Environmental, social and governance (ESG)

Stakeholders demand credible, verifiable, and comparable ESG metrics for informed decision-making.

Our Services:

• ESG Reporting. We help you prepare high-quality ESG reports based on regulatory requirements.
• Sustainability Rports. We help you publish transparent and informative sustainability reports focusing on the most material topics, for example in alignment with the Global Reporting Initiative GRI, Sustainability Accounting Standards Board SASB, International Sustainability Standards Board's ISSB, Dow Jones Sustainability Indices DJSI, Task Force on Climate-Related Financial Disclosures TCFD, and CDP reporting frameworks and initiatives as well as EU-level regulation on sustainability reporting and materiality assessments such as Corporate Sustainability Reporting Directive CSRD, and the Sustainable Finance Disclosure Regulation SFDR.
• Fulfilling Requirements.  We support with understanding and fulfilling CSRD, ESRS, EU Taxonomy, TCFD, and TNFD requirements.
• Managing ESG Data. We help your organization to Collect, analyze, and manage ESG data using digital solutions.
• Reporting Operating Model. We help you to develop a reporting operating model which also considers the reporting services model, people, and financials in addition to data and system aspects.
• Assurance & Maturity Assessments. Provide test assurance and, when ready, limited or reasonable assurance on disclosures.

Integrating ESG into business strategy is key to driving growth, resilience, and compliance. Companies that embed ESG into their operations strengthen competitiveness while meeting stakeholder expectations.

At KPMG, we help organizations define, implement, and transform their ESG strategies through:

Setting Direction

• ESG Maturity & Materiality Assessments. Benchmark sustainability performance, identify key risks, and prioritize ESG efforts.
• Vision & Target Setting. Define measurable ESG goals for long-term success.
• Governance & Strategy Development. Build strong structures to ensure ESG integration across operations.

Implementation & Transformation

• Process Integration & Action Plans. Embed ESG into core business functions and drive decarbonization, circular economy, and biodiversity strategies.
• Regulatory Compliance & Risk Management. Navigate ESG regulations, supply chain risks, and human rights due diligence.
• Data, Reporting & Sustainable Finance. Strengthen ESG tracking, reporting, and financing strategies.

Through data-driven ESG integration, we help businesses turn sustainability into a competitive advantage, ensuring long-term success in an evolving market.

Sustainability has become a key consideration in transactions (M&A, IPO, re-financing). KPMG helps you integrate ESG into your deals along the entire transaction cycle.

• Deal Strategy. Align your M&A strategy with target’s ESG strategy — identifying gaps or innovation requirements.
• Buy-side ESG Due Diligence. Create your ESG Due Diligence framework and ESG risk approach. Conduct ESG DD to identify and analyze material ESG issues and their potential impact on deal value.
• Acquisition Decision. Integrate ESG-related findings into negotiations (SPA - Sale and purchase agreement) and bid price.
• Integration / post-acquisition phase. Include ESG factors in the integration principles tailored to the acquisition rationale.
• Sell-side ESG Documentation. Prepare sell-side report, or an ESG-driven commercial equity story in the Investor Memorandum which proactively addresses potential ESG-related concerns or highlights areas of opportunity.

Climate change and biodiversity depletion are among the most pressing global issues, driving economic transformation and fundamental changes in business models. Businesses are increasingly committed to reaching net-zero emissions and reducing their environmental impacts, preparing for a low-carbon future in response to stakeholder demands for accountability.

Our Services:

• Assess and manage climate and nature-related risks.
• Decarbonization Strategy and Implementation
• Climate Policy and Incentives Advisory
• Provide guidance on low-carbon investments and deals

The Corporate Sustainability Reporting Directive (CSRD) drives alignment of financial and ESG reporting in terms of auditability, contents, and timing. Sustainability reporting in accordance with the CSRD and assurance thereof will gradually become mandatory.

Sustainability reporting under the CSRD must be prepared and assured in the same time frame as the financial statements, with the assurance report signed by the company's financial auditor. We deliver CSRD related services to our audit clients with a combination of ESG advisory and financial audit expertise. Examples include commenting on your double materiality assessment and CSRD gap analysis and performing (test) assurance.

We can also assist you for example, partly as an element of the financial audit, as follows:

• Going through the Financial Supervisory Authority’s questions on CSRD preparedness together with your contact persons.
• Commenting on your plans and actions for being CSRD ready.
• Planning for assurance and how it will be implemented in practice including preparatory measures, scope, and schedule.
• Performing limited assurance, and later reasonable assurance, on your reporting under the CSRD.

