BankGreen Inc. is a hypothetical mid-sized financial institution listed on the ASX. The bank has a diversified portfolio of services, including retail banking, investment banking, and wealth management. Over the past few years, BankGreen has experienced significant growth and has increasingly faced public scrutiny regarding its environmental, social, and governance (ESG) practices. The bank has a notable presence in financing projects in the energy, agriculture, and real estate sectors, which have been subject to environmental and social concerns.

In response to the growing interest in ESG performance and the financial industry's role in promoting sustainable development, many companies in the financial sector have started to issue ESG reports to showcase their commitment to sustainable business practices. These reports typically include information on the bank's environmental impact, social responsibility initiatives, and governance structures that promote transparency and accountability. Furthermore, there has been a push for responsible lending practices, ensuring that financial institutions consider the ESG risks and opportunities when providing loans and making investment decisions.

BankGreen's senior management remuneration is tied to the bank's financial performance, with bonuses based on achieving certain profitability and growth targets. Some stakeholders have raised concerns that this remuneration structure may create a short-term focus on financial results, potentially hindering the bank's commitment to long-term sustainability objectives and responsible lending practices.

While the bank has considered issuing its first ESG report, the senior management team is unsure whether the benefits of ESG reporting will outweigh the costs and whether implementing ESG reporting would have an impact on the financial performance incentives. The bank is also concerned about the potential challenges of implementing ESG reporting, given its limited experience in this.

Requirements:

1. Discuss the potential challenges BankGreen Inc. might face while implementing ESG reporting for the first time. (Approximately 250 ~350 words)

2. Analyze the implications of normative and positive accounting theories on BankGreen Inc.'s ESG reporting practices and discuss how these theories can shape ESG reporting in general. (Approximately 300 ~450 words)

3. Analyze the impact of senior management remuneration and incentives policies on the decision to issue ESG reporting at BankGreen Inc. and discuss potential misalignments. (Approximately 250 ~ 350 words)

4. Select a company in the financial sector from Australian Council of Superannuation Investors (ACSI)'s 2022 list of ASX 200 companies that have comprehensive reporting on ESG issues (ACSI-ESG-Reporting-Trends-in-the-ASX200-JUN22-reissue.pdf).