Submission: Draft legislation for climate reporting critical for attracting investment capital in Australia

As major markets move to mandate climate-related financial disclosures, these new requirements will help Australia remain a competitive destination for investment capital. 

These reforms are a natural evolution of Australia’s strong corporate governance framework to promote efficient and resilient markets.   

IGCC’s Submission to Treasury’s consultation on Exposure Draft legislation: 

• Supports the direction of the legislation as a critical step towards internationally aligned climate-related financial risk disclosure requirements in Australia. 
• Provides insights on where the legislation needs to be clearer, particularly reporting threshold criteria for investment institutions. 
• Highlights the importance of supporting guidance and other measures proposed through the Sustainable Finance Strategy for successful implementation. 
• Provides recommendations on the reporting standard, including on: 
• The need to promote international alignment building on and taking care not to dent the ISSB baseline 
• The imperative for disclosures to take account of physical impacts of climate change, including using a 3°C or more scenario  
• The benefits of considering industry-based metrics for quality, decision-useful disclosures, in line with provisions outlined in the ISSB standards 

Read the full submission.