The Australian Securities & Investments Commission (ASIC) has just unveiled Regulatory Guide 280 (RG 280) – a critical resource for companies preparing for mandatory climate-related financial disclosures under Australia’s new sustainability reporting law.
Who’s Affected?
Large and medium-sized companies will need to comply with these new regulations. The largest entities—those with 500+ employees and $500M+ revenue—will be required to start reporting as early as 2025.
Key Highlights of RG 280
ASIC’s guide provides clarity on several crucial aspects of the new sustainability reporting framework, including:
- Reporting thresholds – which businesses must comply and when.
- Required disclosures – detailed climate-related financial risk reporting.
- Supervision approach – how ASIC will oversee compliance.
- Enforcement strategy – how the regulator plans to ensure accountability.
ASIC’s Approach to Implementation
ASIC has outlined a pragmatic and proportionate enforcement strategy, focusing on: 
Prioritizing serious misconduct – ensuring accuracy and transparency in climate disclosures. Providing guidance – helping businesses understand and comply with the new requirements. Allowing some relief – offering transitional flexibility in the early years.
ASIC Commissioner Kate O’Rourke emphasized the significance of high-quality, comparable climate disclosures, stating that they are essential for empowering investors and ensuring informed decision-making in financial markets.
The Road Ahead
With the regulatory landscape evolving, businesses must take proactive steps to align with ASIC’s requirements. Companies that prepare early will benefit from smoother compliance, enhanced investor trust, and improved resilience against climate-related financial risks.
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