acca-采掘公司气候变化风险相关披露——后续报告（英）-2021.8-14页_991kb

Summary of Climate Change Risk-Related Disclosures in Extractive Companies – A Follow-Up Report

Core Content

This report, published by ACCA in collaboration with the University of Glasgow, evaluates the progress of climate change risk-related disclosures in the annual reports of extractive companies, comparing the 2019 and 2020 findings. The study focuses on the front-end (management report) and back-end (financial statements) disclosures, highlighting the growing recognition of climate change risks in the former and the lack of alignment in the latter.

Main Points

Sample and Methodology

• The study includes 47 companies from around the world (down from 60 in 2019 due to the absence of 13 companies whose reports were not yet available).
• Companies are categorized into three sectors: Oil, gas and coal (26 companies), Iron and steel (6 companies), and General mining and other metals (15 companies).
• The study is limited to companies using IFRS or national standards based on IFRS, excluding US-based companies.
• A smaller sample of 7 London-listed oil, gas, and coal companies was also analyzed to assess broader trends.

Front-End Disclosures

• 68% of possible climate-related disclosures were made in the front end of the 2020 reports, up from 52% in 2019.
• Improvements were most notable in:
  • Scenario analysis (from 23% to 53%).
  • Integration of climate change into the business model (from 60% to 83%).
  • Reference to international climate initiatives (from 25% to 45%).
• Despite progress, only half of the large companies provided scenario analysis, and under half linked climate-related KPIs to executive remuneration.
• Only one-third of the companies had made a commitment to follow the TCFD recommendations.
• Smaller hydrocarbon companies lagged significantly, with only 25% of possible climate-related disclosures, and Saudi Aramco made no disclosures at all.

Back-End Disclosures

• There was little change in back-end disclosures, with 27% of possible climate-related disclosures in the 2020 financial statements, similar to 26% in 2019.
• Climate change was not referenced in assets' useful lives or depletion, provisions and contingencies, or impairments.
• Some improvements were noted:
  • Climate change was included in judgements and estimation uncertainty in 6% of impairment tests (up from 18% in 2019).
  • Climate change was identified as a key audit matter in 21% of reports (up from 15% in 2019).
• Smaller hydrocarbon companies made 13% of possible climate-related disclosures in the back end, which is half that of the larger companies.
• None of the possible matters were disclosed in Saudi Aramco's accounts.

Key Findings

• Front-end reporting has improved significantly, with companies increasingly addressing climate change in their business models and scenario analyses.
• Back-end reporting remains underdeveloped, with limited integration of climate risks into financial statements.
• TCFD recommendations are being adopted by some companies, but not widely.
• Smaller companies and Saudi Aramco are notably lacking in climate-related disclosures.

Recommendations

• Companies should ensure more complete climate risk reporting, particularly in financial statements.
• Investor pressure is a key driver of improved front-end disclosures and is likely to continue.
• Regulators should require listed companies to adopt and comply with TCFD recommendations, including those on alternative markets like AIM.
• Standard setters (e.g., IFRS Foundation and IASB) should develop widely accepted standards for climate change reporting in financial statements.
• Auditors should provide assurance on sustainability reports, as proposed by the EU.
• Smaller companies need to make greater strides in climate-related disclosures to align with sector-wide trends.

Conclusion

While there has been a step change in the front-end climate change risk disclosures among extractive companies, the back-end financial statements still lack comprehensive integration of climate change impacts. This gap highlights the need for more robust and aligned reporting standards, regulatory requirements, and investor engagement to ensure that financial disclosures reflect the full extent of climate change risks.