Stay informed on the latest sustainability developments with this monthly update, covering pivotal shifts in environmental policy, energy efficiency, and regulatory frameworks.
Across Europe, policymakers are recalibrating timelines and relaxing environmental requirements to balance climate goals with economic pressures, from postponing key directives to easing farm and auto emissions standards. Meanwhile, Africa is advancing bold initiatives in green building, ESG integration, and regional energy harmonization, while grappling with funding disputes and environmental vulnerabilities. In Asia and Latin America, countries are tightening sustainability reporting and fostering clean energy and circular economies, often led by indigenous leadership. Globally, momentum is building for more unified action, as seen in groundbreaking international shipping regulations and evolving frameworks in Australia.
EUROPE
Adoption of the “Stop-the-Clock” directive
On April 14, 2025, the Council of the European Union formally approved the “Stop-the-Clock” Directive, postponing the application of the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD). This delay aims to provide companies with additional time to prepare for compliance and to allow for further refinement of the directives. Once published in the Official Journal, the directive takes effect immediately, and Member States must transpose it into national law by 31 December 2025.
Ecodesign for Sustainable Products Regulation (ESPR) working plan
On the 16th of April European Commission released the first working plan under the Ecodesign for Sustainable Products Regulation (ESPR), covering 2025-2030, which builds on the success of previous ecodesign and energy labelling frameworks that have already achieved significant energy savings and emissions reductions. The plan prioritizes textiles/apparel, furniture, tyres, mattresses, iron and steel, and aluminum products, along with horizontal requirements for repairability and recycled content, while carrying forward 16 energy-related products from previous plans. Key enablers include international collaboration, digital product passports for increased transparency, consumer-friendly labeling, and green public procurement to develop sustainable product markets. Implementation success depends on effective market surveillance through collaboration with Member States, with the overall goal of reducing products’ environmental impact while enabling free movement of sustainable goods in the EU’s internal market, representing over €1 trillion in annual sales.
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Relaxation of car emissions targets
The European Parliament approved a measure allowing automakers to average CO₂ emissions over 2025–2027, easing immediate compliance pressures. This decision aims to provide flexibility amid challenges in electric vehicle adoption.
Investor feedback on disclosure regulations
The European Fund and Asset Management Association (EFAMA) cautioned against excessive reductions in sustainability disclosure requirements, emphasizing the need for essential data to assess environmental and human rights risks.
Easing of environmental conditions in farming subsidies
The European Commission has indeed proposed easing environmental rules tied to farming subsidies under the Common Agricultural Policy. The Commission presented a proposal specifically aimed at relaxing environmental stipulations associated with agricultural subsidies. This proposal comes as a direct response to widespread farmer protests across European Union member states over several months, with demonstrators expressing concerns about EU regulations and low-cost imports.
The same source confirms that the subsidies under the Common Agricultural Policy amount to approximately €387 billion, representing about one-third of the EU’s budget for the 2021-2027 period. The Commission has indicated that the proposed changes could potentially save farmers up to €158 billion annually while also reducing on-site farm inspections to just once per year
EU to ease green rules on farm aid subsidies – DW – 05/14/2025
New German government’s ESG and supply chain initiatives
The newly formed German coalition government of CDU/CSU and SPD plans to abolish the German Supply Chain Due Diligence Act and replace it with a new law transposing the EU’s Corporate Sustainability Due Diligence Directive, aiming to reduce bureaucratic burdens while maintaining responsibility standards. The coalition remains committed to achieving climate neutrality by 2045 through emissions trading systems, CO2 capture technologies, and hydrogen economy development, while opposing the EU’s Deforestation Regulation. Additionally, the government emphasizes voluntary environmental measures and resource efficiency, supporting European critical raw materials extraction and processing projects.
Significant reforms to environmental regulations in the UK
The UK Government announced key policy updates in April 2025, including a £45 million investment in agricultural innovation to enhance sustainable farming practices. Environmental regulation reforms were introduced to simplify compliance processes, alongside a ban on single-use vapes to reduce plastic waste and environmental harm. Significant investments in clean energy technologies, such as fusion, hydrogen, and carbon capture, aim to accelerate progress toward net-zero emissions. Parliamentary committees are scrutinizing these environmental and energy strategies to ensure alignment with national climate goals. Concurrently, All-Party Parliamentary Groups are advancing discussions on achieving net-zero targets, particularly in decarbonizing transport systems.
