Independence Standards for Sustainability Assurance Engagements Outside the Scope of IESSA

The objective of the Project Team is to undertake fact-finding with a view to establishing a basis for a recommendation to the IESBA as to

(a)          Whether to undertake a project to develop independence standards for sustainability assurance engagements outside the scope                                of the International Independence Standards in the International Ethics Standards for Sustainability Assurance (IESSA); and

(b)          Whether the approach to such a project should be profession-agnostic.

Subject to there being a sufficient basis for undertaking a project, the Project Team will:

(a)          Identify options for the approach to developing such independence standards and their pros and cons from the point of view of                                  maximizing the adoption and implementation of those standards; and

(b)          Highlight questions of principle or judgment on which the IESBA’s direction is needed before commencing any such project.

PROJECT TEAM

• Szilvia Sramko
• Elaine Cahoon

BOARD ADVISORS

• Mark Babington
• Nancy Miller

IESBA March 2026 Meeting Highlights

The IESBA considered an update from the Project Team on its information-gathering activities relating to the landscape of sustainability assurance engagements (SAEs) outside the scope of the International Independence Standards (IIS) in the IESSA. In particular, the IESBA considered the following:

• There are challenges associated with limited data availability in an evolving sustainability assurance landscape.
• Within the available data, there is significant variation in practice across jurisdictions, including the extent to which Part 4B is currently applied and the types of engagements (e.g., voluntary engagements and those based on special-purpose frameworks) that may remain outside the scope of the IIS in the IESSA.

The Project Team will complete its information gathering activities in Q2 2026.

The IESBA will consider the Project Team’s final report and recommendations at its June 2026 meeting.