ESG Transformation of the Regional Space

Over the past decade, in Russia, as well as in the world economy as a whole, an economic model of the “new normality” is being actively formed, the constituent elements of which are decarbonization, the introduction of environmental standards, and digitalization (Industry 4.0). The article is devoted to the problems of “new normality” model regarding the ecological aspects. The author presents a retrospective view on ESG transformation, the necessity of which is substantiated. The paper considers spatial aspect of ESG transformation, in which ESG transformation (global, national, and local) is defined as balance of system-forming elements (economic, social, and environmental subsystems). Taking into account the results of the ESG ranking, the fragmentary nature of the ESG transformation of the regional space of Russia is demonstrated, which is caused by the influence of “second nature” factors and the presence in the region of large companies entering foreign markets and actively implementing the principles of sustainable development. The author suggests tools to accelerate the pace of ESG transformation, overcome the fragmentation of the regional space, and create additional incentives for the integration of the ESG agenda into the economic activities of regions distributed by levels of public authority.