ICAS ICAS logo

Quicklinks

  1. About Us

    Find out about who we are and what we do here at ICAS.

  2. Find a CA

    Search our directory of individual CAs and Member organisations by name, location and professional criteria.

  3. CA Magazine

    View the latest issues of the dedicated magazine for ICAS Chartered Accountants.

  4. Contact Us

    Get in touch with ICAS by phone, email or post, with dedicated contacts for Members, Students and firms.

Login
  • Annual renewal
  • About us
  • Contact us
  • Find a CA
  1. About us
    1. Governance
  2. Members
    1. Become a member
    2. Newly qualified
    3. Manage my membership
    4. Benefits of membership
    5. Careers support
    6. Mentoring
    7. CA Wellbeing
    8. More for Members
    9. Area networks
    10. International communities
    11. Get involved
    12. Top Young CAs
    13. Career breaks
    14. ICAS podcast
    15. Newly admitted members 2022
    16. Newly admitted members 2023
  3. CA Students
    1. Student information
    2. Student resources
    3. Learning requirements
    4. Learning updates
    5. Learning blog
    6. Totum Pro | Student discount card
    7. CA Student wellbeing
  4. Become a CA
    1. How to become a CA
    2. Routes to becoming a CA
    3. CA Stories
    4. Find a training agreement
    5. Why become a CA
    6. Qualification information
    7. University exemptions
  5. Employers
    1. Become an Authorised Training Office
    2. Resources for Authorised Training Offices
    3. Professional entry
    4. Apprenticeships
  6. Find a CA
  7. ICAS events
    1. CA Summit
  8. CA magazine
  9. Insight
    1. Finance + Trust
    2. Finance + Technology
    3. Finance + EDI
    4. Finance + Mental Fitness
    5. Finance + Leadership
    6. Finance + Sustainability
  10. Professional resources
    1. Anti-money laundering
    2. Audit and assurance
    3. Brexit
    4. Business and governance
    5. Charities
    6. Coronavirus
    7. Corporate and financial reporting
    8. Cyber security
    9. Ethics
    10. Insolvency
    11. ICAS Research
    12. Pensions
    13. Practice
    14. Public sector
    15. Sustainability
    16. Tax
  11. CPD - professional development
    1. CPD courses and qualifications
    2. CPD news and updates
    3. CPD support and advice
  12. Regulation
    1. Complaints and sanctions
    2. Regulatory authorisations
    3. Guidance and help sheets
    4. Regulatory monitoring
  13. CA jobs
    1. CA jobs partner: Rutherford Cross
    2. Resources for your job search
    3. Advertise with CA jobs
    4. Hays | A Trusted ICAS CA Jobs Partner
    5. Azets | What's your ambition?
  14. Work at ICAS
    1. Business centres
    2. Meet our team
    3. Benefits
    4. Vacancies
    5. Imagine your career at ICAS
  15. Contact us
    1. Technical and regulation queries
    2. ICAS logo request

SDG 13 Under the CA spotlight: Climate Action

  • LinkedIn (opens new window)
  • Twitter (opens new window)
Meg photo By Meg Burns, ICAS Sustainability Panel Member

4 July 2019

Key points:

  • UN SDG 13 represents Climate Action and encourages urgent action to combat climate change and its impacts.

  • As part of the SDG under the CA spotlight series, The ICAS Sustainability Panel considers the role of the CA in tackling climate change.

  • CAs are a trusted source to help embed climate change into the very heart of the organisation they work within.

ICAS Sustainability Panel member Meg Burns considers the role of CAs in tackling the issue of climate change.

In February we set our sights on SDG 8 and looked at the ways in which it could impact on the CA profession as well as how CAs could look to help support the achievement of it.

This month we put another United Nations Sustainable Development Goal (“SDG”) under the CA spotlight, taking a deeper look at SDG 13: ‘Climate Action - take urgent action to combat climate change and its impacts’ and what CAs could be doing in this area.

Manmade environmental issues have long been on the agenda of the global science community but seemed to largely remain outside of the general public’s consciousness. More recently, however, there seems to have been a shift in public perception as the negative impacts, we as humans are having on our planet and its biodiversity, become more widely recognised and understood.

Government response to the issue of climate change

Public passion really began heating up in late 2018 when the Intergovernmental Panel on Climate Change (“IPCC”) issued their special report ‘Global Warming of 1.5 °C’, grabbing front-page headlines and sparking debates worldwide. It gave some stark contrasts between what a 1.5oC vs 2oC increase in global temperatures could bring:

Figure 1: Differences between 1.5oC and a 2oC temperature increase

2019 has followed suit. One cannot ignore the political activism gaining speed across both the UK and abroad – April saw one of the most successful climate demonstrations by Extinction Rebellion culminating in the majority of MP’s backing a motion in Parliament to call on the Government to declare an environment and climate emergency. Whilst this didn’t legally compel the Government to act it coincided with the release of The Committee on Climate Change’s (“CCC”) eagerly awaited ‘Net Zero – The UK’s contribution to stopping global warming’ report published a day later, on 2nd May 2019. The report recommended:

  • A new emissions target for the UK: net-zero greenhouse gases by 2050.
  • In Scotland, a net-zero date of 2045, reflecting Scotland’s greater relative capacity to remove emissions than the UK as a whole.
  • In Wales, a 95% reduction in greenhouse gases by 2050.

