Climate Governance Initiative

Joint Submission on the International Financial Reporting Standards (IFRS)

18 December 2020

Consultation response

Climate change is a global emergency. To achieve the goal of limiting global average temperature increases to 1.5°C above pre-industrial levels and achieve net-zero carbon emissions by 2050, the members of the G20 which between them make up 78 percent of global GHG emissions will need to increase their ambitions and investments by factors of five to 100-fold, depending on the types of technology needed. This places an unprecedented responsibility onto the shoulders of business decision-makers, including the non-executive board directors whose oversight processes and decisions ultimately shape business strategy.


In support of those responsible for governance on corporate boards in the G20 and beyond, the Climate Governance Initiative, a global project launched in collaboration with the World Economic Forum, has been established with the aim of mobilising non-executive directors to put climate change at the heart of their companies’ business strategies. The Initiative has been expanding internationally by creating locaI forums or “Chapters” for non-executive directors (NEDs), often known under the name of Chapter Zero.

The core mission of the Initiative is to promote the implementation of the Climate Governance Principles, a set of comprehensive and ambitious best practice standards developed to guide board behaviour, by providing a range of engagement opportunities aimed at enhancing their skills in this area. Each national Chapter works within its respective country as well as across borders to share knowledge and promote climate action, both at company-specific and systems level.

The member Chapters of the Initiative have collectively responded to this consultation, giving our strong support to the IFRS Foundation taking the lead in setting an international standard on sustainability.
 

Read the joint submission


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