IPSASB has announced in June 2023, that it will move ahead with the development of the first sustainability reporting standard for the public sector as respondents had agreed that the public sector urgently needs its own sustainability reporting standards. Following the research phase, the IPSASB has published a project brief as a first step in this new project. The new guidance will build on international guidance by the ISSB and GRI. In addition, the IPSASB staff will monitor the IASB’s work programme relating to any climate-related financial reporting projects and engage with IASB staff as appropriate. The IPSASB will establish a Climate-related Topic Working Group and set up a Sustainability Reference Group.
The standard is voluntary and will be suitable for all public sector entities globally.
According to the project brief, the scope of the project will include the development of disclosure requirements for public sector entities, encompassing their climate-related impacts on the economy, environment and people, and their exposure to climate-related risks including physical and transition risks, as well as climate-related opportunities.
IPSASB Standards and Compliance Timeline
- 2023 June: Approval of project brief
- 2024 June: Approval of exposure draft
- 2024 October: End of Exposure Draft (ED) comment period (4 months)
- 2025 H2: Approval of final standard
The project will consider the key issues listed below:
- Key Issues Relating to Technical Matters
- Key Issue #1 - Building off international guidance - ISSB and GRI
- Key Issue #2 - Governance
- Key Issue #3 - Strategy
- Key Issue #4 - Risk and Impacts Management
- Key Issue #5 - Metrics and Targets / Sectors
- Key Issue #6 - General features
- Key Issues Relating to Project Management
- Key Issue #7 - Resources and Expertise
- Key Issue #8 - Sustainability-related institutional arrangements and learning curve
- Key Issue #9 - Timeliness of guidance
To whom and how to report:
Stakeholders
