(I.e. Notable changes:
Allows exclusion of some Scope 3 emission sources:
Financial institutions exempt from reporting emissions related to derivative products, facilitated emissions , and insurance related emissions.Only financed emissions reporting is required, does not need to cover all financial activities in the value chain.
Disclosure requirement for financial activity volume excluded, to help investors assess the scale of unreported emissions.
Relaxation of GICS separation requirements (Global Industry Classification Standard) for commercial banks and insurance companies in some cases.
Allows the use of GWP (Global Warming Potential) factor differ from the IPCC standard if required by local law, and be more explicit about using emissions measurement methods other than the GHG Protocol where locally justified.
🧭 Context and objectives of adjustment
The ISSB – established in November 11 at COP2021 – is tasked with developing IFRS sustainability reporting standards to provide high quality information to investors. IFRS S1 and S2 issued from June 6 and More than 35 countries are in the process of adopting it..
The new ISSB proposals do not aim to reduce emissions disclosure obligations, but rather to:
✅ Reduce practical difficulties in the early stages of implementation
✅ Increase the applicability of standards
✅ Maintain usefulness for investors when using information
🗣️ Statement from ISSB
Mrs. Sue Lloyd, Vice President of ISSB, shared:
“The role of a responsible standard setter is to listen to market feedback early in implementation. We propose targeted adjustments that support businesses without disrupting the flow of essential information to investors.”
📅 Next route
Exposure Draft has been released
Deadline for comments: June 27, 6