Submission to AASB Consultation on Exposure Draft ED SR1

The Australian Sustainable Finance Institute (ASFI) welcomes the opportunity to comment on the Australian Accounting Standards Board’s exposure draft climate disclosure standards.

ASFI supports the introduction of mandatory climate disclosures for the Australian market. A robust, useable and internationally aligned climate disclosures framework will help financial institutions to make better decisions, firms to understand and manage climate risk and opportunity, and regulators to combat greenwashing. A key pillar of the sustainable finance policy architecture, climate disclosures will ultimately enhance management of climate risk across the financial system. It will also support greater capital allocation consistent with Australia’s national emissions reduction and adaptation goals.