Updates on the draft climate disclosure standard for the public sector

Since the closure of the public consultation period, the IPSASB has been reviewing the feedback received. An important announcement was issued on 17 June 2025, highlighting the following points:

• The IPSASB acknowledged that the complexity of including different reporting perspectives in a single standard would not serve the needs of the public sector.
• As a result, the project will be divided into two distinct phases, as follows.

This phase will finalize the first-ever sustainability reporting standard tailored specifically for public sector entities. It will focus on how entities disclose climate-related risks and opportunities related to their own operations.¹  This standard is already in development.

A separate standard will be developed for public sector entities responsible for delivering climate-related public policy programs and reporting on their outcomes.²

This phased approach addresses the urgent need for guidance in the public sector, while affording organizations more time to work through the more complex reporting requirements raised by stakeholders.

The IPSASB plans to vote on the final pronouncement of the “Own operations” standard—its inaugural IPSASB SRS Standard—at its board meeting in December 2025. Once this standard is approved, the board will move on to considering feedback on the Public policy programs proposal, with the goal of finalizing the second standard by the end of 2026.

Both standards are intended to support governments and public sector entities in making informed climate-related decisions, while ensuring accountability and building public trust.

As work on these standards continues, entities that may be impacted—such as national standard-setters and other public sector bodies—are encouraged to monitor their development and assess the potential impact of these standards on their operations.