GRI demands reports or explanations

A ‘Report or Explain Campaign’ has been launched by the Global Reporting Initiative (GRI), calling on governments throughout the world to regulate on corporate sustainability disclosure.

The campaign says that companies should be asked by regulators for information on their global impacts, or be forced to explain why they have chosen not to provide it. The GRI and its partners will spotlight initiatives that are promoting such an approach to sustainability reporting, and plans to keep interested parties up to date on global policy developments.

Teresa Fogelberg, deputy chief executive of the GRI, said: ‘A report or explain approach could persuade more companies to report rather than to explain why they don’t. If a company doesn’t report its sustainability performance but explains the reason publicly, we would all have the chance to decide whether we want to deal with that company. This kind of approach enables society to hold organizations accountable for their actions.’

‘There are many ways to do this, for example through regulation. If regulators were to adopt a report or explain approach, companies could still be free to choose what kind of relevant information to disclose. Governments, stock exchanges and other regulators could easily adopt a report or explain policy.’

The campaign’s founding partners include Calvert Investments, the Dutch non-profit SOMO, and Net Balance Foundation. Any organization supporting a report or explain approach can join the group.