Sustainability
Nations make new pledges to cut methane, save forests at climate summit

Source: Reuters
GLASGOW, Nov 2 (Reuters) – Leaders at the COP26 global climate conference pledged on Tuesday to stop deforestation by the end of the decade and cut emissions of the potent greenhouse gas methane to help slow climate change.
On the second day of the two-week summit in Glasgow, Scotland, wealthy nations took some overdue actions to provide long-promised financial help for the developing countries worst hit by global warming.
The United Nations conference aims to keep alive a receding target of capping temperatures at 1.5 degrees Celsius (2.7 Fahrenheit) above pre-industrial levels, to avert still greater damage than has already been caused by greenhouse gases.
British Prime Minister Boris Johnson, host of the event attended by almost 200 countries, said he welcomed the latest steps but urged caution.
“We must take care to guard against false hope and not to think in any way that the job is done, because it is not. There is still a very long way to go,” he told a news conference.
More than 100 countries joined a U.S.- and EU-led effort to cut emissions of methane 30% by 2030 from 2020 levels, potentially a step in stemming the overheating of the planet.
U.S. President Joe Biden chided Chinese President Xi Jinping for his decision not to attend in person.
“It’s been a big mistake, quite frankly, for China – with respect to China not showing up,” Biden said at a news conference.
“The rest of the world is gonna look to China and say what value added are they providing? And they’ve lost the ability to influence people around the world and all the people here at COP, the same way I would argue with regard to Russia.”
China said Xi had not been given an opportunity to deliver a video address, and had to send a written response instead. Xi offered no additional pledges.
China was represented in Glasgow by its chief climate negotiator Xie Zhenhua, who said in remarks to reporters on Tuesday that “five years were wasted” because Biden’s predecessor Donald Trump pulled the United States out of the Paris Agreement and it was time to “work harder and catch up”. read more
MOST AT RISK
Leaders of developing countries most at risk from the effects of climate change, such as heatwaves, droughts, storms and flooding, told delegates the stakes could not be higher.
“Let’s work for the survival of ours and all species. Let’s not choose extinction,” said Trinidad and Tobago Prime Minister Keith Rowley.
The Global Methane Pledge, launched on Tuesday after being announced in September with just a few signatories, now covers countries representing nearly half of global methane emissions and 70% of global GDP, Biden said.
Methane is more short-lived in the atmosphere than carbon dioxide but 80 times more potent in warming the planet. Cutting emissions of the gas, estimated to have accounted for 30% of global warming since pre-industrial times, is one of the most effective ways of slowing climate change.
Among the signatories is Brazil – one of the five biggest emitters of methane, generated in cows’ digestive systems, in landfill waste and in oil and gas production. Three others – China, Russia and India – have not signed up, while Australia has said it will not back the pledge.
The United States also unveiled its own domestic proposal to crack down with a focus on the oil and gas sector, where leaky infrastructure allows methane to escape into the atmosphere. read more
LOST FORESTS
More than 100 national leaders also signed a promise to halt the destruction of the world’s forests which absorb roughly 30% of carbon dioxide emissions, according to the nonprofit World Resources Institute.
In 2020, the world lost 258,000 sq km (100,000 sq miles) of forest – an area larger than the United Kingdom, according to WRI’s Global Forest Watch. The conservation charity WWF estimates that 27 football fields of forest are lost every minute.
The pledge to halt and reverse deforestation and land degradation by the end of the decade is underpinned by $19 billion in public and private funds to be invested in protecting and restoring forests. read more
The signatories again include Brazil, which has carried out soaring deforestation under right-wing President Jair Bolsonaro, Indonesia and the Democratic Republic of Congo. Together they account for 85% of the world’s forests.
Under the agreement, 12 countries pledged to provide $12 billion of public funding between 2021 and 2025 for developing countries to restore degraded land and tackle wildfires.
At least $7.2 billion will come from private sector investors representing $8.7 trillion in assets under management, who also pledged to stop investing in activities linked to deforestation such as cattle, palm oil and soybean farming and pulp production.
‘DOUBLE STANDARDS’
The funding may help reduce mistrust among developing countries caused by the failure of wealthy nations to deliver on a 2009 promise to stump up $100 billion per year by 2020 to help them tackle climate change.
This mistrust is one of the main obstacles to climate progress, making some developing countries reluctant to embrace steep emission cuts.
“We see double standards creeping into our thinking, whereby those who have already benefitted from carbon-driven economies would like to prevent emerging economies laying similar foundations for their political stability, social development and economic prosperity,” Suriname President Chan Santokhi said.
On Tuesday, Japan said it would offer up to $10 billion over five years in additional assistance to support decarbonisation in Asia.
U.S. climate envoy John Kerry said this could leverage another $8 billion from the World Bank and other sources, probably allowing the $100 billion threshold of climate financing to be reached by 2022, rather than 2023 as previously expected.
In another deal signed on Tuesday, Britain and India launched a plan to improve connections between the world’s electricity power grids to help accelerate the transition to greener energy. read more
But there was scant sign of shared resolve by the world’s two biggest carbon polluters, China and the United States, which together account for more than 40% of global emissions but are at odds on numerous issues.
Biden has singled out China and leading oil producer Russia for failing to step up their climate goals in Glasgow, while Beijing has rejected Washington’s efforts to separate climate issues from their wider disagreements.
The Communist Party-run Global Times said in an editorial on Monday that Washington’s attitude had made it “impossible for China to see any potential to have fair negotiation amid the tensions”.
Reporting by Kate Abnett in Brussels, Valerie Volcovici in Washington; Jake Spring, Simon Jessop, William James and Ilze Filks in Glasgow; David Stanway, Josh Horwitz and Yew Lun Tian; Writing by Kevin Liffey and Gavin Jones; Editing by Janet Lawrence, Barbara Lewis and Grant McCool
Our Standards: The Thomson Reuters Trust Principles.
You may like
Business
Future-proofing financial services investment

Source: Finance Derivative
Adrian Ah-Chin-Kow, Global Commercial Director at leading software escrow company, Escode, discusses how the financial services sector can prepare for the increasing investment ahead of the government’s industrial growth strategy, Invest 2035, ensuring resilience against technological risks.
The UK’s proposed Invest 2035 strategy sets a bold vision: to elevate the UK as a global leader in high-growth sectors. Financial services are at the heart of this roadmap, tasked with driving innovation, sustainability, and competitiveness. But as we look towards the future, it’s critical that the sector strikes a careful balance between embracing strategic investments and maintaining operational resilience in the face of an increasingly complex technological risk landscape.
The digital transformation currently underway in financial services is set to accelerate even further as organisations adopt new technologies like artificial intelligence, blockchain, and cloud computing. These innovations hold immense potential for growth and efficiency, but they also introduce new layers of vulnerability. For financial services to thrive in this environment, firms need to ensure their technology infrastructure is resilient, reliable, and capable of withstanding disruption.
Growing risks in a digital-first world
As government and industry push forward with initiatives to digitise the financial services ecosystem, the sector is becoming more dependent on technology than ever before. With this reliance comes the inevitable rise of new risks—risks that can threaten operations, customer trust, and even the stability of markets.
We’ve seen first-hand the consequences of technology disruptions in this space. When key software providers experience outages or security breaches, the ripple effect can be significant, disrupting not just the companies involved but entire networks of financial institutions that depend on those systems. The impacts of such disruptions, particularly in a sector where reliability is paramount, can extend beyond the immediate downtime, eroding investor confidence and creating long-term reputational damage.
In a world that is becoming more interconnected by the day, it’s crucial that financial services organisations are prepared for these challenges. Protecting against technology failures and ensuring business continuity must be top priorities for any firm that wants to remain competitive in the years to come.
Operational resilience: The foundation of future growth
The ability to withstand and recover from disruption is at the core of what will define successful financial services firms in the future. Operational resilience is no longer just a regulatory requirement—it’s a business imperative that builds trust with investors, customers, and stakeholders. The strategies needed to build this resilience are varied, but there are a few critical components every organisation should consider.
- Software Escrow: As financial institutions increasingly depend on digital tools, software escrow becomes a fundamental safeguard. We know how crucial escrow agreements are for protecting access to essential tools. If a provider fails or encounters insolvency, escrow ensures that critical software and intellectual property (IP) are held securely by a third party, ready to be released to the firm. In a sector where continuous access to technology is crucial, this arrangement offers peace of mind, ensuring core operations are protected from unexpected interruptions.
- Stress-testing and Business Continuity: Regular stress-testing and comprehensive business continuity plans are essential components of any resilience strategy. By simulating disruptions, firms can identify weaknesses in their operations and put in place measures to address them. Continuity planning ensures that businesses can continue to operate, even under extreme circumstances, helping to mitigate the impacts of unanticipated events and minimise disruption to clients and markets.
- Collaborative Resilience Standards: The interconnectivity of today’s financial ecosystem demands industry-wide standards. We’ve seen collaboration across both the private sector and with government initiatives become increasingly important. The UK’s Invest 2035 strategy offers an excellent foundation for fostering these partnerships, helping to establish resilience as a shared priority across the sector. We’re already seeing frameworks like the EU’s Digital Operational Resilience Act (DORA) lead the way in embedding resilience into the financial services supply chain. This kind of regulatory guidance helps institutions understand how to manage risks effectively, reducing overreliance on third-party providers and ensuring that firms can respond quickly to disruptions.
Collectively, these strategies reinforce the importance of being proactive rather than reactive when it comes to risk management. Operational resilience isn’t just about surviving the next crisis—it’s about building a foundation for long-term stability and growth in a rapidly changing environment.
Resilience as the key to securing Invest 2035
As we move towards Invest 2035, operational resilience will be the cornerstone of success. The financial services sector plays a pivotal role in driving economic growth and innovation, and its ability to adapt and respond to disruption will be key to maintaining the UK’s competitiveness on the global stage.
Embracing proactive resilience measures is the key to future success. By incorporating solutions like software escrow, stress-testing, and government-backed collaboration into their operational strategies, financial institutions can secure the UK’s position as a competitive, reliable investment hub.
Looking to the future, the ability to navigate these risks while maintaining operational integrity will determine whether financial services can continue to be the engine of economic growth in the UK. With the right safeguards in place, the sector can not only meet the goals of Invest 2035 but also build a reputation as a safe and dependable destination for global investment.
Business
How retailers can improve sustainability during peak returns season

By Inge Bujakiewicz ‑ Baars, Head of Sustainability, Security, and Quality at ReBound Returns
In recent years, a significant trend has emerged for retailers: the rising rate of returns. Although retail sales hit their peak between Black Friday sales and Christmas gift shopping, the peak for returning items lags well into January, when the extended returns windows for Christmas gifting closes.
The growing volume of returns brings a hidden environmental cost. This is not only from a logistical point of view, with carbon emissions from transporting items back to warehouses, but also for product wastage if the returned products aren’t able to be resold to another customer.
This challenge is even more pronounced when items are being shipped and returned internationally. Fortunately, there are a number of ways that retailers can manage returns sustainably during high-volume periods.
Local sorting and grading
A highly effective way to reduce the carbon footprint of returns is through the localised sorting and grading of items. Instead of returned items being sent to their original warehouse or a central hub, they can instead be assessed closer to their return location. This cuts down on emissions associated with unnecessary transport as it reduces the need for long trips back to the item’s starting location.
This localised sorting enables retailers to quickly determine the condition of returned products to understand whether they are in a resellable condition or not. Items that are deemed suitable to be resold can be reintroduced into the local market faster, reducing overstock and waste. Items that aren’t able to be immediately resold can then be locally repaired or reconditioned ready to be returned to stock; or donated or recycled nearby.
This localised approach to returns processing reduces transport emissions and also minimises product wastage. It also enables customers to be refunded quickly as the items are checked much faster.
Returns forecasting
Capturing data throughout the returns process is crucial for operational efficiency, accurate product distribution, and customer communication. It is also a key tool enabling the accurate forecasting of returns volumes, and in particular can help retailers to factor low-emission transport solutions into their plans.
For example, rail freight options can be more eco-friendly than truck transport, emitting less CO2. However, rail transport typically requires more planning due to its infrastructure and scheduling restrictions, so proactivity is vital.
By forecasting return volumes, retailers can prioritise more eco-friendly returns logistics options during peak periods. The insight can also be used to optimise the space in transport vehicles, planning fuller loads and avoiding any empty spaces to cut down on unnecessary trips. This approach has the added benefit of also ensuring that returns are processed efficiently without any delays or bottlenecks, leading to a better experience for the end consumer too.
Optimising pre-stocking and inventory management
Returns data isn’t just useful for returns logistics, it’s also a valuable resource for inventory management. It allows brands to better anticipate the volume and type of items likely to be returned, in what volume, and when. The data can then be used to leveraged to pre-stock items in the right quantities whilst correctly anticipating future returns.
This pre-stocking approach based on returns data insight reduces the risk of overstocking, which could lead to wastage further down the line if items aren’t sold. The ability to predict returns in advance means returned goods can be factored in as part of the broader stock rather than a separate logistical challenge, keeping inventory levels sustainable.
Prioritising high-demand items in regional hubs
During peak sales and return seasons, more items will inevitably be returned. Retailers need to identify fast-moving, high-demand items through data analytics. Rather than these items being sent back to central warehouses or their original sale point, they can be retained at regional returns hubs. This ensures they can be quickly returned to stock and be made readily available for resale or redistribution.
This reduces the need for long-distance transport, cutting down on emissions, as well as the time it takes to get the product back in stock and into the hands of a new customer. By using returns data to identify which items are most likely to be resold quickly, brands can streamline their logistics and keep high-demand items closer to potential buyers.
The sustainability of retail returns, especially during peak seasons when volumes of sales and returns soar, is expected to be a key focus for retailers in 2025. Although the environmental impact can be significant, it is not insurmountable, and there are a number of strategies that brands can implement, especially when assisted by expert returns management partners, such as ReBound Returns. By addressing these key areas, retailers can navigate peak return periods with a reduced environmental impact, whilst improving agility and operational efficiency.
Business
How businesses can adopt good Environmental, Social, and Governance (ESG) practices and the benefits of doing so

Source: Finance Derivative
The business and financial services community has witnessed the rise of sustainability in the last decade. Companies small and large have taken on ESG. In fact, 95 percent of the 250 largest companies worldwide report on corporate sustainability activities.
Meeting societal, environmental, economic and future generation needs – the four pillars of sustainable development – is now critical for businesses to succeed. So, what are the benefits of committing to sustainability, and how can the financial sector do so?
The benefits of committing to sustainability
There are three main reasons why businesses pursue sustainability goals: revenue and cost optimization, risk management, and brand and reputation management. But a fourth reason is becoming just as prevalent – the retention and engagement of top talent.
- Revenue and cost optimization
Businesses are naturally aiming to keep costs low and revenues high, and it is possible to achieve both objectives through certain approaches to sustainability. If an organisation can reduce its water and energy usage, then its water and energy bills will also be lower. When we reduce our waste, the cost of having this waste removed or processed also reduces. Similarly, by considering if products or services tick the following boxes, it’s possible to cultivate more innovative solutions and new business models that add value for both society and businesses:
- last for future generations?
- create social cohesion?
- protect the environment?
- contribute towards economic wellbeing?
- Risk management
Before the word “sustainability” came into widespread use, the word “risk” encompassed many sustainability considerations. Identifying and mitigating social and environmental risks helps reduce litigation, compliance costs, and the need for pollution cleanup. Companies can avoid the expensive costs associated with lawsuits by following ethical standards in the labour supply chain, using cradle-to-cradle principles in manufacturing, and more.
- Brand and reputation management
The jury is in regarding consumer concern for sustainability. A good image goes a long way. Sustainable companies are better able to maintain brand loyalty. 46 percent of consumers are buying more sustainable products as a way to reduce their impact on the environment, according to a 2024 survey.
- Employee retention and performance
Not only have customers shown a concern for people and the planet, but employees have as well – over two-thirds of staff want to work for a company that is trying to have a positive impact on the world. Companies can attract and retain talent by showing that sustainability is integral to their business model, by attaching bonuses and financial rewards to sustainability results, and by creating opportunities for employees to engage in the issues. If sustainability isn’t visible in a company, employees are more likely to leave, as one-third of employees have resigned from their jobs because they felt the efforts by their company to tackle environmental and social challenges were insufficient.
Sustainability tips for professionals in the financial services sector
There are numerous initiatives to render the financial services industry more sustainable. Long-term institutional investors such as pension funds and insurance companies are increasingly seeing the potential for minimising ESG risks and gaining from ESG opportunities by building green and socially responsible portfolios.
Similarly, commercial and retail banks are increasingly bringing ESG considerations into lending policies and in designing sustainable financial products. Depository banks such as Climate First Bank in the United States and fintech neobanks such as Green Got in France are laser focused on supporting a just ecological transition. Amid global crises, the COVID-19 pandemic and resultant economic challenges, climate finance has continued to grow in an upward trend (Figure 1). In 2022, it reached USD 1.46tn according to the Climate Policy Initiative, showing resilience and growth despite heightened levels of inflation and global conflicts.

There are even sustainability aims for stock exchanges. For example, the Sustainable Stock Exchanges (SSE) is an initiative aimed at exploring how exchanges can work together with investors, regulators, and companies to enhance corporate transparency (and ultimately performance) on ESG issues and encourage responsible long-term approaches to investment. In April of this year, China’s three major stock exchanges (Shanghai, Shenzhen, and Beijing) issued new guidance mandating sustainability reporting for larger listed entities. The guidelines adopt a “double materiality” approach, addressing both financial and societal impacts of companies’ activities. The guidelines cover: climate change, social responsibilities, governance, and supply chain management, and are largely aligned with global frameworks like the Global Reporting Initiative (GRI) Standards. The initiative aims to integrate sustainability into business strategies while easing compliance for companies operating across multiple jurisdictions. Here are 5 practical tips for professionals in this sector:
- Use frameworks to gauge sustainability progress, including the SURF Framework (Supply Chain, User, Relationships and Future Generations).
- Join professional networks, including dedicated Slack groups such as these, that address sustainable business and finance.
- Attend conferences that address sustainable finance and business.
- Read and contribute to ESG investment publications.
- Adhere to sustainable finance, investing, and accounting standards, frameworks, and guidelines, such as:
- Due Diligence 2.0 Commitment
- The Global Reporting Initiative (GRI)
- The Principles for Responsible Banking (PRB)
- The Principles for Responsible Investment (PRI)
- The Greenhouse Gas Protocol (GHGP)
- The Partnership for Carbon Accounting Financials (PCAF)
- The Equator Principles
- The Private Equity Council’s Guidelines for Responsible Investment
- Taskforce on Inequality-related Financial Disclosures (TIFD)
1 Climate Policy Initiative, Global Landscape of Climate Finance 2024. Retrieved: 26 November 2024. Available from: https://www.climatepolicyinitiative.org/publication/global-landscape-of-climate-finance-2024/.
Marilyn Waite is the author of Sustainability at Work: Careers That Make a Difference. Marilyn has worked across four continents in low carbon energy, climate modeling, and investment. She currently leads the Climate Finance Fund and teaches ESG Strategies at Sciences Po and other universities across the globe. Find out more at marilynwaite.com.

Empowering banks to protect consumers: The impact of the APP Fraud mandate

After the tax deadline: Next steps for accountancy firms

Future-proofing financial services investment

Future-proofing the workforce for AI innovations with continuous learning

Stealthy Malware: How Does it Work and How Should Enterprises Mitigate It?
