The problems of ESG-rating of economic entities in the public sector

Abstract

Importance: despite the legislatively fixed orientation of state policy towards achieving sustainable development goals, the study highlights the problem of the lack of incentives for all public sector economic entities to meet high environmental, social and managerial standards. Purpose: to assess the need to implement ESG-rating of economic entities in the public sector in the context of the implementation of the Russian Federation sustainable development policy. Research design: to study the identified problematic aspect, the author analyzes the existing methods of ESG rating of the state and corporate sectors economic entities in the following areas: methodological support for rating assignment and the effectiveness of rating assignment (taking into account the possibility of implementation in the public sector). The study empirical basis was the ESG ratings assigned by Russian rating agencies. Results: the author substantiates the need to introduce ESG-rating of public sector economic entities in order to determine the degree of commitment of public sector organizations to sustainable development goals. The study reveals the advantages of integrating the proposed methodology into the existing ESG-rating system, for example, reducing the cost of creating a rating platform, ensuring consistency of rating methods, as well as the agenda for the introduction and development of domestic analogues of ESG-ratings.