Greenhouse Gas Emissions Demand Localised Climate Data in Hong Kong

Localised Climate Data Crucial for Hong Kong's Environmental Disclosures

Greenhouse gas emissions represent a significant challenge for Hong Kong, emphasizing the need for localized climate data. The Hong Kong Institute of Certified Public Accountants (HKICPA) highlights that listed companies require specific greenhouse gas emission factors to improve transparency in their environmental disclosures.

Feedback from Corporate Officers

Cecilia Kwei, head of accounting and sustainability standard setting at HKICPA, shared insights gathered from corporate officers during training sessions. Participants consistently requested Hong Kong-specific greenhouse gas emission factors to replace the overseas references currently in use.

• Companies need accurate emissions data for their operations.
• Localized climate scenario analyses would address unique challenges.

The Role of Public-Private Partnerships

Collaboration between government bodies and businesses is critical in developing market infrastructure for reliable emissions and climate-related data. Kwei emphasized the necessity for enhanced public-private partnerships to facilitate data reporting and analysis.

Mandatory Disclosures and Future Standards

Starting next year, Hong Kong-listed companies will be required to disclose greenhouse gas emissions as part of their environmental, social, and governance reports. By 2026, disclosures will also extend to emissions from their supply chains.

The HKICPA is working on aligning local standards with those of the International Sustainability Standards Board (ISSB), ensuring that Hong Kong meets global disclosure benchmarks.

The Path Forward

With plans to develop tailored emission factors and enhance climate resilience reporting, the future of greenhouse gas emissions disclosures in Hong Kong looks more informed and localized.