ESG & Investing
Firms Are Ignoring Financial Risks of Emissions, Study Finds
- Companies with biggest CO2 footprints aren’t reporting risks
- Study comes as global leaders prepare for COP27 climate summit
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Companies in industries with the biggest carbon footprints aren’t reporting how their emissions feed into financial risk, according to an analysis of corporate reports by the Carbon Tracker Initiative.
The nonprofit, which looked at 134 financial statements from last year in sectors spanning fossil fuels, mining, manufacturing, automotive and technology, found that almost all failed to consider the financial impact of climate change. Auditors are generally also ignoring the financial risks of emissions, according to the study published on Thursday.