By Alistair Collier | The Business of Golf Magazine
Dear Club Manager, Director of Golf, Course Superintendent,
MANDATORY ESG REPORTING MAY NOT BE AS FAR AWAY AS YOU THINK
How far has your club progressed in aligning its sustainability ESG reporting with generally accepted reporting standards as is the case in financial reporting through the club’s annual financial statements?
We recently attended the fourth Sustainability & ESG Africa Conference & Expo (SEACon) which was held from October 15-16, 2025, at the Sandton Convention Centre in Johannesburg, South Africa. The theme of the SEACon was “Adapt, Innovate, Succeed – Driving Sustainability in changing times”. However, at the end of the conference the lingering question was, what relevance, or impact does sustainability ESG reporting have upon the greater golf industry, including the professional and amateur arms of golf in South Africa and importantly golf clubs?
In the 18th John Collier Annual Survey, the sustainability compliance level for South African Golf Course sat at just over 31%. This level of compliance is not surprising given that sustainability ESG reporting is voluntary in South Africa. However, the compliance level for clubs submitting their financial documentation to the Companies and Intellectual Property Commission (CPIC) sits at almost 100%. Why is that? The reason is there are consequences for failure to submit those documents on time such as penalties and even deregistration.
Internationally, for example the EU Countries and UK, China, Japan and Indonesia, to mention a few, there is mandatory sustainability ESG reporting. This reporting is underpinned by several mechanisms such as the Corporate Sustainability Directive (CSRD), the European Sustainability Reporting Standards (ESRS), the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), Principles for Responsible Investment and the EU Taxonomy Regulation.
However, you will be surprised to know that while generally, voluntary sustainability ESG reporting is still the norm in South Africa, the country is not as far behind as one would expect in implementing mandatory reporting for many companies, and who knows for golf clubs as well! Examples of this include the King IV Report on Corporate Governance, (now updated King V) which is foundational and promotes integrated reporting and transparency across financial and non-financial metrics (including ESG).
The Johannesburg Stock Exchange (JSE) Listing Requirements requires listed companies to publish integrated reports and has issued Sustainability and Climate Disclosure Guidance that aligns with global frameworks. In terms of international standards South Africa is moving toward mandatory sustainability reporting aligned with global standards, notably the International Sustainability Standards Board (ISSB)’s IFRS S1 and S2 standards. Furthermore South Africa’s first national taxonomy, the Green Finance Taxonomy (GFT) has been launched. Its focus is primarily a classification system that defines and categorises assets, projects, and sectors that are eligible to be defined as “green” or environmentally friendly. The CIPC has updated its reporting taxonomy to include a sustainability disclosures module aligned with the ISSB. In terms of global frameworks, many South African companies also use established international frameworks like the Global Reporting Initiative (GRI) and the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).
The GFT is the formal, approved South African classification system for green economic activities, and it operates within a broader, globally aligned ESG reporting ecosystem. The current version covers climate change mitigation and adaptation; however future developments of the Taxonomy will include the remaining environmental objectives. The “economic activity” must substantially contribute to at least one of the six environmental objectives. The environmental objectives are Climate change mitigation, Climate change adaptation, Sustainable use of water resources, Pollution prevention, Sustainable resource use and circularity, Ecosystem protection and restoration where a “substantial contribution” refers to an economic activity that either significantly enhances environmental benefits or significantly diminishes adverse impacts on the environment.
If one looks at the six environmental objectives, are these not the very essence of every golf club in South Arrica? Surely this must be good reason for clubs to start the journey in aligning their sustainability ESG reporting with generally accepted reporting standards.
If you have any queries, why not contact the John Collier Golf through our website or via email ajcollier@telkomsa.net?
Yours in Sustainable Golf
JOHN COLLIER
If you have any questions, please do not hesitate to email ajcollier@telkomsa.net or visit the John Collier Golf website at www.johncolliergolf.com