ESG agenda is actively developing in Russian regions, but the level of involvement of the subjects in the agenda remains heterogeneous. Most regions still lack a key document defining long-term sustainability goals - an ESG transformation strategy. Nevertheless, the regions are taking various measures to preserve the environment, ensure social protection and improve the quality of public administration.
Plogging, green city creation, youth innovation creativity centres, schools of social entrepreneurship, ‘green corridor’ for investors, analytics on the potential of various market niches for SMEs and other initiatives by regional authorities make an invaluable contribution to the sustainable development of our country.
You can learn more about the best regional ESG practices from Kaliningrad to Sakhalin in our study.

Nizhny Novgorod Region

The Nizhny Novgorod Region is actively implementing ESG principles in an effort to achieve sustainable development and improve the quality of life. The region aims to reduce pollutant emissions by 20% by 2030 and support social impact startups.

Public administration is also being modernised: projects such as the seed centre are being optimised and a new human resources management model is being developed.

Although the region has strategies and programmes to encourage ESG practices, the socio-economic development strategy has not yet been fully integrated with ESG goals.

Moscow

Moscow is actively developing digitalisation of public services and implementing environmental and social initiatives. The city plans to reduce air pollution by 20% by 2030 and achieve carbon neutrality by 2060. Air pollution levels have been reduced 2.6 times in the last ten years, and eco-friendly public transport is helping to reduce the impact of motor vehicles.

When it comes to social support, Moscow is working to improve quality of life and support social entrepreneurs. Digitalisation is also producing results: Moscow's Gosuslugi portal has more than 15 million users and offers a wide range of online services.

Saint Petersburg

Saint Petersburg is actively connecting digital transformation with environmental and social goals through the D-ESG concept. The city is working to improve municipal waste management and reduce poverty among the population.

In the sphere of public administration, Saint Petersburg is increasing the availability of socially important services in electronic format and developing digital platforms.

Despite the successes, the city faces challenges such as the lack of a structured ESG strategy and increasing concentrations of harmful substances in the air.

Moscow Region

The Moscow Region is actively developing its volunteer movement, which involves more than 26.5 thousand people, and organises various eco-actions. One of the region's key goals is to increase the share of waste sent for recycling, as well as to develop human capital and the digital economy.

In the field of environmental protection, the Moscow Region aims to significantly increase the share of recycled waste. When it comes to human capital development, the focus is on increasing the number of people employed in small and medium-sized businesses. Digitalisation is also high on the agenda: the region plans to expand the availability of social services in electronic format.

The region's strengths include an active volunteer movement and the introduction of new types of eco-activities such as plogging. However, there are some areas to improve, including the lack of a single ESG strategy.

Republic of Tatarstan

The Republic of Tatarstan aims to achieve carbon neutrality by 2050, while actively developing platforms for professional growth and human capital accumulation.

In the area of spatial development, the region is working to reduce greenhouse gas emissions and efficiently utilise natural resources. Tatarstan also seeks to attract highly qualified specialists, support innovators and develop cooperation with universities.

The region's strength is its focus on human capital development, with many flagship projects, and its intention to achieve carbon neutrality ten years earlier than the rest of the country. However, the weakness remains the lack of a clear ESG strategy.

Sakhalin Region

The Sakhalin Region is actively adopting ESG transformation practices with a focus on environmental and sustainable goals. The region plans to achieve carbon neutrality by 2050 and increase the share of renewable energy in its energy mix.

The region also aims to create green jobs and regular climate action. The focus is on developing low-carbon technologies and investing in environmental projects.

The Sakhalin region is notable for being the first in Russia to develop a Climate Action Programme and actively engages with business on ESG. However, the primary focus on the environmental sphere may limit an integrated approach to other aspects of ESG.

Leningrad Region

The Leningrad Region successfully attracts investment and supports social projects. The region works on environmental initiatives, supports entrepreneurial and social endeavours, and actively implements digital solutions to improve interaction with businesses.

The region's strength is its success in attracting investment and supporting social projects. However, the lack of a clear ESG strategy may limit further development in this area.

