International Financial Reporting Standards (IFRS) provide the basis for company reporting all over the world. Although the pace of standard-setting from the International Accounting Standards Board (IASB) has been less intense in recent years, the application of new standards still presents challenges for preparers. One of the biggest challenges of any reporting standard is how best to interpret and implement it in the context of a specific company or industry. In general, IFRS is short on industry guidance. PwC is filling this gap with a regularly updated series of publications that take a sector-by-sector look at IFRS in practice. In this edition, we look at the issues faced by power and utilities companies. We draw on our considerable experience of helping power and utilities companies apply IFRS effectively and we include a number of real-life examples to show how companies are responding to the various challenges along the value chain.