IFAC calls for emissions agreement

In a statement, the federation called climate change a "seminal and intractable public interest issue", affecting organisations and global markets as well as the societies they serve.

“An international agreement on long-term global emissions reduction will assist governments, capital markets, and private and public sector organisations — and the professional accountants who serve them — to more confidently identify necessary actions to mitigate climate change,” IFAC said.

“A strong and clear agreement is also more likely to unleash government and business ingenuity and innovation in both managing and solving climate change challenges,” the statement read.

IFAC CEO Fayez Choudhury said it's clear that there is a critical economic, business, and societal need to respond to the warming of the climate by reducing global emissions.

“Increased climate risk presents uncertainty creating threats and opportunities for governments and businesses and the societies they serve. This issue is important to the global accountancy profession and we aim to continue working with a range of stakeholders to address the challenges ahead,” he said.

IFAC said its three key messages on climate action are:

• A global climate agreement at the 21st session of the Conference of the Parties needs to deliver a clear framework for international action that provides the policy environment to facilitate investment and innovation.

• Going forward, it will be important to examine the range of different reporting frameworks and regulations in existence and identify a path to global consistency to ensure governments and businesses are given a clear and consistent context in which to operate and report on their actions.

• Professional accountants in their various roles in public practice for accounting firms of all sizes and working in business, industry, and the public and not-for-profit sectors have a significant contribution to make in helping governments, capital markets, and organisations implement plans for climate change mitigation and adaptation. They have long been on the frontlines of helping others adapt to changes in society; mitigating and adapting to the challenges of climate change will be no different.