Global Reporting Initiative (GRI)

GRI is an independent, international organisation that helps businesses and other organisations take responsibility for their impacts, by providing them with a global common language to communicate those impacts (GRI Standards). The GRI Standards are a modular system comprising three series of Standards:

• the GRI Universal Standards, which consist of:

  • GRI 1: Foundation 2021

  • GRI 2: General Disclosures 2021; and

  • GRI 3: Material Topics 2021.

• the GRI Sector Standards, and

• the GRI Topic Standards.

The GRI Universal Standards are used by all organisations; the GRI Sector Standards and the GRI Topic Standards are applied based on the sector the reporting organisation operates in and the topics it has determined as relevant.

The GRI Universal Standards come into force for reports or other materials published on or after 1 January 2023, although early adoption is encouraged. Alternatively, until the new set of standards become mandatory to use when reporting, organisations may use the Universal Standards 2016.

The GRI Standards encompass a wide range of topics, including emissions, occupational health and safety, water and effluents, and anti-corruption.

How to report under the GRI Standards?

All reporting organisations need to report in accordance with the requirements set out in Foundation 2021 (GRI 1) and report under General Disclosures 2021 (GRI 2). Organisations need to determine which material topics apply to them (using the guidelines provided under the GRI 3: Material Topics 2021) and report in accordance with their sector (using the GRI Sector Standards). If an applicable Sector Standard is available, an organisation is obliged to use it when reporting under the GRI Standards. The GRI Sector Standard lists the likely material topics for the sector.

Requirements

To report in accordance with the GRI Standards, an organisation must comply with all nine requirements set out in section 3 of GRI 1:

1. Requirement 1: Apply the reporting principles

2. Requirement 2: Report the disclosures in GRI 2: General Disclosures 2021

3. Requirement 3: Determine material topics

4. Requirement 4: Report the disclosures in GRI 3: Material Topics 2021

5. Requirement 5: Report disclosures from the GRI Topic Standards for each material topic

6. Requirement 6: Provide reasons for omission for disclosures and requirements that the organisation cannot comply with

7. Requirement 7: Publish a GRI content index

8. Requirement 8: Provide a statement of use

9. Requirement 9: Notify GRI

Principles

An organisation needs to comply with the following principles when reporting under the GRI Standards:

• Accuracy – The information provided needs to be correct and sufficiently detailed.

• Balance – The information provided needs to be unbiased, i.e., it needs to provide a fair representation of the organisation’s negative and positive impacts.

• Clarity – The information needs to be presented in an accessible and understandable manner.

• Comparability – The information needs to be provided in a consistent manner that allows comparison with the past impact of the organisation and the impact of other organisations.

• Completeness – The information provided needs to be sufficient to determine the impact of the organisation during the reporting period.

• Sustainability context – Organisations need to report information about their impacts in the wider context of sustainable development, where sustainable development is defined as ‘development that meets the needs of the present without compromising the ability of future generations to meet their own needs’ (Reference: World Commission on Environment and Development, Our Common Future, 1987, p.41). To comply with this principle, the organisation should:

  • rely on objective information and authoritative measures on sustainable development (e.g., scientific research or consensus on the limits and demands placed on environmental resources);

  • report information about its impacts in relation to sustainable development goals and conditions (e.g., reporting total GHG emissions as well as reductions in GHG emissions in relation to the goals set out in the United Nations Framework Convention on Climate Change Paris Agreement);

  • report information about its impacts in relation to societal expectations and expectations of responsible business conduct outlined in intergovernmental instruments the organisation is expected to comply with (e.g., Organisation for Economic Co-operation and Development Guidelines for Multinational Enterprises; United Nations Guiding Principles on Business and Human Rights);

  • when operating in different locations, report information according to the local context (e.g., total water use).

• Timeliness – The information should be reported regularly, in accordance with the reporting period and should indicate the period covered.

• Verifiability – The information should be provided in such a manner that its quality can be verified.

GRI indicators

A full list of GRI indicators is available here. A snapshot:

• Composition of the highest governance body and its committees

• Role of highest governance body in setting purpose, values, and strategy

• Remuneration policies

• Financial implications and other risks and opportunities due to climate change

• Energy consumption within the organisation

• Water recycled and reused

• GHG emissions intensity

• Reduction of GHG emissions

• Types of injury and rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities

• Health and safety topics covered in formal agreements with trade unions

• Ratio of basic salary and remuneration of women to men

• Incidents of discrimination and corrective actions taken

• Legal actions for anti-competitive behaviour, anti-trust, and monopoly practices