Companies that heaved a sigh of relief this week at the postponement of the introduction of FRS17 may find the reprieve short-lived.

The British-based Accounting Standards Board (ASB), which sets the rules for Irish companies as well, has dropped plans to bring the controversial pensions accounting standard into force from December.

But the move has little to do with widespread opposition from companies, accountants and even trade unions, who have blamed the measure for the move away from defined-benefit to defined-contribution pension schemes.

Rather, given that international accounting standards are due to apply from 2005, it is designed to spare companies the burden of having to change their accounting methods twice.

The ASB continues to believe in the merits of the measure and will be lobbying the International Accounting Standards Board (IASB) to have it accepted as the global standard.

As ASB head Ms Mary Keegan told The Irish Times earlier this year: "It would be a disappointment to me if the international board doesn't see the benefits of FRS17."

Given the renewed focus on squeaky clean accounts in the wake of the Enron and WorldCom fiascoes, it's far too early to write it off.