Starting in the 2025 financial year, all listed companies will be required to report their greenhouse gas emissions, specifically in two areas.
The first area covers companies' direct emissions that occur from sources owned or controlled by the organisation, such as the combustion of fossil fuels in company-owned vehicles, heating systems and industrial processes. These were identified as Scope 1 emissions in a Singapore Exchange (SGX) statement on Sept 23 announcing the move.
The second area - Scope 2 - is indirect emissions resulting from the generation of purchased electricity, steam, heating and cooling consumed by the company.
Additionally, businesses must incorporate the climate-related requirements in the International Financial Reporting Standards Sustainability Disclosure Standards issued by the International Sustainability Standards Board.
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