Sustainability Industry March 2026: March 2026 sustainability update covering the UK’s fusion strategy, USA’s GHG ruling, EU Omnibus and international climate risk reporting.
International Sustainability Updates
Global solar and wind generation capacity increases by 814 GW in 2025
International combined progress to decarbonising energy supplies reaches record highs.
New data coming from Ember, a global energy think tank, exhibits a 24.2% increase in the global wind and solar capacities across 2025. This increase of 814 GW now takes the global capacity to over 4.1 TW, being driven primarily by solar installations.
This does not detract from efforts in wind technologies which saw a 47% increase in uptake from 2024 to 2025. The anticipated generation from this year’s installations alone is the equivalent of 70% of the energy provided by global gas generation.
International Corporations to put $100 million towards Super Pollutant Action Initiative
Concerted effort by organisations to reduce the use of high global warming potential chemicals and fuels.
Super pollutants, including methane and refrigerants, are gases with a greenhouse gas potential significantly higher than the more well-known carbon dioxide and are responsible for around 50% of global warming. The Superpollutant Action Initiative brings together large international corporations to mobilise $100 million by 2030 for projects working to reduce superpollutants globally.
Due to the increased potency as well as a lower atmospheric half-life, the reduction of super pollutants is an effective way to reduce near-term atmospheric warming, with analysis showing aggressive reduction to have the potential to avoid more than 0.5C warming by 2050.
First 2 Weeks of Iran War emit more emissions than Iceland in 2024
Devastating impact of Iran War on the environment comparable to entire country’s emissions.
Analysis undertaken by Climate & Community has found that within the first 2 weeks of the war over 5 million tonnes of carbon dioxide have been released into the atmosphere. This is estimated to represent over $1.3 billion in climate damage. A large majority of emissions associated with war comes from the construction and material that is required to rebuild the area afterwards.
For example, the associated carbon in rebuilding Gaza and Lebanon after the conflict is likely to produce at least 24 times more emissions than the war itself.
EU Sustainability Updates
EU Omnibus I Entered Into Force (CSRD & CSDDD)
Scope and thresholds for wide sweeping compliance have been adopted and implemented, minimising requirements.
On the 18th of March 2026 the EU Omnibus came into force introducing amendments to the originally proposed legislation relating to Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CSDDD). These changes altered the threshold for which organisations are deemed in-scope, increasing the headcount and turnovers relating to EU and non-EU organisations that must comply.
This has led to 90% fewer organisations having to comply with CSRD which was hallmarked as one of the most encompassing pieces of sustainability legislation to be implemented, with the CSDDD being sharply impacted as well.
The omnibus had further wide sweeping effects in relation to compliance requirements, penalties, and deadlines which let companies off with no transition plans, a reduced 3% of global turnover penalty, and July 2029 deadline for the CSDDD. Organisations should now look to reassess their scope and requirements under the new legislation.
US Sustainability Updates
US SEC Opens Consultation on Climate Disclosure
Consultation opens for feedback on current regulations in order to align and standardise information.
The US Securities and Exchange Commission (SEC) has opened a formal consultation for public feedback on climate disclosure rules. Current frameworks do not allow for uniform comparability of climate-related data, making it harder for investors to assess ESG performance across competitors. The outcome of the public consultation could result in potential rule changes affecting corporate ESG reporting regulations.
23 States Challenge Trump Administration for Revoking GHG Ruling
Feedback from almost half of all US States combats President’s ruling on harmful GHG stance.
In February President Trump announced he was repealing the Environmental Protection Agency (EPA) ruling that greenhouse gases (GHG) are a threat to human health, known as the Endangerment Finding. On March 19th 2026 a collection of twenty-three states and over a dozen cities and counties have filed a lawsuit in the US Court of Appeals.
The lawsuit argues that revoking the Endangerment Finding, claiming that Clean Air Act does not apply to carbon dioxide, was illegal. A similar lawsuit filed by environmental groups in February may be consolidated with this lawsuit by the courts.
UK Sustainability Updates
UK Government Launches £2.5 Billion Fusion Strategy
An ambitious clean energy strategy has been put in place to fund research towards a novel way in generating large amounts of energy.
The UK Government has published a 68-page strategy on their £2.5 billion investment in fusion energy. The publication outlines the plan to accelerate fusion research, technology development and commercialisation over the next 5 years, including the development of a prototype fusion power plant that is anticipated to be completed by 2040.
