Legislation and business action drive sustainability in APAC: survey

APAC sustainability experts emphasise the need for innovative business models and purpose-driven leadership.

APAC sustainability experts have identified legislation and business action as the key drivers propelling the sustainability agenda forward, according to the latest research from GlobeScan and ERM’s SustainAbility Institute.

The research highlights the increasing importance of leadership that goes beyond mere compliance, emphasising the need for innovative business models centred around sustainability. 

According to the report, legislative actions, such as the Inflation Reduction Act (IRA) and the European Union's Green Deal, have played a pivotal role in shaping the sustainability landscape, according to 25% of global respondents. Additionally, the standardisation of sustainability-related disclosures, the COP15 biodiversity framework, and business initiatives were recognized as significant developments over the past 12 months.

The survey also revealed that sustainability experts are seeking tangible evidence of positive impacts, aspirational goals, and a genuine sense of purpose from companies. This highlights the importance of taking ambitious approaches to sustainability in the face of mounting regulatory pressures and disclosure requirements.

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In the Asia-Pacific region, sustainability leaders consider legislation and business action toward sustainability (14%) as the most significant positive development. Following closely behind are sustainability disclosure standards (11%) and advancements in renewables and carbon-related initiatives (10%).

The survey noted that integrating sustainability into business models and strategies ranked as the most crucial factor driving corporate sustainability leadership, mirroring the views of counterparts in Europe, North America, and Latin America. Meanwhile, demonstrating evidence of impact and action scored and setting ambitious targets were also identified as key elements of sustainability leadership.

Climate change remains the most pressing challenge, with 93% of sustainability experts highlighting its urgency. Deforestation, included in the survey for the first time in 2023, emerged as one of the top five most urgent issues (86%). Biodiversity loss (86%), water scarcity (86%), and poverty (80%) were consistently ranked as high-priority concerns over the past five years.