Every reporter: Zhang Hong Every editor: Ma Ziqing
On December 22, the "Set Sail 2023 Financial Power Forum" was held in Beijing. At the "Green Finance Forum", a number of experts and scholars from regulators and institutions discussed the "progress of international and domestic green finance".
After the meeting, the reporter of "National Business Daily" (hereinafter referred to as "NBD") interviewed Liu Yifang, director of the Sustainable Standards Research Center of the Central University of Finance and Economics, on ESG (environmental, social and corporate governance) policy transmission and industrial transformation.
Liu Yifang, Director of the Sustainability Standards Research Center of the Central University of Finance and Economics Image source: Organizer
Liu Yifang said that in order to allow the public to participate in the construction of green finance, the industry should pay more attention to ESG, strengthen the mandatory requirements for sustainable information disclosure, strengthen the application of ESG rating results, and strengthen the assessment of corporate sustainable performance. In addition, there is a need to educate and educate the population.
Transformation cannot wait for enterprises that need to go global, and it is also urgent for enterprises that are not under pressure for the time being. We can't wait for the transmission of the industrial chain, and it will be too late to transform when the pressure is passed over, and it is likely to be abandoned by the industrial chain. Whoever transforms first, whose product has a high probability of survival in the future, when similar products are squeezed out by risk, the product that has completed the transformation has a market advantage.
In order for the public to participate in the construction of green finance, the current financial attention to ESG is insufficient
NBD: In recent years, the exploration of green finance has been in full swing, but it seems that green finance has not received enough attention at the public level. How to let the public better understand green finance and participate in the construction of green finance?
Liu Yifang: From the public's perspective, more and more green financial products have been launched in the secondary market, including private equity funds focusing on green projects.
However, the willingness of people to participate may also depend on the investment environment. Therefore, in order to allow the public to participate in the construction of green finance, more capital is needed to pay attention to ESG performance and corporate sustainable development performance. At present, on the whole, the financial sector has not paid enough attention to ESG, and ESG has not yet been used as a key indicator to influence investment decisions.
NBD: Many investment products only use ESG as a promotional point while taking into account returns. What should investors do if they don't have much basic knowledge?
Liu Yifang: There is such a phenomenon. At present, in the whole process of capital market investment, the impact weight of ESG rating results is actually relatively small. Even in parts of the United States, the "anti-ESG trend" is still very popular. However, I think the EU market is still setting an example for the world.
In fact, some members of the public can understand the risk and opportunity transmission path of ESG, or intuitively perceive which types of companies may have risks or opportunities. And whether it is a fund investment decision or an individual investment decision, the impact of these factors is estimated or at least estimated. Of course, this is still very difficult to understand for investors who do not have much professional basic knowledge. But I think that if you try to learn Xi and understand, you can gradually understand it.
NBD: Recently, the Hong Kong Stock Exchange has issued some policies on ESG disclosure. What do you think of these policies?
Liu Yifang: At present, the Hong Kong Stock Exchange mandates listed companies to disclose ESG information. Mandatory disclosure is critical and important in this disclosure system, as it will be significantly different from voluntary disclosure. Usually, only when there are requirements in the regulatory policy, the industry enterprises will have feedback, and the public will slowly become aware and aware.
Sustainability disclosures should disclose not only sustainability-related risks, but also related opportunities
NBD: What is the need for ESG implementation at present, and which industries may need to transform more urgently after ESG implementation?
Liu Yifang: If we adhere to sustainable development and adhere to the dual-carbon development strategy, almost every industry needs to be transformed. Then ESG is a very important direction for the guiding direction of industrial transformation.
In terms of industries, first of all, in high-carbon and high-energy-consuming industries, the pressure transmission of climate transition risks is direct and huge. Secondly, enterprises with a high degree of dependence on foreign countries, such as the automobile industry. At present, automobile companies exporting to the EU are facing export restrictions. If the exported product does not meet the standard, it will be fined, taxed, or not allowed to be exported. Therefore, there is a need for technological improvement, and even transformation.
In addition, some companies may not directly face the pressure of ESG disclosure or export, but are under pressure from the main enterprises in the industrial chain, and they should also make ESG-related disclosures. For example, a metal products processing company that we talked to before does not belong to a high-carbon industry and does not have a high degree of dependence on foreign countries, but due to the requirements of its downstream industrial chain master company, it must also do ESG disclosure and climate risk assessment.
Therefore, the transformation cannot wait for enterprises that need to go global, and it is also urgent for enterprises that are not under pressure for the time being, and cannot passively wait for the transmission of the industrial chain.
NBD: You just talked about which industries are in urgent need of transformation, so which industries are likely to be revitalized by the increasing emphasis on ESG?
Liu Yifang: In fact, every industry has the possibility of vitality. Therefore, sustainability information disclosure should not only disclose sustainability-related risks, but also relevant opportunities. Whoever transforms first, whose product has a high probability of survival in the future, when similar products are squeezed out by risk, the product that has completed the transformation has a market advantage. So every industry has the potential to have advantages, risks and opportunities.
NBD: Are there any companies that are now dedicated to serving the ESG transformation needs of other companies?
Liu Yifang: For example, some technology-based enterprises that specialize in energy conservation and consumption reduction and pollution control for enterprises, and some consulting services that formulate carbon reduction planning plans and climate risk analysis for enterprises.
National Business Daily