New Publication: TCFD Implementation Guide

Source: , 1 May 2019

As a growing number of companies support the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), there is increasing need for practical guidance on how to take action on the recommendations. The Sustainability Accounting Standards Board (SASB) and the Climate Disclosure Standards Board (CDSB) have teamed up to publish a clear, practical, “how-to” guide for companies seeking to implement the TCFD recommendations.

With more than 600 organizations publicly expressing support for the Task Force on Climate-Related Financial Disclosures (TCFD), global markets have resoundingly embraced the future of investor-focused climate reporting—at least in principle. But what about in practice? Despite this favorable response to the TCFD’s recommended disclosures, which were released in June 2017, far fewer companies have implemented the recommendations in their core communications with investors. In explaining this “implementation gap,” many have cited a need for practical guidance they can follow.

The Climate Disclosure Standards Board (CDSB) and the Sustainability Accounting Standards Board (SASB) have come together to bridge this gap. The TCFD Implementation Guide offers an effective solution for organizations around the world, in all industries and sectors, drawing on both organizations’ well-established reporting frameworks to provide companies with how-to guidance. Taking a “show-don’t-tell” approach, the guide focuses primarily on annotated mock disclosures—a direct response to feedback from reporting companies, who have resoundingly asked us to “show [them] what effective climate-related disclosure looks like.”

Using the guide, companies can more effectively take the TCFD recommendations from principles to practice, yielding greater insight into the material climate-related financial risks and opportunities they face, equipping investors with reliable, comparable, decision-useful information, and enhancing the resilience and stability of global capital markets to drive sustainable, long-term economic development.

You can download the guide here (on requests)