CDP

CDP is a non-profit that operates an independent environmental disclosure system. It provides a platform for companies, cities, states, and regions to report their environmental impacts, especially in relation to climate change. Reporting occurs annually.

Engaging in CDP reporting offers several benefits:​

• Clear commitments: Transparency on environmental performance and targets strengthens a company’s public image when supported with clear commitments.
• Risk management: Identifying and disclosing environmental risks allows companies to develop strategies to mitigate potential negative impacts arising from environmental challenges.​
• Investor confidence: Many investors use CDP scores to assess a company’s environmental responsibility, influencing investment decisions and access to capital​.
• Alignment with other reporting standards: Environmental regulations and reporting have become mandatory for many businesses. CDP reporting can be aligned with several global sustainability reporting frameworks and standards.​

A wide range of business sectors and their value chain can report in the framework. Specific examples are financial services, oil & gas, coal, capital goods, transport OEMs – EPM, chemicals, metals & mining, transport services, steel, agricultural commodities, electric utilities, transport OEMs, cement, food, beverage & tobacco, paper & forestry, real estate, and construction. There is also a generic category covering all other sectors.

The reporting is done through CDP Corporate Questionnaire. This questionnaire covers these main topics:

1. Governance and business strategy

• Details on the organisation’s governance structure concerning environmental issues
• Board-level oversight and integration of environmental considerations into business

2. Impacts, risks and opportunities

• Identification, assessment, and management of your environmental dependencies and its impacts, risks and opportunities

3. Environmental performance

• Climate change, scope 1, 2, and 3 greenhouse gas (GHG) emissions accounting, methodology, performance and targets
• Specific disclosures for environmental performance aspects related to water, forests, biodiversity, and plastic. Financial services are a separate category specifically for companies that invest or insure activities with a critical

Effective CDP reporting involves several key elements:​

• Comprehensive data collection: Gathering accurate data on greenhouse gas emissions, energy consumption, and other environmental metrics.​
• Strategic planning: Developing and implementing strategies and setting sustainability targets to reduce environmental impacts
• Stakeholder engagement: Engaging stakeholders ensures that sustainability goals align with business strategy and industry best practices.
• Continuous improvement: CDP scores can serve as a benchmark for long-term sustainability performance. Regularly updating policies and targets demonstrates commitment to progress.

With over 10 years of experience in corporate sustainability reporting, Ecomatters is well-equipped to support and guide you through your sustainability reporting needs.

Ecomatters can assist in:

• Developing sustainability strategies
• Sustainability goal setting (including setting Science Based Targets)
• Design and support carbon reporting systems, for example, supporting with GHG Protocol reporting, including restatement of baselines
• Assistance in complying with CDP compatible frameworks and standards such as GRI, ESRS (CSRD)

If you would like to discuss working with Ecomatters on Carbon Disclosure Project reporting,  plan a call with one of our experts today!