PO1: Environmental Issues
Prefill
Eligible
Validation
Evidence not validated
2026 Updates
None
Does the entity have a policy or policies on environmental issues?
Assessment Instructions
Intent: What is the purpose of this indicator?
The intent of this indicator is to identify the existence and scope of policies that address environmental issues. Policies on environmental issues assist organizations with incorporating environmental criteria into their business practices and managing environmental risks.
Input: How do I complete this indicator?
Select Yes or No: If selecting ‘Yes’, select applicable sub-options.
Material environmental issues: Select all issues that are covered by the entity’s policy / policies. The policy or policies must exist and be valid during the reporting year provided in EC4. It is possible to report using the ‘Other’ answer option. Ensure that the ‘other’ answer provided is not a duplicate or subset of another option. It is possible to report multiple ‘Other’ answers.
Other answers: List applicable environmental issues that apply to the entity but are not already listed. Ensure that the ‘Other’ answer provided is not a duplicate or subset of another option (e.g., “Recycling” when “Waste” is selected). It is possible to report multiple ‘Other’ answers. If multiple ‘Other’ answers are accepted, only one will be counted towards scoring. Answers cannot refer to evidence and/or other indicators.
Terminology
Air pollution
Air pollutants are particles and gases released into the atmosphere that may adversely affect living organisms. Additionally, some pollutants contribute to climate change or exacerbate the effects of climate change locally. Pollutants of major public health concern include ozone-depleting substances (ODS), NOx, SOx, particulate matter (PM), lead, mercury and/or other standard categories of air emissions identified in relevant regulations.
Biodiversity and habitat
Issues related to wildlife, endangered species, ecosystem services, habitat management, and invasive species. Biodiversity refers to the variety of all plant and animal species. Habitat refers to the natural environment in which these plant and animal species live and function.
Contaminated land
Land that contains substances in or under it that are actually or potentially hazardous to human health or the environment. Contamination of land can happen by substances or effluents such as gases, chemicals, oils, fuels, waste.
Energy
Energy refers to energy consumption and generation from non-renewable and renewable sources (e.g. electricity, heating, cooling, steam).
Environmental issues
The impact on living and non-living natural systems, including land, air, water and ecosystems. This includes, but is not limited to, biodiversity, transport and product and service-related impacts, as well as environmental compliance and expenditures.
Greenhouse gas emissions
Refers to the seven gases listed in the Kyoto Protocol: carbon dioxide (CO2); methane (CH4); nitrous oxide (N2O); hydrofluorocarbons (HFCs); perfluorocarbons (PFCs); nitrogen trifluoride (NF3) and Sulphur hexafluoride (SF6).
Hazardous substances
Also known as dangerous goods. Any substances that can pose a health or physical hazard to humans or the environment, such as carcinogens, toxic agents, irritants, corrosives, combustibles or explosives.
Landscape and visuals
Landscape and visual impacts within a proposed development area.
Light pollution
Excessive or obtrusive artificial light also known as photo pollution or luminous pollution. Examples of light pollution and reflection include: spilled light from construction zones and parking lots which may impact breeding grounds or resting areas; highly reflective towers which may affect bird flight.
Materials sourcing and resource efficiency
Responsible sourcing of materials considers the environmental, social and economic impacts of the procurement and production of products and materials. Resource efficiency means using those products and materials in an efficient and sustainable manner while minimizing impacts on the environment and society.
Net Zero
Net zero means cutting greenhouse gas emissions to as close to zero as possible, with any remaining emissions re-absorbed from the atmosphere.
Noise pollution
Refers to noise pollution, also known as environmental noise, which is the propagation of noise with harmful impact on the activity of human or animal life.
Physical Risk
The risks associated with the potential negative direct and/or indirect impacts of physical hazards, natural disasters, catastrophes, as well as physical climate-related hazards, which may be event-driven (acute) or driven by longer-term shifts in climatic patterns (chronic). The physical risk associated with a particular real asset may be described in terms of elements including hazard exposure, sensitivity, vulnerability, and adaptive capacity.
Decreasing the sensitivity of an asset to particular physical risks, increasing its adaptive capacity, and planning are all ways of increasing the resilience of the built environment against physical risks, climate-driven or otherwise. In practice, these objectives may be promoted by various actions including the establishment of appropriate management policies; the utilization of informational technologies for disaster response; the education of employees, the community, and suppliers; and implementing physical measures at the asset level.
Policy
Defines an organizational commitment, direction or intention as formally adopted by the organization.
Waste
Entity's consideration of waste disposal methods and whether waste minimization strategies emphasize prioritizing options for reuse, recycling, and then recovery over other disposal options to minimize ecological impact.
Water inflows/withdrawals
Water drawn into the boundaries of the entity from all sources (including surface water, ground water, rainwater, and municipal water supply) as well as water reuse, efficiency, and recycling, including the entity's consideration of whether water sources are significantly affected by withdrawal of water.
