Beyond ESG: The Holistic Value Addition (HVA) Framework in the Australian Context

Sammanfattning

Despite its rapid growth within sustainable finance, ESG has faced criticism for functioning primarily as a risk management tool, failing to capture holistic conceptions of value beyond those that are financially material. This paper explores the Holistic Value Addition (HVA) framework as an alternative to ESG in Australia, paying attention to First Nations perspectives and intergenerational responsibilities. Thematic analysis of semi-structured interviews with sustainable finance practitioners and social entrepreneurs, including purposively sought First Nations participants, was conducted. The HVA was conceptually accepted, particularly by First Nations participants, with key adaptations including the centring of First Nations as a distinct pillar and identifying intergenerational actors as stakeholders. However, structural barriers including short-termism and shareholder primacy pose significant challenges to its implementation.