Ga naar de inhoud
PodcastsInvesterenThe Greener Way

The Greener Way

FS Sustainability
The Greener Way
Nieuwste aflevering

212 afleveringen

  • The Greener Way

    Leading the battery storage race

    17-08-2026 | 14 Min.
    🌿 Why are batteries becoming one of Australia's most attractive renewable energy investments?
    ❓ Question:
    As governments introduce more supportive energy storage policies and Australia's electricity system continues to transition away from coal, what role do batteries play in renewable energy investing, and why are institutional investors paying closer attention to the sector?
    ✅ Answer:
    According to Sonia Teitel, co-managing director of renewables at Octopus Australia, batteries are becoming a critical part of Australia's energy transition because they help solve one of the biggest challenges facing renewable energy: reliability. While solar and wind generation depend on weather conditions, batteries can store excess energy and release it when demand rises, helping create a more stable and flexible electricity system. Teitel argues that supportive government policies, strong market fundamentals, growing electricity demand and Australia's stable regulatory environment are strengthening the investment case for battery infrastructure and renewable energy portfolios.
    🌟 Battery storage is becoming essential to the energy transition
    Teitel explains that batteries play a vital role in transforming intermittent renewable energy into a more dependable energy source. They can absorb excess electricity generated during periods of strong solar output and release it during evening demand peaks. This ability to provide "firmed" renewable energy helps replicate some of the reliability traditionally delivered by coal-fired power stations, making batteries an increasingly important complement to wind and solar assets.
    🌟 Australia is emerging as a global leader in battery deployment
    While many investors often look overseas for examples of energy innovation, Teitel argues that Australia is setting the benchmark for large-scale battery deployment and optimisation. She believes international markets are increasingly studying Australia's approach to battery storage, particularly the way batteries are used to provide network support services and improve electricity system performance.
    🌟 Institutional investors are attracted to strong long-term fundamentals
    A key factor supporting investment is the retirement of Australia's ageing coal-fired power stations. As coal generation exits the market, new energy infrastructure must replace lost supply. Teitel says this transition creates a compelling long-term investment opportunity, supported by government policies aimed at reducing carbon emissions while maintaining energy reliability. Australia's political stability and regulatory certainty further strengthen its attractiveness to institutional investors.
    🌟 Battery projects generate value in multiple ways
    Beyond storing electricity, batteries can create several revenue streams. They enhance renewable energy projects by helping deliver power when customers need it, they perform energy arbitrage by storing low-cost electricity and selling it during peak demand periods, and they provide ancillary services that support transmission network stability. These multiple revenue sources can improve investment outcomes and increase the attractiveness of battery assets within diversified portfolios.
    🌟 AI and data centres are creating new demand for renewable energy
    Teitel highlights the growing influence of artificial intelligence and data centres on Australia's energy landscape. As large technology companies expand their infrastructure requirements, demand for reliable electricity is expected to increase significantly. Government plans requiring some data centre developments to secure firmed renewable energy contracts before receiving approval could further support investment in renewable generation and battery storage assets.
    🌟 Diversified renewable portfolios may deliver stronger outcomes
