DOMINICAN REPUBLIC Trends and Developments Contributed by: Guillermo Estrella Ramia, Yamel Llenas Lajud, Mariela Santos Jiménez and Valentina Gallo Botero, Estrella & Tupete
Procurement as a vehicle for accountability Secondly, procurement becomes a vehicle for accountability as public and private contracts increas- ingly include ESG performance clauses. These stipu- late obligations relating to:
and infrastructure supervision. This can generate pro- cedural inefficiencies that discourage investment and delay project execution. A second challenge lies in data availability and trans- parency. Although Law No 200-04 on Access to Public Information grants the public the right to request envi- ronmental data, the lack of digital integration across institutions hampers its timely disclosure. Strength- ening data governance and interoperability will be essential for credible ESG verification. A third challenge involves climate adaptation and technological innovation. As the Dominican Republic faces growing exposure to extreme weather events, integrating climate resilience into design, construc- tion and financing has become imperative. The development of resilient infrastructure – particularly ports, energy systems and urban drainage – requires advanced modelling, stronger engineering standards and financial mechanisms that value adaptive capac- ity as an asset rather than a cost. Finally, there is a capacity gap between international expectations and local practice. While foreign inves- tors are accustomed to stringent ESG frameworks, domestic developers and municipal authorities often operate with limited resources or outdated technical criteria. Opportunities for the legal and financial sectors These challenges coexist with vast opportunities for transformation. For the legal sector, the ESG transition represents an unprecedented chance to redefine its strategic role. Lawyers are no longer confined to the end of the compliance chain; they are now integral to the architecture of sustainable investment. Legal advisers increasingly act as translators between global ESG standards and local regulatory realities. Their task involves drafting contractual frameworks that allocate environmental and social risk, advising on sustainable financing instruments, and guiding cli- ents through the complex interplay of environmental licensing, public procurement and financial disclosure. Similarly, the financial sector is poised to play a cata- lytic role. Banks, investors and insurers can acceler-
• emissions control; • waste reduction; • energy efficiency; • gender equality; and • supply-chain transparency.
The DGAPP and the General Directorate of Public Pro- curement are developing model contracts that formal- ise these obligations and set measurable benchmarks. Corporate governance and a cultural shift Thirdly, corporate governance is promoting a cul- tural shift. Companies participating in infrastructure projects are establishing internal ESG committees, adopting sustainability reporting aligned with global standards such as the Global Reporting Initiative (GRI), and integrating sustainability targets into execu- tive compensation schemes. This corporate evolution indicates that ESG has become not only a matter of compliance but a metric of credibility. Tourism and energy sectors illustrate this shift particu- larly well. Renewable energy developers, for instance, are now integrating social benefit programmes, bio- diversity offsets and workforce training initiatives as part of their environmental commitments. In tourism, resort developers are applying circular-economy prin- ciples to reduce water consumption, promote local procurement and manage waste more efficiently. ESG has thus become an instrument for differentiation and competitiveness across sectors that define the Dominican growth model. Challenges of implementation Nevertheless, translating ESG policy into consistent practice remains an ongoing challenge. The country’s institutional architecture is still adapting to the multi- dimensional nature of sustainability. One of the most persistent obstacles is regulatory fragmentation. Different agencies hold overlapping mandates on environmental oversight, social impact,
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