In short: The International Sustainability Standards Board has published IFRS S1 and IFRS S2, creating a global baseline for sustainability-related disclosures.
The International Sustainability Standards Board (ISSB) has issued its first two standards: IFRS S1, General Requirements for Disclosure of Sustainability-related Financial Information, and IFRS S2, Climate-related Disclosures.
What they require
- Disclosure of sustainability-related risks and opportunities that could affect an entity’s prospects
- Climate-related disclosures covering governance, strategy, risk management, and metrics and targets
- Consistency with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)
Implications for professionals
Reliable ESG data depends on well-designed processes, controls and management systems — skills at the core of the quality profession.
See the Certified ESG Professional (CESGP) and CESL certifications.