1. Understand What’s Changing

Under Australia’s new sustainability disclosure regime (aligned with IFRS S2), large entities must report Scope 1, 2, and 3 greenhouse gas emissions as part of their financial reports.

Scope 3 covers indirect emissions across your value chain — from purchased goods and transport, to product use and investments — often making up over 80% of total emissions.

2. Know If (and When) You’re Caught

If you’re already reporting under the NGER scheme and meet one of the following thresholds, you’re in the first reporting wave:

• Revenue ≥ $500 million
• Assets ≥ $1 billion
• ≥ 500 employees

Smaller businesses will phase in between FY2026 and FY2028.

3. Map Your Scope 3 Landscape

Start with a materiality scan: identify which of the 15 Scope 3 categories matter most to your business. Then map internal and external data sources — including suppliers, customers, and service providers.

You’re not expected to be perfect in Year 1 — but you do need to show your logic: document your methodology, assumptions, and data quality.

4. Engage Your Value Chain

Scope 3 data lives in other people’s spreadsheets. That means early supplier and partner engagement is critical.

• Send preformatted templates or checklists
• Host Scope 3 briefing webinars
• Focus on your top 20% of suppliers by spend/emissions

Chances are, they’re under reporting pressure too — it’s a great opportunity to collaborate.

5. Use 2025–2028 as Your Learning Zone

Thanks to the Scope 3 liability relief period (until June 2028), you’ve got space to test, iterate, and strengthen your processes before assurance becomes mandatory.

Use this runway to invest in tools, build internal capacity, and validate data flows — future-you will thank you.

Ready to Lead?

At emissionstatement.com.au, we’re helping Australian businesses move from confusion to clarity on Scope 3 reporting. Download our free readiness deck, explore supplier engagement tips, or get tailored support — we’re here to make climate compliance simpler and smarter.

Scope 3 isn’t just an obligation — it’s your opportunity to lead Australia’s low-carbon transition.