Hong Kong’s Need for Localised Climate Data to Enhance Corporate Sustainability Disclosures

Thursday, 12 September 2024, 22:00

Greenhouse gas emissions require localised data in Hong Kong to improve environmental disclosures. The HKICPA emphasizes the need for tailored emission factors for businesses. Their findings indicate that companies prefer local references over overseas data.
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Hong Kong’s Need for Localised Climate Data to Enhance Corporate Sustainability Disclosures

Greenhouse Gas Emissions and Local Context

Greenhouse gas emissions pose a significant challenge for climate change. To enhance sustainability disclosure, Hong Kong needs localised calculation references. According to the Hong Kong Institute of Certified Public Accountants (HKICPA), corporate officers express a strong desire for Hong Kong-specific emission factors during training workshops.

Importance of Public-Private Partnerships

The HKICPA indicates that greater collaboration is essential among government and businesses to develop infrastructure for effectively collecting and analysing climate data. This includes enhancing references for greenhouse gas emissions, critical for compliance with rising disclosure standards.

Impact of Emission Factors

  • Emission factors aid businesses in calculating their greenhouse gas discharge.
  • Most companies currently rely on international standards published by the US and UK.
  • Locally relevant data would improve the accuracy of environmental reporting.

Future of Sustainability Disclosures

Starting next year, listed firms in Hong Kong must disclose emissions from their operations and purchased energy. By 2026, disclosures must also include emissions from supply chain partners. Furthermore, the HKICPA will align local sustainability standards with International Sustainability Standards Board (ISSB) guidelines.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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