KPMG to invest $1.5bn on global ESG solutions
Professional services giant KPMG has unveiled a new $1.5bn investment plan to improve understanding of environmental, social and corporate governance (ESG) that helps businesses make strong contributions to decarbonisation and societal prosperity.
The new $1.5bn investment will be spent over the next three years and is designed to support KPMG clients across a range of ESG issues.
Funding will be spent on training and expanding KPMG’s global workforce with new hubs set up that focus on decarbonisation, talent acquisition and raising understanding of ESG across emerging markets.
KPMG’s chief executive Bill Thomas said: “How you grow matters, and what worked for us and other businesses in the past will not work in the future. The world faces crises on multiple fronts, which is why we’re putting the Environmental, Social and Governance agenda at the heart of everything we do.
“ESG will be the watermark running through our global organization; from empowering our people to become agents of positive change, to the services with our clients and our partnerships with critical stakeholders. KPMG has the global scale, expertise, technology, and relationships that give us the ability and responsibility to use our position to provide solutions and services to overcome the challenges facing our planet and society.”
The new hubs will focus on helping large multinational businesses meet net-zero commitments, offering ESG expertise to organisations and setting up KPMG Regional ESG Hubs in Europe, Asia Pacific and the Americas to offer regional advice based on legislative and market restrictions.
KPMG will also launch KPMG Emerging Markets Accelerators for developing nations in the Eastern Mediterranean, Africa, Asia Pacific and Latin America.
Last year, KPMG committed to becoming a net-zero company and sourcing 100% renewable electricity globally by 2030.
the firm outlined plans to halve greenhouse gas (GHG) emissions across all scopes by 2030, against a 2019 baseline. These plans have been approved by the Science Based Targets initiative in line with the Paris Agreement’s 1.5C trajectory.
One of the major actions KMPG will take to meet this target is procuring 100% renewable electricity. It has set a 2022 deadline for nations with mature infrastructure and policies on renewables and a 2030 deadline for its broader global network, which spans 147 nations. KPMG’s previous renewables target was to meet 60% of global consumption with clean energy by the end of 2020.
To address the remaining 50% of emissions, KPMG will invest in carbon offsetting. It said in a statement that it will use “externally accredited” carbon credit schemes but did not provide information on specific schemes.
© Faversham House Ltd 2022 edie news articles may be copied or forwarded for individual use only. No other reproduction or distribution is permitted without prior written consent.