TCFD Climate Risk Disclosure
TCFD Reporting & Climate Risk Disclosure
Get ahead of climate disclosure mandates. ECG supports TCFD-aligned reporting to manage risk and meet investor and regulatory demands.
The Task Force on Climate-Related Financial Disclosures (TCFD) framework has become the world’s foremost guide for reporting on climate-related financial risks and opportunities. As climate disclosure moves from voluntary to mandatory across the globe, aligning with TCFD is essential for resilient business strategy and regulatory compliance. ECG offers expert support to help companies of all sizes optimize their climate governance and prepare disclosures that meet the rigorous TCFD recommendations.
The Evolution of TCFD: From Voluntary to Mandatory
Originally established in 2015, the TCFD’s recommendations have been rapidly adopted and are now foundational to new regulations worldwide.
- Global Mandates: G7 countries have agreed to move toward mandatory TCFD-aligned disclosures. Jurisdictions like the UK and the European Union (via the CSRD) have already made it a requirement.
- Integration into ISSB: The TCFD framework has been fully incorporated into the new global reporting standards from the IFRS Foundation’s ISSB (IFRS S1 and IFRS S2). This means TCFD is now the global baseline for climate-related financial reporting.
- SEC Alignment: The proposed rule on climate-related disclosures from the U.S. Securities and Exchange Commission (SEC) also aligns strongly with the TCFD framework.
Why TCFD is Crucial for Your Business
- Strengthen Climate Governance: TCFD recommendations provide a clear structure for establishing robust governance around climate issues, helping you better understand and manage your exposure.
- Proactive Risk Management: The framework assists companies in identifying, assessing, and managing the physical and transition risks that could impact financial performance.
- Meet Investor Demands: TCFD provides a consistent reporting framework that allows investors, lenders, and rating agencies to access the comparable information they need for informed decision-making.
ECG offers dedicated support to help your company navigate this landscape, strengthen your sustainability governance structures, and prepare for full regulatory compliance with the TCFD framework and its associated standards.