The Australian Securities & Investments Commission has published Regulatory Guide 280 Sustainability reporting (RG 280), providing guidance for entities required to prepare a sustainability report containing climate-related financial information under Chapter 2M of the Corporations Act 2001. The guide covers how to determine whether an entity must report, what content is required in the sustainability report, how to disclose sustainability-related financial information outside the sustainability report (including in disclosure documents and product disclosure statements), and ASIC’s administration of the regime, including its approach to relief and use of its new directions power. RG 280 reflects feedback from Consultation Paper 380 Sustainability reporting (CP 380), which attracted 60 submissions, and ASIC also published Report 809 responding to submissions. Updates made in response to consultation include new sections on climate scenario analysis and disclosure of scope 3 greenhouse gas emissions, more specific guidance for directors, additional guidance on applying reporting thresholds, revised guidance on labelling sustainability-related information in sustainability reports, and updated guidance on disclosures outside the sustainability report. ASIC also set out a pragmatic, proportionate supervision and enforcement approach during phase-in, including engagement and potential use of directions where disclosures are incorrect or misleading, while indicating enforcement investigations are more likely for serious or reckless misconduct or failure to prepare a required sustainability report; relief has been provided to allow stapled entities to prepare a consolidated sustainability report for the stapled group. The sustainability reporting requirements are phased in over three years across three cohorts, with sustainability reports required for financial years commencing on or after 1 January 2025 for the first cohort, 1 July 2026 for the second, and 1 July 2027 for the third.
Australian Securities & Investments Commission 2025-03-31
Australian Securities & Investments Commission issues Regulatory Guide 280 on climate-related sustainability reporting requirements
ASIC's Regulatory Guide 280 on sustainability reporting details requirements under Chapter 2M of the Corporations Act 2001. It outlines reporting criteria, content requirements, and disclosure of sustainability-related financial information. Incorporating feedback from Consultation Paper 380, it adds sections on climate scenario analysis and scope 3 emissions, with guidance for directors and reporting thresholds. A phased supervision approach begins for financial years starting on or after 1 January 2025.