ESG Reporting in Australia: Are You Ready for 2025?

The words “mandatory ESG reporting” are creating a buzz across boardrooms and CFO meetings in Australia.

By 2025, ESG reporting will no longer be optional for many Australian businesses. With regulatory changes just around the corner, the time to prepare is now—but the question is: Are you ready for it?

Let’s unpack what’s changing, why it matters, and what your business should be doing (before it’s too late).

What’s Driving the ESG Shift?

For years, ESG disclosures in Australia were largely voluntary, guided by ASX principles. But things are about to get serious. With global standards like GRI, TCFD, and ISSB gaining traction, Australia is set to align more closely with international frameworks.

The new rules mean companies will be expected to:

  1.  Disclose climate-related financial risks
  2.  Report on social and governance factors
  3.  Align with internationally accepted ESG frameworks

But here’s the kicker: This isn’t just for the big players. While large corporations are first in line, mid-sized businesses won’t be far behind.

Why ESG Reporting Isn’t Just a Compliance Exercise

Beyond avoiding penalties, ESG reporting is becoming a strategic business advantage. Done right, it builds trust, attracts investors, and improves operational resilience.

Here’s what companies stand to gain:

  • Enhanced Reputation: Transparency wins over customers and stakeholders.

  • Investor Appeal: ESG metrics are now part of investment decisions.

  • Cost Efficiencies: Sustainability often leads to leaner operations.

But the real question is: how do you turn ESG into an opportunity rather than just a regulatory hurdle?

What’s Included in an ESG Report?

A full ESG report typically includes three main pillars:

  • Environmental: Covers carbon footprint, energy use, and waste management.
  • Social: Involves diversity, employee welfare, and community initiatives.
  • Governance: Focuses on board structure, ethics, and risk management.

But how deep should these disclosures go? What metrics are mandatory—and what can be left out?

Common Challenges (That No One Talks About)

Getting ESG reporting right is no small feat—especially if you're starting from scratch.

Some challenges companies are already facing:

  • Data Collection & Accuracy: ESG data lives across departments—and getting it right is tricky.

  • Tech & Tools: Existing financial systems often aren’t ESG-ready.

  • Changing Rules: What’s compliant today might not be tomorrow.

There are also resource gaps—particularly for small and medium-sized firms. Many are exploring outsourcing models for ESG bookkeeping and compliance.

So… What Can You Do Now?

While the full roadmap is in our main article, here are three immediate next steps:

  1. Conduct an ESG Audit: Know where you stand before regulations hit.

  2. Invest in Reporting Systems: The right tech can save time and avoid errors.

  3. Partner with Experts: ESG consulting isn’t a luxury—it’s becoming a necessity.

The earlier you act, the easier it will be to adapt when ESG reporting becomes a business requirement rather than a strategic choice.

Final Thoughts

The move toward mandatory ESG reporting isn’t just regulatory noise—it’s a transformation of how businesses operate, report, and create long-term value.

If you're still wondering how to get started or what compliance will actually look like for your business…Read the full ESG guide here

  •  In-depth breakdowns
  •  Framework comparisons
  • Actionable checklists

Let’s make 2025 a year of confident, compliant, and competitive ESG strategy.


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