Nanjing has seen a new development toward becoming a pioneer city of ESG (Environment, Social, Governance) investment. On February 21, more than 20 CEO-level executives of global fortune 500 enterprises and ESG industry experts from home and abroad gathered in Nanjing for the Nanjing Wuxiang ESG Sustainable Forum to offer their advice on sustainable investment.
The forum on ESG investment aimed to offer a platform for stakeholders to share experiences of “dual carbon” development, exchange views on sustainable enterprise development, and further explore new investment paths. It also intended to bring together elite investors, broaden new investment opportunities, and promote Nanjing as a pioneer city of ESG investment.
Practicing ESG investment philosophy and forming sustainable development advantages
In recent years, as part of its drive to become a pioneer city of ESG investment, Nanjing has deepened its implementation of ESG investment concepts, practicing the path of sustainable development and creating a distinct ESG service brand. As China furthers its dual carbon development, Nanjing has already laid the groundwork for ESG investment, ushering in a sustainable development model, attracting green industry projects, bringing in valuable resources, and unleashing clear investment potential.
According to an official from Nanjing Municipal Investment Promotion Bureau, Nanjing has set up the first dual carbon-industry venture capital organization in the Yangtze River Delta region – the Yangtze River Delta Carbon Neutral Industry Innovation Investment Alliance. Furthermore, Nanjing has been selected as one of the first “waste-free cities” in the 14th Five-Year Plan period.
In recent years, Nanjing has performed exceptionally at attracting green industries. Sinopec Carbon Industry Technology Co., Ltd., China’s first carbon-industry chain technology company, has successfully set up operations in the city. Ford Motor Research and Engineering (Nanjing) Co., Ltd. has also been upgraded to a Ford Product Development Center. A 100-billion-level emerging industry cluster led by LG Energy Solution has also been gradually built, with enterprises in the cluster already operating. China Huaneng Group is building the “China Energy Valley” in Nanjing, which is expected to gather over 100 leading energy companies, forming an industry cluster worth over RMB 100 billion and driving the energy transformation.
It is also understood that High Tide Capital has set up a carbon neutrality fund totaling RMB 4 billion in Nanjing. It will provide a deep well of resources, with non-petrochemical energy, energy storage technology, new energy vehicles, and new technologies for energy conservation, emission reduction, and decarbonization as key targets for investment.
Interpreting ESG Industry Reports as Nanjing’s competitiveness indicators released
The Nanjing Wuxiang ESG Sustainable Forum drew more than 20 executives from global fortune 500 enterprises, including Ford Motor, LG Energy Solution, SAS, Bosch China, and Gaw Capital, to discuss green development in Nanjing.
At the Forum, MSCI, a global provider of support tools and services for investment decision-making, gave a breakdown of the 2023 ESG and Climate Trends Outlook Report. MSCI’s Head of ESG Research for Asia Pacific, Xiaoshu Wang, said the report has drawn on research from MSCI ESG analysts worldwide. It covers 32 core themes concerning ESG and climate investment trends, explaining how current global macroeconomic and climate risks will affect ESG and climate investments in 2023. The growing range of new ESG and climate issues will increase the consideration of financial risk for companies and institutional investors (e.g., pension funds, sovereign wealth funds, endowments, and asset managers).
Jones Lang LaSalle summarized and released the “Top 10 ESG Core Competitiveness Indicators for Investing in Nanjing”, which demonstrate Nanjing’s wealth of advantages in the ESG investment field. The Indicators point out that Nanjing’s ESG development resources are at a leading level nationwide. In particular, in areas such as urban environmental quality, natural biodiversity, green finance, science and education innovation, talent cultivation, healthcare protection, smart city construction, government efficiency, resource interoperability, and low-carbon industry clusters, Nanjing stands out, being able to provide strong support for enterprises looking to improve their ESG ratings.
The forum also provided an exchange and cooperation platform for global fortune 500 enterprises, cutting-edge industry organizations, government departments, and scientific research institutions, aiding key enterprises in carrying out green development resource integration in Nanjing and continuing to transform the city’s appeal among leading enterprises into fresh investment.
Launching an ESG Sustainable Investment Initiative together and continuing to build a pioneer city
At the forum, the organizer joined hands with leading companies and institutions in the industry that adhere to the concept of dual carbon development to issue the “Nanjing Wuxiang ‘·Practice ESG Sustainable Investment’” initiative, the first green investment initiative initiated by a local government in China.
The initiative proposes conducting a comprehensive study in line with international development trends, highlighting Nanjing’s characteristics based on its strengths in ESG development, exploring the city’s investment advantages, attracting major ESG projects, and amassing high-quality resources for green and sustainable development.
Conscious of ESG investment concepts, initiators will focus on the win-win goal of economic development and environmental protection, adhere to the path of sustainable development, and accelerate the green transformation of the industrial structure for sustainable regional development.
Yajin Wang, Professor of Marketing at China Europe International Business School and Research Area Director of ESG, gave a keynote speech on “The Status and Development of ESG”. In the subsequent round table discussion session, representatives of the Top 500 entrepreneurs all gave keynote speeches in support of Nanjing building a pioneering city for ESG investment.
The Nanjing Wuxiang ESG Sustainable Investment Forum was sponsored by the Nanjing Municipal Investment Promotion Bureau and Lishui District People’s Government, co-organized by the Lishui District Investment Promotion Bureau and Naked Group, co-sponsored by the Yangtze River Delta Carbon Neutral Industry Innovation and Investment Alliance and Sina, with active participation from the Nanjing Municipal Ecological Environment Bureau, Municipal Local Financial Supervision Bureau, and other government departments. The forum will be held regularly in the future as a brand event, enabling the city to continue gathering development resources for ESG investment.
