KUALA LUMPUR, Aug 20 (Bernama) -- ASEAN’s pursuit of energy transition, sustainable water management and climate-resilient infrastructure must be guided by environmental, social and governance (ESG) principles that extend beyond corporate metrics, Deputy Prime Minister Datuk Seri Fadillah Yusof said.
He said ESG should not be seen merely as a reporting tool for companies, but as a framework that shapes government regulations, institutional enforcement and market behaviour.
“ESG must be more than a corporate metric. It should guide how governments design regulations, how institutions enforce standards and how markets reward responsible behaviour,” he said when delivering his speech at the ASEAN Law Forum 2025 here today.
Also present was Minister in the Prime Minister's Department (Law and Institutional Reform) Datuk Seri Azalina Othman Said, Deputy Minister in the Prime Minister's Department (Law and Institutional Reform) M. Kulasegaran, Secretary Of The United Nations Commission on International Trade Law (UNCITRAL) Anna Joubin-Bret, Timor-Leste Minister of Justice Sérgio de Jesus Fernandes da Costa Hornai and Laos Vice Minister of Justice Ketsana Phommachanh.
Fadillah, who is also the Energy Transition and Water Transformation Minister, said ASEAN needs governance systems that match climate ambitions, honour social protection and demand accountability.
“To succeed, we need governance systems that match our climate ambitions, honour social protection, and demand accountability. This requires justice systems and dispute resolution mechanisms that are accessible, efficient and fair,” he said.
He welcomed the inclusion of ESG disputes in the forum’s agenda, describing it as a timely platform for ASEAN to strengthen arbitration capacity within global supply chains.
“I am pleased that this forum will discuss ESG Disputes and Arbitration in Global Supply Chains. It is a timely platform for us to explore due diligence, strengthen arbitration capacity and equip ASEAN to navigate the evolving nexus of trade, law and sustainability,” he said.
On the broader theme of justice, Fadillah underlined that a ‘just transition’ in the energy sector must be treated as non-negotiable, ensuring fairness and inclusivity in economic and environmental reforms.
He expressed confidence that the ASEAN Law Forum would generate practical solutions to strengthen cooperation, enhance access to justice and promote inclusive growth across the region.
“When laws are clear, when remedies are accessible, and when justice is delivered without fear or favour, we are not just protecting rights, we are building nations, inspiring confidence and shaping a future where growth and equity walk hand in hand,” he added.
The three-day forum, which began yesterday and hosted under Malaysia’s 2025 ASEAN Chairmanship, provides ASEAN member states the opportunity to coordinate efforts in building strong and resilient legal institutions and mechanisms, especially in navigating today’s uncertain global economic challenges.
-- BERNAMA
