Chapter 1 - Introduction

[1]        Journals of the Senate, No. 135, 2 February 2015, p. 3667.     

[2]        Journals of the Senate, No. 9, 11 October 2016,  pp. 195–197.

[3]        Journals of the Senate, No. 38, 30 March 2017,  p. 1244.

Chapter 2 - The need for carbon risk disclosure

[1]        Investor Group on Climate Change, Submission 28, p. 19.

[2]        Many of the disclosure mechanisms discussed in the next chapter work on a voluntary basis. In total they account for a large proportion of global capital.

[3]        The Smith School of Enterprise and the Environment, Submission 4, [p. 4], reports detailed studies of corporations' carbon risk from sources other than corporate reporting or carbon disclosure frameworks.

[4]        Paul M Healy and Krishna G Palepu, 'Information asymmetry, corporate disclosure, and the capital markets: A review of the empirical disclosure literature', Journal of Accounting and Economics, 31, 2001, pp. 405­–440.

[5]        Australian Centre for Corporate Responsibility, Submission 5, [p. 2].

[6]        Reserve Bank of Australia, About Financial Stability, http://rba.gov.au/fin-stability/about.html (accessed 25 January 2017).

[7]        Robert A Jaeger, Risk: Defining It, Measuring It, and Managing It, Evaluation Associates Capital Markets, Inc., November 2000, p.1, http://viking.som.yale.edu/will/hedge/Risk_BobJaeger.pdf (accessed 25 January 2017).

[8]        Task Force on Climate-Related Financial Disclosures, Recommendations of the Task Force on Climate-Related Financial Disclosures, 14 December 2016, p. 2, https://www.fsb-tcfd.org/wp-content/uploads/2016/12/16_1221_TCFD_Report_Letter.pdf (accessed 27 January 2017).

[9]        Australian Accounting Standards Board, The Standard-Setting Process, http://www.aasb.gov.au/About-the-AASB/The-standard-setting-process.aspx (accessed 25 January 2017).

[10]      These seem to be problems in many of the studies cited in CDP and Climate Disclosure Standards Board, Submission 22, pp. 10–11.

[11]      CPA Australia, Submission 33, p. 4.

[12]      D Aronson, 'Sustainability Driven Innovation: Harnessing sustainability's ability to spark innovation', 2013, Deloitte, available at: http://www.greenprof.org/wp-content/uploads/2013/12/Sustainability_Driven_Innovation_102513.pdf (accessed 13 February 2017), quoted in CDP and Climate Disclosure Standards Board, Submission 22, p. 23.

[13]      Prudential Regulation Authority, The impact of climate change on the UK insurance sector, September 2015, p. 4, available at http://www.bankofengland.co.uk/pra/Documents/
supervision/activities/pradefra0915.pdf (accessed 25 January 2017).

[14]      Intergovernmental Panel on Climate Change, Climate Change 2014 Synthesis Report Summary for Policymakers, pp. 7–8.

[15]      Prudential Regulation Authority, The impact of climate change on the UK insurance sector, September 2015, p. 5.

[16]      Prudential Regulation Authority, The impact of climate change on the UK insurance sector, September 2015, p. 29.

[17]      Sandra Batten, Rhiannon Sowerbutts, Misa Tanaka (all from Bank of England), 'Let's talk about the weather: the impact of climate change on central banks', paper presented to Bank of England Conference on Central Banking, Climate Change and Environmental Sustainability, 14 November 2016, available at http://www.bankofengland.co.uk/research/Pages/
conferences/1116.aspx (accessed 3 February 2017).

[18]      United Nations Framework Convention on Climate Change, 'The Paris Agreement', http://unfccc.int/paris_agreement/items/9444.php (accessed 23 February 2017).

[19]      Carbon Tracker Initiative, Submission 9, [p. 2].

[20]      The Middle Way, Submission 3, p. 1; Sustainable Business Australia, Submission 32, p. 1.

[21]      CDP and Climate Disclosure Standards Board, Submission 22, p. 6.

[22]      The Middle Way, Submission 3, p. 1.

[23]      Quoted in CPA Australia, Submission 33, pp. 3–4.

[24]      Centre for Policy Development, Submission 34, Attachment, p. 22.

[25]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, p. 30, https://www.fsb-tcfd.org/wp-content/uploads/2016/12/16_1221_TCFD_Report_Letter.pdf (accessed 21 February 2017).

[26]      Department of Foreign Affairs and Trade, 'Australia's Top 25 Exports, Goods and Services, 2015–16', available at http://dfat.gov.au/trade/resources/trade-statistics/Pages/trade-statistics.aspx (accessed 1 February 2017).

[27]      Carbon Tracker Initiative, Submission 9, p. 2.

[28]      World Economic Forum, Global Risks Report 2016, p. 51, quoted in CPA Australia, Submission 33, Appendix, p. 3.

