Beyond ASRS Year 1: Three Levers for Credible Disclosure

Three strategic choices that will build capability, speed and agility for credible climate disclosures

As 2026 unfolds, the first wave of mandatory climate-related financial disclosures under the Australian Sustainability Reporting Standards (ASRS) will be published. This will not only set a compliance benchmark for Group 2 companies to follow, but it will also establish early stakes in the ground for organisational ambition, capability and readiness; a true peer-to-peer level playing field, where businesses are comparing and being compared under a common set of rules, expectations, and definitions.

Schneider Electric’s Advisory Services team will be on the ground at the Sustainability Reporting Summit in Sydney (3–5 March) to engage with organisations, in particular Group 2 reporters preparing for their inaugural year of disclosures. While Group 1 entities have already faced the growing pains of Year 1 preparation, Group 2 reporters face an even more complex task: taller expectations, auditor-clarity and a market whose scrutiny is now more informed and less forgiving. As organisations and advisors enter a period that often feels like “professional speed dating” to find the right partner for this journey, we encourage Group 2 entities to pause and consider three higher-order strategic questions that will shape not only Year 1 readiness, but also long-term climate reporting maturity.

1. Map out your long-term disclosure narrative

The ASRS framework implicitly defines a four-year maturity cycle, and organisations should approach disclosure as a growing narrative, not a one-off activity. Instead of focusing solely on “getting Year 1 done,” leading organisations are asking: What do we want our disclosure story to look like by Year 3 and year 4?  What capability must we build now to support that outcome? How will each year build on the last to show measurable progress and responsibility?

Creating this long arc view ensures that Year 1 is not polished to perfection but 
positioned as a credible foundation to build from.

2. Strengthen data infrastructure early to futureproof reporting

Climate resilience is grounded in data intelligence and context of the right data for an individual business’s operational reality and financial exposure. Group 2 reporters should use this preparation period to understand the systems, architecture and digital tools needed to create repeatable, efficient, and scalable reporting processes. 

This includes considering data solutions and opportunity in: 

• Establish digital, centralised structures that support agility and minimise manual data prep

• Develop governance mechanisms that preserve data integrity and auditability 

• Build processes that allow climate-related data to move seamlessly between business units 

• Invest in tools that can support scenario analysis and emissions modelling 

• Prepare now for supplier data collection in a Scope 3 disclosure world 
  

3. Choose partners who bring long-term value, beyond Year 1 compliance

Selecting advisory partners for your ASRS journey should be a strategic decision grounded in long-term transformation. Beyond technical compliance, effective partners will help organisations:

• Translate disclosure requirements into practical operational resilience

• Support emissions reduction plans across all scopes. Reporting is the outcome of the work that needs to be done on the ground and down the value chain

• Identify efficiencies and shared foundations across climate risk, decarbonisation, data strategy, and financial reporting

Mandatory reporting will materially increase sustainability, risk, and financial responsibilities. The right partner will help organisations find the common threads of efficiency across these expanding obligations, turning reporting pressures into organisational advantage.

If you are attending the Sustainability Reporting Summit, we welcome the opportunity to meet, understand your organisation’s reality today, and support your ASRS journey ahead.

Reach out to our experts Michael Cox and Jessica Wilson to schedule a conversation and if you haven’t secured your place, register today as registrations are still open.