A study released on Wednesday by the Carbon Disclosure Project (CDP) finds that 37 percent of the world’s largest companies now see extreme weather due to climate change as a physical risk to the continuity of their businesses. CDP received survey responses from 81 percent, or 405, of the Global 500 companies.
The new CDP Global 500 Climate Change Report 2012 says that: “Recent extreme weather and natural events have tested companies’ business resilience and increased their level of understanding of the timeframes of the physical risks they associate with climate change. Physical risks are viewed as tangible and present, impacting companies’ operations, supply chains and business planning.”
The 37 percent of companies that report physical risks to their businesses has nearly quadrupled from only 10 percent in 2010.
The Carbon Disclosure Project is a non-profit organization that works toward decreasing greenhouse gas (GHG) emissions and improving water use by businesses and cities. The organization represents the interests of 655 institutional investors with $78 trillion in assets who seek understanding of the environmental risks in their investment portfolios. CDP provides a framework for enterprises to measure and report their environmental performance. The Global 500 is an annual ranking of the world’s largest companies compiled by Fortune magazine.
Second Photo: Chuck Simmins, post-hurricane flooding in Louisiana