    Rather than viewing battery, wind and solar projects as separate investment opportunities, Teitel advocates for a portfolio approach. Combining multiple technologies across different regions can help manage risk, improve reliability and better align electricity supply with customer demand. She argues that this integrated approach may be more effective at generating long-term investment returns than relying on individual asset types.
    🚩 Infrastructure development remains complex and execution-focused
    Building large-scale renewable and battery infrastructure requires significant expertise. Teitel notes that investors need to assess whether project developers have the capability to manage construction, secure transmission access, negotiate offtake agreements and operate assets effectively. Transmission capacity constraints can also influence project economics and investment outcomes.
    🚩 Choosing the right portfolio matters more than selecting individual technologies
    Teitel cautions against focusing too heavily on whether a single wind, solar or battery project will outperform another. Instead, investors should evaluate how assets work together within a broader portfolio to provide customers with reliable electricity and generate sustainable long-term returns.
    ⚠️ Australia still needs significantly more renewable energy infrastructure
    Despite favourable policy settings, Teitel believes renewable energy deployment is not yet occurring at the pace required to support future electricity demand. Coal generation is steadily leaving the system while AI-driven demand growth continues to emerge. Failure to accelerate renewable and storage investment could place additional pressure on energy supply and affordability.
    ⚠️ Network constraints can affect project viability
    Battery and renewable projects depend on access to transmission infrastructure. Investors who overlook network limitations and grid connection challenges may face delays, increased costs or reduced returns. Understanding where projects are located and how they connect to the electricity system remains an important part of investment due diligence.
    🌟 Looking ahead, Australia could be entering a major growth phase for renewable investment
    Teitel believes the combination of supportive government policy, rising electricity demand from AI and data centres, the retirement of coal generation and growing investor interest is creating favourable conditions for renewable energy investment. She argues that investors entering the sector today have an opportunity to participate in what could be a decades-long period of energy infrastructure growth and transformation.
    💡 Why it matters:
    Battery storage is rapidly moving from a niche technology to a core component of Australia's electricity system. As governments pursue decarbonisation goals and demand for electricity continues to rise, investors are increasingly looking at how batteries, wind and solar assets can work together to deliver reliable energy. Teitel's insights highlight how the investment discussion is evolving beyond renewable generation alone toward building integrated energy systems capable of supporting future economic growth. For institutional investors, battery storage may become one of the defining infrastructure opportunities of Australia's energy transition.
    🎙️ Sources:
    • Sonia Teitel, co-managing director, renewables, Octopus Australia
    • Michelle Baltazar, host, The Greener Way
    ⏱️ Timestamps:
    00:00 – Why Australia is leading battery deployment
    00:18 – Introduction and Chris Bowen's battery storage comments
    01:33 – Octopus Australia's renewable energy portfolio
    03:00 – How government policy influences investment decisions
    04:18 – Australia's growing battery storage market
    05:00 – How battery assets create value for investors
    06:20 – Network support and ancillary services
    06:39 – Why other markets are learning from Australia
    07:33 – AI, data centres and future energy demand
    08:38 – Risks investors should understand
    10:00 – Why portfolio construction matters
    10:47 – Investment opportunities over the next decade
    11:42 – Balancing long-term returns and energy transition goals
    12:02 – Key messages for superannuation investors
    12:34 – Why now may be the opportunity to invest
    13:05 – Final reflections on Australia's renewable energy future
    🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

