How do you track AASB S2 compliance progress?

You track AASB S2 compliance progress by giving every clause an owner, a compliance result and a work status, then reading the counts back at framework level on a cadence you keep. Two questions matter and they are not the same: has the work been done, and does the evidence show the clause is met. Count both, filter to the clauses that are unassessed or not compliant, and put the same dated status report in front of the board each cycle.

In Drova, the AASB ASRS S2 framework page in RunSure rolls up clause results and control effectiveness, the clause tree filters by result, and the Compliance Status download gives you the spreadsheet for the board pack.

• Clause, requirement and evidence. A clause is one numbered disclosure paragraph of AASB S2. A requirement is one specific item of work that shows the clause is met. Evidence is the document or record attached to a requirement that proves it.
• Result and status are different. The compliance result says whether the evidence shows a clause is met. The work status says whether the work on it has started, is in progress or is complete. A clause can be worked to completion and still not be met, so track both.
• Count at the clause, attest at the requirement. The clause result summarises the requirements beneath it, so the honest number comes from attesting each one.
• Same report, every cycle. Board oversight sits under the governance pillar, so a series of dated status reports is evidence in its own right.

1. Fix the scope before you count. Decide which clauses apply and mark the rest not applicable, with the reason written down. A progress number over the wrong denominator is the first thing an assurance provider will test.
2. Give every clause an owner and a date. A clause with no owner never moves. Assign the person who holds the evidence, not the coordinator, and agree when they will attest. See how to assign owners and tasks for AASB S2 work.
3. Track work status and compliance result as two fields. Status says whether the clause is started, in progress or done. Result says whether the evidence shows the clause is met. Report both, because a clause can be finished and still not compliant.
4. Attest at the requirement, not the clause. Break each clause into the requirements that would prove it, attach evidence to each one and set its result. Attesting means setting a requirement's result with its evidence attached. The clause result should summarise those attestations; the evidence trail guide covers what to attach.
5. Review the unassessed and not compliant lists on a fixed cadence. A monthly cycle gives each owner a clear deadline. Filter to those two results, ask each owner what is blocking them, and log the decision.
6. Snapshot the status report and keep every version. Download the same report each cycle, date it, and file it with the board pack. The series shows how oversight worked, which matters under the governance pillar and again when assurance phases in.

AASB S2 Climate-related Disclosures, issued by the AASB in September 2024 and based on IFRS S2, requires disclosure across four pillars: governance, strategy, risk management, and metrics and targets. Board oversight sits under governance; the process used to identify, assess, prioritise and monitor climate-related risks and opportunities, and how it is integrated into overall risk management, sits under risk management. Neither can be written credibly without a record of what was done, by whom, and when.

Reporting is phased under the Corporations Act 2001: Group 1 from annual reporting periods beginning on or after 1 January 2025, Group 2 from 1 July 2026 and Group 3 from 1 July 2027, with the thresholds for each group in ASIC Regulatory Guide 280.

The sustainability report forms part of the annual report and is lodged with ASIC. Assurance over it phases in for each group under the AUASB's ASSA 5010 timeline, which sets out when limited and reasonable assurance apply. Check your group on the applicability page.

AASB S2 sets out what to disclose, not how to track your way there. The tracker's job is to show, at any date, which disclosures are evidenced and which are not. The AASB S2 disclosures checklist lists them clause by clause and is the natural denominator for the count.

Why does a clause show partially compliant when all its tasks are finished?

Because the clause result rolls up from its requirements, not its tasks. If one requirement is compliant and another is not, the clause reads partially compliant however many tasks are closed. Open the clause and attest each requirement.

Does the Compliance Status report appear in Reporting?

No. It downloads straight to your browser as a spreadsheet each time you request it, so keep each dated copy yourself. The AI-generated ASRS S2 Compliance Disclosure is the report that lands in Reporting.

How often should we report progress to the board?

Pick the cadence your governance process can sustain and keep a dated status report from each cycle. Board oversight sits under the governance pillar, so the series is evidence of oversight.

Can Sheila track progress for us?

Sheila drafts the requirements under each clause and suggests what to do next from the framework page. Your team sets every compliance result and owns every attestation; the counts reflect those decisions, not Sheila's.

What if a clause does not apply to us?

Mark it not applicable and keep the reasoning on file, because an assurance provider will test that scoping decision. The clause drops out of the roll-up so your counts are over the right denominator, and the decision can be reversed later without losing any requirement work.