[29]      Modelling for the 2008 Garnaut Review, quoted in Centre for Policy Development, Submission 34, Attachment, p. 8.

[30]      Department of Foreign Affairs and Trade, 'Australia's Top 25 Exports, Goods and Services, 2015–16', available at http://dfat.gov.au/trade/resources/trade-statistics/Pages/trade-statistics.aspx (accessed 1 February 2017).

[31]      Allison Anderson, 'Climate change, tourism and the Great Barrier Reef: what we know', The Conversation, 27 May 2016, https://theconversation.com/climate-change-tourism-and-the-great-barrier-reef-what-we-know-60108 (accessed 1 February 2017).

[32]      David Bierman, 'Danger in paradise: resurrecting tourism after natural disasters', The Conversation', 4 January 2012, https://theconversation.com/danger-in-paradise-resurrecting-tourism-after-natural-disasters-3827 (accessed 1 February 2017).

[33]      The South Pole, Submission 8, [p. 4].

[34]      Prudential Regulation Authority, The impact of climate change on the UK insurance sector, September 2015, p. 51.

Chapter 3 - Frameworks for reporting carbon risk in Australia

[1]        Clean Energy Regulator, National Greenhouse and Energy Reporting Scheme, 'Assess your obligations', http://www.cleanenergyregulator.gov.au/NGER/Reporting-cycle/Assess-your-obligations (accessed 6 March 2017); the different categories of emissions are described in Investor Group on Climate Change, Submission 28, p. 7.

[2]        Corporations Act 2001, available at  https://www.legislation.gov.au/Details/C2016C00922/Download (accessed 20 April 2017).

[3]        ASIC, ASIC regulation of corporate finance: July to December 2015, Report 469, February 2016, p. 32, http://www.asic.gov.au/media/3547422/rep469-published-26-february-2016.pdf?utm_source=landingpage&utm_medium=pdfdownloads&utm_campaign=rep469   (accessed 16 March 2017).

[4]        ASIC, Regulatory Guide 247, Effective disclosure in an operating and financial review, March 2013, p. 19, http://download.asic.gov.au/media/1247147/rg247.pdf (accessed 16 March 2017).

[5]        The opinion is attached to Centre for Policy Development, Submission 34.

[6]        Centre for Policy Development, Submission 34, [p. 26].

[7]        Mr Geoff Summerhayes, Executive Board Member, Australian Prudential Regulatory Authority, Australia's New Horizon: Climate Change Challenges and Prudential Risk, Speech to the Insurance Council of Australia Annual Forum 2017, 17 February 2017, http://www.apra.gov.au/Speeches/Documents/ICA%20Speech%20Geoff%20Summerhayes%2017%20February%202017.pdf (accessed  16 March 2017).

[8]        Mr Geoff Summerhayes, Member, APRA, Committee Hansard, 8 March 2017, p. 40.

[9]        Mr Geoff Summerhayes, Member, APRA, Committee Hansard, 8 March 2017, p. 40.

[10]      Australian Stock Exchange, Corporate Governance Principles and Recommendations, 3^rd Edition, Recommendation 7.4, p. 30, http://www.asx.com.au/documents/asx-compliance/cgc-principles-temp.pdf (accessed 16 March 2017).

[11]      CDP and Climate Disclosure Standards Board, Submission 22, p. 3.

[12]      CDP and Climate Disclosure Standards Board, Submission 22, p. 12.

[13]      Professor Jacqueline Peel, Dr Anita Foerster, Professor Hari Osofsky and Professor Brett McDonnell, Submission 14, p. 5.

[14]      Investor Group on Climate Change, Submission 28, p. 7.

[15]      Investor Group on Climate Change, Submission 28, p. 7.

[16]      UNPRI, 'About the PRI', https://www.unpri.org/about (accessed 8 February 2017).

[17]      'PRI Work Programme 2016', p. 5, available at https://www.unpri.org/about (accessed 8 February 2017).

[18]      Available at https://www.unpri.org/explore/?q=fiduciary+duty+in+the+21st+century (accessed 8 February 2017).

[19]      Available at https://www.unpri.org/page/responsible-investment-regulation (accessed 8 February 2017).

[20]      CDP and Climate Disclosure Standards Board, Submission 22, p. 17.

[21]      Investor Group on Climate Change, Submission 28, p. 7.

[22]      Securities and Exchange Commission (SEC), Commission Guidance Regarding Disclosure Related to Climate Change, https://www.sec.gov/rules/interp/2010/33-9106.pdf (accessed 9 February 2017).

[23]      SEC, Commission Guidance Regarding Disclosure Related to Climate Change, pp. 11, 13–14.

[24]      SEC, Commission Guidance Regarding Disclosure Related to Climate Change, pp. 22–27.

[25]      Professor Jacqueline Peel and others, Submission 14, pp. 8–9; CDP and Climate Disclosure Standards Board, Submission 22, p. 15; Investor Group on Climate Change, Submission 28,
p. 10.

