Guidance on measuring and reporting greenhouse gas emissions
Response to joint Defra/DECC consultation
The Environment Agency welcomes this opportunity to respond to the Government’s guidance on measuring and reporting greenhouse gas emissions.
- We are supportive of the guidance as the first step towards mandatory reporting of Greenhouse Gas Emissions (GHG) information in 2012 as set out in the Climate Change Act
- Given the increasing financial materiality of climate change, we believe that it is important that this data is published in companies’ statutory annual report and financial statements
- We support the use of the financial control method for reporting GHG emissions. This ensures that it mirrors international accounting and reporting standards
- Whilst we would prefer to see organisations focusing on strategies to reduce their emissions either directly or indirectly, where emission reduction certificates are purchased these should be to recognised Government standards
- It is important that both gross and net emissions are reported to ensure the full exposure of the GHG emissions of an organisation
- Whilst for first time reporters there may be set-up costs associated with the measurement and reporting of GHG emissions, we believe that in many cases these will be more than offset by financial savings resulting from the management and reduction of these emissions and associated financial costs
- Following the publication of reports on measuring and reporting GHG emissions issued by the Confederation of British Industry (CBI) and the Climate Disclosure Standards Board (CDSB) we believe it is important that elements of these are reflected in the Government guidance to produce a single standard for UK GHG emissions reporting.
Read our full response