Climate Leadership Coalition (CLC), which develops business-driven solutions to climate change, hosted a seminar with the Ownership Steering Department of the Prime Minister’s Office on Monday 15 February discussing key changes in the international climate actions and investor views regarding the reporting policies of companies on climate risks and the related business operations.

With the EU, China, USA and many other countries adopting stricter climate targets, the pace of transformation is speeding up, creating a new set of threats and opportunities. Investors are now calling for increasing transparent, quantitative reporting and systematic climate management. Businesses are faced with mounting pressures from stakeholders, investors, creditors, customers and partnership companies to communicate more openly about their specific climate risks. Businesses are also expected to communicate how they intend to retain and improve their competitiveness in the long term in the low-carbon economy.

“Ensuring the sustainability, long-term value development and competitiveness of state-ownedenterprises requires that the enterprises analyse the impact of the climate change on their operations and take this into consideration in their strategy work,” says Tytti Tuppurainen, Minister for European Affairs and Ownership Steering.

“Responsibility and climate policies appeared as a permanent feature on the agenda of investors and creditors last year the very latest. Fortunately, Finnish listed companies are well-positioned to respond to investor expectations and priorities in matters to do with the climate as well as other considerations,” says Risto Murto , President and CEO of Varma.

“The key instruments that investors keep their eye on are the Task Force on Climate Related Disclosures (TCFD), Science Based Targets (SBT) and the carbon footprint assessment tool developed in Finland. Attention should also be paid to the EU taxonomy for sustainable activities. Our organisation promotes the use of these instruments and assists companies in adopting them,” says Jouni Keronen,  CEO of CLC.

State as an owner is developing its ownership steering with a specific plan and requires that its enterprises engage in strategic, goal-oriented and integrated corporate responsibility work. The starting point in ownership steering has always been to integrate corporate responsibility in all core processes. Active ownerships steering is part of the role of a responsible owner.

CLC has 81 organisational members and 40 personal members. CLC’s members employ 500,000 people globally and its corporate members represent almost 70% of the market cap of OMX Nasdaq Helsinki. Founded in 2014, CLC is a non-profit association. CLC’s members believe that a transition by society towards a sustainable economy and consumption habits is not only possible but also economically viable.

More information: Esko Pyykkönen, Senior Financial Counsellor, Ownership Steering Department, Prime Minister’s Office,  +358 295160212, Jouni Keronen, CEO, Climate Leadership Coalition, +358 50 4534881, Kari Mokko, Development Director, Climate Leadership Coalition, +358 40 7513281.