Calls for carbon reporting to be strengthened

5th April 2016

Related Topics

Related tags

  • Adaptation ,
  • Mitigation ,
  • Reporting ,
  • Business & Industry


Matthew Shepherd

The government should strengthen mandatory carbon reporting now that it has pledged to retain it, business and investor organisations have said.

The regulation, introduced in 2013, requires all quoted companies to report greenhouse-gas (GHG) emissions. The government had threatened to scrap it as part of a review of business energy efficiency taxes due to a desire to create a more simplified reporting system.

Although continued disclosure of emissions was supported by the energy and climate change department and the Treasury, the business department (BIS) wanted to remove it to reduce the regulatory burden on business, sources said. But, in a document released alongside the Budget, the Treasury said the regulation would be retained.

The creation of a taskforce to develop recommendations for the G20 on disclosure of climate-related risk, announced by Bank of England governor Mark Carney at the Paris climate talks, was ‘definitely one of the reasons’ the government changed its mind on the issue, according to Paul Simpson, chief executive of the CDP.

Pressure also came from businesses and organisations including IEMA, the Aldersgate Group and the Institutional Investors Group on Climate Change. They wrote to chancellor George Osborne stressing the value of disclosure.

‘It’s great that the government is listening to corporations and investors. Normally it is driven by ideology,’ Simpson said.

Changes to the reporting obligations could come through either a Treasury consultation later this year on a single energy and carbon reporting system for business or a current consultation by BIS on non-financial reporting, which will close on 15 April.

Michael Zimonyi, senior project officer at the Climate Disclosure Standards Board, said the current GHG reporting requirement should be expanded by clarifying what firms should report, so investors can compare data from different companies.

Kate Levick, director of policy and regulation at the CDP, said qualitative information, such as exposure to climate change-related risk, should be included.

The Treasury also outlined proposals for a single reporting framework, the detail of which will be consulted on later this year. It plans to abolish the carbon reduction commitment from 2019, and integrate the compliance and reporting requirements of climate change agreements, the energy savings opportunity scheme and the EU emissions trading system.


Subscribe to IEMA's newsletters to receive timely articles, expert opinions, event announcements, and much more, directly in your inbox.

Transform articles

SBTi clarifies that ‘no change has been made’ to its stance on offsetting

The Science Based Targets initiative (SBTi) has issued a statement clarifying that no changes have been made to its stance on offsetting scope 3 emissions following a backlash.

16th April 2024

Read more

While there is no silver bullet for tackling climate change and social injustice, there is one controversial solution: the abolition of the super-rich. Chris Seekings explains more

4th April 2024

Read more

One of the world’s most influential management thinkers, Andrew Winston sees many reasons for hope as pessimism looms large in sustainability. Huw Morris reports

4th April 2024

Read more

Alex Veitch from the British Chambers of Commerce and IEMA’s Ben Goodwin discuss with Chris Seekings how to unlock the potential of UK businesses

4th April 2024

Read more

Regulatory gaps between the EU and UK are beginning to appear, warns Neil Howe in this edition’s environmental legislation round-up

4th April 2024

Read more

Five of the latest books on the environment and sustainability

3rd April 2024

Read more

Ben Goodwin reflects on policy, practice and advocacy over the past year

2nd April 2024

Read more

In 2020, IEMA and the Institute and Faculty of Actuaries (IFoA) jointly wrote and published A User Guide to Climate-Related Financial Disclosures. This has now been updated to include three key developments in the field.

2nd April 2024

Read more

Media enquires

Looking for an expert to speak at an event or comment on an item in the news?

Find an expert

IEMA Cookie Notice

Clicking the ‘Accept all’ button means you are accepting analytics and third-party cookies. Our website uses necessary cookies which are required in order to make our website work. In addition to these, we use analytics and third-party cookies to optimise site functionality and give you the best possible experience. To control which cookies are set, click ‘Settings’. To learn more about cookies, how we use them on our website and how to change your cookie settings please view our cookie policy.

Manage cookie settings

Our use of cookies

You can learn more detailed information in our cookie policy.

Some cookies are essential, but non-essential cookies help us to improve the experience on our site by providing insights into how the site is being used. To maintain privacy management, this relies on cookie identifiers. Resetting or deleting your browser cookies will reset these preferences.

Essential cookies

These are cookies that are required for the operation of our website. They include, for example, cookies that enable you to log into secure areas of our website.

Analytics cookies

These cookies allow us to recognise and count the number of visitors to our website and to see how visitors move around our website when they are using it. This helps us to improve the way our website works.

Advertising cookies

These cookies allow us to tailor advertising to you based on your interests. If you do not accept these cookies, you will still see adverts, but these will be more generic.

Save and close