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ESG stands for Environmental, Social and (corporate) Governance. Since it was introduced innote-02004note-1businesses have been required to embed ESG into their strategies. Although the components of ESG are inextricably linked, they all have varying challenges and litigation risks for companies in Scotland, and beyond. “Environmental” is the first pillar of ESG and refers to the impact of a companies’ activities on the natural world. This includes climate change, pollution, and biodiversity.