GreenCo Transforms Climate Risk Management for Companies with Innovative Tools and Calculation Models

Climate Risk Management Policy

GreenCo, as one of leading ESG consultancy in Hong Kong, is proud to share their advancements in climate risk management policy, scenario analysis, and quantitative models for assessing the financial impact of climate change. With a focus on addressing the global trend and upcoming regulatory enhancements implemented by the Stock Exchange of Hong Kong Limited (“Stock Exchange”), GreenCo has developed cutting-edge tools and models that empower its clients to navigate the challenges posed by climate-related risks.

GreenCo’s Expertise and Customization

GreenCo is actively assisting several clients across food and beverage, gaming, flavour and fragrances, tourism and oil and gas industry in developing climate risk management policies and conducting scenario analyses, thereby preparing for the enhanced disclosure. By leveraging the expertise of experts, GreenCo have been formulating comprehensive systems covering climate risk identification, integration and prioritisation based on our clients’ preparedness and business nature, and guide them through the complex landscape of climate risk assessment and mitigation.

The Company offers a comprehensive suite of services tailored to address the specific needs of our clients in climate risk management. The company’s innovative tools, models and programs enable companies to identify, assess, and prioritise climate-related risks effectively through combining their operation location, business activity and climate data. Through scenario analysis and quantitative modelling, they provide in-depth insights into the potential financial impacts of climate change on businesses and recommendations for bridging any gaps identified in their current policies.

Aligning with International Standard

GreenCo’s competitive edge lies in their ability to combine technical expertise with a deep understanding of the regulatory landscape. GreenCo’s team comprises highly skilled professionals well-versed in environmental science, environmental management, green building, geographic information system, finance and investment. The team continuously updates their models to align with emerging regulations and industry best practices, facilitating the clients in staying ahead of the curve.

Especially in consideration of the International Sustainability Standards Board (ISSB) S2 Climate-related Disclosures, on which the Stock Exchange based the coming regulatory enhancement, the framework development process consists of a series of material and correlated steps, which require robust ESG knowledge to generate meaningful outputs. GreenCo can assist companies in developing a customised data collection tool, with which companies can easily understand what data and information are required for meaningful climate risk assessment and mitigation.

Climate-related financial impact projection, while being a critical step for assessing the impacts of climate change on businesses, faces several challenges. One primary difficulty lies in the uncertainty inherent in predicting future climate and business conditions. The complexity of climate systems and the multitude of interconnected variables make accurate financial forecasting challenging. Difficulties in obtaining precise climate data and determining appropriate projection factors always hinder the analytic results.

Max Tsang, Director of GreenCo

Although the Stock Exchange has postponed the implementation of the new requirements to 2025, it is advisable for companies to start early due to the extensive scope of the enhanced requirements. This broader aspect necessitates ample time for companies to gather relevant information and develop suitable calculation methodologies for analysis. Of particular significance is the inclusion of Scope 3 greenhouse gas emissions, which requires substantial efforts and resources to engage and collaborate with a company’s supply chain. To comply with this provision, companies must first gain a comprehensive understanding of their value chain considering the 15 categories proposed by the GHG Protocol, spanning from upstream material sourcing to product end-life disposal. Each category review demands significant time and effort.

Stephanie Chan, Associate Principal Consultant at GreenCo

Conducting climate-related financial impact analysis is not a simple task, but it is crucial for forward-thinking business and fulfilling disclosure obligations. In an era marked by unprecedented environmental challenges and regulatory shifts, understanding the potential future climate impact is of great importance to decision-making and business prosperity. On top of tech tools and models, we take pride in offering face-to-face, in-depth practical training, such as short-term secondments in our office, to acquire sustainability reporting and advisory knowledge on the job. This approach enables clients to build the expertise needed to independently manage a high-quality sustainability report.

Max Tsang, Director of GreenCo

Reliable ESG Advisory Service

GreenCo has established a strong track record in ESG advisory, reinforcing their position as a trusted partner for companies striving to achieve sustainable growth. The Company’s dedicated team has successfully guided numerous clients through the complexities of ESG reporting, climate policy development, and sustainability strategy formulation. In 2023, GreenCo successfully assisted one of their clients in winning the “Best in ESG Reporting” and “Outstanding ESG Enterprises Recognition Scheme” awards in Hong Kong, which serve as a recognition of their competence and efforts in the ESG industry.

About GreenCo

GreenCo is a professional ESG advisory firm accredited with ISO 9001 in ESG Reporting and Climate Policy Advisory Services. Established in 2016, we were born to tackle ESG and climate risk management challenges. GreenCo has a professional team consists of talents with multiple backgrounds with

  • PhD
  • Practitioner Member of the Institute of Environmental Management and Assessment (IEMA)
  • CFA (the CFA Institute) and Certificate in ESG Investing
  • EFFAS Certified ESG Analyst (CESGA)
  • Completion of Certified GRI Training Programme
  • Certified Public Accountant (for assurance in accordance with ISAE 3000)
  • Member of Global Association of Risk Professionals
  • Master’s degree in envirnomental science

GreenCo has solid track record in ESG advisory for over 60 listed companies in Hong Kong, Mainland China, Singapore and Korea, covering all industries under the Hang Seng Industry Classification System.