SGX RegCo has introduced these new climate reporting mandates to enhance transparency and align with these international standards.
What are the new Singapore Exchange Regulation mandates?
Change is on the horizon for companies in Singapore. Starting in Fiscal Year 2025, the SGX RegCo will mandate listed companies to report climate-related information in alignment with the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards issued by the International Sustainability Standards Board (ISSB). By staying informed and prepared, companies can not only comply with this enhanced sustainability reporting regime, but they can also reduce risk and identify opportunities for growth and resilience. LRQA is committed to supporting Singaporean businesses in navigating the SGX RegCo changes.
Who will be affected?
In FY 2025, companies in selected sectors such as finance, energy and agriculture, must report climate-related information in line with IFRS ISSB, including their scope 1 and 2 emissions. Other primary components of a sustainability report need only be disclosed on a ‘comply or explain’ basis. The transition is being phased to give businesses, especially smaller ones, enough time to adapt to these requirements. The full set of mandatory requirements for sustainability reports will come into eVect for all listed companies in FY 26, with companies expected to adhere to strict deadlines for publishing their reports. From FY 2026, large issuers are also expected to report their scope 3 emissions, where relevant, in line with IFRS requirements.
| FY 2025 | Mandatory climate reporting begins with the incorporation of IFRS standards. Businesses will be required to disclose their scope 1 and 2 greenhouse gas emissions. These emissions are directly tied to their operations and energy use. | Reporting scope 3 emissions is under review and not yet mandatory. Scope 3 emissions, which cover indirect emissions from the value chain, are often harder to measure due to their broad scope and companies limited influence over them. |
Other sustainability components are on a 'comply or explain' basis. Reports are expected to be published in 2026. |
| FY 2026 | Full mandatory disclosure of all primary sustainability components. Reports must be issued with the annual report or, if externally assured, no later than five months after the financial year ends. | Large, listed companies are expected to report scope 3 emissions, aligned with IFRS standards. Small, listed companies receive more notice before they must comply |
Reports are expected to be published in 2027. |
Why act now?
These new climate-related requirements from SGX RegCo carry several important implications:
- Companies need to be ready, not reactive: preparing early gives your company the chance to build the systems, processes and internal alignment needed to respond
confidently - Data can be turned into insights: early action allows your organisation to use carbon and climate risk information to inform real decisions; from operations and procurement to finance and strategy
- Transparency matters: clear, credible disclosure builds trust with investors and consumers and supports alignment with evolving regulatory requirements. It’s also a powerful way to show that your organisation is building resilience in a carbon- constrained world
- Space needs to be created for progress: acting now means you can move at your own pace; embedding change in a way that fits your organisation, instead of rushing to catch up when reporting becomes mandatory
How we can help?
- Gap analysis
LRQA examines your organisation’s present practice against ISSB and SGX RegCo requirements and develops a framework for staged improvement. - Screening of identified gaps
By screening gaps against compliance requirements and/or best practice, LRQA identifies material topics for a focused approach to risk, opportunity and emissions. - Targeted assessment of material topics
We support you to select climate scenarios, develop informed narratives and assess material risk and opportunities of the scenarios. We also assess your organisation’s material emissions categories. - Targeted planning for focused action
We help you develop a robust strategy to derive material, action-orientated results and deliver financial impact assessment supporting eMective prioritisation. -
Action implementation
We drive and deliver concrete actions in line with your organisation’s objectives. -
Report and engage
We provide eloquent reporting ensuring complete coverage of all requirements and clear messaging that enhances confidence and trust amongst investors and consumers.
- Verification and assurance
We ensure credibility of disclosures through alignment with internationally recognised assurance standards.