Water outflows/discharges
Discharge of water to water bodies (e.g. lakes, rivers, oceans, aquifers and groundwater) or to third-parties for treatment or use.
Validation: What evidence is required?
Evidence
Evidence is required, but it is not subject to manual validation.
The provided evidence must demonstrate the existence of a formal policy document(s) that address(es) each of the selected environmental issues and not simply a list of general goals and/or commitments.
A policy is a guide for action that can serve the purpose of:
Outlining rules and procedures
Providing principles that guide action
Setting roles and responsibilities
Describing values and beliefs
Stating an intention to act or achieve defined goals and/or company vision
Acceptable evidence may include an environmental policy document, official documents or links to online resources describing the entity's environmental policy(ies). References such as bullet points or passages within a policy, can be provided to describe the goals or ambition for each issue.
The evidence should support each of the selected issues with a relevant document such as energy consumption policy or a waste management policy. The same document can be used to support the existence of a policy addressing Net Zero as well as all other selected environmental issues. Note that overarching environmental policy documents covering multiple issues must have separate sections/clauses relevant to each of the selected issues.
Evidence Exemption Criteria
For PO1–3, GRESB recognizes that an entity’s policies typically remain consistent from year to year and across multiple reporting periods.
Therefore, entities that either (1) achieved full points in the previous submission or (2) achieved partial points but do not wish to modify their responses or supporting evidence can pre-fill this indicator and leave it unchanged in the current assessment cycle.
So long as the indicator response and documentation remain consistent (i.e., the entity does not modify its selections or evidence), GRESB will automatically reapply the previous year's validation decision. GRESB recommends that participants simply note that the documents apply to the current reporting year to ensure the evidence remains year-agnostic.
Scenario (1) - Entities that previously earned full points: changing any selections or evidence will not affect the validation decision. In practice, this means that an entity could:
Leave the same links to policy documents, even if some links are no longer active,
Replace last year’s links with inactive ones, or
Replace last year’s documents with blank files — and still receive full acceptance for 2026.
However, an entity cannot:
Remove the previously provided links and supply no evidence this year. Once an entity selects 'Yes’ for PO1–3, the portal will continue requiring supporting documentation.
Scenario (2) - Entities that previously earned partial points: changing the indicator response and/or documentation will prompt GRESB to re-validate the indicator.
Please note that GRESB encourages participants to update their evidence if there have been any material changes to the policy that the entity wishes to present to investors.
Scoring
Does the entity have a policy or policies on environmental issues?
Scoring: How does GRESB score this indicator?
The scoring of this indicator is equal to the fraction assigned to the selected option, multiplied by the total score of the indicator.
This indicator is affected by dynamic materiality. See the 'Scoring Basics' page for more information.
Frequently Asked Questions
Can a policy that addresses emissions reduction qualify as a Net Zero Policy?
No. A policy solely on reducing emissions would not qualify as a Net Zero Policy. GRESB requires a Net Zero Policy to explicitly address Net Zero or Carbon Neutrality.
My entity has recently updated our sustainability policy. Can I submit it as evidence?
Indicator responses must be true at the close of the chosen reporting year in indicator EC4 (i.e., calendar or fiscal year). The response does not need to have been true for the entire reporting year. For example, if the policy was adopted one month before the end of the reporting year, the document can be uploaded as evidence in the assessment, even if the policy was not in place for the entire reporting year.
My company rebranded during the reporting year. Which version of policies should we submit for PO1-3?
GRESB recommends uploading the most recent (post-rebranding) versions of documents, as these will be used to pre-fill some indicators in the next assessment. However, GRESB accepts policies that were in effect at any time during the reporting year (fiscal year or calendar year, as selected in indicator EC4). This means participants can upload either the pre-rebranding policy, the post-rebranding policy, or both. Please use the open text box within the evidence upload section to explain that the rebranding occurred, and that the entity name changed during the year.
I have the relevant policies, but they aren't on our website. Can I still answer "Yes" to these indicators?
Yes. Public disclosure is not required. If you have the policies documented and implemented within your organization, you can answer "Yes," regardless of whether they are publicly available.
References
Supply Chain Sustainability School (UK and Australia), 2012
Alignment with External Frameworks
GRI Standards 2016 - 103-2: The management approach and its components
GRI Standards 2016 - 300 series: Environmental Standards
Good practice examples: Examples of policies on Climate change mitigation and resilience, or Air pollution can be found on this page.
Get Support: Solution Providers
GRESB Solution Providers are independent, third-party organizations within the GRESB Partner network that offer specialized products, tools, and services to support sustainability performance outside the GRESB Assessment process.
The organizations below deliver commercially available solutions designed to help drive improvement for this indicator. Engagement is managed directly between the reporting entity and the Solution Provider.
GRESB will continue to update this section as the GRESB Solution Provider network grows. Please check back regularly to find GRESB Solution Providers who can support your sustainability performance.
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