Environmental, social, and governance (ESG) investing is a strategy for allocating investment funds on the basis of the extent to which the operations of a company, or a portfolio of companies, affect the environment, advance social justice, or follow good corporate governance practices. It is of intense and increasing interest to millions of investors who seek to minimize financial risks and maximize their financial returns. It also appeals to investors who seek to align their investments with their core personal values.

Corporations have received growing criticism for their role in climate change, perpetuating racial and gender inequality, and other pressing social issues. In response, shareholders are increasingly focusing on environmental, social, and corporate governance (ESG) criteria in selecting investments, and asset managers are responding by offering a growing number of ESG mutual funds. But are these funds giving investors what they promise? This Article provides a unique picture of the current ESG environment with an eye to informing regulatory policy.

The Environmental Law and Policy Annual Review (ELPAR) is published by the Environmental Law Institute’s (ELI’s) Environmental Law Reporter in partnership with Vanderbilt University Law School. This Comment highlights the results of the ELPAR article selection process and reports on the environmental legal scholarship for the 2021-2022 academic year, including the number of environmental law articles published in general law reviews versus environmental law journals, and the topics covered in the articles.

This Article, adapted from the Climate Science and Law for Judges Curriculum, examines the status and viability of judicial remedies in climate change litigation. It focuses on climate cases that are seeking science-based remedies specifically related to climate mitigation (actions to reduce greenhouse gas emissions or draw down atmospheric carbon) and climate-change adaptation (actions to reduce the negative impacts of climate disruption on human and natural communities).

In June 2022, in West Virginia v. Environmental Protection Agency, the U.S. Supreme Court announced that on “major questions” the U.S. Congress must legislate with far more clarity and specificity than previously demanded. The Court held the U.S. Environmental Protection Agency (EPA) may regulate power plant carbon emissions in traditional ways, but the novel approach taken in the Clean Power Plan required clearer authorization than Congress had provided. Six weeks later, Congress enacted the Inflation Reduction Act (IRA).

The Inflation Reduction Act and Federal Buy Clean Initiative have each inspired states and municipalities to regulate embodied carbon (Scope 3) using “Buy Clean” policies and legislation. Reducing embodied carbon has become mainstream, and environmental product declarations (EPDs) have surfaced as the tool. Are EPDs alone enough? Is the compliance timeline sufficient? On February 1, 2023, the Environmental Law Institute hosted a panel of experts that provided an update on Buy Clean policy, green funding, the status of carbon emissions, and a primer on EPDs.