On October 18, the Canadian Securities Regulators (CSA) released for public comments Proposed National Instrument 51‑107 ‑ Disclosure of Climate‑Related Matters (the “Proposed Instrument”) and its companion policy.
The aim is to provide ‘mandatory climate-related disclosures that provide consistent, comparable and decision-useful information to market participants’.
The Proposed Instrument will be applicable to reporting issuers except reporting issuers that are
Issuers of an asset-backed security
Designated foreign issuers or SEC foreign issuers
Certain exchangeable security issuers
Certain credit support issuers
Concerned reporting issuers would have to comply with
Climate-related Governance Disclosure Requirements through Form 51-107A
Climate-related Strategy, Risk Management and Metrics and Targets Disclosure Requirements through Form 51‑107B which should also include, among others, the reporting standard used by the issuer to calculate and disclose the GHG emissions.
The disclosure requirements would be phased-in.