Pass the GARP Certification SCR Questions and answers with Dumpstech

After launching new large-scale sites for engine testing, a global automaker prepares a GHG inventory report according to the GHG Protocol. An analyst on the sustainability team gathers data for the assessment. The analyst identifies emissions from production processes, previously deemed irrelevant at the corporate level, now constitute over 25% of company aggregated GHG emissions across plant sites.

Which GHG Protocol principle did the company analyst follow?

A senior portfolio analyst at a global asset management firm performs a portfolio review to identify assets that may be affected by climate risk. Preliminary findings show the firm heavily invests in food and beverage companies with high climate risk exposure due to extreme temperatures and droughts. In a report to senior management, the analyst notes the firm can improve portfolio performance by examining physical risk, as the firm currently focuses primarily on transition risk.

Which approach to examining physical risk at the portfolio level should the analyst recommend?

A technology company announces a goal of increasing recycling programs by 30% and reducing company carbon emissions by 50% by 2040. A climate risk analyst at the company develops a sustainability framework and identifies ways to measure company-level transition and physical risks.

Which of the following should the analyst use to measure company-level transition risk?

As climate change poses new financial risks to a central bank’s monetary policy operations, the bank decides to adapt operations with NGFS guidelines. Because the central bank does not include climate change in supervision practices, the bank consults subject matter experts (SMEs) to develop a proposal for central bank action on climate change. After completing the risk assessment, SMEs recommend the bank incorporate microprudential and macroprudential measures to embed climate change into supervision practices.

Which action are SMEs likely to recommend?

A climate scientist develops a presentation on modern climate change for a group of policymakers.

What observation does the scientist include in the presentation that provides evidence of human attribution to current climate change?

A sustainability analyst at a global energy company assesses trends in the electric power sector for the next 10 years. To inform strategy, the analyst focuses on the interaction among climate risks, advancements in renewable energy, and stranded asset risk for fossil fuels.

According to the analyst, what trend will likely emerge during the next decade?

A public policy think tank releases a report on global decarbonization pathways. The report describes the relative contribution of each GHG to modern climate change and recommends focusing global efforts on CO2 reduction.

Why would the think tank make this recommendation?

A national regulator develops a new taxonomy for environmentally sustainable activities and policies. The taxonomy will provide clarity for companies, capital markets, and policymakers on sustainable activities. During the development process, regulators survey taxonomies used across various jurisdictions and decide to model after the EU Taxonomy.

Which characteristic of the EU Taxonomy will the regulator most likely implement in the new taxonomy?

After recent summer and winter temperature extremes disrupt operations, a national oil company evaluates its 10-year business plan. The risk department reviews how corporate assets, both physical and human, are resilient to climate change. Early in the planning process, a risk team member emphasizes the importance of planning for both acute and chronic climate hazards.

How should the team member describe acute and chronic hazards in terms of the 10-year strategy?

A multinational footwear company prepares its annual GHG inventory. The company sustainability director organizes data according to the GHG Protocol and prepares a set of recommended actions to lower company emissions.

Which action is the director most likely to recommend to reduce company Scope 3 emissions?