As featured on BusinessMirror: Earth Day at a Crossroads: Turning Global Awareness into Real Impact
“It’s abnormally hot today.”
“The rain doesn’t feel normal anymore.”
“Electricity prices are already very high.”
These are no longer passing remarks; they reflect a growing reality that many Filipinos now experience firsthand, one that is increasingly shaping both the cost of living and how businesses manage risk and long-term resilience. Environmental risks are no longer abstract concepts found only in global reports. From extreme heat and stronger storms to rising energy costs, these pressures are visibly shaping how we live and how businesses operate. What once felt distant is now disrupting infrastructure, straining supply chains, and threatening economic stability.
At the same time, environmental commitments have expanded. Net-zero targets, sustainability disclosures, and climate strategies are now embedded across industries and institutions, yet outcomes continue to lag behind ambition. This gap is no longer a question of awareness; it is a question of execution.
The 2026 Earth Day theme, “Our Power, Our Planet,” reinforces a collective call to action. “Our Power” reflects the ability of organizations to influence outcomes through everyday decisions, from how capital is allocated and energy is sourced to how operations and supply chains are designed. In parallel, “Our Planet” is no longer a distant concern. It is directly linked to business performance, risk exposure, and long-term value, making environmental outcomes increasingly inseparable from economic realities.
However, despite decades of advocacy and global participation, environmental outcomes remain insufficient. While numerous organizations have made significant progress in setting sustainability commitments and climate goals, these are not yet fully embedded into financial decision-making, risk management frameworks, and daily operations. The issue is no longer whether action is needed, but how effectively commitments are translated into measurable results.
At the center of today’s climate challenges are everyday decisions. Choices on energy sourcing, capital allocation for sustainable resources and initiatives, and risk management shape emissions trajectories and long-term environmental performance. The urgency is undeniable: the Intergovernmental Panel on Climate Change affirms human activity has unequivocally warmed the planet. Energy production accounts for over 73% of global greenhouse gas emissions, yet current policies still project up to 3.1°C of warming by century’s end, far exceeding Paris Agreement targets. Consequently, the World Economic Forum continues to rank extreme weather events such as floods, droughts, and heat waves among the most significant risks to global supply chains and economic stability. Environmental risks are already translating into measurable business impacts, from rising energy costs and supply chain disruptions to increasing regulatory and reporting pressures.
As climate risks become increasingly measurable and financially material, organizations are being pushed to move beyond awareness-based initiatives toward a more system-based governance. This requires integrating sustainability into core business processes, including rigorous tracking of emissions and resource consumption. At the same time, these changes must extend beyond organizations, influencing how communities produce, consume, and respond to environmental challenges. Ultimately, sustainability is no longer defined by intention alone, but by how effectively decisions and actions translate into lasting impact.
This global context is especially significant for the Philippines, one of the countries most vulnerable to climate and environmental risks. Stronger typhoons, rising sea levels, frequent flooding, and warming ocean temperatures continue to place pressure on infrastructure, communities, and key industries. These challenges are not only environmental, but they also have direct implications for business continuity, supply chains, and long-term planning. Yet despite this high level of exposure, the country contributes only a small share to global greenhouse gas emissions compared to the world’s largest economies, highlighting a broader imbalance where those least responsible often face the greatest risk.
At the same time, the shift from awareness to action is already underway locally. Regulatory momentum and market expectations are driving organizations to take structured approaches to sustainability. Initiatives led by the Securities and Exchange Commission include the adoption of the Philippine Financial Reporting Standards on sustainability disclosures and the move toward mandatory emissions assurance for publicly listed and large non-listed companies, which signals increasing expectations for transparency, accountability, and data reliability. In parallel, companies, particularly in energy-intensive industries, are investing in renewable energy and improving operational efficiency as part of their transition strategies.
For companies operating in the Philippines, this evolving landscape requires more than participation in isolated initiatives. It calls for stronger integration of sustainability into core business functions, particularly in how data is managed, how risks are assessed, and how decisions are made. Long-term impact depends on embedding sustainability into day-to-day operations, including strengthening data systems, integrating climate risks into enterprise risk management, and aligning sustainability considerations with financial and operational planning.
At R.G. Manabat & Co., we recognize that addressing this challenge extends beyond internal efforts to how we support the broader business community. As regulatory expectations tighten and investors demand greater transparency, companies must establish robust data collection and monitoring systems. We work with organizations to operationalize sustainability by embedding it into enterprise risk management, linking climate considerations to financial planning, and strengthening data, reporting, and decision-making frameworks.
Through our ESG Transformation, Reporting, and Assurance services, we support companies in moving beyond compliance toward more strategic and measurable outcomes. Engaging independent auditors further enhances this process by ensuring that sustainability disclosures are transparent, credible, and ready for increasing stakeholder scrutiny.
As we observe Earth Day 2026, “Our Power, Our Planet” reminds us that sustainability cannot be confined to a single day of reflection. It must be a continuous, year-round commitment. For governments, organizations, and individuals alike, the focus must now shift from commitments to execution, embedding sustainability into everyday decisions that shape both business performance and environmental outcomes. By taking consistent and measurable steps together, we can help build an economy where energy is not only accessible and reliable, but also sustainable for the generations to come.
© 2026 R.G. Manabat & Co., a Philippine partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
For more information, you may reach out through ph-kpmgmla@kpmg.com, social media or visit www.home.kpmg/ph.
This article is for general information purposes only and should not be considered as professional advice to a specific issue or entity. The views and opinions expressed herein are those of the author and do not necessarily represent KPMG International or R.G. Manabat & Co.