Ratification of amendments to the SASB Standards (Agenda Paper 8A)

Pursuant to the international applicability of the SASB Standards project, this paper’s objectives were:

• to seek ratification by the ISSB of amendments to the SASB Standards;
• to seek ratification of the related updates to the digital SASB Standards Taxonomy; and
• to ask the ISSB to confirm it is satisfied that it has complied with the applicable due process requirements to publish the updated SASB Standards.

The SASB Standards Board Advisor Group amended the SASB Standards to enhance their international applicability and recommended these amendments to the ISSB for ratification.

The SASB Standards Board Advisor Group also recommended that the ISSB ratify related updates to the SASB Standards Taxonomy to reflect these proposed amendments.

Ratifying the amended SASB Standards and the SASB Standards Taxonomy updates requires the same level of support from ISSB members as is required for any other standard (nine members in favour). An ISSB member may dissent from ratifying the updated SASB Standards. In that case, the dissent and the member’s reasons for doing so will be stated in the basis for conclusions.

Following ratification, the staff will finalise the amended SASB Standards to prepare for publication and update the SASB Standards Taxonomy.

ISSB discussion

The first question the ISSB was asked, related to the potential need for re-exposure. Considering the importance of the overall objective to support the application of IFRS S1, the approach to publish detailed marked-up revisions in the SASB Standards satisfied the ISSB members that the ISSB has complied with the applicable due process requirements and has undertaken sufficient consultation and analysis to publish the amended SASB Standards. The feedback received related to those marked-up revision documents did also not reveal any significant need for changes, as it primarily reflected editorial comments. Therefore, the ISSB decided that re-exposure was not necessary (all ISSB members agreed).

Some comments received were related to future research and were considered not to be in scope of this project. However, it was emphasised that they are important to consider as part of the ISSB consultation on agenda priorities. In this context, it was also emphasised that future amendments of the SASB Standards will follow the regular due process for maintenance and enhancements of IFRS standards.

ISSB decision

The ISSB decided to ratify the proposed amendments to the SASB Standards (all ISSB members agreed). The accompanying basis for conclusions was considered as a very good and helpful substantive document to illustrate the use of the methodology for enhancing the international applicability of the SASB Standards. In addition, the ISSB decided to make related updates to the SASB Standards Taxonomy (all ISSB members agreed).  

As recommended, the staff will finalise the amended SASB Standards to prepare for publication and update the SASB Standards Taxonomy until the end of 2023.

Even though the updated SASB Standards will be effective for annual reporting periods beginning on or after 1 January 2025, the ISSB emphasised that early application is permitted and even encouraged entities to apply the updated SASB Standards earlier if possible.

Draft: Basis for Conclusions on Enhancing the International Applicability of the SASB Standards (Agenda Paper 8B)

This paper provides a summary of the process proposed in the exposure draft Methodology for Enhancing the International Applicability of the SASB Standards and SASB Standards Taxonomy Updates, including the amendments to the SASB Standards made based on the applied methodology.

There was no discussion on this paper.