Indonesia is developing sustainability reporting and assurance together. PSPK 1 and PSPK 2 establish the ISSB-aligned disclosure baseline, while the Indonesian Institute of Certified Public Accountants is working to adopt ISSA 5000 and the related international ethics requirements.
The direction is strong, but adoption in progress is not the same as a final universal assurance mandate. Companies should monitor the final IAPI standards and OJK regulations while building the data and controls that any high-quality assurance engagement will require.
What is happening in Indonesia
IAPI states that ISSA 5000 is being adopted by its professional standards board as the basis for sustainability assurance engagements. The organization is also working on adoption of the International Ethics Standards for Sustainability Assurance and highlights the need for an integrated quality management system.
At the same time, OJK has been updating Indonesia’s sustainable finance regulation. IAPI’s announcement refers to draft OJK requirements that would bring PSPK 1 and PSPK 2 into sustainability reporting for financial-sector businesses, issuers, and public companies.
Our Indonesia PSPK 1 and PSPK 2 readiness guide explains the disclosure standards and 2027 preparation context.
Until final implementing rules are issued, distinguish three layers:
- PSPK 1 and PSPK 2 are criteria for preparing sustainability-related disclosures.
- OJK rules determine which entities report and whether assurance is required.
- The adopted Indonesian equivalent of ISSA 5000 will govern eligible practitioners performing applicable assurance engagements.
Why current reporting practice needs to evolve
IAPI research into Indonesian sustainability reports from 2017 to 2023 found that assurance practice was still concentrated among a limited number of providers and used multiple standards, with AA1000AS and ISAE 3000 prominent. A common ISSA 5000-based standard can improve consistency, but reporting entities must also improve the information supplied to practitioners.
Assurance readiness is not a request-list exercise. It requires a repeatable system for reporting boundaries, source data, calculations, estimates, narrative evidence, and management review.
Build a controlled PSPK reporting process
Start with group scope. Reconcile the sustainability reporting boundary to the legal structure, financial consolidation, facilities, operations, and value-chain relationships. Document why any entity or activity is excluded.
Then strengthen the information chain:
- Retain original source records and extraction details.
- Standardize units, definitions, and cut-off dates across business units.
- Version calculation methods, emission factors, and data substitutions.
- Record assumptions and limitations for estimates and forward-looking information.
- Preserve evidence of preparation, review, approval, exceptions, and correction.
For industrial groups, data completeness may be distributed across plants, contractors, logistics providers, and suppliers. Use owner-level attestations and reconciliation controls, but do not rely on sign-off alone when underlying evidence is available.
Prepare for a profession-agnostic ecosystem
ISSA 5000 permits use by accountants and other qualified practitioners when the applicable ethics, independence, and quality management conditions are met. Indonesia’s final rules will determine provider eligibility and oversight.
When evaluating providers, ask which final Indonesian standards apply, who leads the engagement, how specialists and component practitioners are controlled, and how independence is assessed. Confirm whether the proposed engagement is limited or reasonable assurance and identify the exact disclosures in scope.
Run a pilot before the first required year. Include an emission estimate, a qualitative governance disclosure, an overseas or remote component, and a value-chain metric. Track findings to root causes such as missing populations, unclear criteria, weak review evidence, or inconsistent calculation methods.
Carbon Impact’s ISSA 5000 assurance-readiness solution helps Indonesian teams map PSPK disclosures to evidence, calculations, controls, and responsible owners while adoption progresses.
This article reflects information available on August 10, 2026. Indonesia’s standards and OJK requirements remain under development. This is general information, not assurance or legal advice.
Sources
See how Carbon Impact supports ISSA 5000 reporting — from data collection to disclosure.