Together with the German UN Global Compact Network (DGCN), sustainable has published a discussion paper on the implementation of scenario analyses of climate risks according to the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).
The discussion paper illustrates in detail the six steps recommended by the TCFD that companies should take into account when conducting scenario analyses. Furthermore, it provides examples – from the business and governmental context – of how these recommendations have already been implemented in practice. Unilever, for instance, faced various challenges when conducting their scenario analysis, including selecting suitable climate models and developing various business cases.
Practical experiences from the DGCN Peer Learning Group Climate Management from 2018 are specifically addressed in this discussion paper. In addition, the results described are based on findings from a multi-stakeholder workshop organised by DGCN together with econsense in Berlin in September 2018. Here about 70 representatives from civil society as well as from the industry and finance discussed the challanges of scenario analyses in order to uncover, evaluate and disclose climate change-related financial impacts.
The discussion paper can be found here.