What does CDP stand for and what is it?
CDP stands for Carbon Disclosure Project. It is a not-for-profit charity that runs the global disclosure system for investors, companies, cities, states and regions to manage their environmental impacts. CDP operates as an independent organization providing a standardized framework through which entities can measure, manage and report their environmental performance, particularly related to climate change, water security and forest management.
Who can use the CDP disclosure system?
Investors, companies, cities, states and regions can use the CDP disclosure system to manage their environmental impacts. The system is designed to accommodate organizations of varying sizes and sectors, from multinational corporations to local government authorities, enabling them to participate in standardized environmental disclosure and performance tracking across multiple environmental dimensions.
What is the purpose of CDP's global disclosure system?
CDP's global disclosure system aims to help investors, companies, cities, states and regions manage their environmental impacts through standardized disclosure and measurement. The system facilitates transparent reporting of environmental performance, enables comparison across organizations and sectors, supports investor decision-making on environmental risks, and drives organizational accountability for environmental stewardship and climate action.
How does CDP disclosure relate to sustainability reporting and corporate obligations?
CDP disclosure operates as part of the broader sustainability reporting landscape. While CDP is a voluntary disclosure platform, many organizations incorporate CDP responses into their mandatory sustainability reporting under frameworks like ASRS (Australian Sustainability Reporting Standards). Organizations should assess their reporting obligations separately, as CDP participation complements but does not replace regulatory reporting requirements under financial-reporting legislation or scheme-specific frameworks.
How can Northmore Gordon assist with CDP disclosure and environmental reporting?
We provide carbon advisory services that support organizations in preparing emissions inventories, conducting carbon-management diagnostics, and developing transition pathways—foundational work for CDP disclosure. We offer reporting support, emissions assessment across Scope 1, 2 and 3, and environmental-attribute due diligence. These services connect operational data with disclosure requirements, helping organizations respond accurately to CDP questionnaires and align disclosure with actual reduction opportunities.
What information should organizations prepare before responding to CDP questionnaires?
Organizations should prepare documented emissions inventories with clear boundaries, activity data and calculation methods; identify their reporting entity and applicable governance structure; clarify their business objectives and relevant deadlines; assess Scope 1, 2 and 3 emissions separately; document existing environmental strategies and transition plans; and identify data gaps and data owners. We recommend assembling this evidence before engagement to ensure CDP responses are grounded in verified data rather than estimates.
How does CDP disclosure differ from NGER and other Australian reporting obligations?
CDP is a voluntary global disclosure platform operated by a not-for-profit charity, while NGER (National Greenhouse and Energy Reporting Scheme) is a mandatory Australian regulatory requirement with its own entity and facility thresholds. CDP disclosure is not required by Australian law, though many organizations choose to participate alongside mandatory reporting. Organizations should assess their obligations under NGER, Safeguard Mechanism and sustainability reporting separately from CDP participation, as each has different boundaries, deadlines and purposes.
What role do environmental certificates and renewable attributes play in CDP disclosure?
Environmental certificates and renewable electricity attributes purchased or generated by an organization form part of the evidence base for CDP disclosure, particularly for Scope 2 emissions accounting and renewable-energy claims. Organizations must disclose how certificates support their environmental claims and ensure they are not double-counting benefits. We provide environmental-attribute due diligence and certificate procurement support through moREnewable100, helping organizations ensure that disclosed renewable claims are backed by eligible, traceable instruments. Where a scheme rule sets a specific definition for this term, that definition takes precedence over the general explanation given here, so we confirm the applicable rule before relying on it in a submission.