IESBA Seeks Feedback: Sustainable Ethics Consultation
The International Ethics Standards Board for Accountants (IESBA) has announced the release of two Exposure Drafts (EDs):
- The International Ethics Standards for Sustainability Assurance ED, which proposes revisions to the existing Code regarding sustainability reporting.
- The Using the Work of an External Expert ED.
The first draft sets out clear guidelines for sustainability assurance practitioners and accountants involved in sustainability reporting. It aims to prevent misleading information (greenwashing) and improve the quality of sustainability reports, building trust among the public and institutions.
The second draft outlines how professionals should assess the competence and objectivity of external experts they might use. This is important as sustainability reporting becomes more crucial for various stakeholders.
The International Accreditation Forum (IAF) plans to recommend these ethics standards for accrediting bodies worldwide, ensuring consistency in assessing sustainability disclosures.
These drafts were developed with input from stakeholders globally. Feedback is welcome on the IESBA's website until April 30 for one draft and May 10 for the other.
The IESBA will host webinars to explain the drafts further. More details will be shared soon, along with fact sheets and other helpful materials.
Gabriela Figueiredo Dias, Chair of the IESBA, highlighted the importance of ethics in ensuring trustworthy sustainability information, emphasising the benefits of these proposed standards for various stakeholders.
Jean-Paul Servais, Chair of the Board of the International Organization of Securities Commissions (IOSCO), stressed the significance of globally accepted standards in enhancing trust in sustainability disclosures.
Alan Johnson, Chair of the IESBA and IAASB Stakeholder Advisory Council (SAC), emphasised the critical role of the proposed standards in enhancing the integrity and credibility of sustainability information.
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Source: IESBA
