ESG in 5 Sustainability News - 20-10-2026

19 hours ago

3 min read

This week’s ESG in 5 covers a new fashion industry coalition tackling textile waste, European clean energy investment, California’s corporate climate reporting rules, declining female representation on US company boards and growing commitments to nature-related financial disclosures.

Fashion brands join forces to tackle textile waste.

Adidas, H&M Group, Inditex and Bestseller have joined forces with The Or Foundation to launch the Apparel Recovery Coalition, a two-year initiative aimed at improving the management of unwanted clothing exported overseas.

The coalition will initially focus on Ghana’s Kantamanto Market, where approximately 25 million second-hand garments are traded each month. Between 2026 and 2027, the participating brands plan to provide voluntary funding for textile reuse, recycling, infrastructure improvements and environmental clean-up. The initiative will also explore how manufacturers can take greater responsibility for clothing after it has been sold and exported. A second demonstration project is planned in another country, although funding amounts and measurable outcomes have yet to be confirmed.

L&G and NTR raise €330m for European clean energy.

Legal & General and renewable energy investor NTR have secured €330 million in commitments for their new Clean Power Transition IV Fund, targeting renewable energy and infrastructure supporting electrification across Europe.

The fund has already completed three acquisitions, including a battery storage project in Finland, a clean power development platform in Sweden and a combined solar and battery storage project in Ireland. Unlike its predecessor, the new fund will also target electricity grids and infrastructure needed to support greater use of electricity in transport, heating and industry. The investment commitments come as European policymakers seek to attract more private capital into energy infrastructure, although future financial returns and environmental outcomes remain uncertain.

California confirms deadline for corporate climate reporting.

California has finalised regulations requiring thousands of large companies operating in the state to begin reporting their greenhouse gas emissions, confirming 10th November 2026 as the first submission deadline.

Under the requirements, businesses with annual revenues exceeding $1 billion must initially disclose direct emissions from their operations and indirect emissions from purchased energy, known as Scope 1 and Scope 2. Reporting of wider supply-chain emissions will follow in subsequent years. A separate requirement covering climate-related financial risks remains suspended following a legal challenge. The measures will affect major companies headquartered across the United States, potentially giving investors more consistent information about corporate emissions and exposure to climate-related risks.

Women lose ground on major US company boards.

Women’s representation on the boards of major US companies has declined for the first time in more than a decade, according to research from 50/50 Women on Boards and corporate data provider Equilar.

Women held 29.2% of board seats across Russell 3000 companies in the second quarter of 2026, down from 30.1% a year earlier. Of the 2,440 new board appointments made during the reporting period, just 22.7% went to women, compared with 29.1% the previous year. Although the proportion of gender-balanced boards remained stable at 13.5%, the findings suggest progress has weakened. Board composition remains an important governance consideration for investors assessing company leadership, succession planning and diversity.

More than 800 organisations commit to nature reporting.

The Taskforce on Nature-related Financial Disclosures (TNFD) has announced that 836 organisations across 57 countries have committed to reporting their impacts and dependencies on nature, representing a 14% increase since November 2025.

The commitments include financial institutions managing more than $26 trillion in assets and listed companies worth over $10.5 trillion. The TNFD has also updated its guidance to help businesses assess risks associated with biodiversity loss, water use and ecosystem degradation. Its framework is intended to help investors understand how environmental changes could affect business operations and financial performance. However, commitments to adopt the framework do not necessarily mean organisations have completed their disclosures or addressed the risks identified.