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ASSURANCE OF SUSTAINABILITY REPORTS: CONSOLIDATING A STRATEGIC DOCUMENT
SUSTAINABILITY REPORTING DIRECTIVE
THE TASKFORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURE (TCFD)
WHAT IS THE TASKFORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURE (TCFD)?
The Taskforce on Climate-Related Financial Disclosure was introduced just before COP26 in 2021 to develop consistent disclosure of climate-related financial risk for use by large companies. It has changed the way businesses need to report climate-related financial risks, making it compulsory by law for the first time.
With a significant increase in demand for improved climate-related financial disclosures, the TCFD enables pension providers, financial services and premium listed companies to put sustainability at the heart of their business strategy and win trust and loyalty amongst key stakeholders and investors.
Financial Directors and Heads of Sustainability or ESG are responsible for ensuring accurate reporting of climate-related financial risks to the business. It is vital that firms understand their obligations.
WHO IS ELIGIBLE FOR TCFD?
The TCFD is mandatory for all companies that are currently required to produce a non-financial information statement annually. This includes listed companies, banks or insurers with more than 500 employees.
WHAT IS INCLUDED IN TCFD DISCLOSURE?
There are four core elements that comprise the TCFD recommendations for climate-related risk disclosure:
- Governance – the business’ governance around climate related risks and opportunities.
- Strategy – the actual and potential impacts of climate-related risks and opportunities on the business’ strategy and financial planning.
- Risk management – the processes used by the business to identify, assess and manage climate-related risks.
- Metrics and targets – used to assess and manage relevant climate-related risks and opportunities.
WHAT ARE THE BENEFITS OF TCFD DISCLOSURE?
TCFD disclosure is mandatory for eligible organisations, but achieving compliance can unlock benefits across the business.
- Demonstrate sustainability performance and commitment to stakeholders
- Attract capital investment
- Manage risks and achieve a better sustainable performance long-term
HOW DOES BUREAU VERITAS SUPPORT WITH TCFD DISCLOSURE?
There is much complexity surrounding TCFD reporting, which businesses it affects and how to become and remain compliant. However, this is a mandatory requirement, so it has never been more important for businesses to fully understand what is required from them to achieve compliance.
Bureau Veritas supports organisations in achieving compliance with the regulations and helps identify climate-related risks, while managing the reporting and communicating of sustainability credentials in a seamless and experienced way. Bureau Veritas can help your organisation with:
- Gap Analysis
- Stakeholder engagement
- Climate risk and opportunity assessment
- Scenario analysis
- TCFD roadmap design
- Reporting
WHY CHOOSE BUREAU VERITAS FOR TCFD DISCLOSURE?
With a specialist team of sustainability experts operating worldwide and a full suite of sustainability monitoring, reporting, assessment and verification services, we have what it takes to guide you through compliance.
Our impartiality ensures complete peace of mind, all with support from a global leader in QHSE and ESG services, delivering a suite of end-to-end solutions to support compliance, reduce risk and streamline operations.
