Live Online Training

Managing Carbon Risk - the role of Internal Audit

Session Overview

Climate change and carbon risk are not areas in which internal audit has traditionally operated but is an emerging area that successful audit functions will need to occupy in the years ahead. In particular with the commencement of formal reporting obligations under the National Greenhouse and Energy Reporting (NGER) Act and with businesses considering the implications of the introduction of emissions trading and other climate related policy, there is enormous scope for internal audit to provide valuable assurance on the quality of business risk management, internal control and governance in this area.

Most internal audit departments currently fail to appropriately consider climate change and carbon risks when assessing the overall risk profile affecting their organisation. With carbon risk and the emerging climate change policy framework effecting key business functions such as strategy and planning, legal and compliance, external affairs, finance and treasury, IT and data management and operational and process controls, many Boards are not yet receiving the information they need from internal audit departments to ensure their business is fully prepared to meet the new compliance obligations, risk and opportunities.

SPECIFIC ISSUES COVERED

• Understanding climate change and the transition to a low carbon economy
• The Australian Government’s policy response and what this means for your organisation
• Implications of the international climate negotiations
• The role of internal audit in helping your organisation manage risk and to prepare for new compliance obligations
• National Greenhouse and Energy Reporting (NGER) Act
• Developing an internal audit approach


• Carbon Pollution Reduction Scheme (CPRS) and market based approaches
• Developing a carbon risk management framework

EXPECTED LEARNING OUTCOMES

• Understand the impacts of the emerging climate change policy framework in Australia, the transition to a low carbon economy and what the emerging compliance risks could mean to your organisation;
• Better understand the role that Internal Audit has to play in your organisations preparedness for obligations under National Greenhouse and Energy Reporting (NGER) Act and the Carbon Pollution Reductions Scheme (CPRS);
• Be more informed of the risks and reviews that should be considered when developing an internal audit plan for managing carbon risk; and
• Be able to have an informed conversation with executive management and leadership teams as well as risk and audit committees about carbon risk and the role of internal audit.

Who should attend

CAEs (Chief Audit Executives), Internal Audit Managers; CROs (Chief Risk Officers) and Risk Managers