ISSB Issues Targeted Amendments to IFRS S2 Climate-related Disclosures

Posted 05 January 2026 Written by Acts Online
Category Sustainability Reporting

Brought to you by SA Accounting Academy: The International Sustainability Standards Board (ISSB) has issued targeted amendments to IFRS S2 Climate-related Disclosures to refine greenhouse gas (GHG) emissions reporting requirements and support implementation.

The amendments to IFRS S2 provide specific reliefs and clarifications for entities experiencing challenges in applying the Standard. These changes are intended to maintain the quality of investor-focused information while minimising disruption for jurisdictions currently adopting or using ISSB Standards. The ISSB has also issued consequential amendments to align financed emissions metrics within three SASB Standards with the updated IFRS S2 requirements.

Key aspects of the amendments include:

  • Reliefs for disclosing greenhouse gas emissions where specific implementation challenges were identified;
  • Clarifications on the application of the Standard to ensure consistent global reporting; and
  • Alignment of financed emissions metrics for financial institutions across relevant SASB frameworks.

The amendments are effective for annual reporting periods beginning on or after 1 January 2027. Early application is permitted, provided that the entity also applies IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and the remainder of IFRS S2.

Click here to download the 33-page Amendments to IFRS S2 document.

Click here to view the Targeted amendments to IFRS S2—At a glance summary.

What this means for you, your business, or your clients

  • For yourself: You must update your technical knowledge of the specific GHG disclosure reliefs to provide accurate compliance advice on reporting timelines and early adoption options.
  • For your business: Audit and advisory firms should update their sustainability assurance methodologies and internal training programs to reflect the 2027 effective date and the revised financed emissions metrics.
  • For your clients: Entities reporting under IFRS S2 can utilize these targeted reliefs to reduce the complexity and cost of GHG emissions data collection and reporting during the transition period.

Originally published at https://accountingacademy.co.za/news/read/issb-targeted-amendments-to-ifrs-s2

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