KPMG, the global professional services firm, has launched a new digital platform called “Clear on Climate Reporting” to help businesses navigate the complex landscape of climate-related financial reporting. [2]
The hub offers a wide range of resources to assist companies in addressing various climate-related reporting challenges, including:
Understanding Financial Implications
- Determining the impacts of climate-related matters on financial statements [1]
- Providing relevant and transparent disclosures to enable investor understanding [1]
- Adhering to IAS 1 requirements for information that could influence investor decisions [1]
Accounting for Emissions and Green Initiatives
- Accounting for emissions programs and voluntary carbon credit schemes [1]
- Evaluating the impact of green initiatives on assets, liabilities, and cash flows [1]
Integrating ESG into Executive Compensation
- Incorporating ESG metrics, including climate-related targets, into executive pay packages [1]
The platform currently features FAQs, podcasts, and videos to help companies assess the potential financial statement impacts of their climate-related strategies and decisions. [1][2] Future updates will include additional resources, such as a dedicated section on emissions accounting. [2]
KPMG emphasizes the importance of aligning annual report disclosures with financial statements to provide investors and regulators with a comprehensive and coherent view of a company’s climate-related performance and risks. [2] The firm also stresses the need for companies to adhere to IFRS Accounting Standards while bridging the gap between financial and non-financial data. [2]