Environmental justice has emerged as a key component of environmental, social and governance (ESG) standards and has evolved as a priority of the Biden administration and the Environmental Protection Agency (EPA). Environmental justice affects a wide spectrum of activities ranging from mergers & acquisitions to construction or expansion and even day-to-day manufacturing operations. Consideration must be given to the potential community and environmental impacts as part of any company’s operational risk analysis.
While EJScreen and the Climate and Economic Justice Screening Tools are helpful starting points, it is essential to take a comprehensive approach to environmental justice across the country and make sure the analysis is supplemented with other critical data. Litigation to address environmental justice concerns may result in reputational and/or economic consequences that no company wants to address. Proactive and strategic planning can mitigate this and allow companies to operate, expand and remediate in collaboration with the communities that are impacted.
