SOCPA Expresses Its Views on Tentative Agenda Decision of IFRS Interpretations Committee Regarding the Accounting Treatment of Economic Benefits from The Use of Wind Power Plants
Represented by the Accounting Standards Committee, SOCPA expressed its comments on the tentative decision of the IFRS interpretation committee regarding contracts relating to price swapping of wind-generated power, and whether such contracts contain a lease according to IFRS 16.
SOCPA concurred with the Committee's conclusion that the question at hand does not contain a lease contract, but rather a price swap contract of a variable price with a fixed one.
To see the tentative decision,
Click here.
For SOCPA's comments,
Click here.