-
why know about other standards?
- different standards have different objectives
- newer standards try to pluck flaws of other standards
- what are these flaws?
- no stock exchange has implemented the ESRS as a requirements
- e.g. TCFD / TNFD is mandatory in Switzerland and UK
- e.g. SASB is done in Northern America
- e.g. IFRS SDS is done in Turkey
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GRI was the first standard
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a lot of standards, hard to compare between them
Standards
| ref | GRI | SASB | SDG | TCFD | ESRS |
|---|---|---|---|---|---|
| materiality, IROs | impact, GHG | financial | impact | double | double |
| sectors | no | yes, 77 sectors | some | no, only financial | no |
| governance | general | ~ | vague | recom | yes |
| strategy | general | ~ | ~ | scenarios, resilience | climate transition |
| KPIs | yes | yes | vague | yes | yes |
| targets | reductions | no | 17 goals | yes | climate transition |
Other Standards
Report Analysis
1 Entain 2 De Longhi 3 Marinomed Biotech AG 4 Pret A Manger
5 Holcim
- TCFD, and early adopters of TNFD
- materiality assessment? yes, double materiality
- topics prioritized?
- decarbonising efforts
- especially more effective cement process
- touching social issues
- no industry-specific issues
- decarbonising efforts
- prescriptions
- none, all are recommendations
- quantitative
- just GHG Emissions sector 1 and 2, 3 if possible
- qualitative
- governance, strategy, risk management, metrics and targets
6 Addiko Bank
- credit: group 6
- Addiko Bank uses the European Sustainability Reporting Standards (ESRS), aligned with the Corporate Sustainability Reporting Directive (CSRD). The report also fulfills the criteria outlined in the Austrian Sustainability and Diversity Improvement Act (NaDiVeG)
- The report additionally reflects SASB standards and refers to the International Sustainability Standards Board for consumer finance and commercial banks
Materiality assessment in the report:
- Addiko Bank conducted a double materiality assessment, which covers both impact materiality and financial materiality.
- The double materiality approach evaluates 97 sustainability matters, covering ESG issues
Sustainability topics prioritized in the report:
- The key material topics identified for Addiko Bank include:
- Climate Change (ESRS E1)
- Own Workforce (ESRS S1)
- Consumers and End-users (ESRS S4)
- Business Conduct (ESRS G1) - These topics guide the bank’s sustainability initiatives.
- Non-material topics for Addiko Bank include Pollution (ESRS E2), Water and Marine Resources (ESRS E3), Biodiversity and Ecosystems (ESRS E4), and Circular Economy (ESRS E5)
Governance disclosures under ESRS E1 require companies to describe the roles and responsibilities of their administrative, management, and supervisory bodies in managing climate-related issues. They must detail how these bodies oversee the sustainability-related performance, including climate risk management, and how sustainability is integrated into decision-making processes (Governance requirements focus on the involvement of the company’s board and management in overseeing climate-related risks and opportunities)
Strategy - The standard requires the disclosure of a transition plan for climate change mitigation. Companies must align their business models and strategies with global climate targets, especially the Paris Agreement, and assess how climate risks interact with their business models and strategy
KPIs include specific measures such as Scope 1, 2, and 3 GHG emissions, energy consumption, and progress towards renewable energy targets.
Targets set under ESRS E1 must focus on climate change mitigation and adaptation, including specific GHG emissions reduction targets. Companies are required to disclose how they are progressing toward these targets.