Methodology Development

Our ongoing methodology development follows rigorous due process under the leadership of the Valuation Technical and Practitioner Committee

The development of the impact accounting methodology (the Methodology) is a multi-year process led by IFVI in partnership with the Value Balancing Alliance (VBA).

Governance and due process

The development of the Methodology is governed by the Valuation Technical & Practitioner Committee (VTPC), an independent committee established by IFVI to direct, validate, and approve research and methodology produced by the cooperation of IFVI and VBA.

The IFVI Board of Directors provides oversight to the Due Process Protocol through its Due Process Oversight Committee (DPOC). More information about the VTPC is available in the VTPC Terms of Reference.

In the development of the Methodology, IFVI and VBA will follow the process outlined in the Due Process Protocol, designed for stakeholder inclusion and thorough research balanced with the urgent and dynamic needs of stakeholders in the face of great social and environmental challenges. As detailed in the Due Process Protocol, formal methodology statements undergo public exposure prior to final approval by the VTPC.

Released methodology statements can be official, exposure drafts, or interim methodologies.

• Official methodologies have received a final approval from the VTPC following the Due Process outlined above, and are accompanied by a Basis for Conclusions. They are subject to future updates and revision, but nonetheless represent a final approved version of a methodology.
• Exposure drafts are made available for review, piloting, and feedback as part of the official methodology due process. Following the public comment period, they are subject to revision prior to being approved by the VTPC for an official methodology.
• Interim methodologies are released prior to undergoing the official due process, to drive adoption of impact accounting and meet market needs as soon as possible. These releases are subject to revision as they proceed through the due process, and will enable official methodologies to obtain valuable feedback on the methodologies for future development.

Additionally, peer organizations and partners offer related or complementary methodologies that can be utilized in conjunction with the methodologies above.

The impact accounting methodology is developed and released on a rolling basis until a complete set of social and environmental impact topics and relevant industry methodologies have been issued. The work plan to develop new topics is released annually and updated as necessary.

A provisional 2024 Work Plan has been released, identifying the series of topics planned for development over the year. All methodologies undergo a public comment period following a period of research and development, and are overseen by the independent Valuation and Technical Practitioner Committee (VTPC).

Annual work plan

Questions or comments about IFVI governance or methodology can be submitted to the VTPC at VTPCLeadership@ifvi.org, the Chair of the DPOC at DueProcessOversight@ifvi.org, or directly to technical staff at research@ifvi.org.