Many of our members will have operations in the EU that fall within the reporting perimeter. The Policy & Technical team monitors EU activity and wanted to bring to your attention that the European Commission’s expert body on corporate financial and sustainability reporting (EFRAG) has reopened applications for several sector-specific ‘communities’.
These communities provide input into the drafting process of the sector-specific European sustainability reporting standards (ESRS) to which companies in scope of the Corporate Sustainability Reporting Directive (CSRD) will have to adhere. This is in addition to the sector-agnostic ESRS, which is currently in the final legislative review stage and set to apply from 1 January 2024.
As you know, the Commission will later this autumn reportedly propose to delay the adoption deadline of the sector-specific ESRS from 2024 to 2026 – however, work on the drafting of several sectoral ESRS is already underway and EFRAG is seeking community members for the following ‘high-impact’ sectors:
Although there is currently no deadline for applications, applying at an earlier stage could increase the chances of being involved in the drafting phase from early on. Please let the P&T team (technical@treasurers.org) know if you would like to input into the drafting.
Please also find below a general overview of the currently known next steps for sector-specific reporting standards.
NEXT STEPS
• Oct / Nov 2023 – EFRAG to launch a consultation on draft ESRS for high-impact sectors (oil, gas, mining, road transport, and agriculture).
• 2026 (TBC) – EC to adopt sector-specific reporting standards (delayed from 30 June 2024)
Naresh Aggarwal
October 2023
