Technical Specification for Impact Statements
Canada Takes a Giant Step Forward in Sustainable Reporting
Introducing the new “Technical Specification for Impact Statements” at the Sustainable Finance Summit
TORONTO, Canada, September 6, 2023 – Social Value Canada (SVC), the Digital Governance Standards Institute (DGSI), and the Canadian Lenders Association (CLA) announce the release of the first “Technical Specification (TS) for Impact Statements for profit-oriented entities (DGSI/TS 122)” during the Sustainable Finance Summit. This joint initiative introduces a ground-breaking TS applicable to all corporations which outlines comprehensive requirements and guidelines for the presentation of impact statements (i.e. non-financial reporting).
A technical specification aligned with international best practices and methodologies
Supported by the Standards Council of Canada and developed by a technical committee of leading Canadian experts in sustainable finance, impact measurement, and reporting, the technical specification is aligned with international standards and norms in the field of non-financial reporting. The impact statement is designed to foster objectivity and relevance in reporting, with reference to the double materiality approach (a fundamental principle of European regulations), the Impact Management Project norms hosted by Impact Frontier, the UN Sustainable Development Goals (SDGs) and the SDG Impact Standards, the Social Value International Principles, the SFDR and CSRD regulations, and Draft Canadian Sustainable Finance Taxonomy.
The technical specification also adapted these international standards to the Canadian market and reality, notably through reference to the UN Declaration on the Rights of Indigenous Peoples (UN DRIP) to better ensure the inclusion of the perspectives of Indigenous Peoples.
Fulfilling Canada’s Needs
Providing a clear structure for transparent and high-quality impact statements that avoids greenwashing and ensures relevant data, the TS establishes the impact statement as a cornerstone of Canada’s non-financial reporting for listed and private companies, joining the international conversation on sustainability reporting.
“This giant step towards corporations’ sustainable accountability is also the very first step towards a transition plan and the generation of more positive impacts. This pioneering initiative will not only help the Canadian financial sector’s sustainable transformation, but its entire economy. And this is only the first step,” explains Paul Allard, CEO of impak Analytics, a Lead Expert on the Technical Committee.
Gary Schwartz, President of the CLA which hosts both the Sustainable Finance Summit and the Sustainable Finance Roundtable added, “We are excited to help launch the Technical Specification for Impact Statements at the Summit. The attendee banks and FinTechs will certainly benefit from this new non-financial reporting standard. We look forward to advancing the adoption of this standard to our 300-strong member community.”
As Canada strives to achieve the UN Sustainable Development Goals by 2030, the “DGSI/TS 122 Impact statements for profit-oriented entities” has the double advantage of being a great opportunity for Canadian corporations to step up to the SDGs and account for their impact on people and the planet, while establishing Canada as an international leader in non-financial reporting. Through this initiative, SCC, SVC and DGSI are proud to support Canada’s social and environmental transition for all economical participants.
About Social Value Canada
Social Value Canada is Canada’s professional network for social value and maximizing impact. As part of a global movement transforming how the world captures and assigns value in decision-making, the network extends across all sectors of the Canadian economy and throughout Canadian society.
About Digital Governance Standards Institute
The Digital Governance Standards Institute (DGSI) develops digital technology governance standards fit for global use. The Institute works with experts, as well as national and global partners, and the public to develop national standards that reduce risk to Canadians and Canadian organizations adopting and using innovative digital technologies in today’s digital economy.
About The Standards Council of Canada
The Standards Council of Canada (SCC) was created by the Government of Canada as a Crown corporation in 1970. SCC leads and facilitates the development and use of national and international standards and accreditation services in order to enhance Canada’s competitiveness and well-being.
About Canadian Lenders Association
The Canadian Lenders Association supports the growth of companies that are in the business of lending, or providing other means of credit, to small businesses and individuals by non-conventional or innovative means to exchange ideas and explore ways of improving the sector through collaboration, and to advocate on behalf of, and represent the interests of Innovative Lenders.