This document summarizes the work of a climate data company that provides processed climate modeling data to assess physical climate risks as outlined in the TCFD recommendations. It notes that while the TCFD recommends using IPCC climate model data, the raw data is difficult to access and handle. The company processes terabytes of raw IPCC model data, performing steps like file merging, calibration, and quality control to produce usable climate datasets for over 450 users assessing physical risks to assets, operations, supply chains, workforce and more. It encourages organizations to challenge consultants on the climate data used and ensure the most up-to-date, processed data is utilized for Task Force on Climate-related Financial Disclosures assessments and reporting.

1. On climate data for
climate related financial disclosures
Harilaos Loukos – CEO theclimatedatafactory.com
Sustainable Finance Forum Europe, Paris, March 2019

2. WHAT WE DO
We are a commercial climate data provider

3. IPCC climate model data for impact studies
4300 cities and 100 countries
>450 users from >95 countries
Working with scientists, physical risk consultants, engineers ..

4. TCFD CONTEXT
ASSESSING PHYSICAL RISK
On assets, operations, supply chain, demand, workforce ..

5. Company X is
impacted by
changing climate
Asset managers
evaluate impact
on asset price
Company X
evaluates cost of
changing climate
1 2 3

6. “..the physical risks are not only overlooked in
valuation models, but often completely omitted
from forward-looking strategic and risk
management disclosures”
EY Global Climate Risk Disclosure Barometer 2018

7. TCFDs quality rating (100 scale)
From EY Global Climate Risk Disclosure Barometer 2018
19
Asset
Management
27
Financial
Sector
33
Non financial
Sector

8. OUR 2 CENTS GUESS

9. Recommended by TCFD but without practical guidance except
referring to CMIP5 version of the data, scenario RCP8.5 and key
variables
The IPCC climate model data
are hard to access and handle

10. IPCC climate models data volumes
Data storage, access, and processing has become a challenge
2 PB
IPCC Report 5
2011/13
0.04 PB
IPCC Report 4
2005/7
>100 PB
IPCC Report 6
2019/21

11. Physical risks assessments require
accessible, quality and reliable climate data

12. FILE
MERGING
CALIBRATION
QUALITY
CONTROL
REMAPPING SAMPLING FORMATING
READY
TO USE
DATA
RAW
DATA
Physical risk modeling needs processed daily climate data
What we do for our users

13. Challenge your TCFD consultants on the climate data they use
Build in-house knowledge about IPCC climate data
Make sure to use up-to-date and processed data
TAKE HOME MESSAGES
Practical guidance and reference climate data for TCFDs
remains an open question

14. thanks
harilaos@theclimatedatafactory.com