The REP Wrap: GRI update, UN makes latest estimates on emissions gap

Your weekly summary of corporate sustainability news.

The Global Reporting Initiative (GRI) has officially published its draft Climate Change and Energy Standards for consultation. In the updated rules, GRI asks organisations to report on the impacts of their climate transition and adaptation plans on other key areas for sustainable development, such as workers and biodiversity.   

The UN Environment Programme’s latest annual Emissions Gap Report estimates that meeting the goals of the Paris Agreement will require emissions reductions of at least 28% and 42%, respectively, compared with current policy scenarios. The influential report’s latest iteration is subtitled: ‘Broken Record: Temperatures hit new highs, yet world fails to cut emissions (again)’.

Two new Delegated Acts for the EU Taxonomy have been published in the Official Journal this week. The updates confirm changes to the taxonomy’s reporting template and its climate criteria. It also adds the four remaining environmental objectives to the rules: water & marine resources, circular economy, pollution prevention and biodiversity & ecosystems. The changes related to reports published in 2024.

EY has said that US companies that fall under the scope of the EU Corporate Sustainability Reporting Directive are currently focusing on their reporting options, as well as the scoping and double materiality elements of the law. US entities with a significant footprint in Europe are likely to be covered by the rules, and in conversations with more than 200 of them, EY noted the strict time constraints and its complexity. It added that current leaders on ESG wanted to retain that position.  “That may influence how they choose to report on CSRD, in addition to the capital markets implications of the disclosure choice made.”