BASF Report 2021

Recommendations of the Task Force on Climate-related Financial Disclosures

BASF supports the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). Disclosures recommended by the TCFD are presented in a number of places throughout this report. The table shows the sections and subsections in which the relevant information can be found. The table is divided into four key areas in line with the TCFD recommendations: governance, strategy, risk management, and metrics and targets.

Recommendations of the Task Force on Climate-related Financial Disclosures in the relevant chapters of the integrated report

Topic

Recommended disclosures

Section/explanation

 

 

 

Governance

Disclose the organization’s governance around climate-related risks and opportunities.

Describe the board’sa oversight of climate-related risks and opportunities.

Corporate Governance Report – Direction and management by the Board of Executive Directors
Report of the Supervisory Board – Supervisory Board meetings

Describe management’sb role in assessing and managing climate-related risks and opportunities.

Our Sustainability Concept – Our organizational and management structures

 

 

 

Strategy

Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning where such information is material.

Describe the climate-related risks and opportunities the organization has identified over the short, medium, and long term.

Energy and Climate Protection – Strategy
Opportunities and Risks – Operational opportunities and risks
Opportunities and Risks – Strategic opportunities and risks

Describe the impact of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning.

We Drive Sustainable Solutions – Steering Our Product Portfolio
Opportunities and Risks – Operational opportunities and risks
Opportunities and Risks – Strategic opportunities and risks

Describe the resilience of the organization’s strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.

Opportunities and Risks – Risk management process
Opportunities and Risks – Strategic opportunities and risks

 

 

 

Risk management

Disclose how the organization identifies, assesses, and manages climate-related risks.

Describe the organization’s processes for identifying and assessing climate-related risks.c

Opportunities and Risks – Risk management process

Describe the organization’s processes for managing climate-related risks.

Opportunities and Risks – Risk management process
Opportunities and Risks – Strategic opportunities and risks

Describe how processes for identifying, assessing, and managing climate-related risks are integrated into the organization’s overall risk management.

Opportunities and Risks – Risk management process

 

 

 

Metrics and targets

Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such information is material.

Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process.

Energy and Climate Protection – Global targets and measures
Water – Global target and measures
We Drive Sustainable Solutions – Steering Our Product Portfolio

Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks.

Energy and Climate Protection – Strategy
Energy and Climate Protection – Global targets and measures

Describe the targets used by the organization to manage climate-related risks and opportunities and performance against targets.

Energy and Climate Protection – Strategy
Water – Strategy
We Drive Sustainable Solutions – Steering Our Product Portfolio

a

Refers to the Supervisory Board

b

Refers to the Board of Executive Directors and senior executives

c

Climate-related risks are identified, assessed and managed as part of the general risk management process.