Fusion energy is the release of energy from the process of combining two atomic nuclei to form a heavier nucleus. This type of energy does not produce carbon emissions and would support the UK’s clean energy plan.
Release of UK Net Zero Carbon Building Standard
A solidified approach in measuring and verifying buildings which are truly net zero aligned to promote responsible building construction and use.
The UK Net Zero Carbon Buildings Standard has been formally published. This works to develop a unified definition of “Net Zero Carbon Aligned Buildings” and provides a reporting methodology for existing building projects. The standard covers construction work and building use and includes what is referred to as “whole life carbon”, used to describe the operational and embodied carbon emissions and removals.
Under the UK Net Zero Carbon Buildings Standard, reports must cover: embodied carbon, operational energy, on-site renewables, water use, energy demand management, heating and cooling, and refrigerants.
Compliant buildings must confirm only allowed fossil fuel use cases. The standard is designed for completed and operational buildings only, therefore claims of alignment is not possible throughout the construction process.
UK CCC find Investments Required to Reach Net Zero Energy Systems are Lower than Costs of Remaining in a Fossil Fuel-Based Energy System
A clear analysis of future energy systems indicates savings are greater if progress is made to decarbonise than remaining in a fossil fuel-based society.
The UK Climate Change Committee (CCC) published their seventh carbon budget in March in which they reported £2-4 worth of benefits for every £1 invested into Net Zero in their ‘Balanced Pathway’. This incorporates a full cost-benefit analysis of all co-impacts, such as air quality, better housing and active travel, and avoided climate damages aligned with government guidance. Additionally, a sensitivity analysis found a Net Zero energy system to be both more efficient and more secure.
This is due to an expected halving of energy losses under a Net Zero system as well as resilience to fossil fuel supply shocks. One fossil fuel price spike comparable to 2022 was modelled which resulted in a 59% increase in household energy bills to 2050 under a high carbon baseline in comparison to 4% in a Net Zero pathway, both considering all costs over the time period. When all costs are included, the budget considered one singular fossil fuel price shock to have equal costs to the total net additional costs of reaching the balanced pathway.
Energy Intensive Industries Scheme Update
Organisations to save money from reduced non-commodity charges on energy bills with Energy Intensive Industry Scheme.
On the 10th of March 2026 the Department for Energy Security & Net Zero joined by the Department for Business Energy and Industrial Strategy and the Department for Business & Trade had published an updated list for companies awarded relief for the indirect cost of Contracts for Difference (CfD), renewables obligation (RO) and small scale feed-in tariffs (FiT). The exemption for the charges mentioned above will be achievable via the participation in the Government’s Energy Intensive Industries (EII) Scheme.
Scotland Publish Their Climate Change Plan (CCP)
Country wide plan to reducing carbon emissions in line with defined targets produced to strengthen ambition and provide clarity on pathway. Published on the 24th of March, Scotland has detailed the policies and proposals that will be used to meet the carbon reduction targets between 2026 and 2040. Already making progress from the 1990 base year by reducing carbon emissions by 51.3% in 2023, Scotland has made significant progress with over 5.5% of all job vacancies relating to the green economy – the highest in any part of the UK.
Currently producing 70% of their electricity from renewable sources and acting as a net exporter, they are looking to further this to achieve reductions of 57% by 2030, 69% for 2035, and 80% by 2040.
South Korean Sustainability Updates
South Korea Proposes Mandatory IFRS Aligned Standards for Major Listed Companies
Increased reporting requirements in line with ISSB prescribed climate reporting, implemented through the IFRS to provide transparency and standardisation.
The Korean Financial Services Commission has proposed a national roadmap which would make sustainability reporting mandatory for major listed companies. The reporting framework would be issued by the Korean Sustainability Standards Board (KSSB), with reporting requirements comprising of KSSB 1 General Requirements for Sustainability-related Financial Disclosures and KSSB 2 Climate-related Disclosures.
These reporting frameworks are aligned with the ISSB’s IFRS S1 and IFRS S2 standards. The companies that would be required to report are companies listed on the Korea Composite Stock Price Index (KOSPI) with consolidated assets exceeding KRW 30 trillion ($20.4 billion).
The proposed framework considers expanding to include smaller listed companies in later years. The timeline currently proposed considers public disclosure of requirements in 2028, utilising 2027 fiscal year data. Scope 3 reporting could be made mandatory from fiscal year 2030 onwards. Third party assurance is to be optional during the implementation phase of the frameworks, with the potential introduction of mandatory assurance in later years.