Sustainability reporting is becoming broader and more detailed. Many organisations now report information on energy, water, waste, climate-related risks, workforce data and governance, alongside greenhouse gas emissions.
As disclosures expand, stakeholders increasingly want confidence that the information is reliable. Assurance provides independent scrutiny of sustainability information and helps organisations demonstrate that their reporting is supported by appropriate evidence and processes.
This is where the International Standard on Sustainability Assurance 5000, or ISSA 5000, comes in. It provides a global standard for assuring a wide range of sustainability information, helping organisations build confidence in their disclosures.
Is ISSA 5000 limited to greenhouse gas emissions?
No, ISSA 5000 is designed to apply across sustainability topics and is not limited to greenhouse gas statements.
Depending on what you report and why you are seeking assurance, you may be able to assure a wide range of environmental, social and governance (ESG) information.
However, not all sustainability disclosures will be ready for assurance. Before seeking assurance, you need clear reporting processes, defined responsibilities and evidence that supports the information you disclose. Without these foundations, assurance can become more time-consuming and costly.
Does assurance need to cover the whole sustainability report?
No, an assurance engagement can be limited to a single metric, a defined group of indicators, a particular sustainability topic or selected disclosures within a wider report. Where reporting systems and controls are sufficiently developed, the scope may extend to a more substantial part of the sustainability information.
For example, an organisation could initially obtain assurance over its Scope 1 and Scope 2 emissions and subsequently expand the scope to include selected Scope 3 categories, energy consumption or other sustainability indicators.
The assurance statement should clearly identify the information included within the engagement so that users understand what has, and has not, been subject to assurance.
Which sustainability reporting frameworks can support assurance?
ISSA 5000 is framework-neutral. It can be applied to sustainability information prepared under different reporting frameworks, provided that the criteria used are suitable for the engagement.
These may include the IFRS Sustainability Disclosure Standards, the GRI Standards, the European Sustainability Reporting Standards, regulatory reporting requirements or suitable criteria developed by the organisation.
The reporting framework remains important because it establishes how the information should be measured, assessed and presented. ISSA 5000 provides the requirements for how assurance is performed over that information.
How should organisations determine the assurance scope?
The appropriate scope will depend on the organisation’s reporting obligations, stakeholder expectations, data maturity and reasons for seeking assurance.
Organisations should consider which disclosures are most significant to users, whether assurance is required by regulation or contractual arrangements, and whether sufficient evidence is available to support the information.
It is also important to assess whether the underlying methodologies, responsibilities, review processes and controls are sufficiently established. Expanding the scope before these arrangements are ready may create avoidable delays and additional work during the engagement.
“Many organisations adopt a phased approach to assurance, beginning with established quantitative information and broadening the scope as their sustainability reporting processes and controls mature.”
Jose Hopkins, Chartered Accountant and Senior Sustainability Consultant at Acclaro Advisory
How Acclaro can help
Preparing for assurance can raise practical questions. Which disclosures are ready for assurance? What evidence will an assurance provider expect? And where are the gaps in your reporting processes and controls? We help organisations answer these questions before assurance begins, reducing surprises later in the process. Our assurance solutions include:
- Pre-assurance readiness: Identify gaps in your reporting processes, evidence, governance and internal controls before assurance begins.
- Independent limited assurance: Deliver independent limited assurance over greenhouse gas emissions and other sustainability information in accordance with the applicable assurance standards.
- Post-assurance improvement: Provide practical recommendations to strengthen reporting processes, improve data quality and enhance assurance readiness for future reporting cycles.
If you’d like to discuss how ISSA 5000 could affect your organisation or your next assurance engagement, we’d be pleased to help.
