Sustainability Reporting Is Changing. This is What You Need To Know
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You see “SASB metrics” in integrated reports and hear them mentioned alongside IFRS S2. Here is the short version of what they are and what is changing.
What Is SASB?
The Sustainability Accounting Standards Board (SASB) is a set of 77 industry-specific sustainability reporting Standards. Each Standard identifies:
The sustainability topics most likely to affect a company financially; and
The metrics investors can use to compare companies in the same industry.
A mining company, bank, retailer, or power utility will each have different sustainability risks and disclosure metrics.
In 2022, the SASB Standards became part of the IFRS Foundation following the consolidation of the Value Reporting Foundation into the IFRS Foundation. They are now maintained by the International Sustainability Standards Board (ISSB).
How Does SASB Relate to IFRS S2?
IFRS S2 is the ISSB’s climate disclosure standard issued in 2023. It contains:
general disclosure requirements; and
industry-based guidance built largely from the SASB Standards.
Companies applying IFRS S1 must refer to and consider the applicability of the SASB Standards when identifying sustainability-related disclosures. In simple terms, SASB provides the industry-level detail behind the ISSB sustainability framework.
What Changes Are Proposed?
On 26 March 2026, the ISSB published an exposure draft proposing updates to three SASB Standards and the matching IFRS S2 industry guidance:
Electric Utilities and Power Generators
Agricultural Products
Meat, Poultry and Dairy.
The proposals mainly:
Align terminology with IFRS S1 and S2,
Reduce duplication,
Update climate metrics, and
Remove US-specific references to improve international use.
The amendments are part of the ISSB’s Phase 1 SASB improvement project.
What This Means for Companies
For affected industries, the changes are expected to be refinements rather than a complete rewrite of existing metrics.
Companies such as Eskom, agribusinesses, and food producers such as Astral Foods and RCL Foods may eventually need to update sustainability reporting templates and disclosures to align with the revised guidance.
For most South African accountants and smaller firms, the impact is currently limited. However, understanding the link between SASB and IFRS S2 helps practitioners interpret integrated reports and monitor the direction of sustainability reporting as voluntary ISSB adoption grows.
Want to Follow It Further?
The ISSB’s exposure draft, webinar recordings, and supporting materials are available on the IFRS Foundation project page:
IFRS Foundation SASB enhancement project page. The public comment period closes on 24 July 2026.