AFRICA
South Africa: Net Zero Building certification
The Green Building Council South Africa (GBCSA) has launched a Net Zero Certification scheme. This program rewards building projects that achieve net-zero environmental impacts in categories such as carbon emissions, water usage, waste management, and ecological preservation. The certification aims to promote sustainable building practices across the country
RAERESA: harmonizing energy regulations
The Regional Association of Energy Regulators for Eastern and Southern Africa (RAERESA) works to harmonize energy policies and regulations among member states. By promoting cooperation in energy trade and investment, RAERESA aims to facilitate the development of a sustainable and competitive energy market in the region.
Africa CDC introduces ESG policy
The Africa Centres for Disease Control and Prevention (Africa CDC) has released a new Environmental, Social, and Governance (ESG) policy. This strategic framework aims to embed sustainability, social justice, and ethical governance across all Africa CDC activities, including internal operations, partnerships, and programmatic work throughout the continent. The policy addresses challenges such as climate-induced vulnerabilities and social inequities, emphasizing the importance of integrating ESG principles into public health leadership
https://africacdc.org/download/environmental-social-and-governance-policy-february-2025
EU Deforestation regulation impacts Sub-Saharan Africa
The European Union’s new regulation mandates that products imported into or exported from the EU must be free from deforestation and comply fully with the legal frameworks of their country of origin. This regulation significantly affects Sub-Saharan African countries, many of which are leading exporters of commodities targeted by the policy. The regulation underscores the importance of sustainable forest management and biodiversity conservation in trade practices.
https://thecommonwealth.org/news/blog-sustainable-trade-crossroads-sub-saharan-africa-and-eudr
Science, Technology, and Innovation roadmaps for sustainable development
The Joint Research Centre (JRC) has developed a methodology for designing Science, Technology, and Innovation (STI) roadmaps to advance sustainable development in Sub-Saharan Africa. These roadmaps aim to stimulate economic growth, improve social welfare, and promote environmental sustainability through a participatory, evidence-based approach that considers local contexts and stakeholder perspectives.
Wastewater Surveillance initiative in Southern Africa
The Wastewater Surveillance for Africa Initiative, launched in 2024, continues to strengthen systems for wastewater and environmental surveillance across the African region. From April 8 to 10, 2025, representatives from 16 African countries convened in Johannesburg to identify priorities for wastewater management and build synergies between sectors. The workshop, organized by UNEP, WHO, and SADC, aims to scale up targeted solutions and mobilize investment for sustainable wastewater management in Africa
Central Africa’s environmental restoration fund dispute
Six Central African nations expected to receive $5-10 billion in foreign exchange from oil companies’ environmental restoration funds by April 30, but industry sources indicate they may receive less than $500 million. The Bank of Central African States (BEAC) introduced rules in 2018 requiring these funds to be held in BEAC-controlled accounts to strengthen depleted hard-currency reserves across Cameroon, Gabon, Chad, Equatorial Guinea, Central African Republic, and Republic of Congo. Negotiations remain deadlocked over several issues, including BEAC’s refusal to waive sovereign immunity, which prevents court decisions against it from being enforced. U.S. Republican lawmakers have introduced legislation critical of the Central African Economic and Monetary Community’s stance, threatening to block IMF support for the region. If implemented, these new foreign exchange rules could cause the region to lose an estimated $45 billion in investment by 2050, representing a 54% decline from baseline projections.
South Africa enforces recycled plastic regulations
South Africa has implemented stringent environmental regulations mandating that companies use 75% recycled plastic by 2025 and achieve 100% usage by 2027. Non-compliance could result in penalties, including fines up to $265,000
.https://www.thecooldown.com/green-business/plastic-legislation-south-africa-companies-sap
West Africa Food System resilience programme advances
The West Africa Food System Resilience Programme (FSRP) continues to strengthen food system risk management and improve the sustainability of the agricultural base in the region. Participating countries are implementing measures to enhance food security and adapt to climate change impacts.
https://en.wikipedia.org/wiki/West_Africa_Food_System_Resilience_Programme
South Africa’s climate change act implementation
South Africa has commenced the phased implementation of its Climate Change Act, 2024. This legislation provides a comprehensive framework for the country’s transition to a low-carbon and climate-resilient economy. Key provisions include mandatory alignment of government policies with national climate commitments and the development of sectoral emissions targets and carbon budgets.
South Africa’s Climate Change Act: A gradual rollout – Lexology
Pan-African Parliament advances sustainable soil management law
The Pan-African Parliament has intensified consultations on the proposed Continental Law on Sustainable Soil Management. From April 27 to 29, 2025, stakeholders convened at the Wallenberg Conference Centre in Stellenbosch, South Africa, to deliberate on the draft legislation, which aims to promote sustainable soil practices across the continent.
South Africa advocates for equitable energy transition
At the Africa CEO Forum in Abidjan, South African officials emphasized the need for a balanced and affordable energy transition that harmonizes economic growth with environmental sustainability. Mineral and Energy Resources Minister Gwede Mantashe criticized the disproportionate burdens placed on Africa, noting that while the continent contributes minimally to global greenhouse gas emissions, it faces significant pressure to decarbonize. He highlighted the inequity in policies like the carbon tax, which affects African economies trading with the EU, unlike major emitters such as the U.S., China, and Russia. Under its G20 presidency, South Africa has prioritized themes of “Solidarity, Equality, Sustainability,” advocating for financial mechanisms that promote inclusive development alongside climate goals. Minister in the Presidency Kgosientsho Ramokgopa stressed that Africa’s energy transition must first meet the basic needs of its people, with nearly 600 million Africans still lacking reliable electricity access. He argued that substantial development, including job creation and industrial growth, must precede or accompany environmental reforms for the transition to be meaningful
EBRD expands investment to West Africa
The European Bank for Reconstruction and Development (EBRD) has approved Nigeria, Ivory Coast, and Benin as new recipient member states, granting them access to substantial investment opportunities. This decision, confirmed during the EBRD’s annual meeting, marks a significant step in the bank’s strategic expansion into Sub-Saharan Africa. These countries will begin receiving investments once an amendment to the EBRD’s founding treaty takes effect in July 2025. The EBRD aims to utilize its financial resources and expertise to support the economic development of these nations, working alongside existing development partners. The bank plans to focus on fostering the green transition, enhancing economic governance, and promoting human resilience and equal opportunities. Additionally, Kenya, Ghana, and Senegal are under consideration for membership, pending fulfillment of pre-membership criteria.
Caritas urges environmental law compliance in Democratic Republic of Congo
Following devastating floods in eastern Democratic Republic of Congo (DRC), Caritas has called for strict adherence to environmental laws. The organization emphasized that environmental degradation, including deforestation and poor land management, exacerbates the impact of natural disasters. Caritas advocates for sustainable land use practices and stronger enforcement of environmental regulations to mitigate future disasters.
African insurers encouraged to lead in ESG initiatives
African insurers and reinsurers are being urged to proactively integrate Environmental, Social, and Governance (ESG) principles into their operations, rather than waiting for regulatory mandates. Embracing ESG and sustainability is not only ethically sound but also serves as a critical risk management tool and business strategy. Industry leaders suggest that early adoption of ESG practices can position insurers favorably in the evolving regulatory landscape and meet increasing stakeholder expectations
ASIA
India: SEBI to review ESG disclosure requirements
The Securities and Exchange Board of India (SEBI) announced plans to reassess its environmental, social, and governance (ESG) disclosure mandates for listed companies. This includes a review of the delayed requirements for supply chain reporting. SEBI aims to address industry concerns about the complexity and feasibility of current disclosure obligations, especially for smaller firms. The review is set to commence in May 2025.
