Firms must discuss the impact of specific climate change scenarios in their financial statements to ensure transparency, report says
Mark Carney backed a raft of new measures to ensure businesses and investors do more to combat the “tragedy” of climate change.
The recommendations, published by an international task force headed by billionaire New York City mayor, Michael Bloomberg, said investors need more information about the risks companies face from global warming so they can properly allocate funds.
Stephanie Leaist is a member of the Task Force on Climate-related Financial Disclosures, and managing director, Head of Sustainable Investing at Canada Pension Plan Investment Board
A year ago there was an air of optimism around the Paris Agreement to limit global warming. Driven by a sense of urgency, encouraging action has since been taken by policy makers, regulators, companies and investors, including the Financial Stability Board-led Task Force on Climate-related Financial Disclosures (TCFD). While progress has been made, in many ways, we’ve just begun.
Corporations, especially those in the financial and energy sectors, should provide investors with clear and systematic disclosure of the risks that climate change poses to their future economic health, a task force reporting to Bank of England Governor Mark Carney recommended Wednesday.
The group, headed by Bloomberg LP founder Michael Bloomberg, pointed to carbon-intensive, fossil-fuel companies as being among those that will be most significantly affected by the transition to a lower-carbon economy, with risks being borne by their lenders and investors.
Investors need more information about the risks companies face from global warming so they can fund development of the new technologies that are needed to control climate change and mitigate its effects, a task force said Wednesday.
Former New York Mayor Michael Bloomberg is donating $300 million to the Johns Hopkins Bloomberg School of Public Health in Baltimore to finance an ambitious effort to target opioid addiction, gun violence and other issues that are shortening lives and disrupting communities across the U.S.