Accurate, scalable ESG data is critical for companies navigating compliance, strategy, and impact measurement. As ESG reporting grows more complex—covering entire value chains, regulatory requirements, and stakeholder expectations—organizations need robust data solutions and technology to stay ahead.

• ESG tax governance, transparency, and benchmarking
• EU Green Deal advisory on tax and regulatory matters (e.g. Carbon Border Adjustment Mechanism)
• EU incentives, subsidies, and grants applications
• Environmental taxes (e.g. plastic taxes)
  
• International fair tax advisory (e.g. BEPS 2.0 and country-by-country reporting)

• Managing ESG legal risks and litigation
• ESG regulatory monitoring
• Inclusive and sustainable work 
  
• ESG-driven rewarding programs
• Legal due diligence
• Real estate development and environmental compliance

Traditional 'take, make, waste' production methods are unsustainable. To address challenges like climate change, resource scarcity, and a growing population, we must shift from linear consumption to a circular approach.

Businesses are adopting circular economy models to meet regulatory requirements and create sustainable growth opportunities, enhancing efficiency, profitability, innovation, and stakeholder relationships.

Supply chains contribute to significant climate and social risks, including energy use, waste, biodiversity loss, emissions, and human rights abuses. Achieving net-zero targets and the UN’s Sustainable Development Goals requires transforming these supply chains to foster a fair and equal society.

As stakeholder pressure increases, business leaders are examining their supply chains through an ESG lens. However, without the right technology, data insights, and expertise, companies struggle to meet ESG goals, risking stakeholder skepticism, reputational harm, and financial impacts. The EU Corporate Sustainability Due Diligence Directive (CSDDD) requires companies to identify, prevent, and mitigate adverse impacts on human rights and the environment throughout their entire supply chain.

KPMG offers solutions to enhance the sustainability of your operations:

• Supply Chain Risks. We help you monitor, manage, and report on ESG-related issues, providing a clearer picture of your supply chain risks. Our supply chain and procurement teams help you monitor, manage, and report on ESG-related issues, providing a clearer picture of your supply chain risks
• Supply Chain Transformation. We assist in transforming your supply chain to be more ethical, sustainable, and transparent, enabling informed buying decisions, better supplier collaboration, and accountability for your environmental footprint.

Systemic inequality poses risks to productivity, economic stability, and business operations. As economic uncertainty and climate-related events fuel social unrest, businesses must take action to mitigate inequality while recognizing the ‘S’ in ESG as an opportunity for positive change.

We help businesses integrate social equity into their ESG strategy through:

• Social Strategy & Governance. Build fair and inclusive business models aligned with ESG regulations.
• Measurement & Transparency. Establish robust metrics to ensure accountability and stakeholder trust.
• Implementation & Impact. Develop ESG initiatives that promote equity, improve operations, and enhance long-term value.

By aligning social, environmental, and governance pillars, we support businesses in navigating a rapidly evolving ESG landscape—helping them better serve employees, customers, and communities.

Strong governance is essential for driving environmental and social responsibility while ensuring compliance and accountability. As businesses navigate evolving regulations, boards and management must proactively address ESG oversight challenges, from risk management and data protection to board competence and shareholder rights. We help organizations build robust governance frameworks through strategic oversight, risk and compliance management, and leadership development, enabling better decision-making, transparency, and long-term sustainability.

We help organizations build robust governance frameworks that support their ESG strategies through:

• Governance Strategy & Oversight. Strengthen governance structures to align with ESG objectives and regulatory demands.
• Risk & Compliance Management. Implement safeguards against data breaches, regulatory risks, and financial exposures.
• Board Competence & Leadership. Ensure boards and leadership teams have the expertise to drive ESG initiatives effectively.

Financial market participants are increasingly integrating ESG factors into their policies, processes, and finance decisions.

Our Services:

• Investment & Asset Management. ESG in investment strategy, reporting, assurance, risk, due diligence, and tax.
• Insurance. ESG solutions in product development, underwriting, reinsurance, asset management, distribution, claims, climate modeling, data, risk management, and culture.
• Banking. ESG rules and structures to embed ESG in risk frameworks, meet net zero commitments, fulfill regulatory expectations, and achieve a just transition.
• Private Equity. ESG-based value creation, managing ESG impact in funds, and transforming funds to meet investor and regulatory demands.
• Public Finance. Sourcing public finance for green projects and incorporating private finance.
• Corporate Finance. Understanding ESG expectations, achieving and disclosing ESG performance, responding to ESG ratings, designing sustainable financing frameworks, benefiting from sustainable finance products, and managing investor and lender relations