The CSA Issues New Guidance In Disclosing Material Climate Change-Related Risks

On August 1, 2019, the Canadian Securities Administrators (CSA) issued CSA Staff Notice 51-358 Reporting of Climate Change-related Risks (the Notice). The Notice was released in response to the CSA's own reviews of certain TSX-listed issuer disclosure practices, as well as an increased focus from institutional investors on climate change risk disclosure and concerns expressed by shareholders regarding insufficient disclosure. The Notice was intended to assist issuer's ability to identify and assess material climate change-related risks.

While the Notice does not create or modify any legal requirements, it reinforces and expands upon the guidance previously provided in CSA Staff Notice 51-333 Environmental Reporting Guidance for continuous disclosure requirements of environmental matters, including climate change, and builds upon guidance from other regulators, proxy advisory firms, and stakeholders such as the Sustainability Accounting Standards Board and the