Explainers

In September 2023, the Taskforce on Nature-related Financial Disclosures (TNFD) published its final Recommendations for businesses and financial institutions to disclose material interactions with nature. This briefing, produced by the Climate Governance Initiative, explains what these recommendations mean for you as a board director and key questions to ask in the boardroom.

In 2023, Chapter Zero organised a series of two roundtables for Audit Committee Chairs and members in partnership with Accounting for Sustainability (A4S) to explore forward planning, effective communication, and an understanding of emerging requirements for Audit Committees to drive climate action on boards.  With expert input from A4S, the first session focused on external reporting requirements and internal audit and assurance controls. These are two key topics that continue to evolve and are critical for Audit Committees to keep ahead of, and you can find the key session takeaways below.

TCFD guidance on scenario analysis.

Chapter Zero partnered with Accenture in 2023 to deliver a masterclass exploring the future of supply chains. We have summarised here the key takeaways from the session.

In 2023, Chapter Zero partnered with McKinsey for a three-part event series that explored the impact non-executive directors (NEDs) can have in the boardroom to help their organisations achieve net zero. The second session, held on 21 September, explored how non-executive directors can navigate the net zero transition to shape and implement credible climate strategies. We have summarised below the key takeaways of this event.

Scenario models have formed a substantive part of managing financial risk for years. WTW look at how climate impacts – and transition - bring new subtleties to the way organizations and governments understand and use them.

Chapter Zero partnered with Freshfields and the Centre for Climate Engagement in 2023 to explore key climate-related legal questions with non-executive directors from across the UK, especially in the context of transition planning. Below is a summary of the first session, which focused on legacy business and risks.

COP refers to the United Nations’ annual conference on climate change. Its 28th meeting (COP28) is scheduled to begin November 30, 2023, in Dubai, United Arab Emirates. McKinsey explains the background and significance.

The Climate Governance Initiative has published the third edition of the Primer on Climate Change: Directors’ Duties and Disclosure Obligations. Produced with the Commonwealth Climate and Law Initiative and covering 31 countries and the EU, it outlines the general climate obligations for board directors.

Net zero is a corporate norm, with almost two-thirds (65%) of the annual revenue of the world’s largest 2000 companies now covered by a net zero target. Net Zero Tracker looks at the published targets at 12 June 2023.

This briefing, produced by the Climate Governance Initiative, explores and discusses the context of the proposed SEC climate disclosure rule, the current status and likely next steps, and provides key questions for board directors to ask their boards in relation to it.

A briefing from Rethinking Capital and the Centre for Climate Engagement on applying normative accounting for intangibles in net zero transition decision governance and reporting.