The European Commission has embraced the #ESRS projects, marking a significant achievement for sustainable development

These standards were introduced to align with the corporate reporting directive for sustainable development, #CSRD ♻️🔋. The ESRS lay out ESG reporting requirements for companies under the CSRD, becoming effective in the reporting year 2024, with the initial submissions due in 2025. 📊

The ESRS encompass a range of ESG issues, including climate change, biodiversity, and human rights, offering investors valuable insights into the impact of their investments on sustainable development.

Changes by the #EC include shifting certain disclosures from mandatory to voluntary status (❗️), gradual introduction of specific disclosures like scope 3 emissions, and granting companies flexibility in defining materiality.

Efforts by the EC, EFRAG, and ISSB have led to a strong alignment between their disclosure requirements, simplifying the reporting process for entities aiming to adopt both ISSB and ESRS standards.

The #EC's emphasis on alignment aims to prevent redundant reporting from globally operating firms, promoting maximum interoperability between ESRS and #GRI, thus eliminating dual reporting for companies.

Currently, a two-month review period by the European Parliament and Council is underway, potentially extending by an additional 2 months.

The adoption of ESRS by the #EC is a significant stride towards sustainable development, addressing challenges related to climate change, biodiversity, and human rights.

#ESRS, or European Sustainable Reporting Standards, will act as a reporting framework, enabling companies to showcase their efforts in tackling global issues.

The journey doesn't stop here. The delegated act containing ESRS is undergoing scrutiny, emphasizing the importance of cooperation between stakeholders. The introduction of ESRS signifies a harmonious future where business and environmental protection walk hand in hand.

Let's celebrate this remarkable achievement, as the European Union embarks on a new chapter of sustainability reporting! 🌱📈🌎 #SustainabilityMatters