Consumers are watching corporations more than ever and identifying statements about environmental practices that may not be accurate", reports sus-tainability expert Dr Carolyn Fortuna, writing in CleanTechnica. They are using the legal system to hold companies accountable. Governments and investors are questioning the accuracy of some corporate environmental disclosures for zero emissions. Stakeholders are no longer blindly endorsing corporate claims about grand ways they are addressing environmental concerns. Instead, they are increasingly unpacking distinctions between what companies disclose and what they actually do, to the point where discrepancies are forming the basis of ESG (Environmental, Social, and Governance) lawsuits seeking redress.Last year there was a very large increase in investor demand for ESG-related and ESG-driven portfolios. These three categories embody comfortable areas for socially responsible individuals to direct their investments because these stocks or funds incorporate their values and concerns rather than merely seeking to increase profitability at any cost. Publically listed hydropower companies should recognize this driver when setting and undertaking their own ESG goals.A key challenge for market participants in 2022 is to manage ESG growth in a way that combats rising concerns about 'greenwashing', when a company says it is environmentally conscious for marketing purposes, but actually is not making adequate, actionable sustainability efforts. Companies may be using disclosures and sustainability-related labels on products and services as a marketing tool, for example, to appear more proactive on those issues than they truly are.
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