Taiwan Economic Journal (TEJ) has released the latest 2023 TESG Rating results on May 2nd. TESG Rating is an ESG rating system tailored specifically for Taiwanese companies. It evaluates the scores of companies’ ESG performance and divides the evaluated companies into 7 levels [A+ to C-] and 3 groups [Leader/Average/Laggard] based on their TESG scores.
A total of 2,373 publicly traded companies were included in the rating this time, with the Leading Group (A+ and A) accounting for 11.17% of the evaluated companies. The distribution of ratings by the SASB industry classification is shown in the following chart:
Understand the Latest ESG Performance Before Engaging with Companies
As of now, Taiwanese companies haven’t yet fully disclosed their sustainability reports, and even if they do, it is only once a year. However, TEJ uses multiple sources of information, including patents, ISO certifications, labor department penalties, etc., as well as daily ESG events. Through multidimensional evaluation, TESG rating is updated twice a year: providing ESG rating information before the shareholder meeting to help negotiation and updating it after one month of the disclosure annual ESG reports to reflect the current situation.
Unleash the Power of ESG Disclosure to Avoid Greenwashing
Under the net-zero carbon emissions target by 2050, corporate carbon accounting and disclosure are important information. If the methods or scope employed are inconsistent between different periods, it may mislead the public. Therefore, we have established a [Negative Carbon Disclosure] Index as a negative indicator.
In addition, in the governance (G) dimension, if the chairman and CEO are penalized or rarely attend board meetings, it is also seen as a negative indicator for ESG development.
We appeal that companies provide ESG information in a transparent manner to reduce public misjudgment. The management should strive to be legal and compliant, avoiding the situation where companies develop ESG on the one hand but neglect the fundamental issue of corporate governance, making it difficult to achieve sustainable goals.
TESG Sustainability Solutions: One-Stop for Achieving Your Sustainable Finance Goals
TEJ follows international ESG standards, develops TESG Rating and data for Taiwanese companies, and provides TCFD data solutions to address critical flaws of ESG evaluation. You can meet all the evaluation and information needs for sustainable finance goals in one-stop.
