Community Housing Industry Association
Standardised tool shapes the first environmental, social and governance reporting standard for Australian community housing.
SGS worked with Community Housing Industry Association (CHIA) to develop a standard tool for measuring, managing, reporting and interpreting community impact generated by the Australian community housing sector. The result is the first edition of the Environmental, Social and Governance (ESG) Reporting Standard for Australian community housing developed for and by the sector.
In recent times, lenders and investors across the globe have placed greater emphasis on investments that offer not only sound commercial returns but also positive environmental, social, and governance outcomes. As a result, the community housing sector must now meet specific requirements to attract institutional investment. This includes delivering appropriate risk-adjusted returns while positively impacting sustainability, improving people's lives and livelihoods, creating liveable spaces, and contributing to productive economies.
The ESG Reporting Standard:
- Expands and diversifies available funding sources
- Provides access to financial benefits: lower borrowing costs and favourable loan covenants
- Helps the sector to consistently and credibly report on the social and environmental impact it creates
ESG standards are a crucial component of responsible investment practices that prioritise the wellbeing of people. By requiring consideration of social impact, diversity and inclusion, and labour standards, among other factors, ESG standards help to create liveable spaces while contributing to productive economies.
Incorporating ESG standards into investment decisions has demonstrated numerous positive outcomes, including long-term financial returns and improved risk management. Prioritising ESG standards has become an integral component of responsible investment practices, aligning with the evolving expectations of stakeholders and society at large. Using the Standard enhances financial performance whilst contributing to a sustainable future.
More information on the ESG Reporting Standard can be found on CHIA's website.
