We are consulting on the IPSASB’s first Sustainability Reporting Standard! (part 3 of 3)
- February 3, 2025
- Posted by: Julianne Vissie
- Category: Blog
Part 2 of this article discussed the disclosure of climate-related risks and opportunities to an entity’s own operations in the proposed IPSASB Exposure Draft (ED) on Climate-related Disclosures. This article focusses on the disclosure of an entity’s climate-related public policy programmes and their outcomes.
In developing this section of the ED, the IPSASB leveraged off private sector standards drawing from the ISSB’s IFRS S2 Climate-related disclosures and incorporating the multi-stakeholder approach from the Global Reporting Initiative Standards. The IPSASB asserts that adapting these private sector guidance ensures that the ED addresses the core responsibilities of the public sector.
Source: IPSASB SRS ED 1 At a Glance
The public sector affects climate through climate-related public policy programmes. For example, a government makes climate action commitments through international or national agreements and public sector entities have a policy setting role that influences the behaviours of entities or individuals. The ED proposes disclosure requirements about the climate-related public policy programmes that contribute to these commitments and their outcomes. Similar to reporting on an entity’s own operations, the four pillars for reporting on an entity’s climate-related public policy programmes include an entity’s governance, strategy, risk management and its metrics and targets, as follows:
Source: IPSASB SRS ED 1 At a Glance
The ED contains an alternative view for the inclusion of climate-related public policy programme disclosures. The alternative view suggests that climate-related public policy programme disclosures should be removed from the scope of the standard. It is proposed that a separate standard or guidance for disclosures on public policy programmes that impact climate change be developed, after revisiting user needs for this specific area.
Submit your written comment or questions on ED 213 to info@asb.co.za. Comment from stakeholders will be considered for inclusion in the ASB’s comment letter to the IPSASB. The comment period closes on 14 February 2025.