ESG Radio: The climate crisis and market failures

Welcome to ESG Radio with Sasja Beslik, who delves into the latest developments in the world of Environmental, Social, and Governance (ESG) matters. Currently, only 10% of carbon emissions are taxed adequately, reflecting the true cost of carbon. The majority of businesses and organizations worldwide continue to externalize the environmental costs, resulting in a market system that fails to incentivize meaningful change.In this episode, we explore the significant events that have unfolded in the past week: the climate crisis and market failuresa transition plan for a fossil fuel-free future from UAE?extreme weather events in Europe and the implications debate and regulation in the EUAmidst the current landscape, it is crucial to reevaluate our understanding of materiality in corporate investments and ESG practices. Many companies projected for growth fail to address their emissions adequately, highlighting a misalignment between financial targets and climate goals. The cost base driving these industries does not accurately reflect the environmental impact. To address these concerns, a new approach called True Materiality has emerged, challenging conventional wisdom and calling for a more comprehensive assessment of risks and opportunities. In future episodes, we will explore this approach further and invite experts to discuss its implications.