Tackling environmental justice and taking steps toward a sustainable future can no longer be siloed into separate conversations. In fact, environmental justice (EJ) plays a pivotal role in corporate sustainability programs. Holistic approaches which include environmental justice are able to optimize cost, risk management, and climate resilience both for employees and neighboring communities.
Increasingly, companies are required to address environmental justice considerations and assess the resulting socioeconomic impacts of decarbonization efforts when accessing various forms of public climate funding.
For example, in the United States, landmark legislation such as the Inflation Reduction Act (IRA) and Infrastructure Investment and Jobs Act (IIJA) mandated the Justice40 initiative, ensuring that at least 40% of the overall climate and social benefits of federal investments flow directly to disadvantaged communities (DACs). Critically, for applicants to access either funding pool, they must detail actionable and measurable efforts to equitably engage communities and labor, advance DEIA, and invest in the domestic workforce. In response, companies are beginning to integrate community perspectives within technical decarbonization project life cycles, from strategy development to implementation.
Similarly, Europe’s mandatory ESG Reporting Standard, the Corporate Sustainability Reporting Directive, will require subject companies to disclose impacts of business activities on environmental, social, human rights, and governance considerations. This follows a growing global sentiment to action climate solutions which benefit those who are disproportionately affected.
Partnered with KraftHeinz to create a Community Benefits Plan (CBP) for 10 U.S. plants. We identified opportunities for local community engagement and recommended strategies to reduce air pollution, lower energy burdens, and promote job creation and climate education.
Developed an R&D Community Benefits Plan for a battery recycling nonprofit and submitted for the DOE Battery Manufacturing and Recycling Grant. These recommendations were informed by consultations with community groups and focused on enhancing DEIA, energy equity, and workforce development.
Engaged with a state government to integrate environmental justice strategies for equitable hydrogen adoption. Considerations spanned economic development, health, job creation, education, and equity, prioritizing benefits for historically disadvantaged communities and mitigating potential negative impacts connected to the local hydrogen transition.
Conducted rigorous evaluation of environmental justice and human rights considerations for reduction and removal projects (both nature-based and engineering). Robust nature-based reduction and removal projects offer positive socio-economic benefits to local communities.
Developed a roadmap for electrifying an expanding school district fleet by prioritizing EV placements in disadvantaged and low-income communities. We engaged the local school district and communities to assess needs and design new routes that optimized convergence.
At ENGIE Impact, we partner with companies, governments, and other organizations to advance both environmental sustainability and social equity through decarbonization efforts and Net Zero strategies. Our approach to decarbonization aims to holistically integrate the opportunities, expectations and regulations around environmental justice.
Get in touch with our sustainability consultants to establish an environmental justice strategy for energy and decarbonization.
