This metric belongs to the research implemented by Frank Bold, which analysed the disclosures of European companies pursuant to the rules introduced by the EU Non-Financial Reporting Directive (NFRD). The research is part of the Alliance for Corporate Transparency project, an initiative gathering leading NGOs to assess and monitor companies’ sustainability reporting in order to provide evidence-based recommendations to improve and develop the legal framework.
The EU Non-Financial Reporting Directive lays down the rules on the disclosure of non-financial information by large companies based in the European Union. The Directive came into force for company reporting in 2018 and applies to large public-interest companies with more than 500 employees,covering approximately 6,000 companies across the EU. Under the Directive, companies have to publish reports on the policies they implement on:
- environmental protection
- social responsibility and treatment of employees
- respect for human rights
- anti-corruption and bribery
- diversity on company boards (in terms of age, gender, educational and professional background)
A proposal to reform the legislation is expected to be presented in early 2021 in order to improve the quality, consistency and reliability of corporate disclosure. This reform is central to the European Green Deal and the Sustainable Finance agenda.
For more information:
Alliance for Corporate Transparency
European Commission
The EU Non-Financial Reporting Directive lays down the rules on the disclosure of non-financial information by large companies based in the European Union. The Directive came into force for company reporting in 2018 and applies to large public-interest companies with more than 500 employees,covering approximately 6,000 companies across the EU. Under the Directive, companies have to publish reports on the policies they implement on:
- environmental protection
- social responsibility and treatment of employees
- respect for human rights
- anti-corruption and bribery
- diversity on company boards (in terms of age, gender, educational and professional background)
A proposal to reform the legislation is expected to be presented in early 2021 in order to improve the quality, consistency and reliability of corporate disclosure. This reform is central to the European Green Deal and the Sustainable Finance agenda.
For more information:
Alliance for Corporate Transparency
European Commission
This metric is asking whether additional criteria related to climate change risks are described. This may be found within an annual report, integrated report and/or sustainability report.
Keywords and Search Terms
- Climate Change
- Risks
Where possible, page numbers are included in the Comments field, as well as excerpts from the source where information was found.
Keywords and Search Terms
- Climate Change
- Risks
Where possible, page numbers are included in the Comments field, as well as excerpts from the source where information was found.
Topics
Options
Risks & opportunities is provided for each time horizon (short/medium/long term - while each horizon is indicated in years)
Physical risks are addressed (exposure to physical impacts directly caused by climate change)
Transition to a low-carbon economy risks are addressed
Breakdown of risks by activity or region
Effects of climate-related risks & opportunities on the organization's business model financial planning or performance
Clear management approach for the identified risks and impacts
Climate-related scenarios used for risk assessment including a 1.5 degrees C/well below 2 degrees C scenario
(only for fin. comp.) How risk management processes including internal stress testing consider climate-related risks
(only for fin. comp.) Degree of alignment of the different portfolios against the Paris Agreement target
(only for fin. comp.) Amount or percentage of carbon-related assets in each portfolio or exposure of assets to climate risks
None