<
https://reneweconomy.com.au/bill-passes-to-force-big-australian-companies-to-report-on-climate-impacts-and-risks/>
"Compulsory climate reporting for businesses will bring Australia in line with
trading partners and support investment, experts say.
The largest companies and financial institutions must provide greater detail on
how climate change is affecting strategy and key business decision under
amendments to the Corporations Act that have passed the Senate.
Mandatory disclosure of climate and nature-related risks will be a critical
pillar of Australia’s climate response and an important way for companies to
adjust, the Carbon Market Institute’s chief executive said on Friday.
“It provides transparency to investors, regulators and stakeholders to better
understand corporate climate risks and opportunities leading to more investment
in clean industry,” John Connor said.
Climate change risks were financial, deeply embedded across the economy and a
significant challenge for companies and investors including super funds, the
Australian Council of Superannuation Investors said.
“This very welcome development sees Australia follow other jurisdictions around
the world,” the council’s CEO Louise Davidson said.
The legislation also signals the clear role of investors, companies and the
broader market in decarbonisation, she said.
“We expect it to drive transparency in Australia’s largest companies and lift
the standards and content across the market,” she said.
Physical climate-related risks are associated with higher global temperatures
and the impact of a warmer climate, including more frequent and severe
weather-related events or longer-term shifts in climatic patterns.
There are also transition risks associated with the market, regulatory and
technological changes brought on by efforts to mitigate climate change.
Directors who fail to properly model, manage and disclose the risks could be
held liable for breaching their legal duties."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