Japan: finalization of sustainability disclosure standards
On March 5, 2025, the Sustainability Standards Board of Japan (SSBJ) officially finalized comprehensive sustainability disclosure standards. These standards align with the International Sustainability Standards Board (ISSB) frameworks, specifically IFRS S1 and S2, ensuring consistency with international norms. While mandatory reporting dates are yet to be announced, companies may choose to voluntarily apply the standards beginning in or around April 2025.
Singapore: implementation of Climate-Related disclosure rules
Singapore continues to advance its sustainability initiatives. In February 2024, it introduced mandatory climate-related disclosure rules, marking a significant step in its sustainability efforts. The obligations will be implemented in phases, beginning in the financial year (FY) 2025 for listed companies and FY2027 for large non-listed companies. These requirements align with international standards and aim to enhance transparency in greenhouse gas emissions reporting
ASEAN simplified ESG disclosure guide launch
The ASEAN Capital Markets Forum (ACMF) has launched the ASEAN Simplified ESG Disclosure Guide for SMEs in Supply Chains (ASEDG), a practical resource that consolidates various global ESG reporting frameworks into 38 priority disclosures categorized as Basic, Intermediate, and Advanced to accommodate different sustainability maturity levels. The guide supports Malaysia’s Priority Economic Deliverable as 2025 ASEAN Chair while complementing the ACMF’s Roadmap for ASEAN Sustainable Capital Markets by helping SMEs progress in their sustainability reporting journey. Described as a “living document,” the ASEDG Version 1 will undergo further consultations across ASEAN Member States over the next six months to ensure it remains relevant as global sustainability standards evolve.
Central Asia: emphasis on international sustainability standards
A capacity-building seminar held on April 16, 2025, in Astana, Kazakhstan, highlighted the need for Central Asian countries, including Kazakhstan, Uzbekistan, Kyrgyzstan, Azerbaijan, and Tajikistan, to adopt international sustainability reporting standards. The seminar focused on enhancing understanding of IFRS S1 and S2 standards, aiming to improve sustainability disclosures and align with global practices.
https://www.accaglobal.com/vn/en/news/2025/April/ISSB-Eurasia.html
Progress on clean air legislation
Thailand’s Parliament is advancing the Clean Air Bill, aiming to establish comprehensive air quality controls. The bill, which has undergone multiple readings, is expected to be passed in April 2025, including provisions for regulating emissions and enhancing public access to pollution data.
https://en.wikipedia.org/wiki/Clean_Air_Bill_%28Thailand%29
LATAM
Mexico: women’s leadership in environmental conservation
Across Mexico, women are leading significant environmental conservation efforts rooted in ancestral and cultural ties to the land. In Sinaloa, the Yoreme-Mayo women’s collective “Aquí No” is resisting a petrochemical plant threatening Ohuira Bay’s ecosystem. In Xochimilco, biologist Gabriela Morales Valdelamar is reviving chinampa farming to restore pre-Hispanic agricultural techniques. In Michoacán, María Teresa Bravo Perucho is combating deforestation caused by the avocado industry. Meanwhile, in Oaxaca’s Chacahua Lagoon, the Mujeres del Manglar collective is working to restore mangroves devastated by infrastructure projects. These initiatives highlight the crucial role of women in safeguarding biodiversity and cultural heritage
https://www.vogue.com/article/mexico-women-communities-earth-day-2025
Mexico: sustainable practices in the avocado industry
The Mexican avocado industry, supplying over 80% of avocados consumed in the U.S., is undertaking a major sustainability initiative titled “The Path to Sustainability.” This program focuses on water conservation, biodiversity, climate action, and combating deforestation. Key commitments include achieving net-zero carbon emissions throughout the supply chain by 2035 and restricting U.S. entry of avocados grown on recently deforested land. These efforts aim to ensure long-term environmental and economic sustainability in the industry.
https://www.axios.com/sponsored/the-path-to-sustainability-in-the-mexican-avocado-landscape
Peru: transitioning to a circular economy
Peru is advancing its industrial sector towards circularity through a roadmap developed under the UN Partnership for Action on Green Economy (PAGE). The plan emphasizes resource efficiency, waste reduction, and the promotion of sustainable production practices, aiming to foster a green economy and sustainable development.
https://www.un-page.org/countries/peru
Mexico: launch of the 2025-2030 national development plan
On April 15, Mexico published its 2025-2030 National Development Plan, outlining a roadmap focused on energy security and sovereignty. The plan includes 51 strategic projects aimed at generating over 22,000 additional megawatts, reducing dependence on imports, and achieving a sustainable energy transition to combat climate change and ensure equitable energy access.
