Lack of diversity at the board level, including too much attention to conservative views, may hinder directors’ ability to oversee reporting of climate-related risks, says one of the country’s most experienced business leaders.

Diane Smith-Gander, chairman of buy now, pay later company Zip and a director of AGL, said when it came to overseeing companies’ climate-related financial disclosures (TCFD), published annually by most ASX100 companies, it was critical that directors challenged how the reports were compiled, including underlying assumptions that had been made.