CDP and the EFRAG have embarked on a new agreement to enhance the alignment of CDP’s disclosure system with the European Union’s ESRS.
According to ESG Today, in a move that signifies the escalating global expectations for environmental transparency, CDP’s Executive Director for Europe, Maxfield Weiss, highlighted the importance of the collaboration: “With the bar now being raised globally in respect to environmental disclosure, our collaboration with EFRAG will ensure companies preparing to report can do so through CDP. As the only independent global environmental disclosure system, CDP is proud to continue and scale up our role in making best-practice corporate reporting a norm.”
This initiative arrives at a crucial time as the Corporate Sustainable Reporting Directive (CSRD) is set to increase the number of companies mandated to provide detailed sustainability information from roughly 12,000 to over 50,000 by 2024. This directive will also extend to numerous large non-EU businesses with operations within the EU.
Patrick de Cambourg, Chair of the EFRAG Sustainability Reporting Board, spoke to the essence of this collaboration: “Only with robust environmental data can financial markets and other stakeholders identify businesses with credible plans to reduce their impacts so that they thrive in a zero-emissions, nature-positive future.”
CDP’s commitment to synchronise its sustainability reporting questionnaire with the International Sustainability Standards Board’s climate disclosure standards underscores its dedication to streamline the reporting process, making it easier for companies to report on essential environmental matters.
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