PENGANTAR UMUM PROGRES ISSB: IFRS SUSTAINABILITY DISCLOSURE STANDARD-EXPOSURE DRAFT IFRS S1

Summary

In this presentation, the speaker discusses the introduction of the IFRS Sustainability Disclosure Standards, specifically IFRS S1, published in March 2022. The standard outlines general requirements for disclosing financial information related to sustainability issues. The formation of the International Sustainability Standards Board (ISSB) is highlighted, along with the stakeholder engagement process leading to the development of these standards. The journey began in 2019, culminating in a public consultation that garnered significant feedback. The resulting draft emphasizes the importance of consistent global sustainability reporting standards, aiming to meet stakeholder demands for transparency and accountability in financial disclosures.

Takeaways

• 🌅 The IFRS Sustainability Standards were first published in March 2022 as IFRS S1, focusing on general requirements for disclosing sustainability-related financial information.
• 🗂️ The International Sustainability Standards Board (ISSB) was established under the IFRS Foundation to develop and issue sustainability disclosure standards.
• 📅 The formation of the ISSB began in 2019, prompted by stakeholder demands for enhanced sustainability reporting.
• 🔍 A task force was created to prepare a consultation document to gather broader stakeholder input on sustainability reporting needs.
• 📄 A consultation document was released in October 2019, followed by a public comment period that closed on December 31, 2020.
• 📝 The IFRS Foundation received 576 comments from stakeholders worldwide during the consultation phase, highlighting the need for a consistent global sustainability reporting standard.
• 🏛️ An amendment to the IFRS Foundation's constitution in November 2021 facilitated the establishment of the ISSB.
• 📊 The ISSB released the first draft of the sustainability disclosure standard (IFRS S1) in March 2022, open for global public comment until July 29, 2022.
• 🔑 The draft outlines key components, including the purpose, scope, and essential information entities must disclose regarding sustainability issues.
• 📺 Further details on the standard can be accessed in the accompanying video, which elaborates on the various aspects covered in the draft.

Q & A

What is the primary purpose of IFRS S1?

The primary purpose of IFRS S1 is to establish general requirements for the disclosure of financial information related to sustainability issues.

When was IFRS S1 published?

IFRS S1 was published in March 2022.

What does the ISSB stand for and what is its role?

The ISSB stands for the International Sustainability Standards Board, which is responsible for developing and issuing sustainability disclosure standards.

What prompted the formation of the ISSB?

The formation of the ISSB was prompted by the increasing demand from stakeholders for consistent global sustainability reporting standards.

What process did the IPS Foundation undertake before establishing the ISSB?

The IPS Foundation formed a task force in 2019 to prepare a consultation document based on stakeholder aspirations regarding sustainability reporting.

How many comments were received during the public consultation phase for the draft standard?

During the public consultation phase, the IPS Foundation received approximately 576 comments.

What significant feedback did the IPS Foundation compile from the comments?

The significant feedback compiled indicated a strong desire for a global sustainability reporting standard that is consistent across all stakeholders.

What document was published following the consultation process?

Following the consultation process, the IPS Foundation published the 'IFRS Foundation Feedback Statement' in April 2021.

What are some key components of IFRS S1?

Key components of IFRS S1 include sections on purpose, scope, content, general features, appendices, guidelines, and illustrations related to sustainability financial information.

What is the importance of the qualitative characteristics mentioned in IFRS S1?

The qualitative characteristics outlined in IFRS S1 ensure that the financial information related to sustainability is useful and meets stakeholders' needs.