Climate risks are financial risks. The Paris Climate Agreement means ‘business as usual’ is no longer an option.
Barristers’ advice puts directors on notice for not considering the risks. Australian regulators have confirmed climate change is a financial risk, putting banks and super funds on notice. Government officials must act with care and diligence. These are the new realities for investors and financiers.
EJA is the only legal practice in the world to have filed court proceedings against a bank over climate risk disclosure. In August 2017 we lodged the case in the Federal Court of Australia against the largest public company in Australia, the Commonwealth Bank. The case was brought by long-term shareholders who alleged the bank failed to adequately disclose climate related risks in its annual report.