TCFD Report Playbook

Rapidly enhancing the comprehensiveness, consistency and comparability of climate-related disclosures is a critical near-term imperative for financial institutions, corporates, regulators and governments. EY shares a framework.

The recommendations and guidance of the Task Force on Climate-Related Financial Disclosures (TCFD) provide a globally recognised framework for organising and delivering climate-related disclosures by corporates and financial institutions. However, in the three years since the release of the TCFD, organisations have made limited progress in their efforts to enhance the breadth and depth of their climate-related disclosures.

EY developed this TCFD Playbook to serve as a resource for firms at different stages of their journey toward fully-aligned and comprehensive TCFD reporting.

Key sections include:

• Governance - The governance disclosure should make it clear to all key stakeholders and other interested parties the commitments the institution has made and how they intend to realise them. This should include a discussion of how both the Board and management will address climate-related risks and opportunities.

• Strategy - The strategy pillar is intended to provide important insight to the type, magnitude and time horizon of climate-related exposures. It is also expected to provide information on the nature and potential impact of the risks and opportunities associated with the exposures.

• Risk Management - The risk management disclosures address how the enterprise identifies, measures, monitors, manages and reports climate-related risks. They provide important insight to how the climate-related risks are integrated within the firm-wide risk management framework.