Abstract
Climate change affects businesses and human rights, respectively and vice versa. Companies are increasingly expected to consider the impacts of climate change on their business operations and, conversely, the impacts of their business on the global climate, which requires reasonable measures to mitigate climate-related risks. Additionally, the human rights approach in terms of business in the era of climate change is considered to be essential in the process of transition towards a sustainable and green economy. Despite broad consensus on the urgent need for significant reductions in greenhouse gas emissions to meet the targets set by the Paris Agreement, binding legal obligations for companies to achieve these reductions still remain limited. As a result, some international financial institutions have adopted guidelines and standards – which, however, are still not legally binding. The recent adoption of specific, enforceable regulations in the EU is essential to drive company responsibility and encourage a transition toward a low-carbon economy. Climate change reporting and, more recently, climate change due diligence analysis are crucial aspects of the legal and economic debate.