Client Alert: Australia Passes Law to Begin Mandatory Climate Reporting

Australia voted today to pass the Treasury Laws Amendment bill.

This will introduce mandatory climate-related reporting requirements for large and medium-sized companies. Starting as early as 2025 for the largest companies, these requirements will include disclosures on climate-related risks, opportunities, and greenhouse gas emissions across the value chain.

The Australian Accounting Standards Board (AASB) is currently developing disclosure standards aligned with IFRS S1 and IFRS S2 for Australian companies. These disclosure standards are expected to be published soon and the Australian Auditing and Assurance Board is in the process of developing climate disclosure assurance standards which are expected to issue in late 2024.