Climate-related disclosures: mandatory reporting to begin 1 January 2023
This morning, the External Reporting Board (XRB) released the Aotearoa New Zealand Climate Standards (Climate Standards) to support the climate-related disclosures (CRD) regime.
This release is significant as it means mandatory reporting will take effect from 1 January 2023. Climate reporting entities (CREs) will be required to disclose according to the Climate Standards for accounting periods that start on or after 1 January 2023. For example:
- CREs with a 31 December balance date (ie reporting period 1 January – 31 December), are required to prepare their first climate statement as part of their 31 December 2023 reporting.
- CREs with a 30 June balance date (ie reporting period 1 July – 30 June), are required to prepare their first climate statement as part of their 30 June 2024 reporting.
You can find a summary of the main changes to the Climate Standards following the final round of consultation here.
Supporting guidance is expected in early 2023.
The Ministry of Business, Innovation and Employment and Ministry of Justice are also currently consulting on the CRD regime's assurance requirement. This consultation closes 10 February 2023.
You can find more information on this consultation in our previous update.
Please get in touch if you have any questions about the incoming CRD regime.