The PRI has prepared a draft response to the International Public Sector Accounting Standards Board (IPSASB) consultation on its inaugural climate reporting standard for public sector entities, designed to improve and standardise this reporting across jurisdictions and reporting cycles.

The proposed requirements focus on climate-related risks and opportunities to entities’ own operations, and on climate-related public policy programs and their outcomes, that are useful for investors and other primary users of general-purpose financial reports. They build on the reporting standards of the IFRS Foundation’s International Sustainability Standards Board (ISSB).

Our draft response supports the proposed standard, which if adopted will help to meet investor demand for consistent and high-quality climate data from public sector entities. It also recommends targeted clarifications and extensions to the scope of the standard, and a list of further metrics that entities should consider reporting. We believe these changes would provide investors with a more complete picture of the climate-related risks, opportunities and impacts associated with their investments.

IPSASB is consulting on these proposals until 28 February 2025. We would be grateful for feedback by 26 February 2025 to inform our submission.