1.4 Published standards and interpretations, which are not yet in force and were not applied earlier by the Group

in PLN millions, unless otherwise stated

Published standards and interpretations which are not yet in force, adopted for use by the European Union:

• IFRS 17 Insurance contracts and amendments to IFRS 17 published in 2020 and 2021, effective on or after 1 January 2023.
• Amendments to IAS 1 and Practice Statement 2 on disclosures of accounting policies, effective on or after 1 January 2023. In this standard, the requirement to disclosure the entity’s „significant” accounting policies was replaced by the requirement to disclose „material” accounting policies. Information on accounting policies is material if considered together with other information contained within the financial statements, it could reasonably influence decisions made by their main users on the basis of these financial statements.
• Amendments to IAS 8 on the introduction of a definition of accounting estimates, effective on or after 1 January 2023. Pursuant to the amended standard, accounting estimates are monetary amounts in financial statements that are subject to measurement uncertainty. The introduction of this definition will help entities in distinguishing between amendments to accounting policies and amendments to accounting estimates.
• Amendments to IAS 12 on deferred tax related to assets and liabilities arising from a single transaction, effective on or after 1 January 2023. This standard introduces clarifications to paragraphs 15 and 24 that the recognition exemption on deferred tax related to assets and liabilities does not apply to transactions in which equal amounts of deductible and taxable temporary differences arise on initial recognition. In the Group’s opinion, the first application of the aforementioned change will not have a significant impact on the consolidated financial statements.

Published standards and interpretations which are not yet in force, awaiting the adoption for use by the European Union:

• IFRS 14 Regulatory deferral accounts effective on or after 1 January 2016, however the European Commission has decided not to launch the endorsement process of this interim standard and to wait for the final standard.
• Amendments to IFRS 10 and IAS 28 on the sale or contribution of assets between an Investor and its Associate or Joint Venture  (date of entry into force was not specified).
• Amendments to IFRS 16 on lease liabilities in a sale and leaseback, effective on or after 1 January 2024.
• Amendments to IAS 1 on classification of liabilities as current or non-current (including changes due to deferral of effective date), effective on or after 1 January 2024. The standard introduces changes clarifying conditions necessary to recognise financial liabilities as non-current. Such recognition will be possible only if the entity has the unconditional right to defer settlement of a liability for over 12 months after the reporting date and at the same time the entity’s intent as to the early repayment will not have an impact on this recognition. If the amendments to IAS 1 were applied by the Group in these consolidated financial statements, the presentation of borrowings as at 31 December 2022 would not change.
• Amendments to IAS 1 on non-current liabilities with covenants, effective on or after 1 January 2024. The amendments aim to clarify that covenants, whose conditions have to be met by an entity after the reporting date, and which refer to the rights of an entity to defer settlement of a liability by at least twelve months from the end of the reporting period, do not have an impact on the classification of liabilities as current or non-current at the end of the reporting period. However, it will be necessary to disclose information on such covenants in notes to the financial statements in order to allow users of financial statements to understand the risk that a particular liability may become due in the period of 12 months from the end of the reporting period. In such a situation, the Standard requires the disclosure of a description of a covenant, the amount of liabilities it is related to and facts and circumstances, if they occur, indicating the occurrence of a risk that an entity may not meet the conditions of the covenant within the deadline indicated after the end of the reporting period.

The Group intends to apply all of the amendments at their effective dates, except for IFRS 17, which will not have an impact on the Group’s consolidated financial statements as at 31 December 2022. In the Group’s opinion, the other amendments to the standards will be applicable to its activities in the scope of future economic operations, transactions or other events, towards which the amendments to the standards are applicable, while the amendments to IAS 1 and Practice Statement 2 on accounting policies (principles) presented in the financial statements will not have a significant impact on the scope of accounting policies which will be disclosed by the Group in the financial statements published for the reporting periods beginning after 1 January 2023.