Standard On Assurance Engagements (SAE) 3410 Assurance Engagements On Greenhouse Gas Statements

Standard on Assurance Engagements (SAE) 3410, Assurance Engagements on Greenhouse Gas Statements, should be read in the context of the Preface to the Standards on Quality Control, Auditing, Review, Other Assurance and Related Services and Guidance Note on Reports or Certificates for Special Purposes, issued by the ICAI.


1. Given the link between greenhouse gas (GHG) emissions and climate change, many entities are quantifying their GHG emissions for internal management purposes, and many are also preparing a GHG statement:

(a) As part of a regulatory disclosure regime;

(b) As part of an emissions trading scheme; or

(c) To inform investors and others on a voluntary basis. Voluntary disclosures may be, for example, published as a stand-alone document; included as part of a broader sustainability report or in an entity’s annual report; or made to support inclusion in a “carbon register.”

Scope of this SAE

2. This Standard on Assurance Engagements (SAE) deals with assurance engagements to report on an entity’s GHG statement.

3. The practitioner’s conclusion in an assurance engagement may cover information in addition to a GHG statement, for example, when the practitioner is engaged to report on a sustainability report of which a GHG statement is only one part. In such cases: (Ref: Para. A1-A2)

(a) This SAE applies to assurance procedures performed with respect to the GHG statement other than when the GHG statement is a relatively minor part of the overall information subject to assurance; and

(b) The Guidance Note on Reports or Certificates for Special Purposes (hereinafter referred as “the Guidance Note”) (or another SAE dealing with a specific underlying subject matter) applies to assurance procedures performed with respect to the remainder of the information covered by the practitioner’s conclusion.

4. This SAE does not deal with, or provide specific guidance for, assurance engagements to report on the following:

(a) Statements of emissions other than GHG emissions, for example, nitrogen oxides (NOx) and sulphur dioxide (SO2). This SAE may nonetheless provide guidance for such engagements;1

(b) Other GHG-related information, such as product lifecycle “footprints,” hypothetical “baseline” information, and key performance indicators based on emissions data; or (Ref: Para. A3)

(c) Instruments, processes or mechanisms, such as offset projects, used by other entities as emissions deductions. However, where an entity’s GHG statement includes emissions deductions that are subject to assurance, the requirements of this SAE apply in relation to those emissions deductions as appropriate (see paragraph 76(f)).

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February 2021