Document ID: chunk:federal_register_of_legislation:F2024L01472:body:0:p11
Version: federal_register_of_legislation:F2024L01472
Segment Type: other
Provision Reference: 
Character Range: 29921–33114

risks or climate-related physical risks;
(4) whether the entity used, among its scenarios, a climate-related scenario aligned with the latest international agreement on climate change;
(5) why the entity decided that its chosen climate-related scenarios are relevant to assessing its resilience to climate-related changes, developments or uncertainties;
(6) the time horizons the entity used in the analysis; and
(7) what scope of operations the entity used in the analysis (for example, the operating locations and business units used in the analysis);
(ii) the key assumptions the entity made in the analysis, including assumptions about:
(1) climate-related policies in the jurisdictions in which the entity operates;
(2) macroeconomic trends;
(3) national- or regional-level variables (for example, local weather patterns, demographics, land use, infrastructure and availability of natural resources);
(4) energy usage and mix; and
(5) developments in technology; and
(iii) the reporting period in which the climate-related scenario analysis was carried out (see paragraph B18).
23 [Deleted by the AASB]
        Aus23.1 In preparing disclosures to meet the requirements in paragraphs 13–22, an entity shall refer to and consider the applicability of cross-industry metric categories, as described in paragraph 29.

Risk management
24 The objective of climate-related financial disclosures on risk management is to enable users of general purpose financial reports to understand an entity's processes to identify, assess, prioritise and monitor climate-related risks and opportunities, including whether and how those processes are integrated into and inform the entity's overall risk management process.
25 To achieve this objective, an entity shall disclose information about:
(a) the processes and related policies the entity uses to identify, assess, prioritise and monitor climate-related risks, including information about:
(i) the inputs and parameters the entity uses (for example, information about data sources and the scope of operations covered in the processes);
(ii) whether and how the entity uses climate-related scenario analysis to inform its identification of climate-related risks;
(iii) how the entity assesses the nature, likelihood and magnitude of the effects of those risks (for example, whether the entity considers qualitative factors, quantitative thresholds or other criteria);
(iv) whether and how the entity prioritises climate-related risks relative to other types of risk;
(v) how the entity monitors climate-related risks; and
(vi) whether and how the entity has changed the processes it uses compared with the previous reporting period;
(b) the processes the entity uses to identify, assess, prioritise and monitor climate-related opportunities, including information about whether and how the entity uses climate-related scenario analysis to inform its identification of climate-related opportunities; and
(c) the extent to which, and how, the processes for identifying, assessing, prioritising and monitoring climate-related risks and opportunities are integrated into and inform the entity's overall risk management process.
26 In preparing disclosures