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What Do You Require for Correct Climate Reporting?

As a corporate entity, think of the ideal planet that you would want to work in. Most managers and leaders are in agreement that if we are to enjoy this planet as our only home, the problems of global warming and climate change have to be tackled urgently. However, the path to this goal has been bumpy, with efforts such as the Kyoto Protocol and voluntary corporate social sustainability yielding little. Well, we have the last try, and every party, from governments to investors, agrees to the new method: climate reporting. 

The goal of climate reporting is to ensure the planet gets back its lost glory, but how do you go about it? Keep reading to learn about all the things you need for correct climate reporting.

Understanding What Climate Reporting is 

Before you can get started with climate reporting, the first step is determining what it is. This is the disclosure of information about your company’s operations and climate-related impacts. The target is ensuring that your company’s efforts are geared towards helping address the problems of global warming and climate change.

In most cases, climate reporting is part of the greater ESG sustainability reporting efforts by a company. This means that the data you gather, analyze, and report on will not be simply about climate, which falls into the “environmental” category, but also related to the social and governance areas.

Appreciating the scope of the task is crucial in ensuring you prepare appropriately. For example, you need actions at the strategy formulation level, implementation, and reporting, with a focus on accuracy. At this point, you will also be able to establish whether you have the capacity to carry out the process alone or need to work with an agency of experts.

Why is Climate Reporting Important?

The main advantage of climate reporting is to help companies adopt strategies that can help to cut down their carbon footprint. Here are other benefits of climate reporting for your company.

  • Helps to build a stronger and positive brand.
  • Climate reporting comes in handy in helping your company identify challenges and opportunities for success.
  • It is an excellent way to help cut down the cost of operations.
  • Makes it possible to figure out future challenges and prepare for them.
  • It is an excellent way to build better engagement with stakeholders, from employees to investors.
  • Makes it easy for your company to comply with different laws and regulations.

An Appropriate Climate Reporting Framework 

Climate reporting is only possible if you have the right sustainability framework. Depending on your industry, the framework can help you to identify the key performance indicators, metrics, and nature of the final ESG report to stakeholders. It also provides credibility to your efforts, especially where the framework provides ratings against other firms in the same niche.

Here are some of the main frameworks that you should consider:

  • Global Reporting Initiative (GRI).
  • Sustainability Accounting Standards Board (SASB).
  • Integrated Reporting (IR) Framework.
  • Greenhouse Gas Protocol (GHGP).
  • The Task-force on Climate-related Financial Disclosures (TCFD).

Sustainability Management Software for Climate Reporting 

One thing you need to appreciate about climate reporting is that it largely involves dealing with data. After determining the scope of reporting and crafting an appropriate plan, everything else revolves around data and its analysis. For example, how much carbon emission came from scope 2 sources versus scope 1? If you try to work on these parameters manually, it can become pretty challenging.

The better option is working with appropriate ESG reporting software. These apps allow you to stay focused on the ESG plan, collect data at the right intervals, and analyze it along the way. You can even create mini reports to determine the progress of your sustainability efforts. Visit Diginex.com, one of the leading brands in ESG sustainability reporting, for the best programs.

You can also count on their experts for more assistance with climate reporting and optimizing the benefits that come with ingraining sustainability into your organization.

Marco Polo
Marco Polo is the admin of sparebusiness.com. He is dedicated to provide informative news about all kind of business, finance, technology, digital marketing, real estate etc.
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