    This podcast uses the following third-party services for analysis:

    OP3 - https://op3.dev/privacy
  • The Greener Way

    Why ESG matters for this $22bn fund manager

    10-08-2026 | 17 Min.
    🌿 How are ESG fund managers using sustainability to make better investment decisions?
    ❓ Question: As ESG investing faces increasing scrutiny and evolving reporting requirements, how do professional fund managers integrate sustainability considerations into investment decisions without sacrificing returns?
    ✅ Answer: According to Mans Carlsson, head of ESG and co-portfolio manager at Australian fund manager Ausbil Investment Management, ESG integration is fundamentally about making better-informed investment decisions. Rather than focusing on ideology, Carlsson argues that ESG research helps investors identify risks, assess management quality, evaluate stakeholder relationships and uncover long-term opportunities that traditional financial analysis may overlook. Through proprietary ESG research, company engagement and on-the-ground investigation, investors can better understand which companies are managing risks effectively and which may face future reputational, regulatory or operational challenges.
    🌟 One of Carlsson's key messages is that ESG investing does not necessarily require investors to sacrifice returns. He challenges the long-standing perception that excluding companies on sustainability grounds automatically reduces performance, arguing that ESG analysis helps investors avoid poorly managed companies while identifying businesses that are improving governance, risk management and stakeholder relationships. In his view, these factors can contribute to stronger valuations over time.
    🌟 Ausbil's investment process combines traditional financial research with proprietary ESG analysis. The firm's ESG team continuously assesses ASX 200 companies and works closely with portfolio managers and analysts. Engagement with companies is a core part of the process, with more than 200 ESG-related company meetings conducted annually. These engagements are often used to encourage companies to adopt best-practice approaches to issues such as climate change, responsible sourcing, corporate governance and workforce management.
    🌟 Direct engagement and field research remain critical despite advances in artificial intelligence. Carlsson argues that while AI can assist with data collection and summarisation, ESG analysis involves qualitative judgement that cannot easily be automated. Understanding how seriously a company manages risks, responds to challenges and implements policies still requires human expertise, experience and direct interaction with management teams and stakeholders.
    🌟 Supply chain transparency is becoming an increasingly important area of ESG analysis. Carlsson described how technology now allows companies to trace the origins of commodities and products with greater accuracy. Businesses that invest in supply chain visibility can reduce the risk of reputational damage, particularly as regulators, investors and consumers pay closer attention to issues such as modern slavery and responsible sourcing.
    🌟 ESG analysis can identify risks before they become widely known. Carlsson shared an example of avoiding an investment in a high-profile company after proprietary research uncovered allegations of worker underpayment. Once the issue became public, the company's share price fell significantly. He argues that this demonstrates the value of conducting independent research rather than relying solely on company disclosures.
    🌟 Sustainability reporting requirements are improving the quality of information available to investors, particularly around climate risk. Carlsson highlighted climate-related disclosure frameworks such as the Task Force on Climate-related Financial Disclosures (TCFD) as useful because they encourage companies to examine future risks and opportunities rather than simply reporting historical emissions data. He believes forward-looking climate assessments provide a more complete picture of potential investment risks.
