Overview
Introduced: 2000
Effective from: Ongoing, with annual updates to the reporting framework
Last modified: Key changes for 2024 include the integration of climate, water, and forests into a single questionnaire
Region(s): Global
Read more about key updates and best practices for CDP reporting in 2024.
About
CDP (formerly the Climate Disclosure Project) is a global non-profit organization that operates the world’s most widely adopted voluntary environmental disclosure system. Companies and organizations use CDP to disclose environmental information on climate change, water security, and forests.
CDP’s disclosure system is driven by investor and customer demand, with over 740 financial institutions and large corporate buyers requesting environmental data from companies. CDP holds the world’s largest repository of environmental data, making it a critical tool for corporate sustainability reporting.
Criteria for compliance
Entities covered
Any company or organization, regardless of size, sector, or region, can report through CDP.
CDP is especially relevant for publicly-traded companies and large organizations that face investor or customer pressure to disclose environmental impacts.
Reporting structure
Historically, CDP offered three separate questionnaires on climate change, water security, and forests.
Starting in 2024, CDP has integrated these questionnaires into a single CDP Corporate Questionnaire, which covers a broad range of environmental issues, including biodiversity and plastics.
Compliance timelines for 2024
- April 16, 2024: CDP Portal opens for Requesters.
- May 14, 2024: CDP Portal opens for Disclosers.
- June 4, 2024: 2024 reporting window opens.
- September 18, 2024: Scoring deadline for Disclosers.
(Disclosers who submit their questionnaire after this date will not receive a score but their data will still be included in analytics and shared with customers.) - October 2, 2024: 2024 reporting window closes.
Disclosure requirements
Integrated questionnaire
The CDP Corporate Questionnaire is structured around key environmental themes, requiring companies to report on climate change, water security, forests, and other related topics. The questionnaire is aligned with leading frameworks such as the IFRS S2 (ISSB) Climate Standard, TNFD, and the European Sustainability Reporting Standards (ESRS).
Key areas of focus
- Governance: Reporting on the governance structures overseeing environmental risks.
- Strategy: Disclosure of how environmental risks and opportunities influence corporate strategy.
- Risk Management: Identification and management of environmental risks, including physical and transition risks.
- Metrics and Targets: Quantitative reporting on emissions (Scope 1, 2, and 3), water use, deforestation, and other environmental impacts.
Third-party auditing
CDP encourages companies to work with accredited service providers to ensure the accuracy and completeness of their disclosures. While third-party verification is not mandatory, it is recommended to enhance credibility.
Penalties for non-compliance
CDP is a voluntary reporting system, so there are no direct penalties for noncompliance. However, failure to disclose or inadequate disclosure can result in a lower CDP score, which may negatively impact investor relations and market reputation.
