A NEW guide for Australian companies seeking a roadmap to net zero greenhouse gas emissions has been released by the Governance Institute of Australia.
GIA said the Guide for boards and management on the path to net zero responds to recent major international climate policy developments, significant shifts in expectations on organisations to take action — including disclosing climate risk — and ongoing concerns about a lack of firm action at a national level.
GIA chief executive officer Megan Motto said based on the findings from a specially convened Governance Institute working group, the new guide will assist all organisations — large and small and across sectors — to take immediate action on climate.
“Many organisations still do not see climate change as an immediate threat.
“But recent extreme weather events have confirmed that climate and climate risk management need to be front of mind for every organisation,” she said.
“And this mindset shift needs to happen immediately.”
Ms Motto said the guide is designed to be used by senior managers and directors as they build climate into their organisation’s strategy and provides a clear and practical framework to take the next steps on the path to net zero.
She said board buy-in is essential, with tips included in the guide on how to engage your organisation — top down — on the key issues.
“You will need a business case, and this must follow a review of how the organisation’s priorities and risks may be impacted by climate change,” Ms Motto said.
Key steps to net zero, outlined in the new guide:
- Governance: Orchestrating the climate change conversation. How do you embed climate into the core of an organisation?
- Strategy: How do you plan and deal with the challenges related to transitioning to net zero?
- Expectations: How do you manage expectations on climate disclosure and action amongst evolving legal expectations?
- Reporting: Selecting a framework. How do you select a reporting framework which addresses stakeholder needs?
“The key message is: Do not put this off. Organisations need to recognise that the time to act is now.
“There can be no delay,” she said.
The Governance Institute of Australia is a national membership association, formerly known as Chartered Secretaries Australia. It is an independent professional association for more than 43,000 company secretaries, governance advisers and risk managers in Australia. The GIA’s mission is to drive better governance in all organisations, which will in turn create a stronger, better society.