Record of more than 23,000 global companies
– including listed companies representing more than two thirds of the market capitalization
– environmental data declared via the CDP in 2023
The United States, China, Japan, the United Kingdom and Germany lead the way as the countries with the most disclosing companies.
The data obtained through disclosure is essential for tracking progress against the Paris Agreement and the first Global Stocktake, which is expected to conclude at COP28.
New CEO Sherry Madera shares CDP’s plans for its new, scalable platform as demand for environmental data grows and ahead of regulation
SINGAPORE – Media OutReach – October 18, 2023 – Companies are reporting their environmental data in record numbers, with more than 23,000 companies – including listed companies worth US$67 trillion (over 66% of global market capitalization) – disclosing them through the CDP in 2023, with the urgency for global climate action in what is set to be the hottest year on record.
This represents a 24% increase in the number of companies that disclosed information in 2022 and an increase of more than 300% through CDP, the global non-profit organization that manages the global environmental disclosure system for companies , cities, states and regions, since the signing of the agreement. the Paris Agreement in 2015.
The positive global trend toward corporate transparency and accountability continues, with companies reporting through CDP based around the world, representing tens of thousands of subsidiaries and divisions, and hundreds of thousands of facilities.
Most countries saw an increase in the number of reporting companies, including a considerable increase in Asia, where the Republic of Korea and Cambodia more than doubled the number of reporting companies since the previous year. The United States, China and Japan remain the top three reporting countries.
However, while reporting in three key areas increased – on climate change, water security and deforestation – only 1% of companies published reports on all three areas, highlighting the need to enable better disclosure on nature.
Disclosures from cities, states and regions have so far reached more than 1,100 in nearly 100 countries. Reflecting the global reach of CDP’s subnational work, this covers cities from Austin to Auckland, as well as states and regions on every continent, such as Latin America, where almost 90% of the Brazilian Amazon is covered by regions under the CDP. CDP-ICLEI Track, the leading global climate reporting platform for cities, and CDP’s disclosure platform for states and regions remain open for 2023 disclosure.
Sherry Madera, Executive Director of the CDP, said: “With more than 23,000 companies disclosing their information through CDP this year, it’s clear that sustainability – and the data behind it – is not a ‘nice to have’, but a essential to long-term success in the business world that shows no signs of success. sign of slowing down – nor should it be.
“IPCC forecasts of the global climate trajectory are bleak in what is set to be the hottest year on record. To take decisive action for the future of our planet, we need organizations to measure and manage where they are on their sustainability journey. through disclosure.
“Without data, we lack accountability. This accountability is vital and timely, especially in the run-up to COP28 in Dubai, which will give rise to the first Global Stocktake.
BBC Group Senior Sustainability Manager Michelle Papayannakos said:
“The CDP has really helped the BBC engage internally on climate change, increasing our maturity as an organization and providing a robust assessment of our current activities.
“The CDP is also a critical part of our supply chain decarbonization strategy, asking our top 450 suppliers to also disclose that it has improved engagement, data transparency and, most importantly, It has had a ripple effect in terms of development and action against climate change.
As the global mandatory disclosure landscape expands, CDP is committed to aligning with the global benchmark for climate-related financial disclosure provided through the ISSB Standards to support businesses and reduce the burden reporting, and ensure that investors and regulators have access to the data they need. depending on regions and regulatory requirements.
Already aligned with the TCFD recommendations, the 2024 CDP questionnaire will align with the ISSB climate disclosure standard (IFRS S2) and, from next year, will begin to reflect the TNFD framework, further encouraging of companies to report on issues related to climate and nature. CDP also committed to reflecting the upcoming SEC climate disclosure rule and European sustainability reporting standards in its disclosure system.
Emmanuel Faber, President of the ISSB, said: “The demand from global financial markets for robust, consistent and accurate climate information is higher than ever, and with it the need for an easy-to-navigate disclosure ecosystem for companies.
“CDP’s work towards alignment with IFRS S2 is incredibly welcome and timely, as it will further ease the reporting burden for thousands of businesses, bringing us closer to a common language for reporting. provide, while improving the consistency of climate-related information for businesses. ”
Sherry Madera continues: “CDP recognizes its unique role and responsibility to accelerate action andIt has been the driving force behind collecting primary environmental data from organizations for over 20 years.
“As the demand for sustainability data becomes increasingly intense and complex for organizations to negotiate, we have the expertise to prepare organizations – large and small – to meet the needs of their stakeholders. That’s why in 2024 we will make it easier and faster to disclose and access data, through a new framework on a new and improved technology platform.
“These enhancements will enable CDP to continue to push the boundaries in environmental reporting and help organizational leaders make an impact on their business and the planet.
Notes to editor
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The issuer is solely responsible for the content of this announcement.