Emission reduction targets and social responsibility in the energy transition

The Global Reporting Initiative (GRI) has launched new reporting standards on climate change and energy, with the aim of strengthening corporate transparency and accountability in the face of climate challenges. The new documents, GRI 102: Climate Change and GRI 103: Energy, provide a framework for describing the climate impact and energy use of organisations.

The climate change standard sets out requirements to reduce greenhouse gas emissions, requiring companies to adopt science-based targets in line with the guidelines set out in international agreements. The concept of just transition is also introduced and companies must emphasise the impact of climate action on employees, local communities and other affected groups. This brings to the fore the social implications of decarbonisation strategies.

Energy consumption reporting becomes more accurate and adapted to international requirements

The energy standard focuses on the measurement and reporting of energy consumption, the sources used and the degree of resource efficiency. In particular, clarity is sought with regard to renewable and non-renewable energy, as well as itemisation of consumption both in direct operations and in the value chain.

An important feature of these standards is their compatibility with other international reporting frameworks, in particular IFRS S2 issued by the ISSB. Through this alignment, companies can centralise information on carbon emissions, reducing administrative effort and facilitating global comparability of data.

Alignment with global standards and support for implementation by 2027

The new standards will come into force in January 2027. Until then, companies can participate voluntarily in a pilot programme that will run until the end of 2025. GRI is providing explanatory guidance, specialised courses and educational support to help support the integration of these requirements into the corporate reporting process.

With these updates, GRI aims to transform climate reporting into a concrete tool for strategic guidance, providing companies with a tool to assess climate risks and communicate their actions in a way that is relevant to investors, authorities and society.