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HONG KONG, Sept. 13, 2023 /PRNewswire/ -- GreenCo Singapore, a credible provider of ESG advisory services, is offering guidance to businesses in response to the recent launch of a consultation document by the Accounting and Corporate Regulatory Authority (ACRA) and Singapore Exchange Regulation (SGX RegCo). This document aims to mandate climate-related disclosure for both listed companies and non-listed large corporations.
Recognising the significance of this regulatory shift, GreenCo Singapore is prepared to assist companies in navigating these upcoming requirements in a phased approach for a seamless transition. GreenCo can provide support in the following areas:
Phased Approach to Transition
GreenCo believes in taking a structured and methodical approach to help organisations adapt smoothly to the new requirements. The phased approach ensures that each step is well-planned to enhance climate-related reporting capabilities.
Year 1: Establishing the Foundation
Key elements of the foundation will include: 1) Formation of governance structures; 2) Identification of climate risks and assessment of their materiality; 3) Development of a qualitative framework to evaluate the potential impacts of climate-related risks and opportunities on the organisation's financial performance, reputation, operations, and strategic goals; and 4) Identification and measurement of Scope 1, Scope 2, and Scope 3 greenhouse gas emissions, using appropriate methodologies and standards.
Year 2: Refining and Target Setting
Key missions in year 2 will include: 1) Refinement of the assessment metrics to include quantitative measures of climate-related risks and opportunities, considering financial, operational, and strategic dimensions; and 2) Establishment of qualitative targets and scenario analysis.
Year 3 and Beyond: Advancing Quantitative Analysis and Long-Term Goals
Key actions will include: 1) Expansion of scenario analysis to include more quantitative outcomes, such as financial projections, and potential shifts in customer preferences; 2) Setting of quantitative, measurable goals that can be tracked and reported over time; and 3) Alignment of targets with the organisation's overall strategy and vision.
Compliance with IFRS S2 and External Assurance
GreenCo acknowledges the forthcoming requirements for sustainability reports, beginning with Scope 1 and Scope 2 emissions. In addition to aligning with the IFRS S2 requirements, GreenCo is well-versed in these reporting frameworks to effectively assist companies in meeting their obligations.
Financial Disclosures
GreenCo has a dedicated team of financial experts who can assist you in assessing and reporting the financial implications of climate-related risks and opportunities, enabling effective communication of your financial performance.
Collaboration with Assurance Team
GreenCo has established a collaborative partnership with an experienced assurance team, which allows us to provide external assurance services, ensuring the credibility and reliability of your sustainability report.
Dr. Yang, the Director of GreenCo, recommends that "In view of the level of complication and the level of resources required to fully comply with the proposed disclosures on top of the current sustainability reporting framework, companies should get ready earlier by understanding the new obligations and conducting preliminary work, such as scenario analysis and quantifying the financial impact of significant climate risk factors, which are new to many companies. GreenCo emphasises the importance of getting ready ahead of time to facilitate smooth transition to the stricter disclosure requirements."
With extensive experience in preparing climate-related disclosure for companies across various industries, GreenCo is equipped with professional GHG calculation tools to help you navigate the complex GHG calculation process. Our diverse team of professionals from different backgrounds ensures that we can meet your specific needs.
Readers should note that some modifications are still under consultation, and the proposed changes mentioned above are subject to finalisation. Interested parties are encouraged to respond to the consultation by submitting an online questionnaire. For more information on the consultation, please visit SGX's website on the public consultation, which will be closed on 30 September 2023.
About GreenCo
GreenCo ESG Advisory Limited has been focusing on ESG reporting and sustainability advisory since 2016. The GreenCo ESG team is based in Hong Kong and Singapore. GreenCo has been a member of the GRI Community for years, and our professional consulting group is committed to designing and delivering tailor-made ESG advisory services. We have collaborated with over 60 listed companies in Hong Kong and Singapore, as well as businesses around the world with distinct business backgrounds, to promote good ESG management and contribute to global sustainable development.
Following international and local frameworks including Practice Note 7.6 Sustainability Reporting Guide of SGX, Appendix 27/20 – ESG Reporting Guide of Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, United Nations Sustainable Development Goals (UN SDGs), United Nations Principles for Responsible Investment (UN PRI), Global Reporting Initiative (GRI), Task Force on Climate-related Financial Disclosures (TCFD), The International Sustainability Standards Board (ISSB), CDP Guidance Documentation and Questionnaires and S&P Corporate Sustainability Assessment, GreenCo's multi-faceted advisory support brings the most cutting-edge, insightful and practical solutions to its clients and various industry sectors on the journey towards transparency, sustainability and resilience.
