Triodos Bank has been a certified B Corporation since the European launch of the movement back in 2015. Triodos Bank looks back positively on the past decade. We have been an engaged member of the B-Corp community, serving on the B-Corp board, hosting and attending events to strengthen bonds between organisations. As the only 100% impact driven listed bank in the B Corp family, we see it as our duty to stress that the requirements for responsible businesses need to evolve. It is of utmost importance to keep this community of like-minded businesses pushing for change together. This also means we need to prevent companies like Dr Bronner’s from seeing no other option than dropping their certification.
ⱱ Stricter criteria on environmental impact, transparency and corporate governance
That is why we welcome the introduction of mandatory requirements in the new standards, requiring companies to achieve baseline performance in areas such as climate action, fair wages and employee engagement. These mandatory requirements are coupled with new do no harm principles, to ensure that all B Corp companies uphold basic ethical and ecological standards. We welcome this holistic approach to minimise the risk that critical impact gaps cannot hide behind strengths in unrelated areas.
ⱱ Stricter documentation and review requirements
Stricter documentation and review requirements are also part of the new standards, helping to enforce the integrity of the certification process. Evidencing should match existing regulatory or industry standards. On the other hand, evidencing should not solely become quantitative or checking the boxes. Qualitative processes and sustainability by design can also be very effective in achieving positive impact rather than only using numbers. Especially among larger companies we call for strict due diligence.
We recognise and experience ourselves that mandatory requirements and increased documentation and review requirements increase the administrative burden. We encourage B Corp to offer resources, and guidance so that certification remains accessible to businesses of all sizes.
ꭕ No verification of environmental and social sustainability of supply chains
While we applaud these more robust requirements, no framework is perfect for all companies, and B Corp is no exception. We encourage B Corp to verify the environmental and social sustainability of supply chains beyond the operational and upstream value chain of the certified B Corp. To truly be sustainable it is important to recognise and assess the full value chain of an activity. Activities are not sustainable if they inadvertently transfer negative consequences to vulnerable communities or ecosystems, particularly in emerging economies.
This is even relevant to sustainable activities. For example, while solar panels do not emit air pollution or carbon emissions while in operation, their production is often done using coal powered factories in China. By considering and engaging the full value chain we can truly transition to a sustainable and equitable society. A stronger, mandatory approach to end-to-end certification of value chains would really place the B Corp standards at the forefront of sustainability certifications.
Omnibus proposal weakens sustainability framework
This is especially important considering the reversals to the European Union’s sustainable finance regulations. This Omnibus proposal reduces the scope of companies required to report under the Corporate Sustainability Reporting Directive (CSRD) as well as value chain scope to only upstream and own operations (CSDDD). We encourage B Corp to continue to develop its standards and raise the bar, also to regain confidence from consumers.
Marking ten years as a B Corp sparks both celebration and reflection. We are proud of the progress we have made in our impact pathway. We are excited to see B Lab pushing for higher standards, ensuring the certification remains meaningful and credible. At the same time, we acknowledge that further refinements are needed to push companies towards truly sustainable activities and products. Together, we can demonstrate that “business as a force for good” is not merely a slogan but a new standard for success in the global economy.