Australian Sustainability Reporting (ASRS / AASB S2)
11/12/2025
Overview
Before 2025: Only large emitters reported under NGER (National Greenhouse and Energy Reporting).
From 2025: New ASRS (Australian Sustainability Reporting Standards) created by AASB (Australian Accounting Standards Board).
Based on new Climate-related Financial Disclosure laws (passed 9 Sept 2024).
Main standard: AASB S2 – Climate-related Disclosures.
Applies from 1 Jan 2025 for large organisations.
Download: AASB S2 PDF
What Must Be Reported
Climate risks, strategy, and targets.
Scope 1, 2 and 3 emissions:
Scope 1 = Direct emissions from operations.
Scope 2 = Indirect emissions from purchased energy.
Scope 3 = Indirect emissions from suppliers, transport, and customers (value chain).
Must follow GHG Protocol.
Included in financial statements, not separate reports.
Needs Board and Finance sign-off.
Must be audited over time.
What This Means
Companies must link emissions data to financial impact.
Need clear governance, targets, and transition plans.
Scope 3 data collection will be the hardest part.
Expect greater assurance and transparency.
Requires software systems to collect, verify, and report data.
Key Actions Now
Build a complete emissions inventory.
Map climate risks to financial outcomes.
Prepare governance and strategy statements.
Engage suppliers for Scope 3 data.
Set up audit-ready data systems for AASB S2 compliance.
