EMA is broadly defined to be the identification, collection, analysis, and use of two types of information for internal decision making:

• physical information on the use, flows and destinies of energy, water, and materials (including wastes) and
• monetary information on environment-related costs, earnings, and savings.

Although the guidance is aimed primarily at professional accountants within organisations, it will also be of interest to professional accountants and auditors who are becoming more involved in tracking or verifying environment-related information in financial and other reports. The International Guidance Document on Environmental Management Accounting may be downloaded from IFAC's Online Bookstore (there's no charge, but you must register). Click for Press Release (PDF 65k).

The Australian Accounting Standards Board (AASB) is expected to adopt the Australian equivalent as AASB 7 in early September 2005. Alert 2005-11 notes that "IFRS 7 is likely to be adopted by the AASB without significant modification." The Alert provides an overview of the requirements of the standard. Links to all past Alerts are Here.

The IPSASB develops standards for accounting and financial reporting by national, regional and local governments and related governmental agencies. Those standards are generally based on IFRSs, and profit-oriented government business enterprises are required to comply directly with IFRSs. We have posted the August 2005 issue of IPSASB Update. The newsletter reports the decisions made at the IPSASB's July 2005 meeting and includes a review of the IPSASB's current work programme. Click:

• Download IPSASB Update August 2005 (PDF 115k)
• More Information about the IPSASB, including links for downloading all earlier editions of the Public Sector Update newsletter.

The standard applies to the following entities for financial statements covering a period beginning on or after 1 January 2005, with earlier application is permitted:

• Hong Kong companies that prepare financial statements under section 141D of the Companies Ordinance. These are private companies where all owners agree to apply that section, and
• Overseas incorporated entities that do not have public accountability and qualify on the basis of size thresholds given in the Standard.

The new standard is effective for qualifying entities with financial statements covering a period beginning on or after 1 January 2005. Earlier application is permitted. The IASB is working toward developing separate Accounting Standards for SMEs.

The meeting is open to public observation (see IASB Website). The agenda for that meeting is noted below.

IASB Meeting with World Standard Setters26-27 September 2005, London

Monday 26 September 2005 Morning IASB timetable IFRIC (including role of IFRIC and review of operations) Conceptual Framework Introduction Break-out Discussions Feedback Afternoon Keynote speaker Accounting Standards for Small and Medium-sized Entities Introduction Break-out Discussions Feedback Tuesday 27 September 2005 Morning Memorandum of Understanding - National standard setters and the IASB Non-financial Liabilities Introduction Break-out Discussions Feedback Afternoon General round-table discussion of challenges and opportunities facing jurisdictions as they adopt/converge with IFRSs

We have updated our IASB Project Timetable to reflect recent pronouncements and other publications by the IASB and discussions at recent Board meetings.

The International Financial Reporting Interpretations Committee (IFRIC) will meet at the IASB's offices in London on Thursday and Friday, 1-2 September 2005. The agenda for the meeting is set out below.

1-2 September 2005, London Thursday 1 September 2005 (14:00-17:30pm) Administrative matters Minutes of the August 2005 IFRIC meeting August IFRIC Update Service Concessions IFRIC D12, D13, D14 Scope Double recognition of revenue Revisit of issues from August meeting Friday 2 September 2005 (09:00-10:45am) IAS 19 Employee Benefits – Minimum Funding Requirements and the Asset Ceiling Tabling from July Agenda Committee of wording for issues proposed for rejection

The sixteenth session was run on Thursday 18 August 2005 and focused on the IASB's Business Combinations Phase II proposals and on recent IFRIC activity. To access the recording Click Here. The recording is no longer available online.

If you find the discussions of embedded derivatives, the modified-grant-date method, and service concession arrangements on IAS Plus somewhat lacking in humour, you may want to seek a respite at Extreme Accounting.

The standard:

• Adds certain new disclosures about financial instruments to those currently required by IAS 32
• Replaces the disclosures now required by IAS 30;
• Puts all of those financial instruments disclosures together in a new combined standard. The remaining parts of IAS 32, which will be renamed Financial Instruments: Presentation, deal only with presentation matters, including classifying instruments as debt or equity, compound financial instruments, offsetting, and treasury shares.

Under IFRS 7, an entity must group its financial instruments into classes of similar instruments and, when disclosures are required, make the disclosures by class. The two main categories of disclosures required by IFRS 7 are:

• Information about the significance of financial instruments
• Information about the nature and extent of risks arising from financial instruments.