Date of Publication: January 16, 2020

Author: Mike Hayes

Summary:

CEO’s surveyed for KPMG’s 2019 Outlook put climate change at the top of their risk list for the first time ever. The Task Force on Climate Related Financial Disclosures (TCFD) was created in 2015 and has been an important driver to push business leaders to consider climate change as a fiancial risk rather than just a corportate social responsibility. Despite being able to raise corporate awareness of climate risk and more environmental reporting, it has come to question as whether or not this is an adequate amount of effort put in by corporations to take on the climate crisis. The TCFD started as a disclosure framework and has become a business management framework to help companies identify the scope of their climate risks and develop effective resillience strategies. Investors and lenders will soon demand the financial quantifications of climate risk. This has been made evident through the recent multi-billion dollar write-down of fossil fuel assets by an oil and gas major. Corportations should prepare for changes in financial systems as banks and nations grow more alert about climate change.

Link to Full Reading:

https://www.weflive.com/story/10c4d99ff2fa4ad195dd3c8dfd4528a5