Carbon Disclosure Project: 3,000 companies reveal plastic impacts as financial institutions call for mandatory reporting

The disclosure push is supported by 48 financial institutions worth over US$3.5 trillion. They have endorsed an open letter led by CDP to global governments, requesting that mandatory corporate disclosure of plastics be included in the Global Plastics Treaty.

“Mandatory disclosure can prevent loopholes and ensure policymakers have access to insight they need to develop impactful, evidence-based policies that driver private sector action,” stresses Pietro Bertazzi, global director for policy engagement and external affairs at CDP.

Mandatory disclosure calls

The full findings from CDP’s first year of plastics disclosure will be released in the spring of 2024. “More than 3,000 companies disclosing their plastic-related information through CDP is a powerful step in the right direction,” continues Bertazzi.

The call for mandatory disclosure reflects a broader move within the private sector to address the financial, physical, legal, regulatory, and reputational risks associated with plastic pollution.

“There is value in understanding the risks and opportunities associated with companies’ plastic footprints,” says Adam Black, head of ESG & Sustainability at Coller Capital. “We believe that plastic-related disclosure will enhance investment decision-making and make for more informed post-investment engagement.”

Data for pollution mitigation

“Our objectives are to establish robust text mandating corporate disclosure of comprehensive plastic data within the Global Plastics Treaty, covering the risks, opportunities, impacts and dependencies associated with the entire lifecycle of plastics production,” stated the 48 institutions in their letter.

With the financial institutions supporting mandatory disclosure, negotiators at the Global Plastics Treaty are urged to acknowledge the necessity of data reporting mechanisms in addressing the growing plastic pollution crisis.