This Policy Statement outlines the final policy design for corporate climate-related financial disclosure requirements, following a  consultation process from 12 January 2024 - 09 February 2024.

The Exposure Draft legislation seeks to amend parts of the Australian Securities and Investment Commission Act 2001 and the Corporations Act 2001 (Cth) to introduce mandatory requirements for large businesses and financial institutions to disclose their climate-related risks and opportunities.

The aim of this legislation is to improve the quality of climate-related financial disclosures, provide Australians and investors with greater transparency and more comparable information about an entity’s exposure to climate-related financial risks and opportunities and climate-related plans and strategies.

Improving climate disclosures will support regulators to assess and manage systemic risks to the financial system as a result of climate change and efforts taken to mitigate its effects. 

Treasury is sought views on the Exposure Draft legislation and accompanying explanatory materials by February 2024. For some entities, the first sustainability report will be issued for annual reporting periods starting 1 July 2024 (or 30 June 2025 year-end), subject to submission feedback on a 6-month deferral.