<\/p>\n\n\n\n
Wellington (AFP) – New Zealand has become the first country in the world to passed a legislation that will ensure financial organisations disclose and ultimately act on climate-related risks and opportunities, official said.<\/p>\n\n\n\n
In a statement, the country\u2019s Commerce and Consumer Affairs Minister Dr David Clark and Climate Change Minister James Shaw said the new law has passed by the parliament on Thursday.<\/p>\n\n\n\n
\u201cFinancial services and markets play an important role in New Zealand\u2019s transition to a clean, green and carbon-neutral future,\u201d David Clark said.<\/p>\n\n\n\n
\u201cThis Bill will require around 200 of the largest financial market participants in New Zealand to disclose clear, comparable and consistent information about the risks, and opportunities, climate change presents to their business. In doing so, it will promote business certainty, raise expectations, accelerate progress and create a level playing field,\u201d David Clark explained.<\/p>\n\n\n\n
James Shaw said the legislation was one of a number of actions the Government is taking to meet its international obligations and achieve the 2050 emissions targets required by the Climate Change Response Act 2002.<\/p>\n\n\n\n
\u201cClimate-related disclosures will bring climate risks and resilience into the heart of financial and business decision making. It will encourage entities to become more sustainable by factoring the short, medium, and long-term effects of climate change into their business decisions,\u201d James Shaw said.<\/p>\n\n\n\n
\u201cNew Zealand is a world-leader in this area and the first country in the world to introduce mandatory climate-related reporting for the financial sector. We have an opportunity to pave the way for other countries to make climate-related disclosures mandatory,\u201d James Shaw said.<\/p>\n\n\n\n
Once passed, disclosures will be required for financial years beginning in 2023, subject to the publication of climate standards from New Zealand\u2019s independent accounting standard setter, the External Reporting Board (XRB).<\/p>\n\n\n\n
The XRB\u2019s climate standards will be based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) on Governance, Risk Management, Strategy, and Metrics and Targets. The recommendations are widely acknowledged as international best practice.<\/p>\n\n\n\n
The XRB released its first consultation document focussing on Governance and Risk Management for the proposed climate-related disclosure reporting standards on 20 October 2021. Consultation on standards for the Strategy, and Metrics and Targets will follow.<\/p>\n\n\n\n
\u201cWe encourage reporting entities to actively engage with the XRB in the consultation process. Your feedback, be they concerns or suggestions, will help contribute to the development of climate standards that are fit for Aotearoa New Zealand,\u201d David Clark said.<\/p>","protected":false},"excerpt":{"rendered":"
Wellington (AFP) – New Zealand has become the first country in the world to passed a legislation that will ensure financial organisations disclose and ultimately act on climate-related risks and opportunities, official said. In a statement, the country\u2019s Commerce and Consumer Affairs Minister Dr David Clark and Climate Change Minister James Shaw said the new […]<\/p>","protected":false},"author":6,"featured_media":675,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[80,396,6],"tags":[859,860,92],"class_list":["post-1798","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-asia","category-latest","category-world","tag-climate-law","tag-david-clark","tag-new-zealand"],"_links":{"self":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts\/1798"}],"collection":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/comments?post=1798"}],"version-history":[{"count":0,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts\/1798\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/media\/675"}],"wp:attachment":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/media?parent=1798"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/categories?post=1798"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/tags?post=1798"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}