Skip to content

Advanced Auditing, Assurance and Professional Ethics · Sustainable Development Goals (SDG) & Environment, Social and Governance (ESG) Assurance

Sustainable Development Goals (SDGs) Overview for CA Final Audit

Updated 5 October 2026 · Fact-checked

The Sustainable Development Goals are 17 global goals adopted by all UN member states in 2015 under the 2030 Agenda, supported by 169 targets. To answer an exam question, name the relevant goal, link it to the entity's activity, and explain the CA's role in reporting, assurance or advice.

Understand Sustainable Development Goals (SDGs) Overview

The Sustainable Development Goals (SDGs) are a shared plan for people, planet and prosperity. All UN member states, including India, adopted them in September 2015 as part of the 2030 Agenda for Sustainable Development. They replaced the earlier Millennium Development Goals and are meant to be reached by 2030.

There are 17 goals. Each goal has several targets, and the total is 169 targets. Progress is tracked through indicators. Goals are broad aims. Targets are the specific results under a goal. Indicators are the measures used to check progress.

The goals cover three linked areas: social (poverty, hunger, health, education, gender equality), environmental (clean water, clean energy, climate, life below water, life on land) and economic and institutional (decent work, industry and innovation, reduced inequalities, responsible consumption, peace and justice, partnerships). The idea is that one area cannot be improved by hurting another.

For business, the SDGs work as a common language for strategy and reporting. Entities map their activities to goals, set targets, and disclose progress. ESG reporting is the practical tool: the E, S and G disclosures of an entity show its contribution to specific goals. Investors, lenders and regulators increasingly ask for these disclosures, and they want them to be credible.

For the accounting profession, the role has four parts. CAs can measure and report sustainability data, provide assurance so users can trust it, advise on strategy, controls and risk, and uphold ethics by preventing misleading claims such as greenwashing. Your audit skills of evidence, controls, materiality and skepticism carry over to sustainability information.

Key rules to remember

Structure of the 2030 Agenda
17 Goals → 169 Targets → Indicators
Goals are broad, targets are specific outcomes, indicators measure progress. Target year is 2030.
The 17 goals (short list)
1 No Poverty; 2 Zero Hunger; 3 Good Health and Well-being; 4 Quality Education; 5 Gender Equality; 6 Clean Water and Sanitation; 7 Affordable and Clean Energy; 8 Decent Work and Economic Growth; 9 Industry, Innovation and Infrastructure; 10 Reduced Inequalities; 11 Sustainable Cities and Communities; 12 Responsible Consumption and Production; 13 Climate Action; 14 Life Below Water; 15 Life on Land; 16 Peace, Justice and Strong Institutions; 17 Partnerships for the Goals
Learn the numbers with the names. Goal 13 (climate), 8 (work), 12 (consumption) and 16 (institutions) are most linked to business and audit.
Grouping memory aid
People (1-5) | Water and energy (6-7) | Economy (8-10) | Cities and resources (11-12) | Planet (13-15) | Peace and partnership (16-17)
This is a study aid, not an official UN grouping. Use it to recall the list.
SDG to ESG link
E → Goals 6, 7, 12, 13, 14, 15 | S → Goals 1-5, 8, 10 | G → Goals 16, 17
An indicative mapping for answers. Goals overlap, so say 'mainly' when you map.

How to solve Sustainable Development Goals (SDGs) Overview questions

Use this method for any question on SDGs, whether it asks for a list, a business link or the CA's role.

  1. 1Read the question and mark the ask: list the goals, explain relevance to business, or explain the CA's role.
  2. 2Open with a one-line definition: 17 goals, 169 targets, adopted in 2015, to be achieved by 2030.
  3. 3Identify the goals that fit the case facts (for example, emissions point to Goal 13, labour practices to Goal 8). Name the goal by number and title.
  4. 4Link each goal to the entity's activity, risk or disclosure. Say what the entity does, not just what the goal says.
  5. 5Connect to ESG: say whether the point is environmental, social or governance, and what would be reported.
  6. 6State the CA's role: measurement, reporting, assurance, advice and ethics, matched to the case.
  7. 7Close with a conclusion in one line, such as the value of credible, assured disclosure or the risk of greenwashing.

Quickest way: Goal, Link, Role in three lines

When to use it: Use when time is short, such as a 4-5 mark answer or an MCQ on a case scenario.

  1. Goal: name the matching goal with its number.
  2. Link: tie it to one fact in the case (activity, risk or disclosure).
  3. Role: add one CA contribution, such as assurance on the data or advice on controls.
  4. For MCQs, match the case fact to the goal title first, then eliminate options naming unrelated goals.

Common mistakes in Sustainable Development Goals (SDGs) Overview

  • Saying there are 17 targets or 169 goals.

    Both numbers are memorised together and get swapped.

    Fix: Remember goals are few (17) and targets are many (169).

  • Listing goals without linking them to the entity in the case.

    Students treat the topic as a memory list.

