BC38 While assessing possible effects of updating the reference to the Framework in IAS 8, the Board identified a potential disadvantage for entities that conduct rate-regulated activities and develop their accounting policies for regulatory account balances by reference to the Framework rather than by applying IFRS 14 Regulatory Deferral Accounts. If the reference to the Framework had been updated, such entities might have needed to revise those accounting policies twice within a short period of time - first, when the 2018 Conceptual Framework comes into effect; and, later, when a new IFRS Standard on rate-regulated activities is issued. In the absence of specific guidance, there might have been uncertainty about what would be acceptable if the 2018 Conceptual Framework was applied. Establishing what would be acceptable might have been costly and the outcome might have been diversity in practice and a loss of trend information for users.
BC39 To prevent unhelpful and unnecessary disru
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