What products and services do Trace offer for AASB S2 compliance?

Our approach to AASB S2 compliance

Trace is designed to help organisations meet AASB S2 requirements efficiently, without overbuilding systems or creating unnecessary cost.

AASB S2 compliance is a journey. Trace understands the needs of services companies and delivers practical, right-sized solutions for lean teams. Its Minimum Viable Compliance model supports Year One compliance without unnecessary complexity, typically delivering outcomes faster than traditional consulting firms.

Aligned to the AASB S2 workstreams

Our products and services align to the AASB S2 and TCFD pillars:

Delivery Pathways

For each workstream, Trace offers two delivery pathways:

Minimum Viable Compliance (recommended starting point): Focused on achieving Year 1 assurance efficiently and cost-effectively by prioritising essential disclosures and activities.

Focus on what is mandatory under AASB S2
Prioritise decision useful, auditable disclosures
Build pragmatic processes that can scale over time
Avoid over engineering in year one

To read more about Minimum Viable Compliance, watch our short video here.

Best Practice Reporting: Extends beyond compliance to deliver deeper insights, stronger governance alignment, and enhanced strategic value.

Recommended where there are larger gaps, higher scrutiny, or limited internal capability
Suitable for organisations seeking deeper insight and strategic value
Builds more robust governance, systems, and integration across the business

All products and services are modular and standardised, allowing us to offer competitive pricing while maintaining consistency and quality.

Technology enabled delivery

All products and services are AI powered today.

Our long term vision is to eliminate the cost and burden of climate compliance so organisations can redirect resources toward building resilient businesses within planetary boundaries.

Using AI we offer

Instant data extraction and mapping from source documents
Emissions calculations aligned to recognised standards
Risk mapping and tagging against AASB S2 requirements
Version controlled disclosure drafting
Audit trail and evidence management

Standardised deliverables, Tailored pathway

We prepare a recommended approach based on:

Your reporting timeline
Your organisational maturity
Your risk profile and assurance expectations
Your board and investor scrutiny

Below is a summary of our product and service offering per Workstream.

Workstream: Readiness Assessment

Deliverable / activity	Description and outcome	Minimum Viable Compliance	Best Practice Reporting
Digital readiness survey	Self-assessment survey covering all AASB S2 disclosure requirements, structured across the four pillars (Governance, Strategy, Risk Management, and Metrics & Targets), including instant outputs	✔	✔
Automated Readiness Assessment	Automated RAG-rated Readiness Report showing overall readiness score and scores by pillar, key actions to take, and areas to start, improve, or continue	✔	✔
Expert analysis	Trace’s climate specialists will conduct a detailed review of the self-assessment results alongside all supporting documentation provided. This expert analysis complements the automated outputs, providing a more comprehensive assessment.	✕	✔
Detailed readiness Report	An expert-produced readiness report providing tailored recommendations for closing key gaps and strengthening governance, data, and reporting processes.	✕	✔
Tailored roadmap	Development of a clear, prioritised roadmap outlining the actions, ownership, and timing required to achieve full AASB S2 compliance.	✕	✔
Draft Review	One round of draft feedback on identified gaps, where you can add context on additional activities that are being conducted that may not have been captured in the assessment.	✕	✔
Post assessment workshop	Interactive session with leadership and key stakeholders to introduce AASB S2, review and validate survey results, discuss key challenges, and align on readiness gaps and priorities (90 minutes).	✕	✔
Target duration		2 weeks	4 weeks

Workstream: Governance Review

Deliverable / activity	Description and outcome	Minimum Viable Compliance	Best Practice Reporting
Governance checklist	This checklist will clarify: What each disclosure is asking for What Trace recommends you disclose in Year 1 How that disclosure can be evidenced for assurance purposes, noting that evidence requirements vary by assurer and are subject to their discretion How critical each document is, distinguishing between best practice supporting materials, key documents used to draft the disclosures or core audit evidence.	✔	✔
Document feedback	Review and marked up comments on up to 50 pages of existing governance policy documents relevant to the management of climate-related risk. (Note that this is feedback, not rewriting).	✔	✔
Additional policies	Trace drafts additional governance policies and development of a Climate related Risks and Opportunities policy (20-50 pages, as needed)	✕	✔
Second round feedback	2 additional rounds of review by Trace with any final feedback over after changes made	✕	✔
Summary of findings	Succinct (5 page) report on any findings identified in the policies for non-urgent updates for compliance and ongoing improvement	✕	✔
Review call	Review call, discussing feedback (up to 30 mins)	✕	✔
Leadership training	One hour training session on climate risk, climate governance, and common reporting errors, designed for senior leadership and board members	✕	✔
Target duration		2 weeks	4 weeks

Workstream: Climate Risk Assessment

Deliverable / activity	Description and outcome	Minimum Viable Compliance	Best Practice Reporting
Document review	Review of entity specific documentation to inform risk identification and risk rankings	✔ Up to 50 pages	✔✔ Up to 200 pages
Physical location review	Review of key regions to identify location specific climate risks	✔ Up to 5 regions	✔✔ Up to 10 regions
Custom risk management framework	Alignment of climate risk ranking with existing internal consequence and likelihood scales to support cohesive enterprise risk management	✕	✔
Scenario analysis	Development of narratives for a 1.5°C scenario and 3°C scenario for your industry to inform risk assessment	✔	✔
Risk ranking: Desktop	Digital survey to collect responses from key personnel ranking risks for likelihood and impact	✔	✔ Optional
Risk ranking: Workshop	Facilitated workshop session with key personnel to rank risk likelihood and impact	✕	✔
Qualitative context	Qualitative risk narratives providing context on potential financial impacts of risks and opportunities	✔	✔
Quantitative context	Quantitative risk context using metrics to provide insights into potential financial effects for risk and opportunities	✕	✔
Resilience Assessment: Overall	Enterprise-level resilience assessment and recommendations.	✔	✔
Resilience Assessment: Risk by Risk	Individual resilience assessment and recommendations provided for each material risk.	✕	✔
Methodology	Documented CRA methodology including assumptions and sign off trail to support assurance requirements	✔	✔
Climate risk report	Climate risk report including process, risk ranking, assumptions, and overall assessment outcomes	✔ Concise report (up to 20 pages)	✔✔ Strategic report (up to 60 pages)
Draft feedback	Up to 2 rounds of draft feedback on climate risk report incorporating resilience activities and comments	✕	✔
Findings review	Findings review sharing CRA outcomes (up to 60 mins)	✕	✔
Target Duration		2 - 4 weeks	4 - 8 weeks

To learn more about our Climate Risk Assessment approach, please read this article.

Workstream: Transition Planning & Strategy

Deliverable / activity	Description and outcome	Minimum Viable Compliance (scope 1 & 2 only)	Best Practice Reporting
Kick off and Ambition review	Kick of call to discuss decarbonisation to date, key drivers, and review ambition	✔ Light - 30 mins	✔ Detailed - 60 mins
Emissions Review: Scope 1 and 2	Overview of major Scope 1 and 2 emission sources and drivers from a decarbonisation perspective.	✔	✔
Direct decarbonisation levers review (scope 1, 2)	Quantified reduction ranges for all feasible Scope 1, and 2 levers with qualitative cost and effort ratings.	✔	✔
Emissions Review: Scope 3	Overview of major Scope 3 emission sources and drivers from a decarbonisation perspective.	✕	✔
Indirect decarbonisation levers review (Scope 3)	Quantified reduction ranges for all feasible Scope 3 levers with qualitative cost and effort ratings.	✕	✔
Supplier Scan	Review of public documentation for up to five largest suppliers to understand their commitments and how this could influence your decarbonisation progress	✕	✔
Decarbonisation workshop	Workshop to review and agree on suitable decarbonisation levers, discuss feasibility, and confirm preferred actions.	✔ 60 mins	✔ 120 mins
Findings report	Decarbonisation strategy report for internal use, including activities determined reasonable in workshop	✔ Scope 1 and 2 only	✔ Scope 1, 2, 3
Public decarbonisation roadmap	Public facing decarbonisation roadmap (five to ten pages) presenting baseline, pathway, and key levers in a clear and credible format.	✕	✔
Target Duration		3 weeks	6 weeks

Workstream: Metrics and Targets

Deliverable / activity	Description and outcome	Minimum Viable Compliance	Best Practice Reporting
Metric ambition review	Ambition workshop to test ambition levels across climate risks, opportunities, metrics, and targets, assess tolerance for low risk and high risk outcomes, to ensure targets align with business goals (up to 60 mins)	✕	✔
Metric 1 – Scope 1, 2, 3 emissions	See emissions measurement platform pricing	See carbon accounting software pricing
Metric 2 – Climate-related transition risks	Dry run assessment of exposure, with a documented methodology aligned to the Climate Risk Assessment.	✔	✔
Metric 3 – Climate-related physical risks	Dry run assessment of exposure, with a documented methodology aligned to the Climate Risk Assessment.	✔	✔
Metric 4 – Climate-related opportunities	Dry run assessment of exposure, with a documented methodology aligned to the Climate Risk Assessment.	✔	✔
Metric 5 – Capital deployment	Definition of methodology and boundaries, with a dry run application where data is available.	✔	✔
Metric 6 – Internal carbon prices and remuneration	Review of use and disclosure requirements, including 2 page policy / methodology development.	✕	✔
Metric 7 – Other climate risk metrics and targets	Development of up to 5 additional metrics and review of targets	✕	✔
Target risk review	Review over existing climate targets for assessment of low risk and high risk of achievement.	✕	✔
Target duration		2 weeks	6 weeks

Workstream: Disclosure Drafting

Deliverable / activity	Description and outcome	Minimum Viable Compliance	Best Practice Reporting
Short template	Template for light AASB S2 report (up to 25 pages) covering qualitative disclosures. Best suited for low to moderate risk industries	✔	✕
Light feedback	1 round of Trace feedback over completed AASB S2 template in light report (up to 25 pages)	✔	✕
Review checklist - Minimum Compliance	Checklist of key disclosure topics for minimum viable compliance.	✔	✕
Review checklist - Best Practice reporting	Checklist of key disclosure topics for best practice reporting.	✕	✔
Detailed template	Template for detailed AASB S2 report (up to 60 pages) covering qualitative and quantitative disclosures. Best suited for high risk industries	✕	✔
Detailed feedback	2 rounds of Trace feedback over completed AASB S2 template in detailed report (up to 60 pages)	✕	✔
Optional addition: Report drafted by Trace	Full report is drafted by Trace. Company to provide up to 2 rounds of feedback over the report with draft comments actioned.	Optional $ add on	Optional $ add on
Target duration		6-8 weeks	8-12 weeks

Controls & Audit preparation

Across all workstreams, Trace provides:

✅ Methodology documentation

✅ Audit ready workpapers

✅ Disciplined document management and version control

✅ Evidence mapping to AASB S2 paragraphs

✅ AI assisted disclosure drafting with traceable source data

This ensures disclosures are not only compliant, but defensible under external assurance.

Annual reporting requirements

AASB S2 requires annual disclosure. We've summarised our recommended cadence of reporting in the diagram below, depending on your approach: Minimum Viable Compliance or Best Practice.

To learn more about our AASB S2 products & services and get a pricing proposal, please reach out to sales@our-trace.com.