With Australia’s new mandatory climate disclosure law now in effect, companies face increasing pressure to stay ahead of regulatory requirements by providing transparent ESG reporting across operations and supply chains. While the mandatory disclosure is initially focused on climate there is a clear trajectory towards expanding this to encompass nature and social disclosures, significantly increasing the challenges for reporting companies. This is the most significant change to reporting and director responsibilities in a generation, impacting not only the largest companies across the country but also thousands of SMEs.

 

Government entities must also begin reporting climate-related risks under the Commonwealth Climate Disclosure policy with large not-for-profit organisations required to disclose by 2027. All this should see measurable improvements in ESG and economic outcomes.