and report at least their Scope 1 and 2 emissions . And that is a significant impact – just being able to pull the data together is a big undertaking .
If the SEC had gone so far as to include Scope 3 , that would ’ ve been a massive transformation for the industry . But even so , scope one and two requires a lot of sources of data . It requires a lot of data mastery . It requires a lot of data transparency and auditability , which many organisations today just don ’ t have .
I think the research has shown that most organisations understand that at some point there will be an impact on their business from climate change . I think most people see that as kind of something far out and they maybe don ’ t totally understand what that impact may be . But by forcing that reporting ,
I think that it ’ s a first step in what will be increased transparency around the risk and the contribution as it relates to sustainability for organisations .
Q . TO WHAT EXTENT DO YOU THINK THE INDUSTRY WILL PLAY BALL ON THIS ?
» Well , I think they have to , unless they ’ re willing to accept the fines and the reputational risk . And I think reputational risk is a real risk . It ’ s a very complex environment . There ’ s lots of regulations on the horizon and the regulatory environment is going to remain extremely dynamic .
To the extent that you can start to get a better handle on your data , better mastery of the data , better transparency and auditability in the data , that will help
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