Australia’s new ASRS (Australian Sustainability Reporting Standards) are here—mandating climate-related financial disclosures across the economy.

ASRS Group 1–3 entities need to start the process of review.

How ESG works

ASRS

The Australian Sustainability Reporting Standards (ASRS 2025) mark the most significant shift in financial reporting since Australia adopted IFRS in 2005. These new standards embed climate and sustainability disclosures into core corporate reporting, transforming transparency, influencing investment decisions, and driving systemic change across Australia’s economy and value chains.

What the standards mean?

"These standards are structured around four key areas. First off, around governance, around strategy, around risk management and metrics and targets. Secondly, the standards require that organisations disclose and also define what their climate and sustainability related risks and opportunities are. They need to connect those through to what it means in financial terms."

~ Jacquie Fegent-McGeachie, Partner, Climate & Sustainability, Deloitte

The Terrain

The biggest challenge in meeting ASRS requirements lies in preparing to disclose sustainability and climate information that many organisations have never collected or analysed in the required way. This will demand upgraded systems, internal collaboration across finance, risk, strategy, and legal teams, and integration of climate factors into decision-making. Sustainability functions will shift from isolated reporting to convening cross-business dialogue on materiality, valuation impacts, and risk, requiring a cultural and operational uplift across the organisation.

The Opportunity

Beyond compliance, the ASRS presents a strategic opportunity for organisations to align products and services with societal needs, unlocking new revenue streams, M&A prospects, and market differentiation. With stronger senior leadership buy-in and funding, businesses can leverage these standards to enhance resilience, foster innovation, and embed sustainability into core strategy. Ultimately, ASRS adoption supports not only long-term competitiveness but also contributes to building a more sustainable and equitable future for society.

Our Team

Our team are legal and management professionals certified in ASRS (RMIT), unlike many in the industry who are from marketing and/or science backgrounds. We are backed by Sustainability expert channel partner advisories directing sustainability in the Victorian Chamber of Commerce, Tourism Australia, City of Perth and numerous ASRS Group 1-3 companies. We can provide high quality advice and services around ESG and Climate to provide a holistic and optimized sustainability journey for companies of all sizes.