Deloitte to expand sustainability, climate services as regulations mount

Consulting firm aims to help businesses transform their sustainability

Amid an evolving ESG regulatory landscape in the US and Europe, Deloitte is injecting $1bn into its global sustainability and climate practice, the firm announced Wednesday.

Through that investment, the company is “assembling one of the largest global networks of sustainability experience,” with funding going toward “client-related services, data-driven research, and assets and capabilities,” it said in the announcement.

The consulting giant aims to help clients improve the sustainability of their businesses and aid in disclosure and regulatory requirements. Part of that includes the launch of the Deloitte Center for Sustainable Progress, which will collaborate with academics, business groups, and policy and governmental organizations, Deloitte said. That network “will focus on holistic, results-oriented thought leadership, data driven analysis, and accountability reporting to guide organizations through their sustainability journeys.”

In the US, public companies are facing increasing pressure from shareholders to measure, report and find ways to rein in greenhouse gas emissions. Shareholders have also been lobbying much more for other environmental and human rights causes.

That trend is accompanied by a rule proposed by the Securities and Exchange Commission that would require many public companies to measure and report their climate risks, including comprehensive Scope 3 emissions, which cover carbon in a business’s value chains. Along with that, the proposed rule would require verification for Scope 1 and 2 emissions data by independent third parties.