Free ASRS Glossary and Terminology Guide

Climate-related financial disclosure is complex, and with the introduction of the Australian Sustainability Reporting Standards (ASRS), particularly AASB S2, it's more important than ever for organisations to speak the same language. Misunderstandings about technical terms can lead to inconsistencies, compliance risks, and costly delays.

To help bridge this knowledge gap, Avarni has created a free resource: the ASRS Glossary and Terminology Guide. Purpose-built for Australian sustainability compliance teams, this guide ensures consistent, plain-English understanding of climate reporting terminology across sustainability, finance, and governance functions.

Why we created this resource

Sustainability managers, ESG reporting teams, finance and risk professionals, and corporate carbon accountants face a common challenge: confusing, inconsistent terminology across teams. Different interpretations can result in:

Cross-team miscommunication
Increased risk of misreporting
Time wasted deciphering technical terms
Difficulties onboarding new team members

The ASRS Glossary Guide addresses these challenges head-on by providing clear, concise definitions aligned with AASB S2 (09/24) and ASIC's RG 280 (March 2025).

What’s inside the guide?

The ASRS Glossary and Terminology Guide covers all the essential climate-related disclosure terms your team needs to know, including:

Scope 1, 2, and 3 emissions
Materiality
Climate-related risks and opportunities
Metrics, targets, and governance terminology
Key concepts like carbon credits, climate scenario analysis, and climate resilience

Each term is explained in plain English, making it easy for cross-functional teams — whether you're from sustainability, finance, or governance — to understand and apply definitions consistently.

The guide is organised in a user-friendly table format for quick reference, making it a valuable tool not just for day-to-day reporting, but also for onboarding new staff and preparing for audits.

Key benefits of the ASRS Glossary and Terminology Guide

By using this free resource, your organisation can:

Promote consistent understanding across departments, avoiding costly misinterpretations.
Reduce the risk of misreporting or non-compliance, which could have legal or financial consequences.
Save time by eliminating the guesswork involved in interpreting climate terminology.
Onboard new staff faster, ensuring your growing team gets up to speed quickly and accurately.

Built for Australian compliance teams

What sets this glossary apart from generic sustainability glossaries is its specific alignment with Australian standards. Each definition references clauses from AASB S2 and ASIC's RG 280, making it an essential tool for any organisation preparing reports under the ASRS framework.

Whether you're implementing your first climate disclosure or refining your audit processes, the ASRS Glossary ensures you’re using the right language — aligned with regulatory expectations.