The International Sustainability Standards Board (ISSB) published two exposure drafts proposing amendments to the SASB standards and consequential amendments to the Industry-Based Guidance on Implementing IFRS S2.
“These proposals present the first opportunity for global stakeholders of the IFRS Foundation to provide comprehensive input on the cost-effectiveness and decision-usefulness of the SASB standards,” a news release said. Stakeholders will also have the opportunity to comment on metrics for nature, climate, and human capital-related topics appearing in several industries.
According to the release, the board plans to:
- Present a comprehensive review of nine prioritised industries;
- Align some metrics in 41 other industries for topics such as water management and workforce health and safety; and
- Propose updates to Industry-Based Guidance on Implementing IFRS S2 (affecting the nine prioritised industries and 37 of the 41 industries) to maintain alignment with climate-related content in the SASB standards.
The release listed the nine prioritised industries as eight in the extractives and minerals processing sector and also the processed foods industry
The ISSB also intends to enhance its 2024–2026 work plan to provide “timely support” to companies applying its standards, including IFRS S1 and IFRS S2, to enhance the decision-usefulness of information provided to investors, the release said.
“SASB standards are widely used voluntarily and are an important source of industry-based guidance for those using the ISSB standards,” ISSB Vice-Chair Sue Lloyd said in the release. “For our stakeholders, this is the first noteworthy opportunity to weigh in comprehensively on the content of the SASB standards in the context of the ISSB standards.”
The exposure drafts are open for comment until 30 November. Comments can be submitted online for the draft amendments to the SASB standards and the proposed revisions to the Industry-Based Guidance on Implementing IFRS S2.
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