InfluenceMap intends to submit the attached comment to the The Sustainability Standard Board of Japan (SSBJ) recommending the inclusion of climate policy engagement in Japan's upcoming climate disclosure framework.
This document is designed as a reference for investors and other interested parties who are submitting comments and recommendations to the SSBJ’s consultation process. It provides a rationale as to why corporate climate policy engagement is a necessary part of any corporate climate disclosure. Interested parties are invited to utilize InfluenceMap's recommendations (contained within the download files to the right) in their own submissions to the SSBJ process.
The Sustainability Standards Board of Japan (SSBJ) is inviting comments on its Exposure Drafts of the Sustainability Disclosure Standards for the Japanese market. The Sustainability Disclosure Standards are drafted according to the IFRS Sustainability Disclosure Standards developed by the International Sustainability Standards Board (ISSB).
The SSBJ guidelines as currently proposed do not explicitly consider the issue of corporate climate policy engagement. InfluenceMap's submission to the SSBJ advocates for the inclusion of this issue, and explains why it is an important and useful addition to the draft requirements.
The deadline for submitting feedback is July 31st, 2024. Investors may find it helpful to consult InfluenceMap's submission, available for download at this page, which lays out key asks and provides recommendations that investors may incorporate into their own submissions.
We also invite interested parties to contact us for further information on our recommendations or related matters. Please contact reina.hosoi@influencemap.org and monica.nagashima@influencemap.org.
Please note that InfluenceMap’s submission will be made in Japanese. The English version is for reference only.
Why Mandatory Disclosure of Climate Policy Engagement Matters:
InfluenceMap's comment (available for download at this page) argues that investors and other stakeholders deem information on corporate engagement with climate policy to be essential to understanding an entity’s enterprise value. Poor climate policy engagement can result in investor loss due to company risk, regulatory fines, and lawsuits. It also serves as a proxy for true management thinking on how a company is approaching the material risks relating to climate change.
Toward this aim, InfluenceMap's submission suggests four key areas in which a company could be required to disclose: