
South Africa faces an energy crisis and calls to expand coal-fired power, as well as high and persistent social inequality.

Enhanced climate-related disclosures will soon be required in Australia to meet ISSB requirements.
Companies are being rewarded for improved disclosures in emerging markets.
South Africa approved an $8.5 billion package to phase out coal and speed up its energy transition.
The EU launched its Directive on Green Claims to increase environmental protection and prevent greenwashing.
The EU Commission launched the Green Deal Industrial Plan to make Europe’s net-zero industry more competitive.
Turkey received a €3.1 billion loan funded primarily by the World Bank to help the country meet its clean energy goals.
Indonesia announced initiatives (JETP) to help speed up the transition to cleaner energy sources.

Climate Change Data