CHARTERED accountants' apex body ICAI will set up a Sustainability Accounting Standards Board to help companies in achieving sustainable development goals. ICAI President Atul Kumar Gupta on Thursday said the board would be launched on Friday and discussions would be held with stakeholders to take the process forward.
With the proposed standards, there would be disclosure requirements for companies in terms of "sustainability part" or sustainable development goals of the United Nations (UN). “We will be developing reporting requirements for companies to comply with. There will be columns in the balance sheet where you have to report,” Gupta said, adding that the institute will seek guidance from the Corporate Affairs Ministry in this regard.
The board, which would be part of ICAI, would take a month or so to stabilise. It would be a "coordinated and unified" exercise, he added. An ICAI member said the board would carry out research work as well as come out with details about sustainability reporting and its aspects. Once the board develops some kind of reporting requirements, the same would be sent to the IFRS Foundation. International Financial Reporting Standards (IFRS) are set by the International Financial Reporting Standards Foundation’s standard-setting body. The International Accounting Standards Board.
In September 2015, the UN General Assembly adopted the 2030 Agenda for Sustainable Development, that includes 17 Sustainable Development Goals (SDGs) Gupta, who took over as the President on Wednesday, also said efforts are continuing to strengthen the institute's disciplinary mechanism, including faster disposal of disciplinary cases. The Institute of Chartered Accountants of India (ICAI) has more than 3 lakh members.