CEP Environmental Risk Assessment & Management 5

Question 1

In environmental due diligence, a Phase I ESA is designed to identify:

Accepted Answer

Recognized Environmental Conditions (RECs) through records review and site reconnaissance

Answer

A Phase I ESA identifies Recognized Environmental Conditions through historical records review, regulatory database searches, and visual site inspection without collecting environmental samples.

Question 2

The TCFD framework categorizes transition risks from climate change into which main categories?

Accepted Answer

Policy/legal, technology, market, and reputational risks

Answer

TCFD defines transition risks as arising from policy/legal changes, technology shifts, evolving market conditions, and reputational impacts associated with the transition to a lower-carbon economy.

Question 3

When applying the EPA's Superfund removal/remedial action framework, which action addresses immediate threats while longer-term remediation is planned?

Accepted Answer

Removal Action

Answer

Removal actions under CERCLA address immediate or short-term threats at contaminated sites while the longer-term remedial process (RI/FS and ROD) is being developed.

Question 4

Biodiversity risk in ESG assessments is most directly linked to which of the following frameworks?

Accepted Answer

TNFD – Taskforce on Nature-related Financial Disclosures

Answer

The TNFD provides a framework for organizations to assess, manage, and disclose nature-related risks and opportunities, including biodiversity loss.

Question 5

A company's 'residual risk' after implementing environmental controls is best described as:

Accepted Answer

The risk that remains after all feasible risk management measures have been applied

Answer

Residual risk is the remaining level of risk after all applicable risk controls, mitigation measures, and treatments have been implemented.

(CEP) Certified Environmental, Social, and Governance (ESG) Planner Practice Test

(CEP) Certified Environmental, Social, and Governance (ESG) Planner Practice Test

CEP Environmental Risk Assessment & Management 5