Climate Risk Measurement and
Management New With Guarantee Pass
Measuring and defining climate risks
Company Level Transition Risk Data
GHG Protocol :
1. emissions resulting directly from the company's operations
2. upstream emissions from purchased electricity
3. all other upstream emissions from supply chains as well as downstream emissions resulting from the
use or disposal of products and services sold by the company.
corporate carbon footprint
Few firms disclose all 3 scopes of the GHG Protocol
Company Level Physical Risk Data
General data is provided by global climate models developed by climate scientist for the IPCC report,
Systemic Risks
Financial Stability
Corporate Greenhouse gas emissions
Emission trajectories
Company Level scores
Climate Risk within Enterprise Risk Management
A holistic modus operandi across an entire firm
Actions and responsibiliites across 5 areas:
1. Governance
2. Strategy
3. Perfomance
4. Review
5. communication
, Risk Management
A structured approach to monitoring, measuring and managing exposures to reduce potential impacts of
uncertain occurrences.
Climate Risk management
helps mitigate the impacts of climate change both physical and transition impacts.
Risk Governance
The top-down process and guidance that directs risk management activities to align with and support
the overall enterprise.
Climate risk governance
built into the legal and compliance processes - formalize and internal risk management procedures and
oversight.
climate risk culture
1. Company culture
2. Mission and core values
3. Tone of senior leadership
4. Employee behaviors and initiatives
Financial Risks
1. Operational
2.Market
3. Insurance
4. Liquidity
5. Credit
6. Sovereign
Microeconomic Effects
Affecting individual business and households - this relates to transition risks
- households can be impacted by property damage, business interruption, loss of income, changes in
demand, and falls in asset valuation through asset stranding
Operational Risk
The risk inherent in doing business, and it reflects potential losses from inadequate or failed internal
processes, systems, human error, or outside events such as extreme weather or terrorist attacks.
Management New With Guarantee Pass
Measuring and defining climate risks
Company Level Transition Risk Data
GHG Protocol :
1. emissions resulting directly from the company's operations
2. upstream emissions from purchased electricity
3. all other upstream emissions from supply chains as well as downstream emissions resulting from the
use or disposal of products and services sold by the company.
corporate carbon footprint
Few firms disclose all 3 scopes of the GHG Protocol
Company Level Physical Risk Data
General data is provided by global climate models developed by climate scientist for the IPCC report,
Systemic Risks
Financial Stability
Corporate Greenhouse gas emissions
Emission trajectories
Company Level scores
Climate Risk within Enterprise Risk Management
A holistic modus operandi across an entire firm
Actions and responsibiliites across 5 areas:
1. Governance
2. Strategy
3. Perfomance
4. Review
5. communication
, Risk Management
A structured approach to monitoring, measuring and managing exposures to reduce potential impacts of
uncertain occurrences.
Climate Risk management
helps mitigate the impacts of climate change both physical and transition impacts.
Risk Governance
The top-down process and guidance that directs risk management activities to align with and support
the overall enterprise.
Climate risk governance
built into the legal and compliance processes - formalize and internal risk management procedures and
oversight.
climate risk culture
1. Company culture
2. Mission and core values
3. Tone of senior leadership
4. Employee behaviors and initiatives
Financial Risks
1. Operational
2.Market
3. Insurance
4. Liquidity
5. Credit
6. Sovereign
Microeconomic Effects
Affecting individual business and households - this relates to transition risks
- households can be impacted by property damage, business interruption, loss of income, changes in
demand, and falls in asset valuation through asset stranding
Operational Risk
The risk inherent in doing business, and it reflects potential losses from inadequate or failed internal
processes, systems, human error, or outside events such as extreme weather or terrorist attacks.
