1. Home
  2. Policies
  3. Policy Index
  4. Climate Change
  5. Trends in information disclosure related to climate change (TCFD)

Trends in information disclosure related to climate change (TCFD)

1.TCFD (Task Force on Climate-related Financial Disclosures)

(1)What is TCFD?

(2) Activities of TCFD

(3)TCFD Disclosure

Governance The organization’s governance around climate-related risks and opportunities
Strategy The actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning (including analysis according to 2 degree scenarios, etc.)
Risk management The processes used by the organization to identify, assess, and manage climate-related risks
Metrics and Targets The metrics and targets used to assess and manage relevant climate-related risks and opportunities

Source: Adapted from “Task Force on Climate-related Financial Disclosures, 2021, Implementing the Recommendations of the Task Force on Climate related Financial Disclosures”

(4)Becoming a TCFD supporter

2.TCFD-related initiatives in Japan

(1) Establishment of the TCFD Study Group

  • Following the publication of the TCFD recommendations, the Ministry of Economy, Trade and Industry convened from August 2018 the TCFD Study Group on Green finance and Corporate Disclosure.
  • As an outcome of the Study Group, the first edition of the Guidance on Climate-related Financial Disclosure (TCFD Guidance) was prepared and published in December of the same year. The work of revising the TCFD Guidance has been taken over by the TCFD Consortium, described below.

(2)TCFD Consortium


  • Following the discussions at the TCFD Study Group, the TCFD Consortium was established on May 27, 2019 with the initiative of five leaders of the industry and academia, including Kunio Ito, then Specially Appointed Professor at Hitotsubashi University Graduate School.
  • The purpose of the TCFD Consortium is to discuss on effective corporate information disclosure and ways to utilize the disclosed information for the purpose of making appropriate investment decisions by financial institutions.
  • The Ministry of Economy, Trade and Industry, Financial Services Agency, and the Ministry of the Environment has been observers to the TCFD Consortium since its inception.

(b)Declaration on the Operating Principle of the TCFD Consortium

  1. We recognize that the issue of climate change is a common global challenge, and we also believe that, in order to solve climate change, it is essential to foster innovation and disseminate its results to every corner of society.
  2. We recognize the role of the business community in addressing climate change, and will appropriately manage the risks associated with climate change, as well as actively engage in innovation and disclose them. We will also use this information to provide funds to companies which engages in innovation, thereby creating a “virtuous cycle of environment and growth”.
  3. We will actively engage in dialogues within the Consortium on how to effectively disclose information and how to utilize the information disclosed, thereby deepening mutual understanding, and disseminate internationally.

(c)Outcome of the activities

TCFD Guidance 3.0 (Revision of TCFD Guidance)
  • TCFD Guidance 3.0 provides commentary and examples to help companies undertake TCFD disclosures. (A collection of case examples reflecting the latest developments will be published in a separate volume)
  • In the revision of TCFD Guidance 3.0, Chapter 4, "Addendums" was newly added, and important and topical issues among the latest developments were summarized.

TCFD Consortium: Guidance on Climate-related Financial Disclosures 3.0 (TCFD Guidance 3.0)

Green Investment Guidance 2.0
  • The Green Investment Guidance 2.0 explains the perspective of investors and others when understanding the information disclosed.
  • In addition, it is expected that this will lead to further disclosure as companies deepen their understanding of the perspectives of investors and other stakeholders.

(3)Hosting the TCFD Summit

October 8, 2019
TCFD Summit 2019: The world's first TCFD Summit was convened to bring together the leading figures in industry and finance in the world undertaking cutting-edge activities, with an aim of sharing viewpoints TCFD's challenges and future directions.
October 9, 2020
TCFD Summit 2020: The Summit was held online with an aim of helping Japan lead international discussions to establish TCFD recommendations in practice, with a view to enhancing the virtuous cycle of environment and growth.
October 5, 2021
TCFD Summit 2021: Leaders of industry and the financial sectors discussed on the enhanced utilization of TCFD recommendations to encourage greater disclosure, which is the basis for appropriate investment decisions.
October 5, 2022
TCFD Summit 2022: In order to discuss various topics such as responses to international disclosure rules and evaluation of opportunities, the meeting was held in a hybrid format that made full use of both face-to-face and online.

Last updated:2022-11-28