IFRS Foundation Updates Sustainability Reporting Standards for Agriculture and Utilities

Takeaways

• IFRS Foundation proposes updates to sector-specific sustainability reporting standards for agriculture and power industries.
• Changes aim to improve global comparability, relevance for investors, and alignment with International Sustainability Standards Board standards.
• Public feedback on the exposure drafts is open until July 24, 2026.

The IFRS Foundation has proposed updates to sustainability reporting standards covering key industries such as agriculture, food production, and electricity generation. The move is expected to improve how companies disclose environmental, social, and governance (ESG) information to investors worldwide.

The proposals were released by the International Sustainability Standards Board and focus on improving three industry-specific standards originally developed by the Sustainability Accounting Standards Board. These include standards for Agricultural Products, Meat, Poultry & Dairy, and Electric Utilities & Power Generators.

Founded in 2011, SASB created sector-based ESG disclosure standards to help investors assess how sustainability risks affect business performance. In 2022, SASB was consolidated into the ISSB, bringing industry-focused metrics into a broader global sustainability reporting framework. Today, SASB standards continue to guide companies applying ISSB’s sustainability standards, including IFRS S1 and IFRS S2.

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The ISSB first announced plans to update the SASB standards as part of its 2024–2026 work plan. Twelve sectors were identified as priorities for improvement, with exposure drafts for nine sectors released in 2025. The latest announcement completes the set by addressing the remaining three sectors.

According to the ISSB, the proposed revisions aim to improve clarity, ensure global relevance, and strengthen alignment between SASB guidance and ISSB standards released in 2023. The updates are also intended to improve interoperability with other sustainability reporting frameworks used internationally.

Several notable changes have been proposed. For the Agricultural Products standard, the scope may expand to include direct farming operations. New disclosure topics covering Food Loss and Food Waste, as well as Land Use and Ecological Impacts, have been introduced to better reflect environmental challenges affecting the agriculture sector.

The Meat, Poultry & Dairy standard may see updates to existing metrics along with the introduction of a Product Innovation disclosure category. Proposed changes also include new Environmental Supply Chain Management and Social Supply Chain Management topics, replacing earlier disclosures related to animal sourcing and feed practices.

For Electric Utilities & Power Generators, the ISSB has proposed adding disclosure topics related to Ecological Impacts, Community Relations, Indigenous Peoples’ rights, workforce management, and supply chain oversight. These additions aim to capture evolving sustainability risks in the global energy transition.

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The ISSB believes industry-specific metrics play an important role in helping investors evaluate company performance. ISSB Vice-Chair Sue Lloyd highlighted that sector-level information helps companies meet investor expectations for meaningful sustainability disclosures.

The ISSB is inviting feedback from stakeholders on the proposed changes. The consultation period will remain open until July 24, 2026, allowing companies, investors, and industry groups to share their views.

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Source: ESGtoday