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IPSASB Confirms Its Role in Advancing Public Sector Sustainability Reporting


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The threats to the world and its citizens from climate change are well publicized. Yet, despite significant government influence over the global economy, there is no internationally recognized public sector reporting framework to guide how they measure and report their critical contributions to addressing the global climate emergency. Reporting on climate change is one of the most important issues in sustainability reporting, which also encompasses environmental, social and governance issues.

At its December meeting, in light of the urgency of this issue, the International Public Sector Accounting Standards Board (IPSASB) decided to commence the scoping of three potential public sector specific sustainability reporting projects pending securing the resources needed to begin guidance development. This decision builds on IPSASB’s 25 years of public sector standard setting experience as well as the strong global stakeholder support for the proposals in its Consultation Paper, Advancing Public Sector Sustainability Reporting.

“Public sector-specific sustainability reporting guidance would encourage transparency, allowing governments to be held accountable for the long-term impacts of their interventions, and enabling better-informed decision-making,” said Ian Carruthers, IPSASB Chair. “The feedback we’ve received from stakeholders around the world is clear: the public sector needs its own specific sustainability reporting framework and the IPSASB should lead its development. But in addition to our existing expertise, it is a fact that we will need additional support, both financial and otherwise, from the global community before we can take on the development of global guidance that would equip the public sector with the tools necessary to report on climate change and other sustainability issues.”

The IPSASB’s immediate action will be to establish a Sustainability Task Force to lead this first critical phase of research and scoping. The Board’s prioritized research topics are:

  • General Requirements for Disclosure of Sustainability-related Financial Information,
  • Climate-Related Disclosures, and
  • Natural Resources – Non-Financial Disclosures (in parallel with the development of financial reporting guidance proposed in its Consultation Paper, Natural Resources).

Resources are needed to support the IPSASB’s program of activity and stakeholder engagement, and to begin guidance development. To contribute financial or other support to the IPSASB for the development of global public sector specific sustainability reporting guidance, please email Ross Smith, IPSASB Program and Technical Director (rosssmith@ipsasb.org) or James Gunn, Managing Director, Professional Standards (jamesgunn@profstds.org).

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