[26]      Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013, section 414C, http://www.legislation.gov.uk/ukdsi/2013/9780111540169  (accessed 10 February 2017).

[27]      Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013, Part 7, 'Disclosures Concerning Greenhouse Emissions'.

[28]      Investor Group on Climate Change, Submission 28, p. 10.

[29]      Directive 2014/95/EU of the European Parliament and of the Council, 22 October 2014, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32014L0095, (accessed 10 February 2017).

[30]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, p. iii, https://www.fsb-tcfd.org/wp-content/uploads/2016/12/16_1221_TCFD_Report_Letter.pdf (accessed 17 February 2017).

[31]      Financial Stability Board, 'FSB to establish Task Force on Climate-related Financial Disclosures', press release, 4 December 2015, http://www.fsb.org/wp-content/uploads/Climate-change-task-force-press-release.pdf  (accessed 16 February 2017).

[32]      Task Force on Climate-related Financial Disclosures, 'Task Force Overview', https://www.fsb-tcfd.org/about/# (accessed 16 February 2017).

[33]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, p. iii, https://www.fsb-tcfd.org/wp-content/uploads/2016/12/16_1221_TCFD_Report_Letter.pdf (accessed 17 February 2017).

[34]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, p. 16, https://www.fsb-tcfd.org/wp-content/uploads/2016/12/16_1221_TCFD_Report_Letter.pdf (accessed 17 February 2017).

[35]      Chartered Accountants Australia and New Zealand, Submission 12, p. 3.

[36]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, p. 4.

[37]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, pp. 26–32.

[38]      Task Force on Climate-related Financial Disclosures, The Use of Scenario Analysis in Disclosure of Climate-related Risks and Opportunities, 14 December 2016, https://www.fsb-tcfd.org/wp-content/uploads/2016/11/TCFD-Technical-Supplement-A4-14-Dec-2016.pdf (accessed 20 February 2017).

[39]      Task Force on Climate-related Financial Disclosures, Recommendations of the Task Force on Climate-related Financial Disclosures, pp. 28 –31.

Chapter 4 - The case for change

[1]        Mr Gareth Johnston, Submission 18, [p. 3].

[2]        WWF–Australia, Submission 15, pp. 6–7.

[3]        Market Forces, Submission 37, [p. 4].

[4]        Ms Emma Herd, Chief Executive Officer, Investor Group on Climate Change, Committee Hansard, 8 March 2017, p. 4; Dr John Purcell, Policy Adviser Environment, Social and Governance, CPA Australia, Committee Hansard, 8 March 2017, p. 10; Mr Daniel Gocher, Analyst, Market Forces, Committee Hansard, 8 March 2017, p. 35.

[5]        Market Forces, Submission 37, [p. 3].

[6]        Professor Jacqueline Peel and others, Submission 14, pp. 6–7.

[7]        Market Forces, Submission 23, [pp. 9–10].

[8]        Net Balance Foundation and CDP, Disclosures on climate risk: A review of ASX top 200 companies, https://static1.squarespace.com/static/52045752e4b0330b6437dade/t/542b
2db6e4b0490889d531ab/1412115894293/ClimateRiskASX200.pdf (accessed 20 April 2017).

[9]        Investor Group on Climate Change, Submission 28, pp. 13–14.

[10]      The Climate Institute, Submission 31, [p. 1].

[11]      Professor Jacqueline Peel and others, Submission 14, p. 9.

[12]      Investor Group on Climate Change, Submission 28, p. 15.

[13]      350.org Australia, Submission 3, p. 2.

[14]      ANZ, Submission 27, [p. 1].

[15]      Financial Services Council, Submission 17, p. 3.

[16]      AGL Energy, Submission 19, p. 3.

[17]      Environment Justice Australia, Submission 21, p. 6.

[18]      Regnan, Submission 16, p. 3.

[19]      Investor Group on Climate Change, Submission 28, p. 16.

[20]      Ms Emma Herd, Chief Executive Officer, Investor Group on Climate Change, Committee Hansard, 8 March 2017, p. 3.

[21]      Mr Daniel Gocher, Analyst, Market Forces, Committee Hansard, 8 March 2017, p. 30.

[22]      Mr Geoff Summerhayes, Australia's New Horizon: Climate Change and Prudential Risk, speech to the Insurance Council of Australia, 17 February 2017.

[23]      Dr John Purcell, Policy Adviser, Environmental, Social and Governance, CPA Australia, Committee Hansard, 8 March 2017, p. 12.

[24]      Dr John Purcell, Policy Adviser, Environmental, Social and Governance, CPA Australia, Committee Hansard, 8 March 2017, p. 12.

[25]      Ms Emma Herd, Chief Executive Officer, Investor Group on Climate Change, Committee Hansard, 8 March 2017, p. 4.

[26]      South Pole Group, Submission 8, [pp. 3–4].