This guide is for entities required to prepare a sustainability report under Ch 2M of the Corporations Act (reporting entities). This may include companies (including registered corporations under the National Greenhouse and Energy Reporting Act 2007), registered schemes, registrable superannuation entities and retail corporate collective investment vehicles.
It explains how the Australian Securities Investments Commission (ASIC) will exercise specific powers under legislation (primarily the Corporations Act), how ASIC interprets the law and the principles underlying ASIC’s approach. It also provides practical guidance to entities about complying with their sustainability reporting obligations. Reporting entities may ask for information from entities within their value chain, including small businesses and farmers.
The sustainability report requires climate-related content, including statements of no material financial risks or opportunities relating to climate if applicable, statements with forward-looking climate information based on reasonable grounds, if any, and the use of a minimum of two climate scenarios that are referable to temperature increases set out in the Climate Change Act 2022 (Climate Change Act) in assessing their climate resilience, and material financial risks and opportunities relating to climate.