Environmental compliance and industrial pollution
Zinc Nacional, a factory in Monterrey processing hazardous steel dust imported from the U.S., announced plans to relocate its most polluting operations following investigations revealing dangerous levels of heavy metals in nearby neighborhoods. The company committed to moving intensive operations outside the metropolitan area within two years while maintaining over 1,000 jobs. However, local residents and activists remain skeptical, citing a lack of acknowledgment for health impacts and reparations. Mexico’s federal environmental agency, Profepa, is conducting investigations and has denied the company’s “clean industry” certification.
Brazil: incentives for sustainable data centers
Brazil is introducing tax exemptions for IT-related capital expenditures to attract data center investments, requiring projects to use 100% renewable energy. The government estimates this initiative could generate approximately 2 trillion reais (around $352 billion) in investments over the next decade, fueling growth in sectors like construction, telecommunications, and AI
Clean energy as a competitive advantage
With nearly 90% of its electricity derived from renewable sources, Brazil is positioning itself as a potential AI superpower. The country’s clean energy infrastructure is attracting major tech firms, including Amazon and Microsoft, to invest in Brazilian data centers. The government is actively promoting this advantage to meet the energy demands of electricity-intensive AI data centers.
https://time.com/7282222/brazil-clean-energy-ai
Eco Invest Brazil program
The Brazilian government plans to raise $2 billion through a new auction as part of the Eco Invest Brazil program to fund sustainable projects, particularly aimed at restoring degraded pastures. The auction operates under a “blended finance” model that combines public and private capital to lower financing costs and stimulate private sector investment.
AUSTRALIA
Finalization of sustainability reporting legislation
Australia’s sustainability reporting framework has been finalized with the passage of the Treasury Laws Amendment (Financial Market Infrastructure and Other Measures) Act 2024. This legislation mandates that relevant entities disclose their climate-related plans, financial risks, and opportunities in accordance with the Australian Sustainability Reporting Standards (ASRS) issued by the Australian Accounting Standards Board (AASB). The ASRS comprises AASB S1 (General Requirements for Disclosure of Sustainability-related Financial Information) as a voluntary standard and AASB S2 (Climate-related Disclosures) as a mandatory standard.
https://kpmg.com/au/en/home/insights/2022/04/issb-sustainability-reporting-disclosures-guide.html
Embodied carbon reduction framework for the built environment
The Australian Sustainable Built Environment Council (ASBEC) released a new policy roadmap aimed at reducing upfront embodied carbon emissions in buildings and infrastructure. The report emphasizes that to meet national net-zero commitments, the built environment must cut embodied carbon emissions by at least 60% by 2035. A systemic approach across the sector is recommended to achieve this goal.
250323-ASBEC-Our-Upfront-Opportunity.pdf
UNITED STATES
Proposed elimination of Energy Star program
The Environmental Protection Agency (EPA) plans to eliminate its Energy Star offices, effectively ending a decades-old program that has promoted energy-efficient appliances and contributed significantly to environmental protection and cost savings. The move is part of broader deregulation efforts under President Donald Trump.
EPA takes aim at Energy Star program that has guided consumer buying | AP News
GLOBAL
IMO approves first global Net-Zero shipping regulations
The International Maritime Organization (IMO) has approved draft regulations establishing the world’s first legally binding net-zero framework for global shipping, targeting a reduction in greenhouse gas emissions by around 2050. The framework includes mandatory marine fuel standards that require ships to reduce their greenhouse gas fuel intensity and introduces a global emissions pricing mechanism through the IMO Net-Zero Fund to incentivize low-emission technologies. These measures, set to be adopted in October 2025 and enter into force in 2027, will apply to large ocean-going ships responsible for 85% of international shipping emissions, supporting a just and equitable transition to cleaner maritime transport.