On November 24th, it was published the Royal Decree Law 18/27 which presents how the Spanish organisations should comply with the European Directive 2014/95/EU about non-financial disclosure and information on diversity by certain large companies and groups.
Among the frameworks referenced to comply with the contents and principles of the Directive, the integrated model of AECA and its XBRL taxonomy (IS-FESG) is recommended as a national framework along with other international frameworks such as the Environmental Management and Audit System (EMAS), the United Nations Global Compact, the Guidelines of the Organization for Economic Cooperation and Development (OECD) and the Global Reporting Initiative (GRI), among others. According to the Royal Decree, these frameworks represent a non-exclusive proposal.
This means that during the exercise of facilitating the non-financial statement required by the European Directive, companies can rely on the integrated model of AECA, as well as, on other international frameworks, in a unique or complementary manner.
This is the second recognition of the work of AECA as a solution to address the non-financial information, after being referenced by the Spanish Security and Exchange Commission (CNMV) in the current Guidelines for the preparation of the management report of the listed companies.
The national transposition leaves open some room for interpretation of how the production of this non-financial information would be tackled. Regarding this matter, the AECA’s work promotes the use of technologies such as XBRL, to (1) aligning the new non-financial requirements with the current financial reporting practices in Spain, as well as, (2) enabling a high-level of data standardisation, validation and comparability.
For AECA, this recognition is a big step to bring companies and their stakeholders closer to a comparable, analysable and useful non-financial information, more ready for better decision-makings.
See the AECA’s comments about the Non-Financial Directive and transposition in Spain
See the AECA response to the European Commission public consultation
See the latest news from the AECA Integrated Suite Working Group
This article was written by admin