The subject of ESG has been topical in these past couple of years. ESG stands for Environmental, Social, and Governance. It can be defined as a framework that measures an entity’s operations and performance by exploring ethical and sustainability metrics. It is a yardstick that is used to determine whether or not an entity conducts its business responsibly. In other words, ESG explores how sustainably or not an entity fulfills its operations. There is much to discuss on ESG, but today, let us look at Econet Wireless Zimbabwe And EcoCash Holdings Zimbabwe Limited.
How ESG Reporting & Independent Assurance Works
First off, let us get this out of the way. Entities are encouraged to conduct their operations sustainably. In doing so, they are expected to collect and report certain information. It is that information and other aspects that are then assessed. If everything is found to be above board, this enables an entity to get what is called independent assurance on their ESG information. Getting to that point can often be done by a consultancy firm.
Econet Wireless Zimbabwe And EcoCash Holdings Zimbabwe Limited – First Companies To Get Independent Assurance On ESG In Zimbabwe
Econet Wireless Zimbabwe And EcoCash Holdings Zimbabwe Limited Joint Statement
The two entities issued a joint statement, part of which read as follows:
We are proud to have obtained independent assurance on our ESG information. This is a testament to our commitment to transparency and accountability. Benefits their stakeholders’ trust, an reporting is essential for building trust with our stakeholders and contributing to a more sustainable future.
Remarks By An African Corporate Governance Expert
Jane Kariuki, an African Corporate Governance expert, also had this to say:
By adhering to internationally recognized reporting standards, Econet and EcoCash Holdings have set an exemplary precedent for businesses in Zimbabwe and beyond. This milestone benefits their stakeholders’ trust and encourages the wider business community to prioritize sustainability, contribute to societal development, and strive for a more sustainable future.
Econet and EcoCash Holdings’ independent assurance on their ESG information was done by Toxiconsol Consultancy, also known as African Sustainability Consultants. This is a premier consultancy firm that deals with environmental sustainability. Their role was to review Econet and EcoCash Holdings’ ESG reporting. They also reviewed their findings. African Sustainability Consultants found Econet and EcoCash Holdings’ ESG framework and reporting to be complete, fair, and accurate.
Why Independent Assurance On ESG Information Is A Big Deal
Times are changing; certain things are increasingly becoming more critical. For any business venture, there are three core groupings: customers,, investors, and stakeholders. These groups are leaning more towards specific preferences in this day and age. One such choice is associating more or only with companies or businesses that prioritize environmental sustainability. Nowadays, some investors will mainstream but only invest in your entity if you have a solid ESG framework. If you are to participate in the global economy, you have to start taking ESG seriously. To give you an idea, let us discuss some basics of ESG.
An Overview Of What ESG Entails
We have already established that ESG stands for Environmental, Social, and Governance. That means that three main aspects are being explored. The environmental element, e.g., surrounding communities, customers, and staff, explores how an entity’s operations impact the environment. This is for issues such as greenhouse gas emissions and waste management. The social aspect looks at how their opera affects people worldwide, e.g., by attracting surrounding communities, customers, and staff. Some of the issues here are equality and diversity. The governance aspect explores how the entity is governed. This pertains to issues such as company or organizational policies and leadership diversity.
Interesting Prospects To Explore On ESG In Zimbabwe
For those with companies, businesses, or startups, it is high time you start taking ESG seriously. There is no question about the doors that can open for you. There are potential investors right now keen to invest in ESG-conscious enterprises. Thus there are vast opportunities in that. Then, there are prospects regarding ESG consultancy. Just to let you know, we talked about how African Sustainability Consultants did the independent assurance on ESG for Econet and EcoCash Holdings. Please think of how much they were paid to carry out that assignment.
You can explore starting an ESG consultancy firm in Zimbabwe. The services you offer will likely be increasingly sought after moving forward. Econet and EcoCash Holdings have led and opened the way; others will follow suit. There is money to be made there, so could you take some time to look into it? For instance, you can choose to serve the small to medium enterprises market. The prospects are inexhaustible.
That is what we can focus on regarding ESG today. Congratulations to Econet and EcoCash Holdings for this ground-breaking milestone. We now wait to see more and more entities taking the same path. The collective benefits of more and more entities prioritizing ESG in Zimbabwe are much needed.