AASB S2
Mandatory Climate Reporting
Partner with Earthed
Partner with Earthed to navigate Mandatory Climate Reporting with clarity and confidence.
We simplify the process, make it practical and engaging, and tailor our support to your organisation’s needs. Through a collaborative approach, we help you build strong foundations, meet requirements, and create a pathway that supports long-term success.
Australia’s new climate reporting standards
In September 2024, the Australian Government introduced legislation requiring many companies and financial institutions to disclose climate-related financial information. This will be done under the Australian Sustainability Reporting Standards (ASRS), which are developed and issued by the Australian Accounting Standards Board (AASB) and closely aligned with the international ISSB standards.
These new standards, often called Mandatory Climate Disclosures or Mandatory Climate Reporting, require companies to report on climate risks, opportunities, and greenhouse gas emissions.
AASB S2 is the Australian standard for climate-related financial reporting. It is based on the international IFRS S2 Climate-related Disclosures and was developed by the Australian Accounting Standards Board (AASB). Its purpose is to ensure businesses report consistently on climate risks, opportunities, and emissions, helping integrate sustainability into everyday business planning and decision-making. Its aim is to improve transparency and integrate sustainability into corporate strategy.
AASB S1 is currently voluntary but provides a framework for companies ready to go further
Do you need to report?
This isn’t just about reporting. It’s about embedding climate considerations into your core strategy and demonstrating how you’ve done this across governance, risk management, strategy and metrics.
There is a phased implementation depending on organisational size and capacity:
Group 1
Reporting starts FY25
First report due 30 Sep 2026
If you meet 2 of 3 criteria:
Revenue of $500m +
Assets of $1bn +
Employees of 500 +
Group 2
Reporting starts FY26
First report due 30 Sep 2027
If you meet 2 of 3 criteria:
Revenue of $200m +
Assets of $500m +
Employees of 250 +
Group 3
Reporting starts FY27
First report due 30 Sep 2028
If you meet 2 of 3 criteria:
Revenue of $50m +
Assets of $25m +
Employees of 100 +
AASB S2 is all about building the confidence and capability for your business to navigate a climate-disrupted world.
It’s not just about reporting - it’s about coming into alignment with the limitations of the planet.
How we support our clients
AASB S2 can feel like a lot. Even the name is a mouthful.
We’re with you every step of the way - breaking down complexity into clear and manageable actions, building your team’s confidence through hands-on learning, and tailoring solutions to your unique requirements.
Here’s how we work with you:
Clarity on climate risks & opportunities
We help you achieve results that align with your unique goals, culture, and operating environment.
Guiding the way
We help you navigate complex requirements and unfamiliar territory, translating technical detail into clear, actionable steps.
Building Capability
We equip your team with the knowledge, tools, and confidence to take ownership, so you’re not dependent on us forever.
Ongoing Support
As your skills grow, we transition from leading to coaching. We are always available to advise, problem-solve, and elevate your efforts.
Ready when reporting time hits
This is about looking ahead - understanding the forces shaping tomorrow and making decisions today that are resilient, responsible, and measurable.
Through four key focus areas, we’ll help you set up the systems, governance, and targets needed to weave climate risk into your business strategy. Each year, we prepare a report to disclose the progress you’ve made and the actions you’ve taken.
By the time reporting season arrives, here’s where you’ll be:
Clarity on climate risks & opportunities
You understand which climate factors matter most for your business and why
Strong governance foundations
Roles, oversight, and reporting lines are clearly defined and embedded
Credible, risk-informed strategy
Strategic decisions are grounded in your actual climate risks and opportunities
Emissions data & realistic targets
You’ve measured your footprint and set achievable, defensible goals
