Guide on Climate Action for Boards in Southeast Asia

On 8 November 2024, ClientEarth launched “Guide on Climate Action for Boards in Southeast Asia”. The guide was launched during a masterclass organised by Climate Governance Malaysia, in collaboration with the Institute of Corporate Directors Malaysia (ICDM). The guide aims to equip corporate directors with the knowledge and tools necessary to navigate the evolving landscape of climate-related legal risks, regulations, and governance requirements in the region. It also draws on interviews with directors and stakeholders around the region for practical insights on integrating climate change considerations into the boardroom.

During the event, Jenifer Thien, Council Member of Climate Governance Malaysia, delivered an opening speech. This was followed by a welcoming remark from Michele Kythe Lim, President and CEO of ICDM. The session featured insights from co-authors of the guide Elizabeth Wu, Legal Consultant at ClientEarth, Kyoko Okuyama, Legal and Policy Researcher at ClientEarth, and Simon Wong, independent advisor. Kyoko and Simon provided an overview of "Guide on Climate Action for Boards in Southeast Asia". Their presentation highlighted the increasing complexity of climate-related legal risks and the imperative for corporate boards to integrate climate considerations into their decision-making processes.

A panel discussion ensued, featuring distinguished experts. The panel was moderated by Elizabeth. The panel featured Tan Sri Tommy Thomas, Former Attorney General of Malaysia, Rejina Rahim, Advisor at the Institutional Investors Council, and Philippe Joubert, Founder and CEO of Earth on Board who is also a co-author of the guide.

The panellists delved into the emerging legal risks, including litigation concerning greenwashing and other climate-related liabilities, and discussed actionable steps for boards to embed sustainability across board-level committees, establish dedicated governance structures, assess climate risks and opportunities, set science-based climate ambitions, and ensure alignment throughout the company’s value chain.

The event underscored the critical role of corporate boards in Southeast Asia in steering their companies through the challenges of climate change. As stewards of corporate governance, directors are uniquely positioned to navigate regulatory changes and transition risks while ensuring that commitments to reach net zero are effectively implemented and monitored.

The event concluded with closing remarks by Datin Seri Sunita Rajakumar, Founder and Chairperson of Climate Governance Malaysia and co-author of the guide, who emphasized the urgency for corporate boards to take decisive climate action in light of the region's vulnerability to physical climate impacts and transition risks.

Please download a copy of the guide here.

For those interested in viewing the full session, the recording is available on YouTube.