Double Materiality Consideration

The concept of double materiality is not fully integrated into sustainability disclosure practices. Japan has adopted the TCFD recommendations and declared support to the new ISSB standards; both frameworks are based on a single materiality approach.


  • Japan should incorporate the concept of double materiality into its sustainability disclosure framework. This involves not only considering the impact of sustainability issues on the company but also the impact of the company on broader societal and environmental factors. This comprehensive approach provides stakeholders with a more holistic view of a company's sustainability performance.