Analysing your organisation's exposure to climate change risk using the Task Force on Climate-Related Financial Disclosure framework, calculating the financial impact and disclosing it to the financial markets.
"Increasing transparency makes markets more efficient, and
economies more stable and resilient."
— Michael R. Bloomberg, Chair
The Task Force on Climate-Related Financial Disclosures (TCFD) was formed by the Financial Stability Board to develop an understanding of the finance industry’s exposure to climate change risk and provide a framework for disclosing that exposure to the market.
The disclosure framework provides a risk management methodology for companies to determine the financial impact of climate change and ultimately disclose this to the market.
Whilst the TCFD framework was written primarily for the finance industry, it is becoming a de-facto standard by which all companies can disclose their exposure to climate change risk. There is a further risk on non-financial companies that the ability to attract debt or equity may be contingent on appropriate disclosure under the TCFD framework in future.
The TCFD framework provides a solid base from which a climate change strategy can be developed. As with all nascent business areas, the market understands that climate strategy is a journey and as such, a roadmap for implementation is a key outcome of any climate change strategy.
engeco has developed a series of checklists to determine your business’ current state of readiness with regard to climate change strategy, in line with the TCFD framework.
These checklists contain detail on what makes a good climate change strategy, exploring climate strategy in the context of governance, business process integration, stakeholder engagement, communication and technology integration.
engeco has also developed specific climate change risk assessment tools to determine financial impacts of climate change on your business in preparation for disclosure to the market via TCFD framework.
The engeco team has extensive experience in determining the impacts of climate change risk through analysis of value chain emissions and operations, products and markets. engeco consultants also have conducted multiple training courses and written papers on climate risk analysis – in particular exploring the impacts of the TCFD disclosure framework on business.
the 930+ organisations supporting the TCFD, representing a market capitalisation of over $11 trillion.