GRI and CDP
The Global Reporting Initiative (GRI) and the Carbon Disclosure Project (CDP) are both organizations that promote transparency and disclosure around environmental and sustainability performance.
The GRI provides a comprehensive sustainability reporting framework for companies to use to disclose their environmental, social and governance performance for companies to report on a wide range of sustainability-related topics, including environmental impacts, labour practices, human rights, and anti-corruption.
The CDP focuses specifically on climate-related risks and opportunities and provides a standardized questionnaire for companies to disclose their greenhouse gas (GHG) emissions and strategies for reducing them and provides a rating system based on the performance and reporting of companies.
Both of the frameworks are widely recognized and respected, and many companies choose to report using both GRI and CDP.
How GRI is aligned with CDP
GRI & CDP both frameworks are used for measuring and reporting on a company’s environmental and sustainability performance. However, they have different focuses and are used in different ways.
GRI is a standard for sustainability reporting that provides a framework for companies to report on a wide range of sustainability issues, including environmental, social and governance (ESG) performance. It provides a set of guidelines and indicators that companies can use to report on their performance and progress towards sustainability goals.
CDP, on the other hand, is a global disclosure system that focuses specifically on climate change and greenhouse gas (GHG) emissions. CDP encourages companies to disclose their GHG emissions and strategies for reducing them through a standardized questionnaire.
Both frameworks have different reporting requirements and focus on different sustainability issues, but they can be aligned and used together. Many companies use GRI to report on their overall sustainability performance and then use CDP to report specifically on their GHG emissions and climate change strategies, now companies can provide a comprehensive overview of their sustainability performance and progress.
Also, GRI Standards are recognized as the most widely used sustainability reporting framework in the world, and many companies that report to CDP also use GRI Standards to report their sustainability information. CDP questionnaire also refers to GRI Standards as a reference for providing a detailed and robust report on the environmental performance.
In summary, GRI and CDP are both frameworks for measuring and reporting on sustainability performance, but they have different focuses. GRI provides a framework for reporting on a wide range of sustainability issues, while CDP focuses specifically on climate change and GHG emissions. Companies can use both frameworks to provide a comprehensive overview of their sustainability performance and progress
Linking GRI into CDP
Linking GRI into CDP refers to the integration of the GRI Standards, a widely used framework for sustainability reporting, into the CDP reporting process. CDP is a non-profit organization that works with companies and cities to disclose their environmental impact, including their greenhouse gas emissions.
By linking GRI into CDP, companies can use the GRI Standards to report on their sustainability performance, and then submit that information to CDP for inclusion in the CDP database. This allows companies to meet their sustainability reporting obligations through a single process and provides investors and other stakeholders with a more comprehensive understanding of the company’s environmental performance.
Steps involved while linking GRI into CDP
Linking GRI into CDP involves a few key steps:
Familiarize with the GRI Standards: The GRI Standards are a widely used framework for sustainability reporting that provide a consistent and transparent way for companies to report on their environmental, social, and governance performance. The Standards are organized into three parts: the Guidelines, the Disclosures, and the Sector Supplements. Companies should familiarize themselves with the Standards and determine which ones are relevant to their operations.
Report on your sustainability performance using the GRI Standards: Once you are familiar with the Standards, you can begin reporting on your sustainability performance using them. This will involve collecting and analyzing data, and then communicating it in a clear and consistent way. The GRI Standards provide detailed guidance on how to report on various aspects of sustainability performance, such as energy use, water use, and labor practices.
Submit your GRI-compliant report to CDP: Once you have completed your report using the GRI Standards, you can submit it to CDP for inclusion in their database. CDP is a non-profit organization that works with companies and cities to disclose their environmental impact, including their greenhouse gas emissions. By submitting your GRI-compliant report to CDP, you can meet your sustainability reporting obligations through a single process.
Use the GRI-CDP link to communicate with stakeholders: Companies that link GRI into CDP can use the GRI Standards and CDP disclosure to communicate their sustainability performance to stakeholders such as investors, customers, and regulators.
Add the CDP logo and GRI logo to your report: Once you have submitted your GRI-compliant report to CDP, you can include the CDP logo and GRI logo on your report to signal to stakeholders that the report has been submitted to CDP and that it meets the GRI Standards.
Note: By linking GRI into CDP, companies can use the GRI Standards to report on their sustainability performance, and then submit that information to CDP for inclusion in the CDP database. This allows companies to meet their sustainability reporting obligations through a single process and provides investors and other stakeholders with a more comprehensive understanding of the company’s environmental performance.
Disclosure Linked
The Global Reporting Initiative (GRI) and the Carbon Disclosure Project (CDP) both have a focus on promoting transparency and disclosure around environmental and sustainability performance.
Currently there are two main areas of focus:
- Climate Change (CDP 2017)
- Water Security Questionnaire (CDP 2022)
In 2017, CDP released its climate change questions as part of its annual questionnaire, which companies can use to disclose their greenhouse gas (GHG) emissions and climate strategies. The CDP questions are aligned with the GRI Standards, which provide a comprehensive sustainability reporting framework for companies to use.
The CDP questions for climate change in 2017 covered a wide range of topics, including:
GHG emissions: Companies were asked to report their total GHG emissions, as well as emissions from different sources such as energy use, transportation, and business travel.
Climate risks and opportunities: Companies were asked to identify and describe the risks and opportunities associated with climate change that are relevant to their business.
Climate strategy: Companies were asked to describe their climate strategy, including their targets for reducing emissions and their plans for managing climate-related risks and opportunities.
Climate performance: Companies were asked to report on their progress towards meeting their climate targets and to provide information on the steps they have taken to reduce their emissions.
Overall, the CDP questions for climate change in 2017 provided a comprehensive framework for companies to report on their GHG emissions and climate strategies. The questions were aligned with the GRI Standards, and provided valuable information for investors, stakeholders, and the general public to assess a company’s efforts to address the challenges of climate change.
Water Security Questionnaire
The Global Reporting Initiative (GRI) 303: Water and Effluents 2018 and the Carbon Disclosure Project (CDP) Water Security Questionnaire 2022 both focus on promoting transparency and disclosure around a company’s water-related risks and opportunities.
GRI 303 provides a comprehensive framework for companies to report on their water usage, wastewater discharge, and their water-related risks and opportunities. Companies are encouraged to report on the impacts of their operations on water resources, including the quality and quantity of water consumed and discharged, as well as the impacts of their operations on local communities and ecosystems.
The CDP Water Security Questionnaire 2022 is focused specifically on water security and focuses on the risks and opportunities associated with a company’s water usage. The questionnaire covers topics such as water scarcity, water quality, and the impacts of water management practices on local communities and ecosystems. Companies are asked to provide information on their water usage, their water-related risks and opportunities, and their strategies for managing these risks and opportunities.
Both GRI 303 and the CDP Water Security Questionnaire provide valuable information for investors, stakeholders, and the general public to assess a company’s efforts to address the challenges associated with water security.
The two frameworks are aligned in their focus on water-related risks and opportunities, and companies can use both frameworks to report on their water usage and management practices.
By reporting using both GRI 303 and the CDP Water Security Questionnaire, companies can provide a more comprehensive view of their water-related performance and increase the transparency and comparability of their water-related information.