    Fix: For each goal named, add a clause tying it to the entity's activity or risk.

  • Mixing up SDGs and ESG as if they were the same thing.

    Both appear in the same chapter and sound alike.

    Fix: SDGs are global goals set by the UN. ESG is the framework entities use to report on environmental, social and governance performance. ESG disclosures show contribution to SDGs.

  • Describing the CA's role only as an auditor of financial statements.

    Students stay in the statutory audit frame.

    Fix: Cover reporting, assurance, advisory and ethics, including preventing greenwashing.

  • Assigning one goal to a fact that clearly touches several.

    Students want a single 'correct' answer.

    Fix: State the primary goal and note the secondary goal briefly, for example Goal 12 mainly, and Goal 13 also.

  • Writing that SDGs are legally binding on companies.

    Students confuse global commitments with company law duties.

    Fix: Say the SDGs are a voluntary global framework for governments. Companies engage through policy, disclosure and stakeholder expectations, and any binding duty comes from specific laws or regulations.

Worked examples

Example 1

Case: Greenfield Textiles Ltd discharges untreated dye water into a local river, uses large amounts of groundwater, and has a high share of women workers paid below peers for similar roles. The board wants to report progress on the SDGs. (a) Identify the relevant goals. (b) State how a CA can help.

Show the solution
  1. Water pollution and groundwater use point to Goal 6 (Clean Water and Sanitation). Wasteful production practices also link to Goal 12 (Responsible Consumption and Production).
  2. Pay differences for similar roles point to Goal 5 (Gender Equality) and Goal 8 (Decent Work and Economic Growth).
  3. In ESG terms, the water issue is environmental and the pay issue is social. The board's oversight of both is governance.
  4. A CA can help measure water use and discharge, and design controls so the data is complete and consistent.
  5. A CA can provide assurance on the reported figures so that users can rely on them.
  6. A CA can advise on remediation, such as effluent treatment and pay review, and caution against claims that overstate progress, which would be greenwashing.

Answer: Relevant goals are mainly 6 and 12 for the environment, and 5 and 8 for the social issues. The CA helps through measurement, controls, assurance, advice and ethical review of disclosures.

Example 2

Case: Solara Power Ltd, a renewable energy generator, publishes a sustainability report claiming it has avoided a large quantity of emissions and created many local jobs. The audit committee asks you, as a CA, to explain which goals the claims relate to and what you would examine before assuring the report.

Show the solution
  1. Renewable generation relates to Goal 7 (Affordable and Clean Energy). Emission avoidance relates to Goal 13 (Climate Action).
  2. Local job creation relates to Goal 8 (Decent Work and Economic Growth).
  3. Before assurance, confirm the reporting criteria used, such as the framework and the basis of calculating avoided emissions.
  4. Understand the entity's process and controls for collecting the data, and test a sample of source records, such as generation meter readings and payroll.
  5. Check that the claims are supported, that boundaries are clear, and that the report is balanced and not selective.
  6. Apply professional skepticism, because sustainability claims can be overstated. Consider competence and any need for experts.
  7. Report to the audit committee in line with the type of engagement agreed.

Answer: The claims relate to Goals 7, 13 and 8. Before assuring, you should confirm criteria, test controls and source data, check balance and boundaries, apply skepticism, and use experts if needed.

Exam tips

  • Know the count: 17 goals, 169 targets, adopted in 2015, target year 2030. These are easy marks in MCQs.
  • In case scenarios, match the fact to the goal title first. Then write the link to the entity in one clause.
  • Use the ESG tag (E, S or G) with each goal to show you understand how SDGs connect to the chapter.
  • For role-of-CA questions, use a fixed list: measure, report, assure, advise, uphold ethics. Add the case fact to each point.
  • Keep answers to this topic short and structured. Bullets with goal numbers score better than long paragraphs.

Practice questions from Sustainable Development Goals (SDG) & Environment, Social and Governance (ESG) Assurance

Sustainable Development Goals (SDGs) Overview in other exams

The same ground in other exams, if you are preparing for more than one or want another angle on it.

Sustainable Development Goals (SDGs) Overview: frequently asked questions

How many SDGs and targets are there?

There are 17 Sustainable Development Goals and 169 targets. They were adopted by the UN in 2015 as part of the 2030 Agenda. Progress is measured through indicators.

Do I need to memorise all 17 goals for CA Final?

Yes, learn the numbers and titles, as case questions ask you to identify the matching goal. You do not need to memorise every target. Focus on the goals most linked to business, such as 8, 12, 13 and 16.

What is the role of a CA in achieving the SDGs?

A CA helps by measuring and reporting sustainability data, providing assurance on it, advising on strategy, controls and risk, and upholding ethics. Credible, assured reporting helps users trust claims and discourages greenwashing.

What is the difference between SDGs and ESG?

SDGs are global goals set by the UN for countries to reach by 2030. ESG is how an entity reports on its environmental, social and governance performance. ESG disclosures show how the entity contributes to the SDGs.