The Australian Government is currently running a consultation into climate-related financial disclosure. This consultation closes on 17 February 2023, so we encourage our colleagues to comment on the Government’s proposed approach by that date.
The consultation paper explains that the Government has committed to ensuring large businesses provide Australians and investors with greater transparency and accountability when it comes to their climate-related plans, financial risks, and opportunities.
Standardised, internationally-aligned reporting requirements for businesses are on the table, with expectations that companies will make disclosures regarding governance, strategy, risk management, targets and metrics – including greenhouse gasses.
The government is proposing legislative and other reforms, including mandatory reporting for certain entities.
Mandatory reporting has been a topic of wide interest in this space for a while now, with organisations like the Capitals Coalition calling for governments to #makeitmandatory.
At COP15 last year, more than 330 companies and financial institutions from 52 countries called for mandatory reporting requirements. They want all large businesses and financial institutions to assess and disclose their impacts and dependencies on nature by 2030.
A key message from Dr Jim Chalmers, Australia’s Treasurer, is that rules around financial disclosure will help put an end to greenwashing.
It’s an important time to assess and decide what you think matters for business, for nature and for the climate as we head into the future.
Read more about the consultation here.
Check out the #MakeItMandatory campaign from the Capitals Coalition here.