Ai Group welcomed the chance to make a submission on the exposure draft legislation for Climate Related Financial Disclosures.

As we noted in the previous stage of consultation, our members are affected by climate change and climate policy in many different ways, but all have a stake in a successful transition that avoids as much climate change as possible and positions Australia to prosper in a net zero emissions world. Some of them already make climate-related financial disclosures, others do not and may be directly caught up in the Government’s proposals, while others will not be covered but may be impacted through information requirements imposed by other participants in their supply chains.

Broadly the Exposure Draft presents no unwelcome surprises and represents a straightforward implementation of the Government's intention to mandate reporting according to the standard currently being finalised by the Australian Accounting Standards Board (AASB). There are some remaining issues which require comment, however.