The Canadian Securities Administrators is going to examine the current state of climate change disclosure in Canada and internationally, via a new project.

As part of that project, CSA staff will review disclosure prepared by large TSX-listed reporting issuers on the material risks and financial impacts associated with climate change as well as related governance processes. It will also get feedback from reporting issuers about current disclosure practices through an anonymous online survey, and conduct focus groups with reporting issuers and investors.

Reporting issuers in Canada are currently required to disclose material risks, which may include risks associated with climate change, among other environmental matters, in their periodic disclosure. The CSA has provided guidance with respect to these disclosure requirements in CSA Staff Notice 51-333 Environmental Reporting Guidance.

The question of how well public companies are disclosing climate-related risks and the financial impacts of those risks has attracted significant attention in recent years. As such, says CSA, several voluntary disclosure frameworks have been proposed, culminating in the December 2016 publication of a set of recommendations by the Financial Stability Board’s Task Force on climate-related disclosures.

Louis Morisset, CSA chair, and president and CEO of the AMF, says, “As securities regulators, it’s important to assess whether issuers provide appropriate disclosure regarding risks and financial impacts associated with climate change, which assists investors in making informed investment decisions.”

Read: 4 drivers of growth in responsible investment

The CSA expects to conduct its review in the spring and summer 2017, and it will then publish a progress report outlining its findings. Read CSA’s backgrounder on its climate change disclosure project.