Latest Updates

Latest climate-related disclosures news, presentations, and publications.

16 March 2022

New Zealand a step closer towards Climate reporting 

Today, the External Reporting Board has released the second part of the Climate-related Disclosure standards for public consultation. This release focuses on Strategy, and Metrics and Targets which combined, outline how entities need to assess current and future climate risks and opportunities and report on corresponding financial implications. 

“These are challenging but critical topics that will require reporting entities to think about developing and implementing new processes,” says XRB Board Chair Michele Embling. 

The Strategy section looks at the impacts of climate risks and opportunities on an entity’s business model, strategy and financial planning over the short, medium, and long term, including actual and potential financial impacts.  

“Entities will need to look at various possible future scenarios and test the resilience of their business model and strategy to form a realistic picture of potential future performance.  

The proposed Targets and Metrics section details how entities will report on measuring and managing climate risks and opportunities.  

“These disclosures will mean information users, such as investors, will have sight of an entity’s potential risk-adjusted returns, their ability to meet financial obligations, and have a good idea of how they are managing or adapting to climate risks and opportunities.” Added Ms Embling 

The FMA, who are responsible for compliance and enforcement of the reporting regime, has signalled realistic expectations in its implementation approach. 

“We recognise that reporting entities won’t achieve perfection on day one, so our compliance expectations will be focused on supporting entities to meet the new reporting requirements”, said FMA Acting Director of Capital Markets Paul Gregory.  

Development of the climate reporting standards follows the announcement in 2020 to introduce a mandatory reporting regime for key New Zealand companies including large, listed issuers and financial sector entities.  

 

Consultation closes 13 April.

See the consultation document here. 

View the launch slides here.

Media contact: Emily.marden@xrb.govt.nz  0274140340


Previous Updates

First ever Climate change-related disclosure consultation begins

First ever Climate change-related disclosure consultation begins

20 October 2021

The External Reporting Board (XRB) today began consultation with business on the first part of the Government’s proposed climate-related disclosure standards.

Read more...

Emerging Questions

Emerging Questions

30 August 2021

As we finalise the first consultation paper on Governance and Risk Management (to be released on 20 October), work is also underway on the more complex Strategy and Targets & Metrics sections of the disclosure standards.   

Read more...

Second update on Parliamentary process

Second update on Parliamentary process

26 August 2021

Select Committee has reported back on its recommendations for the Financial Sector (Climate-related Disclosures and Other Matters) Amendment Bill.

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Update on Parliamentary process

Update on Parliamentary process

8 July 2021

The Financial Sector (Climate-related Disclosures and Other Matters) Amendment Bill is making its way through Parliament and is currently at Select Committee stage. 

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XRB appoints Climate Policy expert to lead disclosure work

XRB appoints Climate Policy expert to lead disclosure work

17 June 2021

Today Chief Executive of the External Reporting Board, April Mackenzie, has announced the appointment of Dr Amelia Sharman as Director of Climate Reporting. 

Read more...