To reduce emissions of pollutants and to transition to a greener economy, governments and other bodies globally are introducing various measures.
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Some measures set mandatory targets – e.g. for reducing CO2 emissions or producing greener assets.
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Others incentivise a voluntary shift to greener sources of energy and investment in green initiatives as part of climate-related strategies.
Therefore, the number and the variety of emissions and green schemes has increased significantly, which has increased the number and the complexity of related financial reporting issues.