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Improving financial reporting for issuers engaging in carbon allowance programmes

mardi 08 octobre 2024 ESMA Visiter le site source

The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, is today releasing a Public Statement on accounting for carbon allowances in the financial statements.

ESMA takes stock of the different accounting approaches in the financial statements of European listed issuers regarding compliance market carbon allowances – specifically emission allowances, rights and permits, such as the EU Emissions Trading System.

The Public Statement highlights IFRS Accounting Standards observed in practice that can be used to account for carbon allowances in their financial reporting. In addition, it provides disclosure recommendations to enhance connectivity and decision usefulness for users by promoting transparency of the information included in the financial statements with respect to carbon allowances (of compliance and voluntary markets), in which an issuer is engaged.