Disclosures on Sustainability Reporting

Recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)

The was established by the Financial Stability Board for the purpose of developing a uniform framework for reporting on climate-related opportunities and risks. The focus is on disclosing financial risks that companies face due to climate change.

We view the recommendations of the TCFD as a logical extension of our reporting, particularly in view of the forward-looking elements they contain, and wish to transparently report Covestro AG’s handling of climate-related opportunities and risks.

An overview of content pertaining to this issue is provided in the following index on the TCFD recommendations. The index contains references to passages in the text of relevance to the core areas of corporate governance, strategy, risk management, and indicators and goals recommended by the TCFD. Considering the growing importance of the effects of climate change, we will strive in the coming years to implement additional components of the TCFD recommendations. In fiscal 2020, we expanded the -relevant content in this report to include information about the new strategic program in particular.

TCFD Index

 

 

 

 

 

 

 

 

 

 

 

Governance

 

Strategy

 

Risk Management

 

Metrics and Targets

TCFD requirements

 

The organization’s governance around climate-related opportunities and risks

 

The actual and potential impacts of climate-related opportunities and risks on the business, strategy and financial planning

 

The processes used to identify, assess, and manage climate-related risks

 

The metrics and targets used to assess and manage relevant climate-related opportunities and risks

Section in Annual Report (or corresponding supplementary information on sustainability)

 

 

 

 

1

The identification and assessment of climate-related opportunities and risks are integrated into Group-wide risk management.
TCFD/Task Force on Climate-related Financial Disclosures
The TCFD was formed by the Financial Stability Board to develop a uniform framework for reporting on climate-related opportunities and risks.
TCFD/Task Force on Climate-related Financial Disclosures
The TCFD was formed by the Financial Stability Board to develop a uniform framework for reporting on climate-related opportunities and risks.
Circular economy
A regenerative economic system in which resource input, waste production, emissions, and energy consumption are minimized based on long-lasting and closed material and energy cycles.