In 2018, the Public Sector Accounting Boarding approved a new accounting standard entitled PS3280. However, due to COVID – 19, 2022 is the first fiscal year in which this will come into effect and all public sector bodies will have to consider the retirement of tangible capital assets which were previously not part of their accounting scope, for example, retiring building infected by asbestos.
Public sector bodies are now working to prepare themselves for the legal implications that will come with the implementation of Asset Retirement Obligation standards. Like any other change, there will be many requirements to fulfill before these organizations can successfully implement this obligation. However, the long-term benefits show that, once implemented, there are several key benefits of having an ARO Plan in place:
VIZIO’s ARO Solution is carefully designed to serve as two solutions under a single umbrella. You can perform Asset Obligation Planning and Asset Retirement Planning associated with the obligation.
VIZIO’s Asset Retirement Obligation planning template is fully integrated within our Global CAPEX Planning as well as our OPEX Planning template if the funding is coming from OPEX.
Each application comes with two planning roles:
