In many cases, when a practice or activity is referred to as ‘sustainable business’, it is meant that it does not disturb or harm the local environment in any way. Furthering the cause of sustainable business in Europe we now have the ESG taxonomy, which is a term used to refer to a set of practices and regulations that make a true effort to define sustainability, and allow businesses to properly assess whether (and how) their activities harm the environment in any way. The ESG taxonomy describes a range of different approaches and technologies that aim to improve the well-being of people or communities, or particular species.

What is Sustainability Under the ESG Taxonomy?

For many, the term ‘sustainability‘ in this context refers to the ability of the local economic environment to provide people with jobs and income. However, the ESG taxonomy does not apply this definition, instead looking at sustainability from a purely environmental point of view. There are many ways that a practice or activity can be sustainable as defined by the ESG taxonomy. One way they might do this is by undertaking practices like carbon offsetting, or by making sure that they source their power from only renewable sources, use less polluting delivery vehicles, or even other delivery methods entirely, and so on.

Why do we need the ESG Taxonomy?

Initiatives such as the ESG taxonomy act a way for the EU to ensure certain industries and groups of businesses are complying with their obligations under the European Green Deal. The ESG taxonomy is needed because it provides clear definitions of what can be considered sustainable, who needs to be undertaking such practices and how they should be reporting on them, as well as a framework for them to do so.

It is, of course, also the case that many of the people living in a particular community are likely to be affected by certain types of business activity. This is particularly the case if that community is located in certain climates, and the ESG taxonomy seeks to protect them too, since it does consider things like carbon emissions as part of it’s scope.

The ESG taxonomy and the term ‘sustainable business‘ are not merely being used as a tool to force businesses to change or to afford European government more insight and power in this area – rather it exists so that said government can do all it can to ensure that environmental issues are managed for the benefit of the worldwide business community as a whole, and indeed, the planet and everyone on it in the long run.

Concerning Natural Resources & Conservation

Obviously, any society that wishes to have continued access to resources must be prepared to bear the associated costs. This is perhaps the most difficult problem that faces us as a species. How can we find the resources necessary to carry out such an undertaking without upsetting the delicate ecosystems that exist within our world?

Fortunately, the answer seems to be that we have a responsibility to ourselves to conserve, and do so in a way that will both preserve the resources we have saved and also allow access to these resources for future generations.

This seems to fit in well with our human nature as a species. It is only in this way that we can find the resources to develop further, while at the same time allowing access for those who wish to develop further – all within the principles of sustainable development.

It is for this reason that some people have preferred to form groups to help carry out this task. There are various groups within various organisations in Europe that are endeavouring to assist in promoting sustainable business and conserving our natural resources and the ESG Taxonomy helps them to do that. There are some groups and organisations which are based at a higher level of organisation and others at a lower level, but the overall theme that emerges is that we need many people working together to solve this great challenge that we all face.