Singapore will introduce mandatory climate-related disclosures (CRD) in a phased approach, in line with the recommendations from the Sustainability Reporting Advisory Committee (SRAC), after a public consultation exercise in 2023. This is part of the Government’s efforts to help companies strengthen capabilities in sustainability, and to ride the green transition. As the green momentum intensifies, companies who are able to provide CRD could benefit from access to new markets, customers, and financing.
2. The announcement was made by Second Minister for Finance, Mr Chee Hong Tat at the Ministry of Finance Committee of Supply on Wednesday, 28 February 2024. The Accounting and Corporate Regulatory Authority (ACRA) and Singapore Exchange Regulation (SGX RegCo) have provided details of mandatory climate reporting for listed issuers and large non-listed companies.
3. The timeline for the implementation of mandatory CRD is summarised in the table below.
a. From FY2025, all listed issuers will be required to report and file annual CRD, using requirements aligned with the International Sustainability Standards Board (ISSB) standards.
b. From FY2027, large NLCos (defined as those with annual revenue of at least $1 billion and total assets of at least $500 million) will be required to do the same. ACRA will review the experience of listed issuers and large NLCos before introducing reporting requirements for other companies.
c. More time will be given for companies to report CRD on Scope 3 greenhouse gas (GHG) emissions and conduct external limited assurance on Scope 1 and 2 GHG emissions.
| Timeline for requirements |
Listed Issuers |
Large NLCos
(Annual revenue ≥$1B and total assets ≥$0.5B)
|
| CRD including Scope 1 and 2 GHG emissions |
FY2025 |
FY2027
|
CRD for Scope 3 GHG emissions
|
FY2026 |
No earlier than FY2029 |
| External limited assurance on Scope 1 and 2 GHG emissions |
FY2027 |
FY2029 |
4. ACRA and SGX RegCo would like to thank SRAC and all respondents who have participated in the public consultation. Your valuable feedback has been instrumental in shaping our roadmap for climate reporting and assurance in Singapore.
Annex