ISSB Initiates Extensive Overhaul of SASB Standards for Enhanced Climate and Sector Coordination
The International Sustainability Standards Board (ISSB) has announced significant updates to the Sustainability Accounting Standards Board (SASB) Standards, aiming to enhance industry-specific sustainability reporting guidance. The proposed changes focus on nine priority industries, including extractive sectors such as oil and gas, metals and mining, construction materials, and coal operations, as well as the Processed Foods standard within the Food & Beverage sector.
Beyond these nine industries, targeted amendments will be applied to 41 other industries on topics like Water Management and Workforce Health & Safety, ensuring better alignment and consistency across sectors. The ISSB will also amend the Industry-based Guidance on Implementing IFRS S2 to maintain alignment with climate-related disclosures in the SASB Standards.
The effective date for the amendments is tentatively set for 12 to 18 months after issuance, with early application permitted. Additional exposure drafts for further industries, such as Electric Utilities & Power Generators and Food & Beverage sub-sectors, are expected later in 2025.
Stakeholders worldwide are invited to comment on SASB metrics related to climate, nature, and human capital by 30 November 2025. The ISSB has published exposure drafts of the proposed amendments, opening them for public comment until the same date. Stakeholders can submit their responses through direct submissions of comments on the exposure drafts or a structured survey that mirrors the questions in the exposure drafts.
The ISSB's enhancements, outlined in the 2024-2026 work plan, aim to ensure global relevance and alignment by collaborating with major frameworks including the Global Reporting Initiative (GRI), the European Financial Reporting Advisory Group (EFRAG), and the Taskforce on Nature-related Financial Disclosures (TNFD). The updates will also benefit companies that use SASB Standards voluntarily.
The ISSB encourages stakeholders to review metrics tied to key sustainability areas, including Greenhouse Gas Emissions, Energy Management, Labour Practices, and Workforce Health & Safety, and submit feedback via the newly launched online survey. The feedback period ends on 30 November 2025. The ISSB plans to finalize the enhanced SASB Standards in 2026 after carefully reviewing the stakeholder feedback received during the comment period.
The enhancements made by the International Sustainability Standards Board (ISSB) will not only affect the nine priority industries but also extend to 41 other sectors, focusing on topics like Water Management and Workforce Health & Safety. In addition, the ISSB will amend the Industry-based Guidance on Implementing IFRS S2 to maintain alignment with climate-related disclosures in the SASB Standards, encompassing areas such as Finance, Business, Technology, and various other industries.