    🚩 One challenge is that ESG data alone does not provide investment answers. Carlsson cautions against overreliance on datasets and reporting frameworks, arguing that the value lies in interpreting the data and understanding how it affects a company's future prospects. Investors still need analytical judgement to separate meaningful signals from noise.
    🚩 The transition to a lower-emissions economy is proving more complicated than many anticipated. Carlsson noted that rising energy demand, slower-than-expected commercialisation of some decarbonisation technologies and increasing demand from AI-powered data centres are creating challenges for the energy transition. He argues the discussion is increasingly shifting from "energy transition" to "energy addition" because overall energy demand continues to grow.
    ⚠️ Modern slavery and supply chain risks are likely to face greater regulatory scrutiny in coming years. Carlsson points to emerging international regulations, particularly in Europe, that could impose stricter due diligence requirements and restrictions on goods linked to forced labour. Companies that fail to understand and monitor their supply chains may face operational, legal and reputational risks.
    ⚠️ Reputational damage can emerge rapidly when supply chain issues become public. Carlsson believes advances in traceability technology mean companies will face increasing expectations to verify where materials and products originate. Organisations that fail to invest in transparency could find themselves exposed as external scrutiny intensifies.
    🌟 Looking ahead, Carlsson expects ESG investing to become more focused on financial materiality. Rather than broad ideological debates, he believes the future of responsible investing will centre on identifying sustainability issues that have direct implications for company performance, risk management and long-term shareholder value. For active managers, this means maintaining a disciplined focus on material ESG factors that influence investment outcomes.
    💡 Why it matters:
    As sustainability disclosure requirements expand and ESG investing continues to evolve, investors face growing pressure to separate meaningful sustainability risks from superficial reporting. Carlsson's approach highlights a broader shift taking place across the investment industry: ESG is increasingly being treated as a tool for risk management and company analysis rather than a standalone investment philosophy. Issues such as supply chain transparency, climate resilience, workforce management and corporate governance are becoming material financial considerations that can influence company valuations and long-term performance. For investors, understanding these factors may prove increasingly important as regulations tighten, stakeholder expectations rise and new technologies expose risks that were previously difficult to detect.
    🎙️ Sources:
    Mans Carlsson, head of ESG and co-portfolio manager, Ausbil Investment Management
    Michelle Baltazar, host, The Greener Way
    ⏱️ Timestamps: 00:00 – Why supply chain transparency is becoming critical
    00:19 – Introduction to Ausbil and ESG investing
    01:14 – Ausbil's investment approach and ESG capability
    02:31 – Proprietary ESG research and company engagement
    03:20 – ESG field trips and responsible sourcing insights
    04:01 – Encouraging companies to adopt best practice
    04:44 – Can AI replace ESG research?
    06:04 – The biggest myths about ESG investing
    07:00 – How ESG factors influence company value
    08:07 – Sustainability reporting and climate disclosure
    09:15 – Climate risk versus emissions reporting
    10:05 – Examples of ESG leaders and laggards
    11:09 – Supply chain traceability and modern slavery
    12:28 – Decarbonisation, AI and energy demand growth
    14:21 – The future of ESG investing
    15:21 – Why financial materiality matters
    15:45 – Modern slavery regulation and supply chain due diligence
    16:14 – The broader benefits of supply chain scrutiny
    16:37 – Final reflections on ESG and responsible investing
    🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

