Global environmental challenges
Indonesia’s Sinar Mas came under heavy fire last week from non-government organization Greenpeace as a report named and shamed some of its biggest clients for their role in the destruction of rainforest and peatlands.
Following is a breakdown of the companies that made headlines July 3 to 16 for winning or losing credibility based on environment-related activity, led by Indonesian conglomerate Sinar Mas.
Selections of companies were made by Christopher Greenwald, director of data content at ASSET4, a Thomson Reuters business that provides investment research on the environmental, social and governance performance of major global corporations. These ratings are not recommendations to buy or sell.
Greenpeace has named these companies as sourcing products from Sinar Mas’ APP subsidiary, which the NGO has demonstrated in a recent report is responsible for extensive deforestation in Indonesia through the destruction of rainforest and peatlands. Deforestation is responsible for 20 percent of CO2 emissions globally, and Greenpeace has called on international companies to ban sourcing from Sinar Mas. In response to the report, HSBC indicated last week that it has divested all of its shares from Sinar Mas.