Meaghan Carmody
Senior Adviser, Business in the Community Ireland
Irish businesses must act on environmental, social and governance (ESG) to stay competitive. Climate and nature risks demand credible transition plans. Discover how the Accelerate Pact supports resilient, responsible corporate action.
The ‘Overton Window’ refers to the range of ideas seen as politically acceptable. Lately, the Trump administration has tried to shift this window by labelling ESG efforts as extreme. In truth, ESG is a practical, risk-aware response to growing global instability.
Companies’ ESG responsibility
Irish businesses are not immune from corporate short-sightedness on the part of governments around the world. Many are subsidiaries of American parent companies and directly affected by US policy shifts. Efforts to limit how companies assess or disclose ESG risks — especially those linked to climate and nature — undermine their ability to operate competitively and responsibly in today’s global market.
Safeguarding business through climate action
Every business relies on a stable climate and intact ecosystems — such as pollination, clean water, carbon storage and temperature regulation — to function. These ecosystem services aren’t luxuries; they’re the foundation of economic resilience. However, we now face annual record-breaking temperatures, carbon dioxide levels at an 800,000-year high (World Meteorological Organisation, 2025) and we have lost a staggering three quarters of the wildlife that existed in the early 1970s (Living Planet Report, 2024).
Not responding to this risk is gambling on a business’s future. The World Economic Forum’s 2025 Global Risks Report identified climate breakdown and biodiversity loss as the top two risks to global business. Last year, it warned that companies unprepared for the low-carbon transition could incur up to half of the financial losses they faced due to Covid-19. In fact, corporate earnings are projected to fall by 7% by 2035 due to climate-related risks (World Economic Forum, 2024). Businesses that proactively address climate and nature risks aren’t gambling — they’re safeguarding long-term viability.
Since 2018, more than 60 medium
and large companies in Ireland
have committed to cutting emissions.
Creating robust, actionable and credible plans
Irish-based businesses need support to hold their ESG course through this geopolitical storm because when clear skies return, those who stayed the course will be the ones still standing.
To support action for impact, Business in the Community Ireland has launched Accelerate: The Business Pact for Climate and Nature. It is a collective corporate climate campaign encouraging our members to develop Climate Transition Plans to move towards net zero. These plans are still emergent but becoming more common globally.
However, quality remains inconsistent, and too many omit critical elements like supply chain impact, nature or just transition principles. That’s why we are building a Centre of Excellence, providing training, tools and collaborative spaces for problem-solving, so our members can create robust, actionable and credible plans.
Benefits of commitment to climate leadership
At Business in the Community Ireland, we’ve seen first-hand how Irish businesses are stepping up. Since 2018, more than 60 medium and large companies in Ireland have committed to cutting emissions in line with the Paris Agreement’s 1.5°C threshold, via our Low Carbon Pledge (BITCI, 2024). This marks a major shift in climate leadership.
However, similar to national policy, the private sector faces a widening ‘implementation gap’ between ambition and delivery. Closing this gap represents a steep uphill climb.
The complexity of global supply chains means that collaboration across companies, sectors and borders will be key. The potential benefits — increased talent pool, cost savings, regulatory readiness — are enormous. Grabbing those opportunities now isn’t risky. It’s just good business.