    This podcast uses the following third-party services for analysis:

    OP3 - https://op3.dev/privacy
  • The Greener Way

    Australia's big bet on green steel

    03-08-2026 | 20 Min.
    🌿 How can Australia catch up to the frontrunners in the green steel race?
    ❓ Question: As global demand shifts towards low-carbon industries and clean supply chains, does Australia have a realistic opportunity to move beyond exporting raw materials and become a leader in green steel manufacturing?
    ✅ Answer: According to Tim Buckley, founder and director of Climate Energy Finance, Australia has a once-in-a-generation opportunity to transform its economy by decarbonising the steel supply chain and building domestic green steel manufacturing. While Australia is already the world's largest exporter of iron ore, it captures very little value from processing it. Buckley argues that with the right policy settings, investment frameworks and industrial strategy, Australia can create jobs, strengthen regional economies, reduce emissions and become a major supplier of low-emissions steel in a decarbonising world.
    🌟 One of the report's central themes is that Australia needs to move beyond its traditional "dig and ship" economic model. While unprocessed iron ore remains one of Australia's most valuable exports, Buckley argues that future competitive advantage will come from adding value domestically and supplying trading partners with the low-carbon products they will increasingly require. Decarbonising steelmaking represents one of the largest industrial opportunities globally, and Australia is uniquely positioned due to its iron ore resources and renewable energy potential.
    🌟 Buckley believes the global transition away from fossil fuels is inevitable. The real question is whether Australia benefits from that transition or becomes one of its casualties. As one of the world's largest exporters of fossil fuels, Australia faces significant economic risks if it fails to diversify. Green steel manufacturing offers a pathway to protect export revenues while positioning the country for future growth.
    🌟 Rather than immediately pursuing large-scale export ambitions, Buckley argues Australia should begin by developing domestic low-emissions steel production using electric arc furnaces. These facilities use scrap steel and renewable electricity instead of coal-intensive blast furnaces, significantly reducing emissions while creating local manufacturing capacity. He sees electric arc furnaces as a practical starting point that allows Australia to learn, build expertise and establish supply chains before scaling further.
    🌟 Regional Australia could be one of the biggest beneficiaries of this transformation. Proposed electric arc furnace projects in Western Australia, Queensland and South Australia could create construction jobs, ongoing manufacturing employment and opportunities for associated industries such as recycling and renewable energy generation. Buckley argues that successful energy transition policies must provide replacement industries for coal-dependent communities rather than leaving workers behind.
    🌟 Green steel is also about national resilience and supply chain security. Buckley notes growing concerns across Western economies about overreliance on offshore manufacturing. Developing domestic processing capability would not only create economic opportunities but also strengthen Australia's strategic position by reducing dependence on imported industrial products.
    🚩 One major challenge is the scale of investment required. Climate Energy Finance estimates Australia will need hundreds of billions of dollars of capital to transform its economy. Buckley argues that private capital is available, but governments must provide policy certainty and strategic investment mechanisms that help crowd in private-sector funding and lower project risks.
    🚩 Another challenge involves workforce transition. Communities built around coal mining, coal-fired power generation and other legacy industries face uncertainty as Australia decarbonises. Buckley stresses that political and community support for climate action depends on creating visible pathways into new industries and ensuring future jobs are located in existing regional centres wherever possible.
    ⚠️ Policy settings will play a critical role in determining whether Australia succeeds. Buckley highlights the need for government-backed investment vehicles, stronger carbon pricing signals through mechanisms such as the safeguard mechanism, and clear industrial policies that incentivise low-emissions manufacturing. Without these frameworks, Australia risks missing the opportunity despite its natural advantages.
    ⚠️ Greenwashing is another emerging risk. Buckley argues that as demand grows for low-emissions products, robust verification systems will become increasingly important. Consumers and investors need confidence that products labelled as green steel genuinely meet high environmental standards. This will require independently verified taxonomies and credible reporting frameworks to distinguish genuinely low-emissions steel from marketing claims.
    🌟 Looking ahead, Buckley remains optimistic. He believes Australia has all the ingredients necessary to become a major green steel producer, including renewable energy resources, mineral reserves, skilled workers and growing policy support. The challenge now is moving from discussion to implementation and demonstrating that new industrial projects can be built and scaled successfully.
    💡 Why it matters:
    The shift to a low-carbon economy is reshaping global trade, investment and industrial strategy. For Australia, green steel represents far more than an emissions-reduction initiative. It could become a cornerstone of future economic growth, regional employment and national competitiveness. As countries seek cleaner supply chains and low-emissions industrial products, Australia faces a strategic choice: continue exporting raw materials with limited value-add or build domestic industries that capture more of the economic value generated from its resources. The success or failure of green steel could become one of the defining economic stories of Australia's energy transition.
    🎙️ Sources:
    • Tim Buckley, founder and director, Climate Energy Finance
    • Michelle Baltazar, host, The Greener Way
    ⏱️ Timestamps:
    00:00 – Australia's opportunity in the global steel transition
    00:42 – Introducing Climate Energy Finance and the Arc of Ambition report
    01:18 – Climate, energy and finance: the intersection driving change
    02:00 – The scale of investment needed for Australia's transition
    03:22 – Can Australia mobilise the capital required?
    04:02 – Diversifying beyond dependence on overseas manufacturing
    05:19 – Key findings from the Arc of Ambition report
    06:00 – Why Australia must move beyond exporting raw iron ore
    07:17 – Building a domestic green steel industry
    08:00 – Electric arc furnaces and low-emissions steel production
    09:29 – Regional jobs and a Future Made in Australia
    10:17 – Employment opportunities from green steel manufacturing
    12:17 – Turning former coal regions into industrial hubs
    13:22 – Recycling steel and creating circular economy opportunities
    15:45 – What governments and businesses should do next
    16:19 – Three reforms needed to accelerate green steel
    17:00 – Carbon pricing, safeguards and investment incentives
    18:00 – Why verification and green steel taxonomies matter
    18:41 – Final reflections on Australia's green steel opportunity
    19:12 – Can green steel become a major employer? Yes.
    Link: Arc of ambition report
    🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

