Module 11 – Climate risk data collection

Robust climate risk data collection starts with templates that are practical, decision-oriented and integrated into existing workflows. This ensures the data gathered is high quality and actionable. The following principles outline how to design climate risk data collection templates that balance rigour and usability.

  • Principle of decision-usefulness

    • Focus on collection only data that directly informs credit, risk or opportunity decisions, linking each data field to a specific due diligence need.
    • Avoid unnecessary inclusions, as extra fields add complexity without adding value.

  • Integration into existing forms and processes

    • Add climate-related data fields within existing loan origination templates – reducing duplication and simplifying training needs.
    • Design data collection fields so that core information feeds multiple tools, with flexibility to add more detailed input and update through ongoing monitoring.

  • Leverage client climate maturity data

    • Complement data collection with insights from client climate risk maturity questionnaires (see Module 12).

  • Emphasis on minimal burden, maximum insights

    • Use dropdowns, tick-boxes and pre-filled defaults to make templates easier to complete, and to maintain consistent data quality at scale.
    • Avoid open text fields unless essential.

  • Progressive data enhancement

    • Include a simple data quality check at origination to maintain an audit trail of data quality level.
    • Use proxy data or informed estimates where necessary, documenting assumptions clearly.

  • Suggestions for implementation

    • Train front-line lending officers by using practical examples and tips on managing data gaps.
    • Pilot the data collection template with front-line teams and refine it to capture only the most useful, high-quality inputs.
    • Include short explanations for each template field, highlighting its purpose and value to employees and clients.
    • Review data quality regularly.

Guidance 9: Recommended data collection fields for due diligence

Guidance 9 presents practical examples of data fields that can gather transaction-level climate risk data. When structured consistently, the data can also be aggregated to support portfolio-level monitoring.

CLICK TO DOWNLOAD GUIDANCE 9: Recommended data collection fields for due diligence.

 

RETURN TO TOOLKIT MAP

PROCEED TO MODULE 12

Back to top