Simon Rebbechi’s roundup delivers a panoramic review of current sustainability, energy, and climate trends with sharp relevance for sustainable finance professionals. Drawing on Generate Capital CEO David Crane’s call for “creative construction” through consolidation in renewables, Rebbechi highlights the capital squeeze and underperformance facing clean energy firms amid tightening macro conditions,making disciplined, fundamentals-driven investment critical. He critiques the fading ESG acronym while noting a pragmatic pivot toward “Energy, Security, and Growth,” reflecting the geopolitical realities shaping sustainable investment narratives. The piece spans global themes: from China’s modest emissions targets and continued dominance in CO₂ output, to the imbalance between mitigation and adaptation finance, growing water scarcity risks, and the practical potential of AI in grid management. Rebbechi also flags shifting political dynamics: U.S.–EU sustainability policy tensions, California’s upcoming SB 261 climate disclosure rule, and the fragmented but resilient EU regulatory architecture. For sustainable finance practitioners, the essay underscores a decisive era of consolidation, adaptation, and policy divergence, where capital, compliance, and climate strategy must converge to sustain momentum in the energy transition.
Sustainable Finance Roundup September 2025: Policy, Markets, and Momentum
This month’s sustainability roundup covers Australia’s new 2035 emissions target, ASIC’s final climate disclosure guidance, and Fortescue’s revised transition plan. It also examines global developments, from ISSB reporting updates and TNFD nature disclosures to Woodside’s gas extension, rising physical climate risks, and evolving ESG policy debates shaping corporate and investor responses.
AUTHORS
Top 10 Sustainability Markers – September 2025
By Terence Jeyaretnam
Terence Jeyaretnam’s September 2025 roundup captures a pivotal month for ESG and climate action in Australia and beyond, one that tightened regulatory expectations and exposed both risks and opportunities for sustainable finance professionals. Australia’s new 2035 emissions target (a 62–70% cut) and A$7 b decarbonisation package signal a more interventionist policy stance, linking ambition to capital. ASIC’s final climate disclosure guide (RG 280) and the ISSB’s clarification on financial effects move global reporting from principle to enforcement, reducing ambiguity but heightening compliance risk. Meanwhile, Fortescue’s pivot from hydrogen to electrification, Woodside’s gas extension approval, and the revival of Narrabri gas highlight transition tensions between policy and practice. Physical and nature-related risks also gained prominence: a rare stratospheric warming event, a national climate risk assessment projecting A$406 b in property losses by 2050, and new TNFD guidance on biodiversity disclosures all underline the widening scope of ESG accountability. For boards and investors, Jeyaretnam’s analysis signals a decisive shift; from voluntary sustainability gestures to hard-edged regulatory, financial, and physical realities demanding integration into risk and capital planning.
Relevant library resources
Recommendations of the Taskforce on Nature-related Financial Disclosures
Australian sustainable finance taxonomy (Version 1 - 2025)
Net zero integrity: Assessment of the net zero pledges of Australian companies
Green metal statecraft: Forging Australia’s green iron industry
Voluntarily applying ISSB Standards—A guide for preparers
