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What are the sustainability reporting frameworks and standards?

The GRI Standards enable any organization – large or small, private or public – to understand and report on its impacts on the economy, environment and people in a comparable and credible way. The GRI Standards are designed as an easy-to-use modular set delivering an inclusive picture of an organization's material topics and how their impacts are managed. Three series of Standards support the reporting process: the GRI Topic Standards, each dedicated to a particular topic and listing disclosures relevant to that topic; the GRI Sector Standards, applicable to specific sectors; and the GRI Universal Standards, which apply to all organizations.

The SASB Standards are designed for communication by companies to investors about how sustainability issues impact long-term enterprise value. SASB Standards guide the disclosure of financially material sustainability information. Available for 77 industries, the SASB Standards identify the subset of environmental, social, and governance (ESG) issues most relevant to financial performance in each industry.

The Financial Stability Board created the Task Force on Climate-related Financial Disclosures (TCFD) to improve and increase reporting of climate-related financial information and more effectively disclose climate-related risks and opportunities. The TCFD framework is structured around four thematic areas that represent core elements of how organizations operate: governance, strategy, risk management, and metrics and targets.

CDP is a not-for-profit charity that maintains the most comprehensive database of disclosures from public and private companies, governments, and other organizations about their environmental performance related to carbon emissions, water use, deforestation, and supply chain engagement. Although not a framework like GRI, SASB and TCFD, company responses to the CDP Climate Change Questionnaire are publicly available and closely align with TCFD.

The Sustainable Development Goals (SDGs) were adopted by the  United Nations’ Member States in 2015. There are 17 major goals and 169 underlying targets that serve as blueprints for striving to achieve  a more sustainable future – following the 2030 Agenda for Sustainable Development, a 15-year plan to achieve the goals. Corporations are an important part of the implementation of the SDGs and capital markets players are increasingly expecting more alignment with the SDGs from companies they invest in.