Climate & IFRS S2 Disclosure

IFRS S2 is the global standard for climate-related financial disclosure, issued by the International Sustainability Standards Board (ISSB). It builds on the TCFD recommendations and structures climate disclosure into four pillars: Governance, Strategy, Risk Management, and Metrics & Targets. The Stock Exchange of Thailand published its own IFRS S2 Climate-related Disclosures Report in September 2025 — establishing the model for the 868 listed companies that follow under FTSE Russell methodology from 2026. FTSE Russell’s Climate Change theme reads IFRS S2-aligned disclosure directly.

SET Senior Executive Vice President Soraphol Tulayasathien publicly named Scope 3 GHG emissions data collection as the biggest remaining gap for Thai listed companies, particularly small and medium-sized issuers. Scope 3 covers all 15 GHG Protocol value chain categories — purchased goods, transportation, capital goods, business travel, end-of-life, and others — and typically represents the largest share of a company’s total emissions. Most Thai listed companies disclose Scope 1 and 2 reasonably well; Scope 3 is the named priority. Closing this gap is the most direct FTSE Climate Change theme score uplift available.

No. Carbon footprint calculation requires verified specialists working under ISO 14064-1, GHG Protocol, or TGO frameworks. Othello partners with verifiers and platforms. Our work begins where the calculation ends — translating the verified numbers into IFRS S2-aligned, FTSE-recognised disclosure across both Thai and English, integrated with the company’s existing reporting cycle and supply chain disclosure. Bilingual lockstep on technical climate vocabulary is the specialism we operate.

Climate Change is one of 14 themes in the FTSE Russell ESG framework, sitting under the Environmental pillar. It is the highest-weighted theme for most sectors and includes indicators on policy, governance, target setting, scenario analysis, Scope 1/2/3 emissions disclosure, transition planning, and capital deployment toward climate-aligned activities. Approximately 30-40% of a typical Thai listed company’s FTSE Environmental score comes from the Climate Change theme alone. Strong IFRS S2-aligned disclosure directly moves this score.

Climate scenario analysis is the assessment of how a company’s strategy and financial performance would hold up under different future climate pathways — typically a 1.5°C-aligned scenario, a 2°C scenario, and a business-as-usual scenario. It is required under IFRS S2 Strategy pillar. For Thai listed companies, the disclosure typically covers both transition risks (regulatory, market, technology, reputation) and physical risks (acute weather, chronic temperature/sea level shifts). The bilingual disclosure layer is technical — translating climate scenario terminology accurately between Thai and English requires the FTSE-calibrated terminology database.

ได้ IFRS S2 builds directly on the TCFD recommendations — the four-pillar structure is preserved. For Thai listed companies with existing TCFD disclosure, the migration to IFRS S2 is largely an alignment exercise: closing specific IFRS S2 requirements that go beyond TCFD (more granular industry-specific metrics, more explicit governance disclosure, expanded Scope 3 requirements). Othello produces the bilingual alignment in lockstep — Thai version and English version reviewed against each other indicator by indicator before publication.