[Updates: 23 January 2026] This blog post has been updated with the new video attachment.

[Update: 2 April, 2024] – This blog post has been updated to reflect the latest timelines for Group 1 companies.

[Updates: 10 February 2025] This blog post has been updated to reflect the implementation of AASB S2, effective 1 January 2025.

[Updates: 30 April 2025 ] Addition of ASSA 5000 and 5010, changes to assurance requirements.

Welcome back to our comprehensive exploration of the Australian Sustainability Reporting Standards (ASRS) or AASB S2. In this instalment, we focus on the reporting timelines and assurance requirements for each group under ASRS. Knowing when to report and the level of assurance needed for your disclosures is crucial.

Join Barbara Albert, our Co-CEO, in this video as she details the ASRS compliance timelines and what they mean for your business, highlighting the importance of early preparation and understanding assurance requirements.

Previously in the series

Before diving into the timelines and assurance, ensure you’re up to date with our discussion on how Australian companies are categorised into cohorts for ASRS compliance. Understanding your group is a key step due to the varying reporting timelines.

ASSA 5000 and 5010 – Australia’s new climate assurance standards

On 28 January 2025, following an extensive public consultation process in the latter half of 2024, the Auditing and Assurance Standards Board (AUASB) released two key assurance standards:

• ASSA 5000 – General Requirements for Sustainability Assurance Engagements
• ASSA 5010 – Application of Assurance over Climate and Sustainability Disclosures under ASRS

These standards were introduced to support the assurance of sustainability and climate disclosures, initially focusing on the climate-related financial disclosures required under ASRS 1 and ASRS 2.

How ASSA 5000 and ASSA 5010 work together

• ASSA 5000 provides the foundational principles for conducting assurance over any sustainability-related disclosures, including environmental, social and governance (ESG) information. It applies to both limited and reasonable assurance engagements. ASSA 5000 replaces the existing standard (ASAE 3000), which has historically been used for sustainability assurance.
• ASSA 5010 builds on ASSA 5000 and provides specific application guidance for climate-related disclosures under ASRS 1 and ASRS 2. It introduces a phased implementation approach, offering clarity around the timelines for moving from limited to reasonable assurance.

Global alignment:

ASSA 5000 is aligned with the International Auditing and Assurance Standards Board’s (IAASB’s) ISSA 5000, released globally in January 2025. This international consistency is designed to improve the comparability and reliability of sustainability reporting worldwide.

Detailed ASRS reporting timelines and assurance levels

ASRS categorises businesses into three groups, each with a different starting year for reporting. Regardless of group, once reporting begins, ASSA 5010 outlines the same phased assurance requirements:

Group start dates

1️⃣ Group 1 entities: Start reporting for periods beginning on or after 1 January 2025

2️⃣ Group 2 entities: Start reporting for periods beginning on or after 1 July 2026

3️⃣ Group 3 entities: Start reporting for periods beginning on or after 1 July 2027

Phased assurance timeline (per ASSA 5010)

• • First year of reporting – Limited assurance (review) over:
    • Governance disclosures (AASB S2.6)
    • Strategy disclosures on risks and opportunities (AASB S2.9(a), 10(a), 10(b)) – this effectively means a qualitative climate risk assessment
    • Scope 1 and Scope 2 greenhouse gas emissions (AASB S2.29(a)(i)(1) to (2) and S2.29(a)(ii) to (v))
    • Any “no material risk” statements under s296B of the Corporations Act, for Group 3 entities only. This means that if the sustainability report says that climate change does not pose material risks or opportunities, that statement must also be reviewed

• • Second and third years – Limited assurance expands to cover:
    • All disclosures in the sustainability report, including metrics, risk management, Scope 3 emissions, transition planning, and targets

• • From the fourth year onward – Reasonable assurance (audit) is required over:
    • All climate disclosures made under ASRS

This phased approach gives companies time to strengthen internal processes and systems before facing full audit-level scrutiny.

The importance of understanding assurance

Assurance ensures the accuracy and reliability of your reported information. Initially, Group 1 will need limited assurance on governance, strategy – risks and opportunities, and scopes 1 and 2, progressively moving towards reasonable assurance across all climate disclosures by 2028/29.

Here is more information on the differences in ‘limited’ and ‘reasonable’ assurance levels:

➡️Limited assurance: This is like a basic check-up. The auditor does a review to see if anything stands out as wrong or unusual, but they don’t dig into every single detail. It’s less thorough and provides a lower level of confidence, but it still offers some assurance that the information is correct.

➡️Reasonable assurance: This is a more detailed and thorough check. The auditor does a deeper dive, looking closely at the information and how it’s gathered and reported. This level of assurance gives a higher level of confidence that the reported information is accurate and reliable.

Why starting early matters

Despite the staggered timelines, it’s crucial for businesses in all groups to begin preparations now. Quality data, thorough assessments, and robust reporting systems take time to develop. Procrastination may seem feasible, but the deadlines will approach quickly. Starting early facilitates a smoother transition to mandatory reporting.

Next in the series

In our forthcoming blog post, we’ll explore the readiness of Australian companies for ASRS reporting, and examine the advantages held by companies that have already embraced voluntary sustainability reporting frameworks.

Conclusion

Navigating the ASRS’s reporting timelines and understanding assurance requirements are pivotal in your compliance journey. At 100% Renewables, we’re dedicated to supporting your business through this transition. Our experienced consultants specialise in helping businesses understand, prepare for, and excel in meeting ASRS compliance obligations. From initial preparation to achieving comprehensive compliance, we’re here to support you at every stage of your journey.

For expert guidance on ASRS compliance and to learn more about how your business can meet and exceed these reporting standards, reach out to us at 100% Renewables. Let’s ensure your climate-related reporting showcases your commitment to sustainability and positions your business as a leader in climate resilience.

ASRS Complimentary Course

In our ongoing dedication to assist businesses in their sustainability endeavours, we’ve revamped this multi-part blog and video series into a complimentary online course. Alongside the video content, the course offers additional resources and quizzes designed to enhance your comprehension of the ASRS.

Kickstart your journey towards mastering the ASRS. Join now by following this link. Don’t hesitate to share this opportunity within your network to collectively advance the climate agenda.