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The CDP Global Water Report (2020) informs us that, when it comes to water security, “The cost of inaction is five times the cost of action.”. CDP and Planet Tracker’s High and Dry: How Water Issues Are StrandingAssets , May 2022 report recognizes that “Water risk is already strandingassets across major sectors of the globaleconomy.”.
iii Transporting 80% of world trade, shipping is the engine room of the globaleconomy. However, despite being the most efficient and environmental way to transport goods, it emits 2% of global emissions, equivalent to the annual emissions of Japan. Without action, this could increase by more than 45% by 2050.
But the companies should be aware of potential documentation requirements from their auditor/assurer, if their ESG reporting is assured. Therefore, there is a greater likelihood the companies will be better at reporting on these emissions. Companies cannot have perfect oversight of all the scope 3 data.
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