Canada’s publicly-traded companies are running behind European and U.K. peers when it comes to disclosing their greenhouse gas emissions, according to a study from the Institute for Sustainable Finance.
Around two-thirds of the S&P/TSX Composite Index disclose greenhouse gas discharges, according to the report written by Sean Cleary and Andrew Hakes. While that’s broadly in line with percentages seen the U.S., it falls below 79 per cent for European and 99 per cent for U.K. listed firms.
The ISF, whose founding contributors are Canada’s largest banks, is releasing the report four months after the heads of eight large Canadian pension funds urged companies to improve their environmental, social and governance disclosure by giving investors “consistent and complete” data. Also, last month the Supreme Court of Canada ruled that Prime Minister Justin Trudeau’s national carbon tax is constitutional.
The firms that provide disclosures comprise approximately 88 per cent of the market cap of the index, the ISF said. While only 43 per cent of those have their emission estimates verified by a third-party provider, the total from these firms accounts for close to 80 per cent of all reported discharges.