On December 3, ACCA organised a conference on “Sustainable Finance & the role of corporate governance & reporting – how integration and impact are the way forward”, in Brussels.
Kristiina Lagerstedt, ECIIA Board member, participated in the discussion highlighting the difference between the local and global impact of climate change as well as the need for standardised reporting in regard to climate-related disclosures.
Thomas Dodd, Policy officer, Corporate reporting, audit and credit rating agencies Unit, DG FISMA highlighted some areas where further reflection is needed before the review of the non-financial information directive:
- Comparability and standardisation: We need a more standardised approach – it is however inevitable that the EC will require more detailed and prescriptive disclosures;
- Scope: which companies are required to disclosure? What should it be based on? Should the burdens on large listed companies be more important?
- Assurance/audit: should there be stronger audit requirements to disclosure climate information? What about the costs? Is the assurance market ready to deliver?
- Location: where is the information reported? Currently in the management report but this could be changed. Should it be left to Member States to decide?
- Coherence: will we have different disclosure requirements from the different EU pieces of legislation (Non-financial information directive / Regulation on sustainability for asset managers/ CRDIV / upcoming mandatory due diligence requirements)?
- Digitalisation: How to ensure that the disclosures is manageable in a digital format?