E SG – Sustainable Finance

The reincorporation of the United States of America to the 2015 Paris Agreements on  Climate Change, the  international progress reached in the last COP 26 climate change conference of the United Nations and its permanent quest towards Sustainable Development Goals, the lessons learned during the COVID 19  pandemic, reinforced civil and social rights movements globally, and most recently the approval of the US Inflation Reduction Act (aimed, among other matters, to fight climate change), have led governments, NGOs, investors, financial institutions and corporations worldwide to adopt or strengthen environmental, social and governance standards (ESG) into their decision  making criteria.

Mexico is not the exception and, consistent with its international legal commitments, it has moved forward in gradually adapting its legislation to face ESG related concerns, including most notably by requiring its pension funds to evaluate ESG criteria in their investments.

Our Firm has longstanding credentials in the fields of Environmental law, Social Responsibility, Corporate Governance and Sustainable Finance as well as in related ESG legal matters through its multi-disciplinary practice groups. Drawing on such expertise, our partners in Labor, Tax, Investigations and Compliance, Energy and Infrastructure, Administrative Litigation, IP and Data Privacy, among others, work hand in hand on ESG related matters.

In our experience, ESG may mean something different to each investor and company given that it is based on the stakeholders of each such investors and companies as well as in the nature and importance that ESG standards are afforded by each of them.

Our multi-practice model allows us to design tailored services for our clients to satisfy their ESG requirements, both in the context of assessing and implementing a transaction as well as in reviewing ESG compliance in existing investments and implementing risk management prevention programs.

In order to seek sustainable development and achieve sustainable growth of the business, companies are under growing pressure from their investors and creditors to comply with a proper model whereby it becomes relevant to gather, report and monitor information on the following concepts:

  • Environmental: Climate change, water and waste management, environmental impact and risk, sustainability (including renewable energies), and biodiversity.
  • Social Responsibility: Design of Social Responsibility and sustainable model, compliance and policies related to diversity, equity and inclusion as well as proper sanction processes to protect the workforce, compliance with non-discrimination and human rights as per local laws, labor relations, occupational health & safety mechanisms, employee health, product safety, community development & social impact, data privacy, consumer protection, among others.
  • Corporate Governance: Due diligence and compliance review with local laws and best practices, diversity and transparency in executive and board positions, equal pay, supply chains, shareholder influence, political contributions and lobbying, management compensations, and compliance with applicable Federal, State and Municipal laws, regulations and standards in Mexico.
  • Sustainable & Green Finance: Sustainable bond offerings and green financings, including developing innovative arrangements and compliance with sustainability-linked debt product requirements.

At the Firm we believe that ESG goes beyond just ensuring that a business is in compliance with applicable legislation and seeks to generate the greatest possible positive impact. Our wide experience in large-scale international transactions, due diligence, and day-to-day counsel, all rendered by our team of lawyers specialized in different Practice Areas, through a comprehensive assessment, allows us to efficiently identify regular standard compliance and “extra mile” ESG actions.

Why Creel, Garcia-Cuellar, Aiza y Enriquez for ESG?

Since 2018, our Firm has developed a Model of Social Responsibility. Like you, we have committed to a sustainable growth by adopting the UN’s Global Compact SDGs.

We have a historic and continued track record on sustainable growth commitment, which provides us with first-hand experience on how to design and pursue an efficient strategy on sustainability.

We perform our business in a sustainable manner by aligning our operations with the principles on human rights, labor, environmental and anti-corruption, making us a valued partner on your sustainable supply chain program.

Our experience, robust Practice Areas and understanding of sustainability, allow us to develop a tailormade program and strategy for each of our clients and their stakeholders.

ESG Regulatory Trends in Mexico

ESG Practice Memorandum