Full Disclosure 5 relies on data and information which is publicly available.
Any information disclosed by companies to the Centre for Environmental Rights (CER), or it’s consultants, which is not in the public domain is not included in the findings or website / report, unless otherwise specifically stated.
The findings are based exclusively on information set out in formal company disclosures. The full list of disclosures considered for each company are set out in individual company profiles. Additional information, which is set out in emitter profiles and throughout the website/report (but not included in the findings), is derived from a variety of publicly available sources, as set out below.
Companies assessed were approached for comment shortly before the launch of the report on 25 November 2019. Only inaccuracies disclosed by companies to the CER that are consistent with the Full Disclosure 5 methodology are corrected.
Please see the Full Disclosure 5 Methodology.
Findings Page
| Information / data point | Description | Source | |
|---|---|---|---|
| 1.1 | Findings | Consolidated and summarised bank and emitter disclosures; evaluated according to Full Disclosure 5 Methodology (as at 03 August 2019), setting out compliance with elements of the Task Force on Climate related Financial Disclosures (TCFD) Recommendations. | Publicly available financial disclosures made by the companies only.
Sources of disclosures considered for each company are set out in the company profile. (Includes disclosures such as Annual Reports, Integrated Reports, and Carbon Disclosure Project (CDP) submissions.) |
| 1.2 | Description and information on Task Force on Climate Related Financial Disclosures (TCFD) Recommendations | Information used to determine the scope and factors for consideration under the TCFD Recommendations. | TCFD Recommendations June 2017; TCFD Status Report June 2019; TCFD Online Guidance Hub |
Bank Company Profiles
| Information / data point | Description | Source | |
|---|---|---|---|
| 2.1 | Findings | Detailed individual emitter disclosures; evaluated according to Full Disclosure 5 Methodology (as at 03 August 2019), setting out compliance with elements of the Task Force on Climate related Financial Disclosures (TCFD) Recommendations. | Publicly available financial disclosures made by the company only.
Sources of disclosures considered for each company are set out in the company profile, including the date of assessment. (Includes disclosures such as Annual Reports, Integrated Reports, and Carbon Disclosure Project (CDP) submissions.) |
| 2.2 | Location | Location of operations or activities. | Company Annual / Integrated Reports, company websites, and/or Market Screener profile. |
| 2.3 | Shareholders | Selected list of shareholders; includes the top three shareholders by % of shares held (excluding related company holdings), and other shareholders that may be of public interest or relevant to the Full Disclosure series. | Company Annual / Integrated Reports, company websites, and/or Market Screener profile. |
| 2.4 | Total Assets | As reported by the bank | Company Annual / Integrated Reports / Financial Statements |
| 2.5 | Concentration of carbon-related assets | As reported by the bank
Note: The concentration of carbon-related assets may be under-reported by banks. This measure is under review and may, in future, include an objective third-party determination of the estimated concentration of carbon-related assets. |
Company Annual / Integrated Reports / Financial Statements |
| 2.6 | Credit loss ratio | As reported by the bank. Credit loss ratios can be used to measure how much risk is assumed through credit related losses – Calculated as “total impairment losses on loans and advances, divided by the total average loans and advances.” (Old Mutual Glossary)
Note: The inclusion of this measure is under review. |
Company Annual / Integrated Reports / Financial Statements |
| 2.7 | Risky Activities | Activities which expose the bank and/or its customers to risk by directly or indirect funding or supporting the activities of high green house gas emitters, or by financing or investing in carbon-related assets.
Note: The inclusion of this section is under review and may, in future, be replaced with case studies related to the work of CER and other organisations. |
Various news sources, reports, CER internal information, and Company Annual / Integrated Reports / Financial Statements. These activities are not verified by the companies prior to launch. |
Emitter Company Profiles
| Information / data point | Description | Source | |
|---|---|---|---|
| 3.1 | Findings | Detailed individual emitter disclosures; evaluated according to Full Disclosure 5 Methodology (as at 03 August 2019), setting out compliance with elements of the Task Force on Climate related Financial Disclosures (TCFD) Recommendations. | Publicly available financial disclosures made by the company only.
Sources of disclosures considered for each company are set out in the company profile, including the date of assessment. (Includes disclosures such as Annual Reports, Integrated Reports, and Carbon Disclosure Project (CDP) submissions.) |
| 3.2 | Location | Location of operations or activities. | Company Annual / Integrated Reports, company websites, and/or Market Screener profile. |
| 3.3 | Shareholders | Selected list of shareholders; includes the top three shareholders by % of shares held (excluding related company holdings), and other shareholders that may be of public interest or relevant to the Full Disclosure series. | Company Annual / Integrated Reports, company websites, and/or Market Screener profile. |
| 3.4 | Total Scope 1 and 2 Emissions (South Africa, 2018) | Total scope 1 & 2 emissions for South Africa as reported by the CDP (based on information provided by companies to the CDP in response to the CDP 2018 information request).1 Where this data is not reported by the CDP, then the most recent company reported data. | CDP, “South Africa Climate Change Report 2018” |
| 3.5 | Contribution to South Africa’s total emissions (estimated) | Data reported in 2.4 as a share of South Africa’s total emissions data in 3.1 | = [Company data 2.4] / [South Africa data 3.1] * 100 |
| 3.6 | Ranking out of 10 emitters assessed (1 = highest) | Companies assessed in Full Disclosure 5 under ‘emitters’2 ranked from highest to lowest, based on data set out in 2.4. | 2.4 |
| 3.7 | Total Scope 1 and 2 Emissions (Worldwide, 2018) | Total scope 1 & 2 emissions for global activities reported by the CDP (based on information provided by companies the CDP in response to the CDP 2018 information request.3 | CDP, “South Africa Climate Change Report 2018” |
- This data is not derived from the latest company disclosures and may, therefore, be outdated. It is the data last reported by the Carbon Disclosure Project (CDP). The CER has relied on this data, rather than the most recent company reported emissions, because of its comparative value – relying on the CDP report ensures that emission data is reported within the same CDP reporting cycle across companies.
- The companies assessed in Full Disclosure 5, under emitters, do not all fall within the top ten highest emitters of greenhouse gases in South Africa, as is evident from source 2.4. Full Disclosure 5 assesses ten of the highest emitters of greenhouse gases in South Africa.
- This data is not derived from the latest company disclosures and may, therefore, be outdated. It is the data last reported by the Carbon Disclosure Project (CDP). The CER has relied on this data, rather than the most recent company reported emissions, because of its comparative value – relying on the CDP report ensures that emission data is reported within the same CDP reporting cycle across companies.
Other Data
| Information / data point | Description | Source | |
|---|---|---|---|
| 4.1 | Country comparative emissions data | Country emissions data used for comparing emissions and calculation of total emissions from South Africa, based on data collected in 2014. | World Resource Institute – CAIT Climate Data Explorer 2015 |
| 4.2 | South Africa transportation emissions data | Consolidated emissions data for South African transportation sector based on South African Greenhouse Gas inventory, 2010. | WWF, “WWF Brief 2016: Transport Emissions in South Africa” |
Bibliography
Key Reports
- TCFD, “Final Report: Recommendations of the Task Force on Climate-related Financial Disclosures (June 2017)”
- TCFD, “2019 Status Report (June 2019)”
- UNEP Finance Initiative, “Extending Our Horizons”
- UNEP Finance Initiative, “Navigating a New Climate”
- CDP, “South Africa Climate Change Report 2018”
- Intergovernmental Panel on Climate Change (IPCC), “Global Warming of 1.5oC”
Additional Reports
- Carbon Brief, Profile: South Africa
- Climate Policy Initiative (CPI), “Understanding the impact of a low carbon transition on South Africa.”
- Climate Transparency, “Socio-economic considerations for a Paris Agreement-compatible coal transition in South Africa.”
- Department of Energy, “South African Energy Sector Report 2018.”
- Department of Environmental Affairs, “Discussion Document: South Africa’s intended Nationally Determined Contribution (INDC): 1 August 2015”
- Department of Environmental Affairs, “South Africa’s Second Annual Climate Change Report 2016”
- Energy Research Centre (ERC), “Least-cost integrated resource planning and cost-optimal climate change mitigation policy: Alternatives for the South African electricity system.”
- McKinsey & Company, “The future of bank risk management.”
- RAN, “Banking on Climate Change: Fossil Fuel Financing Report Card 2019”
- South African Reserve Bank, “Financial Stability Review First Edition 2019.”
- South African Reserve Bank, “Financial Stability Review Second Edition 2019”
- Stockholm Environment Institute, “The end of coal? Planning a “just transition” in South Africa.”
- UN Human Rights Special Procedures, “Safe Climate: A report of the Special Rapporteur on Human Rights and the Environment.”
- WWF, “WWF Brief 2016: Transport Emissions in South Africa”