ESG stands for ‘environment’, ‘social’, and ‘governance’. It’s an acronym to describe the emerging pressure corporations and businesses are under to be transparent regarding practices related to the environment, social, and governance issues. As an example, banks that reduce or stop lending to carbon-based energy projects would be an example of an ESG policy. It’s problematic in carbon-energy rich places like Montana and North Dakota, because it reduces access to capital, which in turn slows down or kills projects.
In Montana, the legislature is taking up the issue. The control they have is requiring state dollars ignore ESG considerations in making the investments of the state. Get the full story from the Helena Independent Record.