JUST 37% of the world’s largest 800 companies are reporting complete data on greenhouse gas (GHG) emissions, while even less (21%) have had their data independently verified.
New research from the Environmental Investment Organisation (EIO), a climate change and finance think tank, claims that the level of public disclosure of GHGs is “unacceptably poor”.
This is the last in a series of rankings and reports launched this week by the EIO that examine the GHG reporting and transparency of the 800 largest companies in the world. It follows on from the rankings released earlier in the week covering the 300 largest companies in Europe, North America, the Asia-Pacific region and BRICS countries, as well as a UK 100 Ranking.
The other key finding of the Report is that only one company in the Global 800 Ranking fully reports emissions across its entire value chain. Scope 3 (value chain) emissions include GHGs from sources not owned or directly controlled by the company but over which it has influence. It includes categories such as business travel, transportation and distribution, and investments.
“This ought to be a wakeup call for companies,” said EIO CEO Sam Gill. “Since the majority of total corporate emissions often come from Scope 3 sources, large quantities of emissions are not being accounted for. Not only could this be a source of unmeasured risk for companies but it also means we are not getting the full picture in terms of corporate emissions.”
The UK’s largest companies will, from this year, have to report their carbon emissions.
The European Commission, meanwhile, recently proposed changes to accounting laws which could see environmental and social impacts published alongside traditional financial results.