Mandatory climate reporting made simple

ASRS (Australian Sustainability Reporting Standards) is the framework that makes climate reporting mandatory for Australian businesses. AASB S2 is the specific standard within ASRS that covers mandatory climate-related financial disclosures.ESG reporting is the broader framework category that covers Environmental, Social, and Governance disclosures. AASB S2 focuses predominantly  on the climate/environmental and governance component. If you're preparing for mandatory climate reporting in Australia, you're partially reporting on  ESG under the ASRS framework using AASB S2 standards.

Climate Zero is built specifically for Australian ESG reporting requirements under AASB S2.

Mandatory sustainability reporting in Australia is being phased in based on company size, using revenue, assets, and employee thresholds:

• Group 1 (from 1 January 2025): Revenue ≥$500M, assets ≥$1B, or employees ≥500
• Group 2 (from 1 July 2026): Revenue ≥$200M, assets ≥$500M, or employees ≥250
• Group 3 (from 1 July 2027): Revenue ≥$50M, assets ≥$25M, or employees ≥100

If you meet any two of the three thresholds for your group, you're required to report. Not sure which group you fall into? Use our free AASB S2 Deadline Checker to find your reporting deadline in 60 seconds.

Under AASB S2, Australian businesses must report greenhouse gas emissions across scope 1 and 2 in the first year and then all  three scopes each year after:

• Scope 1: Direct emissions from sources you own or control (vehicles, on-site fuel, refrigerants)
• Scope 2: Indirect emissions from purchased electricity, heat, or steam
• Scope 3: All other indirect emissions in your value chain (supply chain, business travel, waste, employee commuting)

Scope 3 is typically the largest and most complex category — often 70-90% of total emissions. Climate Zero automates emissions calculations across all scopes using up-to-date global  emission factors that meet AASB S2 requirements and align with the GHG Protocol.

Climate Zero includes transition planning tools that go beyond compliance reporting. You can:

• Model multiple emissions reduction initiatives and pathways and compare scenarios
• Identify your highest-impact abatement opportunities with ROI analysis
• See your emissions gap against science-based targets
• Build a business case for sustainability initiatives with clear cost-benefit data

Our transition planning module helps you move from "what are our emissions" to "how do we cost effectively reduce them."

Climate Zero is built specifically for Australian mandatory reporting requirements:

• AASB S2 (Australian climate disclosure standard)
• ASRS (Australian Sustainability Reporting Standards)
• GHG Protocol (global emissions accounting standard)
• TCFD-aligned disclosures (Task Force on Climate-related Financial Disclosures)

Our emissions calculations use global and Australian Government emission factors (NGA Factors)to produce audit-ready outputs that meet assurance requirements. Whether you're Group 1, 2, or 3, Climate Zero covers the frameworks you need for compliance.