Consultation opens on reporting climate-related business financial risks

Minister for Climate Change James Shaw has announced the start of public consultation on a new regime that would require companies to assess and report their climate-related financial risks

This is an important component of the Government’s Climate Action Plan and will ensure that companies understand and disclose how climate change will impact both their business and investments.

“A range of organisations, including the Insurance Council of New Zealand, Z Energy and Meridian Energy have suggested that a mandatory regime is needed to ensure consistent, long-term and comparable reporting of climate risk.”

“Climate change not only presents physical risks to Aotearoa New Zealand, but increasingly presents financial risks to a large number of our businesses,” said James Shaw.

“The ability for businesses to understand these risks and therefore act upon them will assist New Zealand’s long-term transition to a low-emissions country.”