The Sustainability Regulatory Marathon: Key Takeaways from the Sustainable Business Nordic Conference

This blog was originally posted on 7th April, 2025. Further regulatory developments may have occurred after publication. To keep up-to-date with the latest compliance news, sign up to our newsletter.

AUTHORED BY JOANNE O’DONNELL, HEAD OF GLOBAL REGULATORY COMPLIANCE, COMPLIANCE & RISKS

The landscape of corporate sustainability is rapidly evolving. With increasing pressure from regulatory bodies, consumers, and stakeholders, businesses are struggling with how to integrate sustainability into their core strategies while remaining profitable and competitive. The Sustainable Business forum, which took place in Stockholm on 1 April, highlighted some of the current discussions and concerns shaping this changing landscape under the umbrella of 3 key themes:

• Corporate sustainability leadership

• Driving sustainability and profitability

• Collaborating for impactful change

Theme 1: Corporate Sustainability Leadership

The first theme focused on the leadership skills required to navigate the complex political, economic and regulatory environment. Speakers emphasized the need to reframe sustainability concepts to maintain momentum despite backlash. Effective leadership involves demonstrating the business case for change, driving meaningful action, and future-proofing the business against emerging risks.

Discussions also highlighted the importance of balancing short-term shareholder expectations with long-term sustainable strategies. Leaders are challenged to frame the commercial opportunities and risks posed by sustainability impacts and adapt business models to remain relevant in the face of climate change.

Engaging employees and customers in the sustainability transformation was another key point. Additionally, the role of AI in enhancing sustainability efforts and the ethical considerations involved were explored, along with how to cultivate change within organizations to align with sustainable goals.

Theme 2: Ensuring Profitability: Sustainability as a Business Driver

This theme addressed the critical link between sustainability and profitability. Businesses around the world are currently faced with unprecedented regulatory changes and uncertainty as well as increased regulatory divergences and geopolitical tensions. 

In times of economic and regulatory uncertainty, businesses are therefore finding ways to keep sustainability at the forefront of their agendas. The focus is shifting from mere reporting to concrete actions, with leaders emphasizing that sustainability is integral to future success.

Supply chain due diligence and sustainability reporting were also  identified as crucial areas. Companies are seeking efficient ways to meet increasing compliance demands with limited resources and fostering cooperation between procurement and sustainability departments.

Navigating the evolving regulatory landscape, particularly EU regulations and the product life cycle, was also a core topic of discussion. I did a presentation on the importance of viewing sustainability regulatory compliance as a marathon and not a sprint and discussed some recent EU regulations where sustainability obligations are embedded across the entire product life cycle. Strategies for setting the pace, navigating obstacles, and finishing strong in regulatory compliance were also discussed. Regulatory monitoring and horizon scanning tools backed by regulatory expertise – such as that offered by our C2P platform – was a key talking point and highlighted as pivotal in navigating the continuous regulatory wave.

Building a resilient net-zero pathway, utilizing emissions data, and understanding the concept of double materiality were also highlighted. Compliance with regulations like CSRD, CS3D, EUDR, and EU Taxonomy was addressed, with a focus on how these regulations can drive lasting change and impact beyond mere compliance.

Theme 3: Collaborating for Impactful Change

The final theme centered on collaboration and achieving tangible results. Discussions emphasized designing and implementing programs that align with internal capabilities while pursuing impact-driven outcomes. Securing profitability during the sustainability transition, especially in economic downturns, and fostering a willingness to change were key concerns.

Climate transition plans were presented as essential tools for future-proofing businesses, creating long-term value, and overcoming common challenges. IT sustainability and the strategic approach to efficiency in the datacenter industry were also discussed, along with ways to measure and reduce environmental impacts.

Finally, the distinction between having “a sustainable strategy” versus “a sustainability strategy” was explored, emphasizing the need for a holistic approach. The role of Scandinavia in the global context, short-term and long-term views beyond CSRD, and the development of new business models to drive innovation were also addressed.

Conclusion

The Sustainable Business forum provided an excellent overview of the challenges and opportunities in the sustainability landscape. It is clear that businesses need to be proactive, strategic, and collaborative to succeed in this new era. The shifting regulatory landscape, marked by new legislation and updates in major markets like the EU, UK, and US, demands constant vigilance. Volatile political and geopolitical tensions are adding another layer of complexity, potentially leading to trade disruptions and fluctuating regulatory priorities.

By focusing on leadership, collaboration and agility, and by availing of the best regulatory horizon scanning tools to stay on top of existing and emerging regulatory changes, companies can navigate the complexities of sustainability and create a better future for all.

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