SOCPA Comments on Proposed Ethics Standards Updates for Sustainability Assurance

The International Ethics Standards Board for Accountants (IESBA) has published an exposure draft proposing updates to the International Code of Ethics for Professional Accountants. The Board proposes adding Part 5 to cover requirements for compliance with ethics and independence standards for sustainability assurance engagements and reporting. This initiative responds to the global transformation and increasing stakeholder demand for sustainability-related information. The exposure draft aims to enhance the transparency, relevance and reliability of disclosed information relating to sustainability matters.

SOCPA, through its Ethics Committee, welcomes this initiative that strengthens compliance with relevant ethical principles ensuring enhanced transparency and reliability of sustainability reports.  SOCPA has drawn IESBA's attention to several significant matters, including risks of using generic/neutral language (encompassing all practitioners, not just professional accountants), clarity of sustainability information concept given the diversity and variations in sustainability reporting frameworks, and risks of extending the Code to practitioners not subject to regulation by professional accounting bodies responsible for adopting and monitoring the International Code of Ethics implementation.

 

To view SOCPA's detailed comments, clickhere