A legacy of leadership Governments have a long history of leading efforts to improve what we now call ESG issues—setting green standards, defining supplier diversity programs to combat social injustice, and establishing supply chain reporting and metrics, among other achievements. For more than 50 years, the federal government’s immense purchasing power and role in procurement has created and accelerated new markets for sustainable products and services. When the goal is set to convert 600,000 vehicles to a 100 percent zero- emission electric fleet—per the executive order issued by the White House in 2021—it sends a clear signal for market demand. 1 As the modern ESG movement evolves, governments now have an opportunity to build on a foundation of leadership and answer a broader call, with an observable shift in the way they have typically led on ESG issues. 3 Environmental, Social, and Governance: Government leadership as a catalyst for success 1 Fact Sheet: President Biden Signs Executive Order Catalyzing America’s Clean Energy Economy Through Federal Sustainability © 2022 KPMG LLP, a Delaware limited liability partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.

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