TCFD Implementation Guide Now Available
Global markets have, in theory, recognised the need for climate-related-risk reporting – but in practice, implementing effective disclosure practices can be a daunting task. More than 600 organisations have shown support for the Task Force on Climate Related Disclosure’s proposals; however, take-up has been slow, with a number of companies calling for more practical guidance.
To tackle this, the Climate Disclosure Standards Board (CDSB) and the Sustainability Accounting Standards Board (SASB) have produced an implementation guide. The guide draws on the experience of already-established reporting frameworks from companies around the world.
Rooted in practical examples, it includes annotated mock disclosures for three fictional companies to demonstrate to reporting companies what effective climate-related disclosure actually looks like.
The hope is that with practical, easy to follow guidance more companies can take the TCFD recommendations from principal to practice. More widespread, effective climate-related reporting would have an significant benefits, as the lack of consistent, comparable information is one of the major factors currently holding ESG (Environmental, Social and Governance) reporting back. More reliable, comparable information would give investors greater insight into the growing risks and opportunities presented by climate change.
Naturally, we would urge companies to go one step further and consider the benefits of digital, discoverable and accessible disclosures of this nature… perhaps taking inspiration from the GLEIF annual report’s innovative use of Inline XBRL?
Read more and access the guidance here.