ISSB IFRS S2 Climate-Related Disclosures 2

Question 1

Under IFRS S2, what does 'climate resilience' assessment require entities to disclose?

Accepted Answer

The resilience of the entity's strategy and business model to climate-related changes, including under different climate scenarios

Answer

A guarantee that operations will continue uninterrupted under any climate scenario

Answer

Only physical asset valuations adjusted for climate risk

Answer

A transition plan approved by a third-party climate scientist

Question 2

Which industry-specific climate metrics does IFRS S2 require certain entities to disclose?

Accepted Answer

Metrics from the SASB Standards for their respective industry, as referenced in IFRS S2 guidance

Answer

Metrics defined by national securities regulators for each jurisdiction

Answer

Only metrics approved by the Big Four accounting firms

Answer

Climate metrics are entirely voluntary beyond cross-industry requirements

Question 3

Under IFRS S2, how must Scope 2 GHG emissions be measured and disclosed?

Accepted Answer

Both location-based and market-based measurements are required

Answer

Only market-based measurement using energy attribute certificates

Answer

Only location-based measurement using grid emission factors

Answer

Either method is acceptable — entities choose one and disclose which

Question 4

What climate scenario does IFRS S2 specifically reference as a scenario entities should consider?

Accepted Answer

A scenario consistent with limiting global warming to 1.5°C above pre-industrial levels

Answer

A business-as-usual 4°C warming scenario only

Answer

The median scenario from the entity's national government climate plan

Answer

IPCC RCP 8.5 as the sole required scenario

Question 5

Under IFRS S2, what must an entity disclose if it has a climate transition plan?

Accepted Answer

The key assumptions, dependencies, and how the plan links to financial planning and capital allocation

Answer

Only the headline net-zero target date

Answer

Transition plans need not be disclosed unless legally binding

Answer

Only externally validated transition plans require disclosure

Question 6

Under IFRS S2, which physical risk classification requires entities to consider impacts from extreme weather events?

Accepted Answer

Acute physical risks

Answer

Chronic physical risks

Answer

Transition physical risks

Answer

Systemic physical risks