Top carbon emitters fall short on climate risk disclosure, report says

Top emitters of carbon are not disclosing the full risks associated with climate change, reducing the chances of meeting global emissions targets, a study by Carbon Tracker and the Climate Accounting Project (CAP) said on Thursday. The CAP is an informal team of accounting and finance experts drawn from the investor community and commissioned by the Principles for Responsible Investment (PRI), while Carbon Tracker is funded by around 30 charitable foundations. Of 107 listed companies assessed in the study, across sectors including oil and gas, automobiles and aviation, more than 70% did not reflect the full risks resulting from climate change in their 2020 accounts, the report released on Thursday by Carbon Tracker said. "Based on the significant exposure these companies have to transition risk, and with many announcing emissions targets, we expected substantially more consideration of climate matters in the financials than we found," Barbara Davidson, senior analyst at Carbon Tracker and lead author of the report, said. "Without this information there is little way of knowing the extent of capital at risk, or if funds are being allocated to unsustainable businesses, which further reduces our chances to decarbonise in the short time remaining to achieve Paris goals," Davidson added.<br/>