EconPapers    
Economics at your fingertips  
 

A new measure of environmental reporting practice based on the recommendations of the Task Force on Climate-related Financial Disclosures

Samira Demaria (), Sandra Rigot () and Sylvain Borie
Additional contact information
Samira Demaria: GREDEG - Groupe de Recherche en Droit, Economie et Gestion - UNS - Université Nice Sophia Antipolis (1965 - 2019) - CNRS - Centre National de la Recherche Scientifique - UniCA - Université Côte d'Azur
Sandra Rigot: CEPN - Centre d'Economie de l'Université Paris Nord - UP13 - Université Paris 13 - USPC - Université Sorbonne Paris Cité - CNRS - Centre National de la Recherche Scientifique

Post-Print from HAL

Abstract: Climate change is introducing greater risk and uncertainty into the economy and financial system. Despite wide acceptance of the need to reduce emissions, information failures limit understanding of the financial risks. As a result, the Financial Stability Board is pushing for greater disclosure via an international initiative: the Task Force on Climate-related Financial Disclosures (TCFD). Based on content analysis of firms' reference documents over 2015-2017, this article examines CAC 40 firms' compliance with the recommendations of TCFD by building a new index (Comprehensive Compliance Index-CCI) to measure the disclosure of environmental information. Our results highlight a gradual improvement in environmental disclosure by CAC 40 companies over the three years. CCI levels were relatively satisfactory in 2015 and 2016 to the extent that the TCFD report had not yet been published, but it masks discrepancies. Sectors with high environmental impact have higher index scores than low impact sectors. In 2017, CAC 40 companies communicated the most in the areas of risk management, metrics and governance, far ahead of strategy, and there was an improvement in the environmental disclosure in each area. Finally, our content analysis allows us to develop a matrix of climate risks and opportunities per sector. JEL: M40, M14

Keywords: Environmental disclosures; CSR reporting; climate-related risk; TCFD recommendations 2 (search for similar items in EconPapers)
Date: 2019-05-21
New Economics Papers: this item is included in nep-ene, nep-env and nep-res
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-02407136
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published in AFC 2019, May 2019, Paris, France

Downloads: (external link)
https://shs.hal.science/halshs-02407136/document (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-02407136

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().

 
Page updated 2025-03-19
Handle: RePEc:hal:journl:halshs-02407136