Khanty-Mansi Autonomous Okrug - Yugra

Yugra is actively engaged in environmental and social issues in an effort to improve the environment and increase the availability of social services. The region is working to reclaim contaminated land, increase the disposal of municipal waste and prevent oil spills.

In the area of social policy, Yugra plans to increase citizens' access to social services and involve non-governmental organisations in their provision.

Yugra is achieving significant results, such as reclaiming a significant part of contaminated territories and reducing atmospheric emissions. Citizen participation in environmental initiatives is also increasing.

Lipetsk region

The Lipetsk Region is actively developing the legislative framework for ESG transformation, but information on the implementation of key projects in this area is still limited. The region aims to significantly increase the share of neutralised waste and reduce greenhouse gas emissions. There are also plans to increase the participation of elderly and disabled citizens in active lifestyle activities.

In the area of governance and digitalisation, the Lipetsk Region aims to improve the digital maturity of government agencies and increase the number of people employed in small and medium-sized businesses. The region's strengths include a well-developed legislative framework and effective online monitoring of initiatives. However, there is a lack of information on the implementation of most ESG priority projects.

Kursk Region

The Kursk Region aims to be among the top 10 Russian regions in terms of socio-economic development and environmental safety. The region is actively working to improve the environmental situation, including cleaning up water bodies, managing forests and reducing emissions. The focus is also on the efficient use of natural resources.

In the area of human capital development, the Kursk Region stimulates entrepreneurial activity, supports innovators, cooperates with universities and promotes the digitalisation of science and education.

The region's strengths include a high level of public involvement in environmental activities and a good position in eco-rankings. However, the lack of an ESG strategy, growing emissions and limited online services remain problematic aspects.

Tyumen Region

The Tyumen Region is focused on developing new technologies for greenhouse gas monitoring and supporting social entrepreneurs. The region is actively increasing the share of utilised waste and introducing ‘green technologies’ to reduce the consumption of non-renewable energy sources.

In the area of human capital development, the Tyumen Region is expanding the practice of social support for elderly and disabled citizens by engaging various organisations and NPOs.

The region's strength is its focus on supporting social entrepreneurs through loans and grants for NPOs. However, the lack of regional G-factor initiatives outside the framework of national projects limits a broader approach to sustainable development.

Sverdlovsk region

The Sverdlovsk Region aims to achieve carbon neutrality by 2060 and significantly reduce greenhouse gas emissions by 2035. The region also actively supports SMEs by offering a unique Big Data analytics service.

In the area of human capital development, it is planned to increase the number of employees in SMEs and reduce poverty. There is also a significant amount of basic research to be carried out in innovative areas by 2035.

The region's strength is the active research and implementation of new environmental technologies and new energy solutions. However, the lack of a detailed plan and legislative initiatives to implement the strategy until 2035 may limit the effectiveness of achieving the set goals.

Republic of Sakha (Yakutia)

Yakutia actively cooperates with business to protect the environment and improve the quality of life. The region aims to improve the environmental quality coefficient and reduce the share of the population with incomes below the subsistence minimum. There are also plans to improve the level of education and ensure 100% accessibility of public services online.

Yakutia's strengths are widespread internet access and reduced pollutant emissions. However, the absence of an ESG transformation strategy, even as part of the socio-economic development strategy, is a significant shortcoming.

Kaliningrad Region

The Kaliningrad Region is actively working to improve the environmental situation and the living standards of its population, despite its low position in the ESG ranking. The region focuses on increasing the share of sorted waste, efficient use of natural resources and environmental education.

In the area of social policy, it strives to reduce unemployment, supports innovators and reduces the proportion of the population with incomes below the subsistence level.

Among the region's strengths are the governor's initiative to create a ‘green carcass’ and a high level of public involvement in environmental activities. However, the absence of an ESG strategy and lack of governance initiatives remain significant challenges.

Conclusion

To sum up, Russian regions are actively working to improve environmental sustainability, social policy and digitalisation, but there are significant challenges. Regions are implementing waste utilisation and emission reduction projects, supporting social initiatives and developing digital solutions. Nevertheless, challenges such as lack of clear ESG strategies, lack of integrated planning and poor coordination remain pressing. Regional efforts require a more structured approach and improved interaction between business, state authorities and the public.