100 days – a silver lining?

Environmental regulations have been gutted, protections swept aside, and what appears to be a war on science is destroying research capabilities at some of the world’s leading universities. Earth Day – traditionally a day to celebrate progress – was marked by rumours that climate philanthropies and environmental charities were next on the White House hit list.

And the effects of the executive orders are starting to ripple far beyond US shores. Eye-opening reporting by Politico revealed that the US government is putting pressure on the International Energy Agency to stop its work on promoting a transition to renewable energy.

Populists on both sides of the Atlantic have been waging a war on facts since long before the return of President Trump. Republicans in the U.S. led the backlash against ESG, with echoes fast spreading across the Atlantic, in a 2024 that the FT’s Pilita Clark described as the year of “Greenlash”. Pressure from business groups and some EU member states has led to what many perceive as a watering down of environmental standards due to apply to corporations who do business in the territory. And we don’t need to look far to see UK politicians continuing to spread the narrative that the transition to renewable energy is responsible for pushing up consumer’s energy bills (it isn’t, but fossil fuels are).

This apparent backlash has led to businesses both rolling back on commitments, and simply talking less in general about the importance of confronting climate change – recent Bloomberg analysis of corporate earnings calls revealed a 76% drop in mentions of environment over the past three years.

But. And it is a big but: The fundamentals of what’s happening have not changed – just ask anyone in the insurance industry. Climate change is accelerating and so are its impacts. More people across more countries will be affected, and the same goes for businesses. Deleting the words from official documents will not stop climate change. And, while headlines have focused on corporate retreats from commitments, that’s not the whole story. Recognising those unchanging fundamentals, a recent PWC report found that the vast majority of companies are keeping or in fact ramping up their climate goals.

So perhaps all is not lost. Corporates recognise the risks, if quietly. And perhaps there’s a further silver lining to what sometimes feels like the outright rejection of language relating to climate and sustainability: a chance to simplify.

Study after study report two main findings: firstly, that consumers just don’t understand the terminology around these issues. Second, that despite this, the vast majority of people agree with the central objectives of combatting climate change and preserving and restoring the natural world.

These are not surprising conclusions. The language is confusing and often opaque – Net Zero, 1.5°C, mitigation, adaptation, decarbonisation, offsetting, circularity.. and then the acronyms. COP, IPCC and UNFCCC are tricky enough before we get to ESG, CSRD, TNFD – the list really doesn’t end.

Every industrial sector has its own language which only insiders really understand. But in a rapidly warming world, everyone is an insider, so it is crucial that everyone can understand what’s happening.

With language being twisted or politicised, it might be an idea to revert to a simple narrative, easily understood by any business, organisation or indeed leader who is serious about long-term success.

While sustainability is central to that success, we need a clear way to talk about it. Clear framing, which emphasises the rational business case in addition to the already understood moral case. Risk, Opportunity and Resilience is a decent way to start.

Risk: deal with the challenges that can hurt your business if you don’t act, from rising costs and supply chain disruption to legislative challenges and reputational damage. Ignoring either environmental or social risks doesn’t make them go away, it just leaves you (and your employees) more exposed.

Opportunity: the chance to innovate, lead and grow. Sustainable businesses are those that constantly seek new ways to create better products or services, improve outcomes for customers, attract outstanding talent, and cut waste. Pursuing these objectives will enhance the value of your company.

Resilience: connects the two, future-proofing your business. Organisations that build the concept of sustainability into how they work will have already anticipated what might be coming, whether that’s climate-related disasters affecting supply chains, dramatic market shifts, or social pressure. Building resilience into your business model might sound like a cost, but ultimately it can and will add value. And it can serve to shift the tone, if not the underlying message: a sustainable model isn’t just a moral imperative, it’s a rational, forward-thinking business decision.

Underpinning any organisation’s strategic success must be clear communication. The best communication elicits an emotional response from people – employees, clients, investors – and with luck, persuades them to take action. If complex or confusing language is turning people off, perhaps we’re better off getting back to basics.