To implement the International Sustainability Standards Board’s (ISSB’s) standards and jurisdictional standards and regulatory requirements, organisations must ensure effective oversight arrangements to deliver high quality, cost effective and decision useful reporting, says the International Federation of Accountants (IFAC).
Because many professional accountants serve on and are accountable to audit committees, the International Federation of Accountants (IFAC), has released Key Questions for Audit Committees Overseeing Sustainability-Related Disclosure to prepare audit committees with effective questions to ask when overseeing sustainability and ESG related disclosures.
The key questions for audit committees cover:
- Roles and responsibilities across the organisation
- Data collection, processes and controls
- What’s being reported?
- Audit and assurance
IFAC CEO Kevin Dancey said: “Professional accountants serving on boards and audit committees play critical roles in the oversight of sustainability-related disclosures, and this release will help prepare audit committees step up their roles to advance sustainability. We also encourage professional accountancy organisations (PAOs) to utilise these key questions to help their members stay up to date with, and prepare for, expanding oversight responsibilities in relation to sustainability.”