Top businesses to disclose greenhouse gas emissions
Businesses listed on the London Stock Exchange will have to report their levels of greenhouse gas emissions from the start of the next financial year, under plans announced by the Deputy Prime Minister.
Nick Clegg made the announcement at the Rio+ 20 Summit in a move which will make the UK the first country to make it compulsory for companies to include emissions data in their annual reports.
He said: “Counting your business costs while hiding your greenhouse gas emissions is a false economy.
“British companies need to reduce their harmful emissions for the benefit of the planet, but many back our plans because being energy efficient makes good business sense too.
“It saves companies money on energy bills, improves their reputation with customers and helps them manage their long-term costs too.”
It is hoped that the introduction of the reports will enable investors to see which companies are effectively managing the costs of gas emissions.
The majority of affected businesses have supported the changes, which will be introducted from April 2013. It will be reviewed in 2015, before ministers decide whether to extend the approach to all large companies from 2016.
The changes have been supported by the CBI, who have for some time been calling for changes to be made.
Rhian Kelly, CBI Director for Business Environment policy, said:“We have been calling for mandatory carbon reporting for some time.
“It is an important way to help businesses save money and emissions, and provided this is done in a sensible way, this announcement is to be applauded.
“To avoid unnecessary duplication, the Government now needs to scrap the Carbon Reduction Commitment.”
It is now hoped that the compulsory approach will enable companies to manage and reduce emissions, enable more transparency for companies and provide a single consistent standard, while also providing information to the business which could save them money through energy costs.
This was posted in Bdaily's Members' News section by Ruth Mitchell .
Enjoy the read? Get Bdaily delivered.
Sign up to receive our popular morning National email for free.