Our oceans cover more than 70% of the Earth’s surface and are home to over 80% of all life on the planet. They regulate the climate, generate oxygen, provide food for billions, and support economic sectors such as fisheries, tourism, and shipping. Yet, this vital ecosystem is under unprecedented pressure from pollution, overfishing, climate change, and biodiversity loss.
Enter ESG—Environmental, Social, and Governance principles. ESG is a framework that organizations and investors use to evaluate and manage risks and opportunities related to sustainability and ethics. While ESG has transformed how companies think about sustainability, its role in protecting our oceans is more urgent than ever.
In this article, we explore why the ocean needs ESG, how ESG principles can support ocean health, and what businesses, governments, and individuals can do to make a difference.
The Ocean Crisis at a Glance
- More than 11 million metric tons of plastic waste enter the ocean annually (UNEP, 2021).
- Overfishing affects one-third of the world’s fish stocks, pushing some species toward collapse (FAO, 2022).
- Ocean acidification caused by CO₂ absorption is threatening coral reefs and shell-forming species.
- Illegal, unreported, and unregulated (IUU) fishing undermines sustainability and local economies.
These challenges aren’t just environmental—they’re economic and social as well.
Why ESG Matters for the Ocean
- Environmental Responsibility
ESG frameworks require companies to assess their environmental impact. This includes reducing ocean-bound plastic waste, lowering carbon emissions from maritime shipping, and minimizing the destruction of marine habitats.
Example: Unilever committed to reducing plastic waste and has developed recyclable, reusable, or compostable packaging, helping reduce marine plastic pollution (Unilever, 2022).
- Social Impact
Fishing communities, coastal populations, and indigenous groups depend on healthy oceans for their livelihoods. ESG encourages organizations to protect human rights and foster inclusive development.
Example: The World Bank’s PROBLUE initiative promotes sustainable ocean economies while improving the well-being of coastal communities (World Bank PROBLUE).
- Governance and Transparency
Corporate governance under ESG includes setting sustainability goals, measuring progress, and reporting transparently. Ocean-focused ESG policies ensure companies are held accountable for their ocean-related activities.
Example: The Poseidon Principles guide financial institutions in aligning maritime investments with climate goals (Poseidon Principles).
Key Sectors That Need Ocean-Centered ESG
- Shipping and Maritime Transport
The shipping industry accounts for nearly 3% of global CO₂ emissions. ESG pushes for adoption of low-emission fuels and cleaner logistics. The International Maritime Organization (IMO) has set targets to reduce carbon intensity by 40% by 2030 (IMO GHG Strategy). - Fisheries and Aquaculture
Sustainable seafood is critical to food security. ESG-aligned practices in aquaculture can reduce habitat destruction, antibiotic use, and overexploitation. Certifications such as the Marine Stewardship Council (MSC) support this shift. - Tourism and Coastal Development
Unregulated tourism can lead to habitat degradation and pollution. ESG can promote responsible tourism practices, eco-resorts, and investments in marine conservation.
The Role of ESG Investors and Corporations
According to a report by the OECD, the global ocean economy is projected to reach $3 trillion by 2030. However, long-term profitability requires sustainability. ESG investing in “blue economy” sectors can accelerate innovation and protect marine ecosystems.
Examples include:
- Blue bonds: Seychelles launched the world’s first sovereign blue bond to support marine conservation and sustainable fisheries.
- ESG ratings: Firms such as MSCI and Sustainalytics are integrating ocean-related metrics in ESG assessments.
How to Integrate ESG with Ocean Protection
- Align ESG Strategy with SDG 14
The UN Sustainable Development Goal 14—Life Below Water—calls for the conservation and sustainable use of oceans. Aligning ESG efforts with SDG 14 helps organizations track impact meaningfully. - Set Measurable Ocean Goals
Track metrics such as plastic use, water discharge, supply chain transparency, and carbon emissions from logistics. - Engage Stakeholders and Partnerships
Collaborate with NGOs, governments, and research institutions. Initiatives like the UN Global Compact’s Sustainable Ocean Principles offer a shared framework for ocean responsibility. - Report Transparently
Adopt ocean-focused sustainability reporting standards. The Taskforce on Nature-related Financial Disclosures (TNFD) and CDP (formerly Carbon Disclosure Project) are expanding to include marine ecosystems.
The health of our oceans is inextricably linked to the health of our economy, communities, and planet. ESG offers a powerful framework to address marine threats through accountable governance, sustainable innovation, and ethical practices. Businesses that adopt ocean-centered ESG strategies are not only preserving natural capital but also unlocking long-term value and resilience.
The tide is turning—but to truly protect our blue planet, ESG must be part of the solution.
References and Links
- United Nations Environment Programme (UNEP). (2021). Plastic Pollution. https://www.unep.org/interactives/beat-plastic-pollution/
- Food and Agriculture Organization (FAO). (2024). The State of World Fisheries and Aquaculture. https://openknowledge.fao.org/items/06690fd0-d133-424c-9673-1849e414543d
- Unilever Sustainability Commitments. https://www.unilever.com/planet-and-society/waste-free-world/
- World Bank PROBLUE Initiative. https://www.worldbank.org/en/programs/problue
- The Poseidon Principles. https://www.poseidonprinciples.org/
- International Maritime Organization (IMO) GHG Strategy. https://www.imo.org/en/MediaCentre/HotTopics/Pages/Reducing-greenhouse-gas-emissions-from-ships.aspx
- UN Sustainable Development Goal 14. https://sdgs.un.org/goals/goal14
- UN Global Compact Sustainable Ocean Principles. https://www.unglobalcompact.org/take-action/ocean
About the Author: Dr Ihsan Riaz is a consultant and strategist in AI and digital transformation, dedicated to exploring and communicating the latest advancements in the field. With a passion for innovation, Ihsan writes extensively on how emerging technologies are shaping the future of various industries.
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