New legislation, passed by Australia’s House of Representatives, will make climate-related financial reporting mandatory for large and midsize enterprises, according to an update from KPMG in Australia.
Under the bill, entities will be required to disclose information derived from scenario analyses using both of the following scenarios, according to a publication:
- 1.5C — the increase in the global average temperature mentioned in the Climate Change Act 2022 (a low global warming scenario); and
- 2.5C or higher — the increase in the global average temperature that well exceeds the increase mentioned in the Climate Change Act 2022 (a high global warming scenario).
Larger enterprises are expected to report for financial years beginning on or after 1 January 2025, and midsize companies’ reporting periods will begin on or after 1 July 2026 or 2027, depending on revenue, assets, and number of employees.
The first Australian sustainability reporting standards are expected to be finalised later this month and will apply from 1 January 2025, another publication said.
IAASB publishes progress and commitments
A new report from the International Auditing and Assurance Standards Board (IAASB) details the board’s progress in addressing key public interest issues, reiterates its strategic direction in audits and assurance, and addresses plans to improve the timeliness of standard-setting.
The report also includes the IAASB’s four-year strategy, as well as detailed timelines and key milestones for the development, approval, and implementation support of various standards, a news release said.
UKEB extends deadline for comment on IFRS 18
Last month, the UK Endorsement Board published a call for views on IFRS 18 from UK stakeholders.
The survey’s response deadline has been extended to 30 September.
FRC releases revised standards for UK and Ireland
The UK Financial Reporting Council (FRC) issued new editions of the UK and Ireland accounting standards, a news release said. The revised standards cover all amendments issued to date.
The amendments include changes applied after the regulator’s 2024 periodic review and provide an up-to-date reference point for each publication.
“Stakeholders are reminded that some previously issued amendments are not mandatory until future reporting periods,” the release said. The FRC will also publish an updated fact sheet to support the implementation of the periodic review amendments.
— To comment on this article or to suggest an idea for another article, contact Steph Brown at Stephanie.Brown@aicpa-cima.com.