As the focus on sustainability issues sharpens across the globe, it has shifted from a nice-to-have to a strategic business priority. In a recent CA ANZ survey of chartered accountants, 61% of respondents indicated that understanding climate-related risks was somewhat or highly relevant to their role.

Research from Accenture shows more than 90% of CFOs globally believe environmental, social and governance (ESG) issues will be a major focus for their organisation within the next five years. And while accountants are emerging as key players in driving sustainable business practices and performance, there’s much to absorb.

To help embed sustainability throughout aspiring professional accountants’ training, the International Federation of Accountants (IFAC) finalised revisions to the International Education Standards (IES) in 2025. They will come into effect on 1 July 2026. Many of the areas were already covered by the CA Program, but it will further evolve to adopt the revisions.

Building skills and capability

Revisions to IES 2, 3 and 4 broadly aim to ensure accountants are equipped to handle sustainability-related disclosure and assurance standards.

While IES 2 has been revised to include learning outcomes related to sustainability reporting and the technical knowledge required for ESG reporting, IES 3 has been updated to incorporate skills necessary for assessing sustainability-related information, such as critical thinking and analysis. IES 4 now integrates ethical considerations related to sustainability, including professional scepticism in reviewing sustainability data.

In addition to the sustainability enhancements, IFAC has modernised IES 6, Initial Professional Development – Formal Assessment of Professional Competence, to introduce integrity and authenticity principles.

Samantha Wilson FCA, general manager of the CA Program at CA ANZ, notes the updates to IES 6 recognise that professional assessments are increasingly delivered online or remotely, often using digital tools and AI.

“The new principles of integrity and authenticity help maintain trust and confidence in outcomes as assessment methods change,” she says. “Authenticity refers to assessing skills relevant to real-world accounting, including proper use of technology, while integrity addresses verifying the candidate’s identity and work, especially in digital settings.

“As part of the updates to IES 6, the definition of equity was also modernised to explicitly include accessibility and inclusivity, ensuring assessment design does not unfairly advantage or disadvantage candidates based on background, capability or access to technology.”

Sustainability and the CA Program

The CA Program will be updated to reflect the revised IES standards. Wilson explains that incorporating sustainability content in more depth across the CA Program is also part of a holistic review called ‘CA Program Evolution’.

“These changes are currently being rolled out, and the updates strengthen applied learning, refresh the assessment approach and update content with a stronger focus not only on sustainability but also on AI capabilities, analytics and ethics,” she says.

Some of the key changes include a greater integration of sustainability into core CA Program subjects, including an introductory core subject, which has been renamed from ‘Ethics and Business’ to ‘Ethics and Sustainability’.

A new sustainability elective will also provide further development opportunities in this area, changing from ‘Sustainability for Accountants’ to ‘Leadership in Sustainability’.

“‘Audit and Risk’ is being updated to ‘Audit and Analytics’ with an increased focus on data and contemporary audit practice,” says Wilson. “We’re also broadening the elective content in ‘Financial Modelling’ to cover ‘Business Partnering’.”

Wilson adds that as the accounting profession continues to evolve, education must provide graduates with skills and competencies they’ll need to deliver high-quality, sustainability-related information and services.

“Sustainability has been included in the current version of the CA Program since its launch in 2021,” she says. “In addition to content in the core subjects, a specific elective on sustainability for accountants has been one of our most popular electives.

“The updates to the CA Program will ensure that graduates are equipped with the skills needed to be work ready, as well as aligning with the revised IES 2, 3 and 4.”

Build your sustainability capability

Accountants are increasingly expected to have a strong understanding of sustainability. The CA ANZ Sustainability Resource Centre provides practical guidance, resources and learning opportunities to support critical business and investment decisions relating to sustainable business practices, sustainability reporting and assurance.

CA ANZ’s Sustainability Playbook is also designed to help accounting and finance professionals build skills and confidence in climate and sustainability reporting.