IFRS Training (Levels 1 and 2) in Indonesia

Is Your Team Ready for 2027?

Training on IFRS S1 and S2 is becoming increasingly relevant for companies in Indonesia as the national sustainability disclosure standards move toward a clearer implementation phase. On July 1, 2025, the Sustainability Standards Board of the Institute of Indonesia Chartered Accountants (DSK-IAI) officially launched the Sustainability Disclosure Standards (SPK)—comprising PSPK 1 and PSPK 2—which are adopted from IFRS S1 and IFRS S2 issued by the International Sustainability Standards Board (ISSB). These standards will become mandatory starting January 1, 2027, for listed companies and large entities, positioning Indonesia as one of the 33 jurisdictions to implement this global sustainability reporting framework. For Indonesian companies, this timeline represents more than just a regulatory milestone; it is a deadline for establishing the necessary reporting infrastructure, governance structures, and human resource capabilities.

What Are IFRS S1 and S2, and Why Are They Important for Indonesia?

IFRS S1 (General Requirements for Disclosure of Sustainability-related Financial Information) establishes general requirements for the disclosure of sustainability-related risks and opportunities that are financially material to a company. This standard focuses on four key pillars: governance, strategy, risk management, and metrics and targets. Meanwhile, IFRS S2 (Climate-related Disclosures) specifically addresses the disclosure of climate-related risks and opportunities, including transition and physical impacts on a company’s business model and strategic resilience. These global standards are not merely an option; they are a strategic necessity! This is the moment to elevate the quality of your company’s sustainability reporting!

IFRS S1 and S2 training is crucial for corporate readiness in Indonesia

Many companies have already implemented energy efficiency programs, environmental management systems, or other sustainability initiatives. However, challenges often arise when companies need to address questions that require linking sustainability issues to business impacts—for example:
  • Can climate risks affect operating costs, supply chains, or investment decisions?
  • Energy and emissions data exist, but is it consistent, traceable, and ready for disclosure?
  • Who is responsible for the data, who reviews it, and how is its quality ensured?
This is where the right training can help—not merely by fostering an understanding of terminology, but by establishing work habits that make reporting more organized and ensure readiness when evidence is requested.

Three Preparation Phases: Understanding the IFRS S1 and S2 Roadmap

The Indonesian government has outlined three clear preparation stages leading up to full implementation: 2025: Outreach & Technical Guidance — This phase focuses on stakeholder education and the development of technical implementation guidelines, with adoption remaining voluntary. The IAI has also established the Indonesia Sustainability Reporting Forum (ISRF) as a collaborative platform for regulators, businesses, and stakeholders. 2026: Simulation & Systems — Companies are expected to practice report preparation, build integrated information systems, and test data quality. This is the optimal time to identify gaps and conduct evaluations. 2027: Mandatory Implementation — Effective January 1, 2027, all listed companies and large entities must submit sustainability reports aligned with PSPK 1 and PSPK 2.

Key Implementation Challenges to Overcome

This presents a complex challenge. Data from suppliers and business partners is often not yet available in a systematic manner. Companies need to start mapping their value chains, engaging with suppliers, and establishing data collection procedures.
In many organizations, these functions remain siloed. Sustainability data, financial data, and risk management information are often housed in separate divisions. Companies must begin designing systems that enable data integration, allowing this information to be directly incorporated into financial reports.

This remains a challenge. Climate risk analysis, scenario analysis, and financial impact assessment require expertise that is currently limited in Indonesia. Internal capacity-building programs and partnerships with external consultants have become urgent.

Take These 5 Steps!

Companies aiming to be ready for 2027 need to take immediate action!

1. Establishing Governance Establish a sustainability committee at the board level, or a risk committee, responsible for sustainability and disclosures.
2. Materiality Assessment Sustainability issues are identified using a double materiality approach (financial materiality and impact materiality). This serves as the foundation for determining what needs to be disclosed.
3. Data Architecture Design Begin implementing a system capable of automatically integrating data.
4. Scenario Analysis Pilot Conduct a pilot project to analyze how sustainability risks and opportunities (particularly climate-related ones) impact the company’s financial performance under 1.5°C, 2°C, and other scenarios.
5. Capacity Building Program Bring your team along! Training for finance, sustainability, and audit teams covering IFRS S1 & S2 requirements, calculation methodologies, and quality assurance procedures. Check out other training sessions on the Actia Training Schedule.

Who Should Attend the IFRS Level 1 and Level 2 Training?

Training is most effective when attended by the core team that will actually execute the process. This team typically comprises:
  • Finance/corporate reporting (to ensure disclosures align with financial information)
  • ESG/HSE/Sustainability (owners of the program, indicators, and supporting data)
  • Risk management/strategy (translating risks into response plans and strategic resilience)
  • Operations & procurement (as much of the data relates to energy, processes, and the supply chain)
With this composition, the training outcomes are more easily translated into an actionable work plan rather than remaining mere classroom notes.

Time Is an Asset

Proper adoption of IFRS S1 and S2 presents an opportunity to strengthen reputation and competitiveness. Companies capable of providing high-quality sustainability disclosures will enjoy easier access to investors. Integrating PSPK with the Indonesian Green Taxonomy (coordinated by the OJK) also opens doors to green financing incentives and participation in the rapidly expanding green financing landscape. With only 12 months remaining until the implementation deadline, there is no room to delay preparations. Organizations that start early will have sufficient time to build systems, prepare their workforce, and ensure data quality. Conversely, companies that wait until 2027 will face detrimental risks. IFRS S1 & S2 are not merely a trend; they represent a transformation in sustainability and climate impact reporting. Indonesia has sent a clear signal: investing in sustainability infrastructure is an investment in the future of your business.

Upcoming public schedule: August 11–12, 2026

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