As climate-related financial disclosures become embedded across New Zealand and Australia, ports are navigating a unique set of challenges. From rising seas and extreme weather to shifting trade patterns and decarbonisation, ports sit at the intersection of physical climate risks, economic resilience, and long-term infrastructure investment.
In this webinar, experts from Lyttelton Port Company, Flinders Port Holdings and Tonkin + Taylor shared practical lessons from their climate disclosure journeys, linking key risks to the decisions and actions they are shaping. The discussion highlighted what is working, where approaches are evolving, and how organisations can turn disclosure requirements into better business decisions.
With New Zealand now several years into mandatory reporting and Australia entering its first reporting cycle, the session offered valuable perspectives for organisations looking to strengthen both compliance and climate resilience.
Why ports present a unique climate challenge
Ports are among the most climate-exposed infrastructure assets. Many are located on low-lying reclaimed land and rely on long-lived assets such as wharves, seawalls, navigation channels, cranes, roads and rail connections. They also underpin national economies, connecting supply chains that communities and businesses depend on every day. This combination creates a complex risk profile that extends well beyond the port boundary.
Key climate risks for ports include:
- Sea level rise, coastal flooding and storm surge
- Extreme weather, high winds and heat disrupting operations
- Vulnerable transport, power, fuel and communications networks
- Long-lived infrastructure requiring decades-long investment decisions
- Transition risks from decarbonisation, changing cargo profiles and evolving shipping fuels
- Global supply chain disruption and changing trade flows
As Tonkin + Taylor Technical Director James Hughes noted during the discussion: “Ports exist in a high-hazard exposure environment.” He also highlighted that ports are uniquely interconnected with transport networks, energy systems, labour markets and global supply chains, so climate risk assessments must go beyond physical assets to guide practical planning and response.
Learning from New Zealand’s experience
New Zealand’s climate disclosure regime has given organisations valuable experience in applying scenario analysis, risk assessment and governance in practice. One of the biggest lessons has been that disclosures should not become a compliance exercise. Instead, organisations are increasingly using climate assessments to inform strategy, investment and resilience planning, turning risk insights into practical action.
James Hughes observed that: “We’re seeing an evolution and maturity… moving towards decision-useful assessments that aren’t just aimed at disclosure.”
Rather than producing lengthy technical reports, organisations are focusing on the information decision-makers actually need:
- What are the key climate risks?
- How are those risks being managed?
- How does climate shape long-term business strategy?
This shift is helping boards and executives integrate climate considerations into everyday business decisions and actions.
Different approaches across New Zealand and Australia
While both countries are implementing climate disclosure requirements, important differences remain. New Zealand currently requires organisations to develop three climate scenarios, including a 1.5°C pathway. Many organisations have adopted narrative-based scenario planning that combines climate science with strategic foresight and sector-specific insights.
Australia’s approach is still evolving. Many organisations are currently relying on global reference scenarios while expectations around scenario planning continue to mature. These different approaches offer organisations on both sides of the Tasman opportunities to learn from one another.
From disclosure to better decisions
One of the strongest themes from the webinar was that climate disclosures create value when they improve business decision-making. For Lyttelton Port Company, the disclosure process significantly elevated climate change within organisational governance.
As Head of Environment and Sustainability, Crystal Linke explained: “Going through this process really elevated climate change as the risk at the table.” Climate change became one of the organisation’s top strategic risks, while board governance expanded to include dedicated oversight of environment and sustainability alongside health and safety. Importantly, this work continues even though mandatory reporting requirements have changed.
“We’ve done all this work. We’re just going to keep on going with it,” Crystal said, reflecting the organisation’s commitment to embedding climate resilience into long-term strategy.
Making transition planning practical
Climate transition planning is often associated with emissions targets, but the discussion highlighted a broader challenge: deciding how and when to invest in infrastructure that may operate for 50 years or longer while navigating uncertainty around decarbonisation, electrification, carbon pricing and emerging technologies.
Ports must decide how and when to invest in infrastructure that may operate for 50 years or longer while navigating uncertainty around:
- Sea level rise
- Future freight demand
- Shipping decarbonisation
- Electrification
- Carbon pricing
- Emerging technologies
These decisions require balancing today’s investments with tomorrow’s risks while turning uncertainty into practical investment choices. For Lyttelton Port, transition planning has helped prioritise investments in technology that is already available and delivers measurable emissions reductions, including low-emissions container-handling equipment and future shore power capability. Crystal encouraged organisations not to wait for perfect certainty. “Don’t be afraid to be the first.”
Climate risk extends beyond port boundaries
Ports are only as resilient as the systems that connect them. The webinar explored how climate risks affecting roads, rail, electricity, communications and supply chains can have significant operational and financial consequences. Panellists also discussed emerging transition risks affecting freight volumes and commodity flows, particularly as global markets respond to decarbonisation.
The recent disruption to global fuel markets illustrates how quickly external events can reshape shipping routes, operating costs and supply chains. For ports, these disruptions show why transition risks now need practical responses in business decisions today.
Collaboration strengthens resilience
Another key takeaway was the value of collaboration. Both Lyttelton Port Company and Flinders Port Holdings emphasised the importance of engaging teams across finance, engineering, operations and sustainability throughout the disclosure process. Cross-functional collaboration helps organisations:
- Build ownership across the business
- Improve risk assessments
- Strengthen financial impact analysis
- Integrate climate considerations into existing governance and investment processes
As Flinders Port Holdings Sustainability Business Partner Ivan Curado explained, involving multiple business units has helped move climate discussions beyond sustainability teams and into day-to-day operational planning.
Looking ahead
Climate disclosures will continue to evolve as reporting frameworks mature, and expectations become clearer, with growing emphasis on action as well as reporting. Future assessments are likely to place greater emphasis on:
- Financial impacts
- Practical adaptation planning
- Integration with business strategy
- Clear, decision-useful reporting
- Nature and climate reporting together
For ports, the challenge is not simply understanding climate risk but making informed investment decisions and practical actions that strengthen resilience over the long term.
By sharing practical experience across New Zealand and Australia, organisations can build on proven approaches while adapting them to their own operating environments. This helps turn climate disclosure into clearer, more practical decisions.
If you’re keen to discuss your organisation’s climate disclosure or resilience planning, get in touch with our climate and resilience team here.
