IFRS S2

IFRS S2 is the ISSB's climate-related disclosure standard. It works alongside IFRS S1 and focuses specifically on climate-related risks and opportunities. Its structure builds directly on the TCFD recommendations.

Under IFRS S2, a company discloses information about climate-related governance, strategy (including resilience and, where relevant, scenario analysis), risk management, and metrics and targets. The metrics include greenhouse gas emissions, and the standard refers to the GHG Protocol for measuring Scope 1, Scope 2, and Scope 3 emissions.

Because IFRS S2 absorbs and operationalizes the TCFD structure within the ISSB's global baseline, it is becoming a common reference for mandatory climate disclosure in jurisdictions that adopt the ISSB standards.

For practitioners, IFRS S2 reinforces demand for greenhouse gas accounting, climate scenario analysis, and climate risk skills across corporate reporting and finance teams.