Environmental, Social, and Corporate Governance (ESG) evaluates a business’ collective conscientiousness for social and environmental factors.
ESG ExplainedEnvironmental, Social and Corporate Criteria (ESG)
Environmental, Social, and Corporate Governance (ESG) is a process developed to evaluate a company’s collective conscientiousness for social and environmental factors.
ESG is typically a score compiled from data collected surrounding specific metrics related to intangible assets within the enterprise.
Think of it as a form of a corporate social credit score.
Research shows that such intangible assets comprise an increasing percentage of future enterprise value.
While there are many ways to think of intangible asset metrics, these three central factors together, ESG, comprise a label widely adopted throughout the United States financial industry. The ultimate objective is to measure ESG elements related to sustainability and societal impact on a company or business.
In less than 20 years, the ESG movement has grown from a corporate social responsibility initiative launched by the United Nations into a global phenomenon representing more than US$30 trillion in assets under management.
Last year, a surge of capital totaling US$17.67 billion flowed into ESG-linked products, an almost 525 percent increase from 2015, according to Morningstar.
Why Is ESG and Sustainability Important?
Sustainability is a foundational principle underpinning the current focus of companies, investors, and regulators.
A Foundational Principle
Sustainability is a foundational principle underpinning the current focus of companies, investors, and regulators. ESG is a subset of performance indicators that include sustainable, ethical, and corporate governance issues such as managing a company's carbon footprint and ensuring there are systems to ensure accountability.
An investment
ESG is an investment consideration used in risk assessment strategies incorporated into investment decisions and risk management processes.
Long-Term Success
Companies that use ESG standards are more conscientious, manage risk, and are more likely to achieve long-term success. As a result, many organizations have established ESG initiatives as part of their corporate governance.
Holistic Approach
A TPI consultant can guide your business to a holistic approach to process improvements through a data-driven mindset and provides business insights to increase shareholder value and the long-term viability of an organization.
TPI Helps Clients with ESG Goals
TPI Efficiency provides comprehensive, data-driven solutions to help clients achieve ESG (Environmental, Social, Governance) goals through energy efficiency, renewable transitions, and operational optimization. Here’s how they align with each pillar:
ENVIRONMENTAL IMPACT REDUCTION
Renewable Energy Procurement: Facilitates solar, wind, and hydro projects, including Virtual Power Purchase Agreements (VPPAs) and carbon-free Energy Attribute Certificates (E-RECs) to offset emissions
Energy Efficiency Upgrades:
Implements LED lighting retrofits (reducing kWh usage by 40-70%), HVAC optimizations, and water conservation systems (cutting bills by 10-30%).
Scope 1/2 Emissions Strategies:
Designs decarbonization roadmaps with 2030 interim targets, supported by ASHRAE-level audits and IoT-enabled monitoring
SOCIAL VALUE CREATION
Cost Savings Reinvestment:
Operational efficiency gains (e.g., $0-down LED projects) free capital for community initiatives or employee benefits.
EV Infrastructure Development:
Installs turnkey charging stations to support workforce/community electrification.
Employee Safety:
Implements building envelope improvements and ventilation upgrades to enhance workplace conditions.
Client Example:
A historic church reduced energy costs by 55% through LED retrofits, reallocating savings to community outreach programs.
GOVERNANCE & COMPLIANCE
Mandatory ESG Reporting: Prepares CSRD/ISSB-aligned disclosures, including double materiality assessments and Scope 3 supply chain mapping.
Vendor-Neutral Advisory: Leverages 150+ supplier partnerships to secure competitive pricing without conflicts of interest.
Risk Mitigation:
Offers tax credit insurance for renewable projects and carbon capture liability coverage.
IMPLEMENTATION SUPPORT — SERVICE & IMPACT
Financing
$0-down options, grant writing, and ROI analysis for capital-light transition
Demand Response
Monetizes energy flexibility during grid peaks while maintaining operations
Continuous Optimization
Quarterly account reviews to align with evolving regulations and incentives
Let's Talk:
SOLVING FUTURE CHALLENGES TODAY. TPI works on behalf of its clients as an extension of their team to help achieve their goals. Call us TOLL-FREE at 1.877.244.0182 or fill out the form below and one of our Consultants will be in touch!
