CDP Aligns with ISSB to Streamline Global Sustainability Reporting

CDP, a leading global non-profit, has announced further alignment with the International Sustainability Standards Board (ISSB) to streamline sustainability reporting for companies worldwide. This partnership marks a step towards creating a unified approach to environmental disclosure that could set a global benchmark.

What’s New with CDP and ISSB?

• Unified Questionnaires: CDP’s 2024 corporate questionnaire now aligns with the ISSB’s IFRS S2 climate standard, integrating previous separate questionnaires on climate change, forests, and water security.
• Global Reach: With countries representing nearly 55% of global GDP and more than 40% of global market capitalization pushing for mandatory alignment with ISSB standards, CDP’s integration assists companies in these economies to meet their evolving regulations.

CDP’s Role and Reach:

• Environmental Leadership: CDP runs the world’s largest environmental disclosure system for companies and regions, with over 24,000 organizations participating in 2023.
• Strategic Partnerships: CDP is not only aligned with ISSB but also works closely with other frameworks like the Taskforce on Nature-related Financial Disclosures (TNFD) and the European Union standards (ESRS).

Why Does This Matter?

• Easier Access to Information: Investors and capital owners benefit significantly from this alignment. A standardized reporting format across various sustainability metrics makes it quicker and more efficient for investors to access the data they need to make informed decisions.
• Driving Global Standards: As jurisdictions around the world consider integrating ISSB standards into their legal frameworks, CDP’s alignment ensures that companies are prepared and compliant.

Looking Ahead:

Wider Adoption Expected: More than 20 jurisdictions are moving towards adopting or aligning with ISSB standards, which cover significant portions of the global economy and market capitalization.