Globe Climate: It’s time to iron out climate-related disclosure

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Globe Climate: It’s time to iron out climate-related disclosure
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There have been many calls for a universal approach to replace the dizzying array of reporting standards for companies in this country

On climate-specific data, the world has coalesced around the Financial Stability Board’s Task Force on Climate-related Financial Disclosures as the standard template for disclosing emissions and analyzing the risks to businesses from global warming.

Under one option, companies would be required to disclose scope 1 emissions, or those from sources owned or controlled by the company; scope 2, or indirect emissions from the purchase of power, heat or steam; as well as scope 3, or indirect emissions created, for example, when consumers use a product. The latter is the most difficult to quantify.

Early this month, the Institute for Sustainable Finance at Queen’s University’s Smith School of Business issued a reportto stay competitive with Europe, and it noted many business leaders have called for standardized reporting.

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