Environmental Social Governance (ESG) is a bit of a catchphrase among LED lighting manufacturers and industrialists to create an eco-friendly space.
What is ESG?
An organization’s sustainability with regard to environmental, social, and governance efforts is evaluated using a set of principles known as ESG.
Environmental- measures how a business’ activities have an impact on the environment, its natural resources and climate change.
- It mainly includes the use of renewable energy sources, a waste management plan, product packaging, the sourcing of raw materials, biodiversity practises on company-owned land, and potential air and water pollution issues brought on by operations.
Social- takes into account how a company’s actions affect social issues.
- For example, fair employee pay and benefits, management-employee interaction, staff retention, workplace rules, moral suppliers and vendors, and charitable donations are some standards to measure social initiatives taken by businesses for their stakeholders, employees and economy.
Governance: evaluates how the business is run by its top management.
- It includes diversity in the executive team and the board of directors, executive salary transparency, stockholder participation, and the avoidance of conflicts of interest.
Integrate ESG into your Business: A Great Opportunity Awaits!
Commercial buildings account for about 16% of carbon dioxide emissions and 35% of electricity consumption, making them a great place to cut back on energy use and demonstrate their commitment to environmental welfare.
But how can we become energy efficient? What changes to implement? The answer to these questions is— the integration of the best outdoor and indoor LED lighting systems.
By upgrading to the most recent LED lighting technology, building owners can reduce energy and operational expenses while supporting sustainability initiatives. Look below to get better insights on the same.
- More Energy Saving
Energy savings from LED technology are significant, especially in spaces that are used for extended periods of time because it consumes up to 75% less electricity than incandescent and fluorescent alternatives.
2. Low operational cost
In most applications, LED lighting solutions have longer lifespans than fluorescent or any other kind of traditional luminaire. Additionally, they are manufactured with durable and reliable products to ensure excellent quality product engineering. This significantly lowers the requirement for lighting maintenance for decades.
3. Eco-friendly materials
Since LED lighting products are made of non-toxic, recyclable materials, the conventional recycling programmes required to dispose of mercury-containing CFL, metal halide, and fluorescent bulbs are no longer necessary.
4. Reduced carbon footprint
Compared to conventional halogen, mercury vapour, metal halide, and fluorescent light sources, LEDs use less energy. Modern LED lighting significantly reduces greenhouse and carbon dioxide emissions. To be specific, the kW/hr consumption per year is less which helps lower the overall CO2 emissions.
5. Customer and employee well-being
A well-lit establishment boosts productivity and makes customers and staff feel safer throughout the building by deterring criminal behaviour, lowering vandalism, and preventing accidents.
Furthermore, a smart lighting platform with sensors and timers can significantly improve a company’s sustainability. These systems send information to analytical tools that determine where and how lighting should be used.
Numerous approaches exist for smart lighting controls to enhance savings. Moreover, operational costs will drop significantly if luminosity dims on its own when there is a lot of sunlight. Additionally, you may adjust the colour temperature in reaction to intense midday light. And, for unoccupied facilities, intelligent lighting sources are beneficial because they have the ability to turn off the lights automatically.
Contemporary consumers and investors are understandably apprehensive about the future. They anticipate businesses will have a significant impact on governance, social, and environmental challenges. It makes sense that businesses of all sizes and in a variety of sectors have embraced innovative business models that promote ESG.
The transition to LED lighting systems not only improves a company’s ESG score but also saves the company money in the long run. This has a favourable impact on their bottom lines dramatically- supporting the well-being of employees, saving money on energy management and promoting environmental conservation.