    This podcast uses the following third-party services for analysis:

    OP3 - https://op3.dev/privacy
  • The Greener Way

    Greenwashing 2.0: The next big risk

    27-07-2026 | 14 Min.
    🌿 Is greenwashing evolving into a new risk era driven by climate reporting and emissions targets?
    ❓ Question: As climate disclosure becomes mandatory and regulators crack down on misleading environmental claims, is greenwashing becoming less about marketing spin and more about governance, reporting and accountability?
    ✅ Answer: According to Dr Mark Siebentritt, executive director at Edge Impact, greenwashing is entering a new phase. What was once largely viewed as an ethical issue is now a regulatory and governance concern, driven by enforcement action and mandatory climate disclosure requirements. Organisations can no longer rely on broad sustainability claims or aspirational net-zero statements. Instead, they must be able to substantiate their claims with evidence, robust data and credible implementation plans.
    🌟 One of the most significant changes is the shift from voluntary to mandatory climate reporting. Dr Mark Siebentritt notes that sustainability reporting has become deeply embedded in organisational decision-making, particularly within finance, governance and risk functions. Climate-related risks and their financial implications are increasingly being treated as core business issues rather than standalone sustainability concerns.
    🌟 Greenwashing has also moved from being an ethical debate to a regulatory risk. In the past, organisations were primarily challenged by stakeholders questioning environmental claims. Today, companies face potential consequences from regulators if they make claims that cannot be supported by evidence. This shift has elevated greenwashing from a reputational concern to a board-level risk.
    🌟 Directors are paying closer attention because of both financial and reputational implications. According to Dr Mark Siebentritt, discussions around potential regulatory action often resonate strongly in boardrooms because directors have fiduciary responsibilities and need confidence that sustainability claims are supported by reliable data and governance processes.
    🌟 Mandatory climate disclosure reporting is accelerating this trend. More than 6,000 Australian companies are expected to be affected by reporting requirements that include disclosure of climate-related risks and financial impacts, with assurance and auditing requirements increasing over time. Dr Mark Siebentritt describes the changes as among the most significant developments in financial reporting in recent years.
    🚩 One challenge is the compressed timeframe facing organisations. While businesses may previously have developed gradual sustainability roadmaps, climate disclosure requirements and greenwashing regulations are now converging. Companies are under pressure to strengthen governance, reporting systems and evidence frameworks much sooner than many originally anticipated.
    🚩 Another challenge relates to artificial intelligence. While AI can help organisations process large and complex datasets, identify patterns and improve reporting efficiency, Dr Mark Siebentritt warns that businesses cannot rely on technology alone. Climate risks remain real-world challenges that require informed judgement, credible analysis and high-quality information. AI-generated outputs that lack accuracy or real-world validation could create significant governance risks.
    🌟 AI nevertheless presents important opportunities. Used appropriately, it can support the analysis of vast climate datasets, help uncover trends and strengthen reporting processes. However, organisations must ensure the resulting disclosures are based on robust evidence if they are to meet expectations for investment-grade reporting.
    ⚠️ Looking ahead, Dr Mark Siebentritt believes one of the biggest emerging greenwashing risks involves emissions-reduction targets. Organisations are increasingly required to disclose targets and explain how they intend to achieve them. This means broad declarations about achieving net zero or carbon neutrality are no longer sufficient without supporting evidence and realistic implementation pathways.
    ⚠️ He describes this as a potential "Greenwashing 2.0" challenge. The future risk may not be false marketing claims but rather targets that lack credible plans, achievable pathways or practical actions. Companies will need to demonstrate not only what they aim to achieve, but also how they will deliver measurable outcomes over time. For multinational organisations in particular, global commitments will need to be translated into credible local strategies and actions.
    💡 Why it matters:
    The sustainability landscape is rapidly maturing. As climate reporting requirements expand and regulatory scrutiny intensifies, organisations face growing expectations around transparency, evidence and accountability. Sustainability claims are no longer judged solely by what companies say, but increasingly by the quality of their data, governance and execution. The next generation of greenwashing risk may centre on ambitious climate promises that cannot be realistically delivered. For boards, executives and investors, the challenge will be ensuring environmental commitments are supported by credible plans, measurable actions and robust disclosure frameworks.
    🎙️ Sources:
    Dr Mark Siebentritt, executive director, Edge Impact
    Michelle Baltazar, host, The Greener Way
    ⏱️ Timestamps:
    00:00 – Greenwashing meets mandatory climate disclosure
    01:24 – How Edge Impact's work has evolved
    02:49 – Sustainability moves into finance, governance and risk teams
    03:30 – The evolution of greenwashing from ethics to regulation
    04:33 – Why boards are paying closer attention
    06:16 – The impact of mandatory climate reporting
    08:00 – Can AI accelerate climate disclosure reporting?
    09:00 – The limits of AI and investment-grade reporting
    10:35 – The emerging greenwashing risk nobody is talking about
    11:00 – Why emissions targets now require evidence and action plans
    12:07 – Greenwashing 2.0: From false claims to false targets
    13:01 – Final reflections on regulation and accountability
    🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

    This podcast uses the following third-party services for analysis:

