January 3, 2025

EFRAG ESRS Q&A Platform: Compilation of Explanations – December 2024

EFRAG announced the release of new Explanations addressing five environmental questions, bringing the total number of answered questions to 162. The December 2024 batch includes key Explanations on topics like climate change mitigation and adaptation targets, as well as biodiversity and ecosystems. These updates are particularly relevant to specific sectors, offering valuable insights for those…

EFRAG Releases 23 New Explanations to Support ESRS Implementation

EFRAG has announced the release of 23 new explanations to be added to its Compilation of Technical Explanations, bringing the total to 93 entries. These updates are designed to assist stakeholders in the effective implementation of the European Sustainability Reporting Standards (ESRS) via the EFRAG ESRS Q&A Platform.   Key Updates There are now 93…

EFRAG Seeks Comments on its Draft Endorsement Advice on Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7

EFRAG has published its Draft Endorsement Advice (DEA) on Contracts Referencing Nature-dependent Electricity, which includes proposed amendments to IFRS 9 and IFRS 7. Stakeholders are invited to submit their comments by 13 January 2025.   Objective of the Amendments The objective of the Amendments is to better reflect the impact of physical and virtual nature-dependent…

EFRAG’s Draft Comment Letter on the IASB ED Provisions—Targeted Improvements

EFRAG has published its Draft Comment Letter (DCL) on the IASB’s Exposure Draft IASB/ED/2024/8 on Provisions—Targeted Improvements (proposed amendments to IAS 37). The consultation period for the DCL is open until 25 February 2025. EFRAG’s DCL outlines its preliminary views on the proposed amendments and asks constituents to provide feedback on key aspects before finalizing…

EFRAG Survey for Preparers of Financial Statements of Rate-regulated Entities

EFRAG is conducting a survey aimed at preparers of financial statements for European entities that may be impacted by the upcoming IASB Standard on Regulatory Assets and Regulatory Liabilities (IFRS X). The final standard is expected to be published in the second half of 2025.    Background of the Survey In July 2024, the IASB…

Call to Join EFRAG´s Renewed Rate-regulated Activities Working Group

EFRAG is extending its search for members to join the Rate-regulated Activities Working Group (EFRAG RRAWG). This group plays a key role in supporting the endorsement process for the upcoming IFRS Accounting Standard on regulatory assets and liabilities, expected in late 2025.   Work of the EFRAG Rate-regulated Activities Working Group Provide specialist accounting expertise…

EFRAG Submitted its Endorsement Advice on Annual Improvements to IFRS Accounting Standards – Volume 11

EFRAG completed its due process and submitted its Endorsement Advice to the European Commission concerning the Annual Improvements to IFRS Accounting Standards—Volume 11.   Overview of the Amendments The Amendments provide limited changes that either clarify the wording in the amended IFRS Accounting Standards or correct relatively minor unintended consequences, oversights or conflicts between the…

EFRAG’s Updated ESRS Q&A Platform: 157 Explanations

EFRAG has updated its Compilation of Technical Explanations for the European Sustainability Reporting Standards (ESRS), now including 64 new explanations. This brings the total to 157 explanations, offering comprehensive support for stakeholders implementing the ESRS.   Key Highlights Mapping of Sustainability Matters: Explanation ID 177 links sustainability matters in paragraph AR 16 of ESRS 1…

Call: EFRAG Survey on IFRS 19 Reduced Disclosures

EFRAG has launched a survey to gather views on the voluntary application of IFRS 19 Subsidiaries without Public Accountability: Disclosures. This standard allows eligible subsidiaries to prepare financial statements with reduced disclosure requirements under IFRS.   The insights will help EFRAG evaluate: The costs and benefits of applying IFRS 19. Whether the standard aligns with…

EFRAG released the Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME)

At the European Commission’s request, EFRAG delivered its Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME). This technical advice aims to provide a simplified, proportionate framework for SMEs not covered by the Corporate Sustainability Reporting Directive (CSRD), helping them access sustainable finance and monitor their sustainability performance.   Development Process Public Consultation: Conducted from January…