Boral, Origin, Transurban among ASX firms lacking 'ambition and rigour' on climate reporting
ASX 200 companies will be hit with Treasury’s mandatory climate reporting in less than five months’ time - whether they are ready or not. While many will make a smooth transition, glaring gaps remain in the way some companies are approaching their sustainability reports
Investors are growing increasingly uneasy with the climate reduction strategies being adopted within corporate Australia with Boral, Origin Energy and Transurban singled out as potentially lacking in ambition and rigour in their efforts to curb emissions.
While Australia’s largest listed companies have been praised for their adoption of voluntary climate reporting disclosures ahead of the introduction of the federal government’s mandatory regime from January 2025 onwards, there is a growing belief that significant gaps in the country's climate reporting framework still remain.
Analysts from investment bank Jarden in June highlighted growing questions over targets accredited by the Science-Based Targets Initiative (SBTi), which is considered the gold standard in market circles for measuring corporate climate reporting and a key tool used by investors to ensure companies are not greenwashing.
The concerns included questions about SBTi's independence (companies pay the organisation for accreditation) and poor governance. Jarden highlighted three ASX-listed companies accredited by SBTi that may be deficient.