    OP3 - https://op3.dev/privacy
  • The Greener Way

    The 1% solution

    20-07-2026 | 19 Min.
    🌿 Can committing just 1% of revenue help businesses drive meaningful environmental impact?
    ❓ Question: Can a relatively small commitment of 1% of annual revenue create measurable environmental outcomes, strengthen business performance and help companies embed sustainability into their long-term strategy?
    ✅ Answer: According to Kate Williams, chief executive officer of 1% for the Planet, the answer is yes – provided businesses treat environmental giving as a core operational expense rather than a discretionary donation. The organisation encourages members to commit at least 1% of annual revenue, not profits, to vetted environmental causes every year, regardless of business conditions. This approach is designed to integrate environmental responsibility directly into corporate strategy, planning and financial decision-making.
    Founded in 2002, 1% for the Planet connects businesses with environmental partners across four key impact areas: just economies, resilient communities, rights to nature, and conservation and restoration. Member companies can direct their contributions according to their own sustainability priorities, while the organisation verifies and certifies their commitments.
    🌟 One of the key insights from the discussion is why the 1% figure has endured for almost 25 years. Williams explains that 1% is both psychologically accessible and financially meaningful. It feels achievable for most organisations, yet when applied to annual revenue rather than profit, it becomes a substantial long-term commitment that can fund significant environmental initiatives.
    🌟 The strongest area of support among members is resilient communities, which accounts for roughly 40% of certified contributions. Williams says this reflects growing recognition that environmental issues are fundamentally linked to people and communities. Businesses increasingly want their sustainability efforts to deliver both environmental and social outcomes, particularly as climate impacts become more visible.
    🌟 Climate-related causes are receiving increasing attention. Climate adaptation attracted approximately $25 million in certified giving during 2025, representing around 22% of all contributions certified by the organisation. Renewable energy funding also experienced significant year-on-year growth, highlighting the increasing focus companies are placing on climate solutions.
    🚩 One challenge is maintaining sustainability commitments during periods of economic pressure. Businesses globally are dealing with cost-of-living pressures, margin compression and uncertain economic conditions. In these environments, environmental spending can be perceived as an additional cost rather than a strategic investment.
    🚩 Another challenge is demonstrating commercial value. Williams notes that organisations must be able to link environmental commitments to tangible business outcomes such as customer loyalty, brand differentiation, talent attraction and employee retention. Without a compelling business case, sustainability initiatives may struggle to gain long-term support from leadership teams and stakeholders.
    🌟 To address these concerns, 1% for the Planet emphasises flexibility. Companies can contribute through cash donations, products or professional services. For example, a marketing agency may provide pro bono services to a non-profit partner, allowing businesses to maintain commitments even in years when cash budgets are constrained.
    🌟 Williams also highlights the long-term strategic view. She argues that business viability ultimately depends on a healthy environment and functioning communities. Framing sustainability investments through this lens helps organisations move beyond short-term financial pressures and focus on long-term resilience and value creation.
    ⚠️ Looking ahead, one area of opportunity is the technology sector. Despite technology companies often generating significant revenues and strong margins, Williams says the sector remains underrepresented within the organisation's membership. She sees substantial potential for technology firms to play a larger role in funding environmental initiatives as stakeholder expectations continue to evolve.
    ⚠️ The organisation is also continuing to invest in its global community of members. Through events, peer networks and ongoing support, businesses can share ideas, refine their giving strategies and learn from others facing similar sustainability challenges. According to Williams, participation is designed to be an evolving journey rather than a one-off commitment.
    💡 Why it matters:
    As sustainability expectations expand beyond emissions reductions and reporting requirements, businesses are increasingly being asked what direct contribution they are making to environmental and social outcomes. Models such as 1% for the Planet aim to move environmental responsibility from the margins of corporate strategy into core business operations. By linking environmental giving to revenue rather than profits, organisations can create more predictable and accountable funding streams while potentially strengthening customer relationships, employee engagement and long-term business resilience.
    🎙️ Sources:
    • Kate Williams, chief executive officer, 1% for the Planet
    • Michelle Baltazar, host, The Greener Way

    ⏱️ Timestamps:
    00:00 – Why 1% of revenue became the benchmark
    01:30 – How 1% for the Planet works
    03:10 – The rationale behind revenue-based giving
    05:00 – Trends in environmental funding and impact areas
    06:00 – Why resilient communities receive the most support
    07:00 – Climate adaptation and renewable energy funding growth
    09:00 – Maintaining commitments during economic pressure
    10:00 – The business case for environmental giving
    12:00 – Flexible contribution models and in-kind giving
    13:00 – Opportunities in the technology sector
    15:20 – How businesses can join 1% for the Planet
    16:20 – Community-building and member support
    Link: https://www.onepercentfortheplanet.org/
    🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

    This podcast uses the following third-party services for analysis:

    OP3 - https://op3.dev/privacy
Meer Investeren podcasts
Over The Greener Way
The Greener Way is your podcast for exploring the big environmental, social and governance questions. Each week, The Greener Way will focus on deep conversations with investment and corporate experts who are deeply engaged in managing the sustainability challenges facing our planet. From climate change to biodiversity, human rights and modern slavery to corporate purpose and governance, we tackle head-on the nuances and trade-offs of our complicated world. The Greener Way is the podcast of FS Sustainability, the premier weekly trade publication that covers how investors and companies are changing real world outcomes across environmental, social and governance issues. This podcast uses the following third-party services for analysis: OP3 - https://op3.dev/privacy
Podcast website

Luister naar The Greener Way, Voorkennis | Beleggers Belangen en vele andere podcasts van over de hele wereld met de radio.net-app

Ontvang de gratis radio.net app

  • Zenders en podcasts om te bookmarken
  • Streamen via Wi-Fi of Bluetooth
  • Ondersteunt Carplay & Android Auto
  • Veel andere app-functies