On 13 February, the WFE submitted its response to the Financial Stability Board’s Task Force on Climate-related Financial Disclosures Report Consultation.
The Task Force published a set of disclosure recommendations (“Recommendations”) for public consultation in mid-December 2016 - designed to enhance the availability of relevant climate information - and requested responses back by 12 February 2017.
The WFE response, prepared with input from members of the WFE Sustainability Working Group (SWG), commendED the Task Force for its work, noting the Recommendations should contribute positively to achieving greater certainty about what climate-related information preparers of financial information (companies themselves) should disclose.
In the interests of enhancing the quality and availability of climate-related disclosure, the WFE made four overarching suggestions to the Recommendations:
1. Place climate-related disclosures within the context of broader environmental, social and governance (ESG) disclosure.
2. Allow for a phased approach to implementation of the Recommendations.
3. Make the case more clearly to the preparers of disclosure information.
4. Articulate the scope of the Recommendations, and the cost-benefit challenge, more clearly.