AASB S2025-1 Amendments to Greenhouse Gas Emissions Disclosures is the first amendment to AASB S2. The AASB issued it in December 2025 to mirror amendments the ISSB made to IFRS S2 after issues were identified during implementation.
Key points
- Issued in December 2025 to mirror the ISSB amendments to IFRS S2
- Category 15 may be limited to financed emissions (29A to 29C)
- Industry classification systems other than GICS permitted for financed emissions
- Jurisdictional relief clarified for measurement methods and extended to global warming potential values
- Applies to annual periods beginning on or after 1 January 2027, earlier application permitted and disclosed
The four changes
| Change | What it does | Paragraphs |
|---|---|---|
| Scope 3 Category 15 | An entity may limit Category 15 measurement to financed emissions, excluding derivatives and certain financial activities, and must explain what is excluded | 29A to 29C |
| Industry classification | Financed emissions can be disaggregated using an industry classification system other than GICS, chosen on stated principles. The Australian paragraph fixing the GICS version is deleted | B62, B62A, B63, B63A, AusB63.1 |
| Measurement method | Jurisdictional relief from the GHG Protocol applies only to the part of the entity subject to the other requirement, for as long as it applies | 29(a)(ii), B24, B28 |
| Global warming potential values | Where a jurisdictional authority or exchange requires different values, such as the IPCC Fifth Assessment Report values under NGER, those values can be used for the relevant part of the entity | B21, B22 |
Effective date and early application
The amendments apply to annual reporting periods beginning on or after 1 January 2027. Earlier application is permitted and must be disclosed. Under the Corporations Act, directors can elect in writing to apply the amendments to an earlier period. The AASB has published a compiled version of AASB S2 that incorporates the amendments.
What did not change
There is no relief from reporting greenhouse gas emissions for the same period as the related financial statements, and no relief on the organisational boundary that determines which operations are included in Scope 1.
Why it matters for asset-intensive operations
The global warming potential relief matters most where emissions are measured directly or with factors not already expressed in CO2 equivalent. In those cases AASB S2 otherwise requires Sixth Assessment Report values, while NGER requires Fifth Assessment Report values. With the amendment, an Australian group can use the NGER values for the NGER-covered part of its AASB S2 inventory rather than maintaining two sets of calculations. Early application can remove that reconciliation step from the first reports.
References & sources
Primary regulatory documents and authoritative references underpinning this answer.