The Sustainability Accounting Requirements Board launched a set of really useful modifications Thursday to 3 of its remaining energetic tasks as its guardian group prepares to be merged into the Worldwide Sustainability Requirements Board on the finish of this month.
Final June, SASB and one other standard-setter, the Worldwide Built-in Reporting Council, merged collectively to type the Worth Reporting Basis. Final November, they introduced plans to be “consolidated” into the ISSB, a brand new board that the Worldwide Monetary Reporting Requirements Basis arrange as a method to carry collectively the assorted standard-setters within the environmental, social and governance house as ESG funds develop in reputation amongst buyers who’ve been asking for extra consistency in how they’re measured. Forward of the transition, the SASB Requirements Board has continued to function below the auspices of the VRF and work on a few of its present tasks, even exploring some new ones. Nonetheless, because the June 30 date approaches for the VRF and one other standard-setter, the Local weather Disclosure Requirements Board, to be absorbed into the ISSB, the SASB Requirements Board made some suggestions on how one can proceed with these ongoing tasks. Final week, the ISSB clarified its plans for a way it might be making use of the SASB requirements, in addition to the built-in reporting framework and rules that got here from the IIRC (see story).
The SASB Requirements Board made suggestions on three of its present tasks: content material governance within the web media and companies business, plastics dangers and alternatives within the chemical compounds business, and different merchandise within the meals and beverage sector. The SASB Requirements Board cautioned that it didn’t have time to undergo its common due technique of first publishing publicity drafts, with an invite to remark from stakeholders, however the ISSB will try this if it chooses to proceed the tasks.
“With the momentum surrounding the upcoming consolidation, our work on the SASB Requirements hasn’t slowed, however moderately has taken on a brand new focus — specifically, making certain a clean transition to the ISSB with out circumventing the rigorous due course of that has been integral to our commonplace setting,” mentioned SASB Requirements Board chair Jeffrey Hales in an announcement. “In publishing these really useful modifications, we summarize our progress on these tasks in preparation for the ISSB to resolve how finest to combine these workstreams into its agenda priorities.”
The SASB Requirements Board agenda throughout a gathering in Could 2021
The ISSB continues to be within the technique of naming all of the board members, however to this point it has named a chair, Emmanuel Faber, a vice chair, Sue Lloyd, and particular advisor Janine Guillot, who was previously CEO of SASB. To this point, it has issued its personal publicity drafts of future requirements on climate-related and sustainability-related disclosures for suggestions.
The SASB Requirements Board printed its suggestions for the ISSB’s consideration and for market individuals all in favour of following continued efforts to enhance and keep the SASB Requirements. It mentioned any future updates to the SASB requirements ensuing from these tasks shall be topic to ISSB due course of previous to being finalized.
The really useful modifications to the requirements are as follows:
Content material governance within the web media and companies business
- Addition of a brand new disclosure subject on content material governance and freedom of expression, and 5 corresponding metrics to seize dangers and alternatives related to user-generated content material; and,
- The relocation of two present metrics, TC-IM-220a.5 and TC-IM-220a.6, from the present information privateness, promoting requirements and freedom of expression disclosure subject into the brand new content material governance and freedom of expression disclosure subject.
Plastics dangers and alternatives within the chemical compounds business
- The addition of a brand new disclosure subject on administration of single-use plastics, and 5 associated metrics to seize dangers and alternatives related to the administration of single-use plastics throughout the product lifecycle.
Various merchandise within the meals and beverage sector
- The addition of a brand new disclosure subject on product innovation, and three corresponding metrics within the meat, poultry and dairy and processed meals requirements to seize dangers and alternatives related to corporations’ administration of different protein merchandise.
- The addition of a brand new disclosure subject on product portfolio diversification, and three corresponding metrics within the meals retailers and distributors commonplace to seize dangers and alternatives related to corporations’ administration of different protein merchandise.
The proposed modifications, together with a foundation for conclusions doc outlining the SASB Requirements Board’s rationale, could be discovered right here: