How to Set Up Effective Climate Governance on Corporate Boards

The WEF governance principles are designed to increase directors’ climate awareness, embed climate considerations into board structures and processes and improve navigation of the risks and opportunities that climate change poses to business. By providing a compass to enable more effective climate governance, this initiative strives to contribute to the Forum’s Compact for responsive and responsible leadership and to sound an urgent call to action for purposeful stewardship from and for the most prominent custodians in corporations: their board of directors.

The paper is also supported by chapters that provide additional technical legal and investor context in the Appendix.

– Principle 1 – Climate accountability on boards

– Principle 2 – Command of the subject

– Principle 3 – Board structure

– Principle 4 – Material risk and opportunity assessment

– Principle 5 – Strategic integration

– Principle 6 – Incentivization

– Principle 7 – Reporting and disclosure

– Principle 8 – Exchange

Read the full report here (in collaboration with PwC & WEF)