A domino effect has ensued. Within hours of the report being published The Scottish Government outlined a legally binding target of net-zero greenhouse gas emissions by 2045, swiftly followed by both Edinburgh and Glasgow pledging to become carbon neutral by 2030 and 2045, respectively. Pressure to write the new target into UK national law also began mounting and included a group of leading climate scientists calling on the Prime Minister to make this her lasting ‘legacy’ before resigning - ‘To do so would be an act of global importance for future generations, and a worthy legacy’. On 5th June 2019, the UK government amended to The Climate Change Act legislating a commitment to net zero emissions by 2050, making Britain the first major economy to do so.

The role of CAs

So as society begins to sit up and think carefully about its carbon footprint and overall environmental impact, demanding more from themselves and those around them, where do CAs come into the picture?

Well, as an individual there are numerous ways in which you can change your own behaviour to lead a more sustainable life, such as reducing your red meat consumption and flying less. However CCC analysis indicates that such behavioural shifts will only contribute up c9% of the change required.

But what else can CAs bring to the table? One of the biggest elements CAs can really make a difference in this area is trust. Trust, alongside Technology and Talent, are the three key themes of The CA Agenda which ICAS launched in March 2019 and seeks to usher in a new era for ICAS and its members. As a CA you are in a unique position to be trusted to drive change at the very heart of the organisation you work within. You can weave sustainability throughout your operations, from procurement decisions to investment plans. This will, in turn, help future proof your organisation from the changing landscape we’re seeing, both politically and socially, towards climate change. You can also protect your organisations from the physical risks associated with climate change, ranging from extreme flooding resulting in the disruption of your supply chain or increased staff absence to loss of market share as consumers seek more ‘environmentally conscious’ organisations to buy from.

The role of business

For forward-thinking organisations, there are also real economic opportunities to seize, too. Most obvious benefits include reduced costs due to less wastage and increased energy efficiency. One way to do this would be to conduct a supply audit and identify where ‘green’ interventions could reap efficiencies. An even greater benefit is the expected increase in brand value for organisations that can demonstrate they take their climate impact seriously; meaning communication with your customers of what you are doing is this area is key.

A shift to a UK ‘net-zero’ target will no doubt exponentially speed up the effort required to meet it– prompting the need for ‘greening’ across all sectors (with particular efforts in transport, housing and energy) and the continued expansion of low carbon and renewable energy economy (“LCRE”), which according to the ONS grew by 6.8% in 2017. One particular area of interest to CAs may be the hot topic of Green Finance, one of the UK’s existing strengths and an area of significant economic opportunity for the UK - according to the Global Sustainable Investment Alliance (“GSIA”), sustainable investment now accounts for $31trillion worldwide, up 34% from 2016 and shows no signs of  stopping there.

Indeed, businesses are starting to take the impact of climate change and legislation surrounding it very seriously. According to the Carbon Trust, two-thirds (67%) of UK corporates will be disclosing climate-related risks and opportunities in their 2019 annual reporting. Fellow ICAS Sustainability Panel member, Carol Adams, wrote that climate change risks were increasingly being considered in corporate reporting and governance guidance in her article in January 2019.

Following the publication of the recommendations of the Task Force for Climate-related Financial Disclosures (TCFD) recommendations, more companies are considering how to report on their climate-related risks and opportunities and may look to the accounting profession for guidance. Therefore, as CA’s we need to consider and develop the tools and resources that these companies will need to guide them through the evolving reporting environment.

Conclusion

In summary whilst the environmental impact of climate change is very real, the impact that CAs could have in ensuring their organisations remain ahead of the curve is also very real and it’s the skillset and business acumen, identified within The CA Agenda, that sets CAs apart. All whilst helping make a real difference in how society progresses towards any climate change-related targets the UK sets – if that’s not an example of CA ethics, I don’t know what is.

ICAS logo

Footer links

  • Contact us
  • Terms and conditions
  • Modern slavery statement
  • Privacy notice
  • CA magazine

Connect with ICAS

  • Facebook (opens new window) Facebook Icon
  • Twitter (opens new window) Twitter Icon
  • LinkedIn (opens new window) LinkedIn Icon
  • Instagram (opens new window) Instagram Icon

ICAS is a member of the following bodies

  • Consultative Committee of Accountancy Bodies (opens new window) Consultative Committee of Accountancy Bodies logo
  • Chartered Accountants Worldwide (opens new window) Chartered Accountants Worldwide logo
  • Global Accounting Alliance (opens new window) Global Accounting Alliance
  • International Federation of Accountants (opens new window) IFAC
  • Access Accountancy (opens new window) Access Acountancy

Charities

  • ICAS Foundation (opens new window) ICAS Foundation
  • SCABA (opens new window) scaba

Accreditations

  • ISO 9001 - RGB (opens new window)
© ICAS 2022

The mark and designation “CA” is a registered trade mark of The Institute of Chartered Accountants of Scotland (ICAS), and is available for use in the UK and EU only to members of ICAS. If you are not a member of ICAS, you should not use the “CA” mark and designation in the UK or EU in relation to accountancy, tax or insolvency services. The mark and designation “Chartered Accountant” is a registered trade mark of ICAS, the Institute of Chartered Accountants of England and Wales and Chartered Accountants Ireland. If you are not a member of one of these organisations, you should not use the “Chartered Accountant” mark and designation in the UK or EU in relation to these services. Further restrictions on the use of these marks also apply where you are a member.

ICAS logo

Our cookie policy

ICAS.com uses cookies which are essential for our website to work. We would also like to use analytical cookies to help us improve our website and your user experience. Any data collected is anonymised. Please have a look at the further information in our cookie policy and confirm if you are happy for us to use analytical cookies: