04 Ing-Cumplimiento Normativo

Transparency and information disclosure are crucial for corporate sustainability. Global standards like GRI and CDSB aim to standardize and improve the quality of information disclosed by companies about their environmental impacts and climate strategies. GRI provides comprehensive guidelines for sustainability reporting, while CDSB focuses on disclosing climate data in financial reports. Both tools strengthen environmentally responsible decision-making. The adoption of these standards improves the quality of sustainability information, facilitates comparability, and helps integrate these issues into business decisions. GRI and CDSB are fundamental for standardization, comparability, and transparency in corporate sustainability reports. Transparency and information disclosure have become fundamental pillars of modern corporate sustainability. In response to this need, global standards like those of the Global Reporting Initiative – GRI – and the Carbon Disclosure Standards Board – CDSB – framework have emerged. Aiming to standardize and elevate the quality of information disclosed by companies about their environmental impacts and climate strategies. These initiatives, far from being exclusive, are complementary. While GRI provides comprehensive guidelines for sustainability reporting, CDSB focuses on disclosing climate data within financial reports. Together, both tools strengthen environmentally responsible decision-making. GRI Standards GRI is the most widely adopted global standard for the preparation of corporate sustainability reports. It provides a wide range of indicators and information covering not only a company's environmental footprint, but also its social and economic impacts. For example, GRI standards require companies to report everything from their greenhouse gas emissions to metrics on diversity and labor inclusion, as well as their financial performance or tax practices. This comprehensive approach makes GRI invaluable for obtaining a holistic picture of sustainability performance. CDSB Framework Unlike GRI's multidimensional approach, the CDSB framework is specific to climate and environmental information disclosure, especially when it can affect a company's financial position. CDSB provides guidelines and principles to help companies communicate how climate change generates risks and opportunities that must be integrated into business decision-making and financial reporting. A clear example is transition risks to a low-carbon economy. Complementarity Far from being mutually exclusive, the simultaneous application of GRI and CDSB enhances sustainability reporting. The former provides a comprehensive overview of various non-financial impacts, while the latter specifically integrates environmental and climate issues into business strategy and financial reporting. A hypothetical case can help illustrate this complementarity. An oil company that uses GRI in its sustainability report to report a wide range of social and environmental indicators and simultaneously applies the CDSB framework in its annual financial report to model and disclose potential economic impacts on its oil reserves under different climate scenarios. Impacts on decision-making The adoption of these standards has the potential to significantly improve the quality of information reported by companies on sustainability, facilitating comparability and the integration of these issues into business decisions. For example, an investor can use standardized emission or climate strategy data under the CDSB framework to compare performance among companies in the energy sector and determine which are better prepared for the transition to a decarbonized economy. Obtaining transparent, specific, and externally audited sustainability information becomes essential for properly assessing risks and ensuring the long-term financial stability of companies. In summary, initiatives like GRI and CDSB represent fundamental pillars for the standardization, comparability, and transparency of corporate sustainability reports. The simultaneous adoption of these initiatives reinforces ESG performance reports, which focus on documenting and analyzing companies' environmental, social, and governance practices. This report is designed to provide details on how a company addresses and manages ESG aspects in its operation and decision-making, enhance the ability of companies and investors to strategically incorporate these considerations into their business decisions, and move towards sustainable models of generating financial and socio-environmental value more confidently. See you next time!