The risks and opportunities arising from climate change extend across all activities and sectors with financial, physical and regulatory impacts to business.
KPMG Climate IQ technology will assess operations and supply chains to help quantify your organisation's climate impact for more thorough, future proof climate reporting.
Climate risk analysis and reporting
The business world has been talking about climate change and decarbonisation for some time, but measurement has been mostly qualitative. Managing climate risk and balance sheet impacts to drive future value must be quantified.
This includes analysing and reporting on the following:
Global climate scenarios
Businesses must consider different scenarios for the impact of global warming using a range of temperatures and how these will impact their operations and supply chains.
Climate financial risks
Forecasting profit and loss performance under different climate scenarios allows for actionable insights. It guides resilience strategies and helps businesses identify efficiencies and opportunities for growth, to inform their capital expenditure and resource planning.
Transparent and robust disclosures such as annual and sustainability reports, will not only satisfy investors, and regulators but also staff, clients, and the general public.
What are the benefits?
Best in class climate risk modelling with dynamic visual mapping and physical damage projections to identify, quantify and manage climate risk.
Nobel Prize-winning economic analysis that captures systematic impacts.
Reporting metrics in line with TCFD guidelines and industry expectations (ISSB). KPMG Climate IQ offers a comprehensive assessment of your climate-related issues.
A choice of future pathways, helping you understand how prepared your business is under a range of potential outcomes including 1.5-, 2- and 4-degree scenarios.
Global output quantification showing the impact of systemic economic impacts across global operations and supply chains, covering 141 regions and 65 sectors.
Continual analysis using existing data and modelling capabilities, saving time, cost and effort.
Cloud-based technology allowing large dataset processing, simulations of multiple scenarios and sensitivity analyses of financial projections.
Climate hazard exposure assessment of the physical risks of climate change on your business, as well as the economic impacts of transitioning to a low-carbon state.
Frequently asked questions
Is TCFD reporting mandatory in Australia?
No. TCFD reporting is not mandatory in Australia. However, it is seen by the Australian Government as a sound framework for existing climate risk disclosure requirements (1), enabling companies to remain aligned to market expectations.
Why did the US Securities and Exchange Commission (SEC) propose a new disclosure on climate risks?
The proposed rules are intended to provide more consistent, comparable and reliable information so investors can better evaluate the impact of climate-related matters on a registrant.
What are the ISSB standards and when do they kick in?
The International Sustainability Standards Board (ISSB) has prepared a set of disclosure standards which builds on the existing TCFD requirements and aim to provide a global baseline of disclosure requirements. The ISSB standards are effective from 1 January 2024 and the Australian Government is currently considering what this means for implementation requirements in Australia.
Meet the team
Turn your ESG commitments into action. Creating a more sustainable future while driving measurable growth today.
Creating a more sustainable future while driving measurable growth today.
 Australian Government, The Treasury Department. Climate-related financial disclosure – Consultation paper 12 December 2022 – 17 February 2023. https://treasury.gov.au/sites/default/files/2022-12/c2022-314397_0.pdf