Two of the main announcements expected to be made are:
- The expected launch of the IFRS International Sustainability Standards Board at COP26, which is set to pave the future of comparable sustainability reporting.
- The Australia and New Zealand Professional Bodies Climate Action Charter.
What is COP26?
COP26 is the abbreviated name for the highly anticipated 2021 United Nations Climate Change Conference, which is being held between 31 October and 12 November 2021 in Glasgow, Scotland. While not even a year has passed since the summit’s original dates of November 2020, the Leaders Summit on Climate this past April and the release of the IPCC Sixth Assessment Report in August of this year have increased the urgency around global climate action. Therefore, we can expect the tone to be much different than had the event taken place last year.
Paris Agreement Nationally Determined Contributions (NDCs):
2015’s COP21 gave rise to the instrumental Paris Agreement. The aim of the Paris Agreement is to prevent global temperature rise this century from surpassing” 2°C above pre-industrial levels, with an aim to limit the increase to 1.5°C. Each signatory of the agreement pledged their own NDC, which would be revisited five years later. Given the delay of COP26, this October and November is the time for countries, such as Australia, to re-assess their initial commitments.
After a highly publicised fortnight in Canberra, the Coalition is entering the conference with an updated commitment to net-zero emissions by 2050. However, the emissions reduction target of 26-28 per cent below 2005 levels by 2030 remains unchanged.
By contrast, Joe Biden’s pledges for the USA, upon re-entering the Paris Agreement, are 50-52 per cent below 2005 levels by 2030, and net-zero no later than 2050.
According to Climate Action Tracker, current pledges and targets plot a warming path of 2.4°C by 2100, which is well above the 2°C or preferable 1.5°C targets.
Goals of COP26:
- Secure global net zero by mid-century and keep 1.5 degrees within reach.
- Adapt to protect communities and natural habitats.
- Mobilise finance.
- Work together to deliver.
What to look out for?
- The expected launch of the IFRS International Sustainability Standards Board, which is set to change the sustainability reporting landscape by increasing comparability through a consistent set of standards.
- The attitude of world leaders and global media towards Australia, and any implications of the Coalition maintaining its 2030 targets.
