Featured Product

    EC Proposes to Amend Guidelines on Climate-Related Disclosures

    February 21, 2019

    EC proposed to update the non-binding guidelines on reporting of climate-related disclosures, under the Non-Financial Reporting Directive (2014/95/EU). The consultation proposes ways to assess how climate change can impact the financial performance of companies as well as how companies can have positive and negative impact on the climate. Annex 1 of the proposed guidelines contains additional sector-specific disclosures meant for banks and insurance companies. The consultation period ends on March 20, 2019. EC intends to publish the final version of the guidelines by the end of June 2019.

    These guidelines propose climate-related disclosures for each of the five reporting areas listed in the Non-Financial Reporting Directive—that is, business model, policies and due diligence, outcome of policies, risks and risk management, and key performance indicators. The Non-Financial Reporting Directive requires large public interest entities with over 500 employees (listed companies, banks, and insurance companies) to disclose certain non-financial information. As required by the Directive, EC published non-binding guidelines to help companies disclose relevant non-financial information in a more consistent and more comparable manner. The proposed disclosures are divided into two types:

    • Type 1: Disclosures that a company should consider if climate-related information is necessary for an understanding of its development, performance, position, and impact of its activities.
    • Type 2: Additional disclosures that companies may consider to provide more enhanced information. The decision on whether or not to use the type 2 disclosures is likely to depend on, among other factors, the size of climate-related risks and opportunities that the company identifies.

    Once finalized, the new guidelines on climate reporting will supplement the existing non-binding guidelines on non-financial reporting that EC published in 2017. They are intended for use by companies that fall under the scope of the Non-Financial Reporting Directive (2014/95/EU). The consultation builds on the report published in January by the Technical Expert Group on Sustainable Finance and on stakeholder responses to the call for feedback on that report. As part of the Sustainable Finance Action Plan, EC had committed to updating the non-binding guidelines on non-financial reporting, specifically with regard to the reporting of climate-related information.

     

    Related Links

    Comment Due Date: March 20, 2019

    Keywords: Europe, EU, Banking, Insurance, Sustainable Finance, Non Financial Reporting, Action Plan, Non-Binding Guidelines, Disclosures, EC

     

    Featured Experts
    Related Articles
    News

    BCBS Amends Guidelines on Sound Management of AML/CFT Risks

    BCBS amended the guidelines on sound management of risks related to money laundering and financing of terrorism (ML/FT).

    July 02, 2020 WebPage Regulatory News
    News

    EBA Guidelines on Treatment of Structural Foreign Exchange Under CRR

    EBA finalized the guidelines on treatment of structural foreign-exchange (FX) positions under Article 352(2) of the Capital Requirements Regulation (CRR).

    July 01, 2020 WebPage Regulatory News
    News

    FSB Issues Statement on Impact of COVID-19 Crisis on Benchmark Reform

    FSB published a statement on the impact of COVID-19 pandemic on global benchmark transition.

    July 01, 2020 WebPage Regulatory News
    News

    IAIS Publishes List of Internationally Active Insurance Groups

    IAIS published the list of Internationally Active Insurance Groups (IAIGs) publicly disclosed by group-wide supervisors.

    July 01, 2020 WebPage Regulatory News
    News

    FED Temporarily Revises FR Y-9C With Respect to PPPLF and CARES Act

    FED has temporarily revised the reporting form on consolidated financial statements for holding companies (FR Y-9C; OMB No. 7100-0128).

    July 01, 2020 WebPage Regulatory News
    News

    EC Launches Consultation on Review of Solvency II Directive

    EC launched a consultation on the review of the key elements of Solvency II Directive, with the comment period ending on October 21, 2020.

    July 01, 2020 WebPage Regulatory News
    News

    ECB Consults on Supervisory Approach to Consolidation in Banking

    ECB launched a consultation on the guide that sets out supervisory approach to consolidation projects in the banking sector.

    July 01, 2020 WebPage Regulatory News
    News

    PRA Letter Sets Expectations on Approach to Managing Climate Risks

    PRA published a letter that builds on the expectations set out in the supervisory statement (SS3/19) on enhancing banks' and insurers' approaches to managing the financial risks from climate change.

    July 01, 2020 WebPage Regulatory News
    News

    US Agencies Finalize Amendments to Swap Margin Rule

    US Agencies (Farm Credit Administration, FDIC, FED, FHFA, and OCC) finalized changes to the swap margin rule to facilitate implementation of prudent risk management strategies at banks and other entities with significant swap activities.

    July 01, 2020 WebPage Regulatory News
    News

    IAIS on Package for 2020 Data Collection on ICS and Aggregation Method

    IAIS published technical specifications, questionnaires, and templates for 2020 Insurance Capital Standard (ICS) and Aggregation Method data collections.

    June 30, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5425