LPublic and private entities are increasingly becoming aware of the need to define climate by taking concrete actions that are more respectful of the planet, which is a threat of global warming. This major trend on a global scale has resulted, among other things, in the establishment and adoption of environmental, social and governance (ESG) standards. The ESG standard makes it possible to assess the consideration of sustainable development and long-term issues in the strategy of economic actors (companies, local authorities, etc.).
From this angle we should appreciate the content of the Global Investor ESG Survey 2021 study of the international company PwC (present in Morocco), published in November 2021 and conducted with 325 investment professionals. The document essentially states that more and more investors are currently questioning the idea of the positive and negative impact of companies, as long as this impact is combined with their performance in the long run.
Nearly 80% of people surveyed by PwC consider ESG risks as an important factor in their investment assessments, and nearly half of investors (49%) surveyed say they are willing to sell their stake in companies not taking adequate steps in favor of ESG issues. Looking at the above, the ESG aspects have become a key parameter in the eyes of international investors.
What about the Kingdom?
In Morocco, it is also time to consider ESG issues. The Casablanca Stock Exchange, in collaboration with independent international ESG research and services agency Vigeo Eiris, has set up “Casablanca ESG 10”, an ESG benchmark index. The Casablanca ESG 10 index is a tool to promote the development of good ESG practices in companies using the capital market. The tool is likely to attract a new category of investors interested in socially responsible investment (SRI).
In the same vein, one of the largest investors in the country, none other than the CDG group, adopted the Sustainable Development Charter in April 2022. Thus, the public entity places sustainability at the heart of its long -term growth model. In this regard, it is important to specify that CDG Invest’s investment decisions take into account ESG standards.
Maghreb Industries, a textbook case
Maghreb Industries, which is the leading producer of confectionery in Morocco and exports to five continents, is now reaping the fruits of its efforts to invest in clean energy, in this case photovoltaics. In fact, thanks to its green factory with a roof covering an area of 12,000 m2, equipped with solar panels, the company has a rate of energy autonomy and self -consumption of 38%. This is a real guarantee of competitiveness, at a time when industrial energy charges are rising due to the war in Ukraine.
“Our new facility in Casablanca, powered by a 1.4 megawatt solar power plant on its roof, will allow us to set a new standard of efficiency with less carbon footprint than any other confectionery manufacturer,” he said. according to Hakim Marrakchi, CEO of Maghreb Industries. The businessman’s business, one of the emblematic figures of the Moroccan employer, promises a bright future, as many investors crowd his door because they are attracted by his environmental bias. That said, extra-financial reporting, which consists for a company of interacting with the social, environmental and social implications of its activities as well as the way it is managed, is still the prerogative of listed companies and some large public and private groups. .
The challenge for those promoting sustainable development and long-term issues is to get smaller structures (VSME, local authority, decentralized administration) to give more importance to the ESG standard in their way of governance.