CARROTS AND STICKS – PROMOTING ... - Global Reporting Initiative

28 Carrots and Sticks - Promoting Transparency and Sustainability
Country/Region Standards, Codes and Guidelines
Brazil
Mandatory standards
� Law nº11638/2007, changes some mechanisms
of Law nº 6.404, from 15 December 1976 and
Law nº 6.385, from 7 December 1976, including
amendments to a corporation’s responsibility on
the elaboration and disclosure of their financial
statements. This law institutes the obligation of
including data about the creation and distribution of
economic value in order to provide a basic indication
of how the organisation has created wealth for
stakeholders. The information should be reported
in the Economic Value Generated and Distributed
(EVG&D) table that must be included in the periodic
Financial Statements disclosed by companies listed
on Stock Exchanges. http://www.planalto.gov.br/
ccivil_03/_ato2007-2010/2007/Lei/L11638.htm
� Brazilian Accounting Norm (NBC) T 3.7, 2008.
The Federal Accounting Council (CFC) approved the
NBC T 3.7 through the Resolution CFC Nº 1138/08,
in order to provide patterns for disclosing the
Economic Value Generated and Distributed (EVG&D).
The norm NBC T 3.7 aims to establish patterns for
the elaboration and presentation of the EVG&D in
order to evidence the wealth that was created and
distributed by the reporting organisation during a
period of time.
http://www.cfc.org.br/conteudo.aspx?codMenu=116
� Environmental NBC, 2009 issued by the Federal
Accounting Council (CFC). In terms of future
developments the CFC is drafting a new NBC
in order to include environmental assets and
liabilities as part of the published annual Financial
Statements and to define the concepts and criteria
for accounting the events and transactions that
reflect the interaction between the organisations
and the environment. The draft of the norm is under
discussion and the process of public consultation has
already started.
http://www.cfc.org.br/conteudo.aspx?codMenu=67&
codConteudo=4036
� Law Project nº3613/2008 states a company’s
obligation to disclose a social report. There has
been a law project since 1997 that aims to obligate
companies to publish CSR reports including
information about labour practices, employment,
community and environment. There were some
previous law projects published in 1997, 1999 and
2003 (withdrawn), and the last one was launched in