Renewable Resources & Alternative Energy, Resource Transformation
Business Model & Innovation, Risk
Exposure Draft Development
Standard Setting Project to consider modifying the Chemicals and Pulp & Paper Products industry standards to incorporate risks and opportunities associated with single use plastics and bio-alternatives.
Intensifying focus on the externalities of plastics use has contributed to an escalating regulatory environment and shifting customer demand for packaging. These risks and opportunities do not appear to be fully captured in the existing Pulp & Paper and Chemicals standards, but there is reason to believe they could be deemed financially material.
- Phase 1 - Initial Research
- Phase 2 - Stakeholder Consultation
- Phase 3 - Post-Consultation Analysis
- Phase 4 - Exposure Draft Development
- Phase 5 - Public Comment Period
- Phase 6 - Public Comment Analysis
- Phase 7 - Completed
Exposure Draft Development
Expectation is to present an Exposure Draft of proposed changes for public comment in early 2021.
Published Documents & Supplemental Materials
There are no published documents or drafts at this time.
- SASB to Explore Risks and Opportunities Related to Plastics Use, December 2019, online blog
- Briefing Document, August 2020, PDF
Board Materials & Decisions
Board Meeting Outcomes
- Staff presented an update to the Board on the project as it relates to both the Chemicals and Pulp & Paper Industries. The focus was on key issues where staff sought Board input to help guide next steps in the standard-setting process.
- Chemicals industry: The Board supported the staff recommendation to incorporate the management of single-use plastics and bio-alternatives into the Chemicals Industry Standard as a distinct, stand-alone topic rather than modifying the existing Product Design for Use-Phase Efficiency topic. Staff communicated its intent to proceed towards development of an exposure draft, with general support from the Board.
- Pulp & Paper: Board members expressed varying views, but generally supported the staff recommendation to form a recommendation on the merging the Pulp & Paper and Containers & Packaging Standards before proceeding to develop an exposure draft related to the issue of single-use plastics and bio-alternatives.
- The Board approved a standard-setting project to consider modifying the Chemicals and Pulp & Paper Products standards to incorporate risks and opportunities associated with single-use plastics and bio-alternatives.
- The intent of the project is to evaluate adding a topic and supporting metrics that reflect an issuer’s ability to manage risks and identify opportunities associated with the changing landscape around single-use plastics.
- The current stage of the project is expected to result in presentation of an Exposure Draft of proposed changes for public comment.
- The Board discussed a new research project on Plastics Risks and Opportunities in Pulp & Paper Products and Chemicals Industries.
- The intent of this research will be to assess investor interest in risks and opportunities associated with plastics use in the two industries.
- The project will result in a staff recommendation on whether to proceed to standard-setting.
For a full list of past and upcoming Standards Board meetings, as well as associated materials, please visit our Board Meetings Calendar & Archive.
The staff has prepared this summary for informational purposes only. Any Standards Board decisions are tentative and do not change current accounting. Official positions of SASB are determined only after extensive due process and deliberations.