EBA seeks input from institutions on their ESG disclosure practices
The European Banking Authority (EBA) published an online survey to receive input from credit institutions on their practices and views in the area of disclosure of information on environmental social governance (ESG) risks. The survey, which is addressed to large credit institutions that will be required to disclose prudential information on ESG risks, aims to support the EBA’s policy work on Pillar 3 disclosure and its wider efforts to develop a robust policy framework in the area of sustainable finance. The deadline for the call for input is 16 October 2020.
The disclosure of information on ESG risks is one of the key components in the policy framework of sustainable finance. There are variations across institutions on the level, type and location of information disclosed. The EBA seeks credit institutions’ input to understand their current practices in the disclosure of information on ESG risks as well as their future plans regarding Pillar 3 disclosures on ESG risks, as well as on classifications and metrics used.
This online survey is part of the EBA’s work to develop draft implementing technical standards (ITS) on Pillar 3 disclosure of prudential information on ESG risks by institutions. It will also be used to monitor the short-term expectations specified in the EBA Action Plan on Sustainable Finance, including the request for institutions to identify metrics, covering a green assets ratio, that provide transparency on how they are embedding climate change related risks into the organisation.
The EBA has set up a dedicated webpage and an email address ESG.disclosure@eba.europa.eu, to support this initiative. The responses to the online survey can be submitted via this online tool, available on the EBA’s dedicated webpage.
The survey, which is run on a voluntary basis, is addressed to large institutions that will be required to disclose prudential information on ESG risks in accordance with Article 449a of the Capital Requirements Regulation (CRR). Credit institutions may reply to the survey until 18:00 CEST on 16 October 2020.
