Spring is in the air, but that also means we are in the midst of tax season and the Carbon Disclosure Project (CDP) carbon reporting season. At a first glance, you wouldn’t think so, but both filing processes are remarkably similar.
Filing taxes increases transparency to shareholders, clients, and the public on company financials. Measuring and disclosing greenhouse gas emissions data by participating in the CDP does the same thing on an environmental front. Both processes can help businesses identify risks, plan for the future, increase efficiency and reduce unnecessary costs.
Other similarities? The CDP offers a detailed Guidance document with step-by-step instructions and explains the reporting system structure in excruciating detail; a striking similarity to tax preparation guidance documents! The CDP provides a dizzying list of descriptions, codes, and policies. Sound familiar?
As the final step to preparation, the CDP provides a Response Check, or “high level checking service” that reviews responses prior to submission. External consultants review the responses for completeness and offer expert feedback for a standard $1,000 fee. In the tax world, you have your local CPA.
Keep the deadlines in mind, and do your spring cleaning of paperwork!