ISSB: Proposed Amendments to the SASB Standards and IFRS S2 Industry-based Guidance

---

ISSB: Proposed Amendments to the SASB Standards and IFRS S2 Industry-based Guidance

• 09 June 2026
• Miscellaneous
• South African Accounting Academy

Summary:

The Financial Intelligence Centre (FIC) has reminded certain accountable institutions, as defined in Directive 11 of 2026, to submit their 2026 Risk and Compliance Return (RCR) through its online platform (before the stated deadlines). 

Article:

This Exposure Draft includes proposed amendments to climate-related content in the SASB Standards that is also included in the IFRS S2 industry-based guidance. The ISSB proposes making consequential amendments to the IFRS S2 industry-based guidance to maintain alignment between the IFRS S2 industry-based guidance and the SASB Standards.

This Exposure Draft sets out proposed amendments to 3 SASB Standards that have been prioritised by the ISSB for comprehensive review:

1. the Agricultural Products SASB Standard;
2. the Meat, Poultry & Dairy SASB Standard; and
3. the Electric Utilities & Power Generators SASB Standard.

The proposed amendments are also intended to enhance the SASB Standards’ clarity, conciseness and cost-effectiveness for preparers.

The SASB Standards are an important source of guidance for entities applying IFRS S1. The Standards help entities develop decision-useful and comparable disclosures in the absence of specific IFRS Sustainability Disclosure Standards.

The Industry-based Guidance on Implementing IFRS S2 Climate-related Disclosures (IFRS S2 industry-based guidance) is derived from the SASB Standards. When the ISSB issued IFRS S2, it made amendments to the climate-related content in the SASB Standards to maintain alignment between the two sets of materials. The IFRS S2 industry-based guidance is therefore largely identical to the climate-related content in the SASB Standards.

Contents:

• Proposed Amendments to the Agricultural Products SASB Standard
• Proposed Amendments to the Meat, Poultry & Dairy SASB Standard
• Proposed Amendments to the Electric Utilities & Power Generators SASB Standard
• Proposed Consequential Amendments to the IFRS S2 Industry-Based Guidance arising from Proposed Amendments to the SASB Standards
• Approval by the ISSB of Exposure Draft Proposed Amendments to the SASB Standards and the IFRS S2 Industry-Based Guidance Published In March 2026
• Appendix A—Metrics in the IFRS S2 Industry-Based Guidance that the ISSB Proposes be subject to Consequential Amendments

Comments are due by 24 July 2026.

The ISSB proposes to set an effective date for the amendments to the SASB Standards and IFRS S2 industry-based guidance that will occur between 12 and 18 months after their issuance and to permit early application.

The ISSB will decide the effective date of the amendments after considering the feedback on the proposed amendments.

Access the 82-page Basis for Conclusions at https://www.ifrs.org/content/dam/ifrs/project/enhancing-sasb-standards-cont/sasb-ifrs-s2-ibg-bc-2026-1-proposed-amends.pdf 

Click here to download the 226-page Exposure Draft:

https://www.ifrs.org/content/dam/ifrs/project/enhancing-sasb-standards-cont/sasb-ifrs-s2-ibg-ed-2026-1-proposed-amends.pdf 

Relevance to Auditors, Independent Reviewers & Accountants:

• As an auditor and independent reviewer, your clients need to comply with IFRS and sustainability standards, as well as the relevant disclosure requirements – specifically regarding climate-related disclosures. This means that you need knowledge of the impact of amendments to IFRSs that are approved as well as when they become effective.
• Failure to adhere to International standards on Sustainability may be interpreted as con-compliance with a financial reporting framework, and may influence the opinion/conclusion expressed on the annual financial statements.
• As an auditor, compiler and independent reviewer, you should be aware of changes to existing IFRS sustainability standards issued by the standard-setting bodies, e.g. the IAASB, ISSB, etc.

Relevance to Your clients:

• Applies to any entity that is required, or chooses, to prepare general purpose financial statements.
• General purpose financial reporting encompasses—but is not restricted to—an entity’s general purpose financial statements and sustainability-related financial disclosures.
• Failure to adhere to International standards on Sustainability may be interpreted as con-compliance with a financial reporting framework, and may influence the opinion/conclusion expressed on the annual financial statements.
• Compilers of annual financial statements must have knowledge of the impact of amendments to IFRS and ISSB standards that are approved as well as when they become effective.

0 COMMENTS

LEAVE A COMMENT