The Taskforce on Nature-related Financial Disclosures (TNFD) has announced measures to simplify the presentation of TNFD-aligned recommended disclosures in existing voluntary and mandatory corporate reporting. The TNFD, which issued its final recommendations for nature-related disclosures last September, said it supported use of cross-reference tables to show the alignment of sustainability disclosures, including data points, with its recommendations and metrics. The announcement was a response to market calls for greater streamlining of corporate reporting, which also reflects existing market practice – including through the first generation of TNFD-aligned reporting that has emerged over the past 12 months. The TNFD said cross-referencing was permissible due to alignment achieved through ongoing collaboration with sustainability standards bodies, including the International Sustainability Standards Board (ISSB), Global Reporting Initiative (GRI), European Financial Reporting Advisory Group (EFRAG) and disclosure platform CDP. As a result of these efforts, much of the information recommended for disclosure by the TNFD is now included in standards overseen by the ISSB, GRI, and EFRAG, said the TNFD. “While each organisation needs to determine its own approach to presentation of material sustainability-related information – whether in combined or separate documents – the use of cross-reference tables can enable corporates and financial institutions to adopt the TNFD recommendations without the need to create a separate TNFD report,” it added. More than 400 organisations globally have committed to start reporting on nature-related issues aligned with the recommendations of the TNFD.
