Governance Briefing — January 1, 2025
HKEX's enhanced climate-related disclosure requirements take effect for financial years commencing on or after 1 January 2025, mandating ISSB-aligned governance reporting for all issuers.
Executive briefing: For financial years commencing on or after 1 January 2025, Hong Kong-listed companies must apply the enhanced climate-related disclosure framework set out in HKEX's 2023 consultation conclusions. Issuers are required to provide ISSB-aligned information on governance, strategy, risk management, and metrics in ESG reports.
Key governance signals
- Board disclosures. Boards must describe oversight structures, climate expertise, and reporting frequency.
- Scenario analysis and transition plans. Issuers must report resilience assessments and planned responses to transition and physical risks.
- Metrics and targets. Companies must disclose Scope 1, 2, and 3 greenhouse gas emissions and industry-specific metrics, alongside targets and progress.
Action checklist
- Finalise governance documentation detailing board oversight, delegated responsibilities, and climate competence.
- Enhance data collection for emissions, scenario analysis, and financed emissions where material.
- Plan assurance pathways and stakeholder communications for first-year ISSB-aligned reporting.
Sources
- HKEX consultation conclusions on climate-related disclosures (November 2023)
- HKEX conclusion paper on climate-related disclosures
Zeph Tech prepares Hong Kong issuers for 2025 climate disclosures through governance playbooks, data architecture, and scenario analysis programmes.