Even if you are not sensitive to the latest financial trends, you have heard terms of SDGs or ESG so many times recently.
In Japan, the Corporate Governance Code of Tokyo Stock Exchange was revised in 2021 to oblige the listed companies in the Tokyo Stock Exchange Prime to disclose TCFD (Task-Force Climate-related Financial Disclosure) or its equivalent standards. TCFD is primarily for dealing with climate change. This also means that the growing number of people have been concerned with the environmental change.
In 2023, Financial Service Agency of Japan amended the Comprehensive Supervisory Guideline for Financial Instruments Business Operators regarding ESG Investment Trusts to deal with Greenwashing that their actual investments may not be commensurate with such ESG claims. In that guideline, it’s newly stipulated that “Where an investment trust which has been set up before the end of March 2023 includes ESG-related terms in its name or nickname although it is not categorized as ESG investment trusts, that its delivery prospectus clearly states that it is not an ESG investment trust.” So, FSA is keen to the name of the product including its nickname.
Previously, one of the typical environmental issues was environmental pollution such as water pollution, air pollution, and so forth. While it’s a different story lately. Especially for the listed companies and financial institutions, new environmental matters like SDGs or ESG have huge impact on their business.
Other companies are also dealing with those environmental issues as well. Almost all of the companies have been related to environmental topics. Even though it’s IT company, it has to deal with energy consumption or supply matter. Even though it’s cost, some companies are trying to use energy generated by clean energy technology rather than fossil fuels.
Since late 2022, Meiji Jingu Gaien has been exposed on media for its new re-development. Some of citizen groups are using SNS and other media to increase their exposure to stop the re-development. There are many topics in this issue but one of the primary issues is cutting or re-allocating ginkgo roadside trees which are over 100 years old.
Those development have to deal with not only government authorities but also citizen residing around the site. The developers need to negotiate and persuade those citizens who have different thoughts on the re-development.
Japanese lawyers could support you in case that you are facing that kind of situations.
While not many corporate lawyers are keen to the environmental issues since corporate lawyers have not dealt with environmental matters for a while before SDGs or ESG concepts have got the current spot.
Hattori Law’s lawyer attends the annual conference of the Globalisation of Investment Funds held by International Bar Association in New York. He also belongs to Environmental Preservation Committee to catch up the latest environmental topics.
If you have any consultation about business and environment, please kindly feel free to contact us.
Hattori Law
Contact Us: https://www.hrtlawfirm.com/contact-us/
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