SASB - Sustainability Accounting Standards Board standards · Climate Dictionary

The Sustainability Accounting Standards Board (SASB) is a non-profit organization that develops industry-specific sustainability standards for publicly traded companies. These standards are designed to help companies disclose their sustainability performance in a consistent and comparable manner, enabling investors to make more informed decisions. The SASB standards are organized by industry and cover a range of sustainability topics relevant to investor decision-making.

Importance of SASB Standards

By reporting using SASB's industry-specific standards, companies can provide investors and other capital markets participants with a complete view of financially-material sustainability risks and opportunities. This allows improved modeling, benchmarking and decision making. SASB Standards are designed to improve the quality and comparability of sustainability disclosure.

Industry-Specific Focus

A key aspect of SASB Standards is that they are tailored to the specific sustainability risks and opportunities for different industries and sectors. Some examples:

Technology & Communications: Environmental footprint, data privacy
Transportation: Emissions, safety, labor practices
Financials: Systemic risk management, integration of ESG factors
Health Care: Energy/water management, affordability & pricing

Investor Use of SASB Standards

Top institutional investors use SASB Standards to improve their ability to evaluate sustainability issues for potential investments. Companies using SASB Standards provide comparable, consistent and reliable data on the sustainability factors most likely to have material impacts on enterprise value.

References

SASB Standards overview - IFRS Foundation — IFRS SASB Standards enable organisations to provide industry-based disclosures about sustainability-related risks and opportunities that could reasonably be expected to affect the entity’s cash flows, access to finance or cost of capital over the short, medium or long term. SASB Stand…
The Sustainability Accounting Standards Board (SASB) — Climate Disclosure Standards Board (CDSB) SASB developed sector-specific Key Performance Indicators (KPIs) for sustainability, which complement the CDSB Framework’s principles on reporting environmental information in the mainstream corporate report.
Sustainability Accounting Standards Board — Wikipedia SASB standards are used by companies around the world in a variety of disclosure channels, including their annual reports, financial filings, company websites, sustainability reports, and more.