Francesca Rizzi

🌍 GRI 305 vs. ESRS: Emissions Reporting for Sustainability Brief comparison between GRI 305 and ESRS (European Sustainability Reporting Standards) in the context of emissions reporting: 📊 GRI 305-1 (Scope 1) vs. ESRS E1-4: • GRI 305: Focuses on direct GHG emissions from owned or controlled sources. • ESRS: Similarly, requires reporting on Scope 1 emissions but with a stricter alignment to EU climate targets, including the transition to a low-carbon economy. 🔌 GRI 305-2 (Scope 2) vs. ESRS E1-4: • GRI 305: Differentiates between location-based and market-based reporting for energy-related emissions. • ESRS: Also reports energy-related indirect emissions but places more emphasis on aligning with EU energy regulations and decarbonization strategies. 🔄 GRI 305-3 (Scope 3) vs. ESRS E1-5: • GRI 305: Includes a wide range of indirect emissions like procurement and travel. • ESRS: Takes this a step further by requiring detailed Scope 3 reporting aligned with EU climate laws, focusing on value chain emissions and their impact on EU Green Deal objectives. 📉 GRI 305-4 vs. ESRS E1-3: • GRI 305: Measures GHG emissions intensity to track operational efficiency. • ESRS: Also requires emission intensity reporting but links it to specific decarbonization pathways and sectoral benchmarks. 🌱 GRI 305-5 vs. ESRS E1-6: • GRI 305: Reports GHG reductions and tracks progress toward environmental goals. • ESRS: Adds a forward-looking approach, integrating climate risk assessments and science-based targets for emissions reductions. 🛡️ GRI 305-6 vs. ESRS E1-7: • GRI 305: Focuses on emissions of ozone-depleting substances (ODS). • ESRS: Broader in scope, covering all relevant air emissions in line with EU regulations, and requiring full integration of air quality standards. 🌬️ GRI 305-7 vs. ESRS E1-7: • GRI 305: Targets emissions of key air pollutants like NOx and SOx. • ESRS: Requires a more comprehensive assessment of air pollutants, linking this with impacts on ecosystem health and public health as per EU policies. Why It Matters: Both GRI 305 and ESRS aim to improve emissions transparency, but ESRS aligns more closely with EU climate policies, placing greater emphasis on the transition to a low-carbon economy and compliance with the EU Green Deal. #GRI #ESRS #Sustainability #EmissionsReporting #ClimateAction #EURegulations #GHG #Reporting #SustainableBusiness #ClimateDisclosure

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The Top 7 Sustainability Reporting Standards ➡ EU CSRD (ESRS): European sustainability reporting ➡ ISSB (IFRS): International Sustainability Standards Board ➡ CDP: International climate disclosure program ➡ GRI: Global framework for sustainability reporting ➡ SASB: Industry-specific KPI framework ➡ TCFD: Climate risk assessment and disclosure ➡ B Corporation: Corporate sustainability and governance scoring framework

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On 25 July 2024, the Directive on corporate sustainability due diligence (Directive 2024/1760) entered into force. The aim of this Directive is to foster sustainable and responsible corporate behaviour in companies’ operations and across their global value chains. The new rules will ensure that companies in scope identify and address adverse human rights and environmental impacts of their actions inside and outside Europe.

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Hi #CSRD community The first 3 implementation guidance documents were published in 31 May by EFRAG Publication of 4 major documents (final) to implement #ESRS 🆚 EFRAG IG 1: Materiality Assessment ⛓ EFRAG IG 2: Value Chain (48 pages)  🔍 EFRAG IG 3: Detailed ESRS Datapoints and Accompanying Explanatory Note  Other are still subject to consultation and feedback https://lnkd.in/e2aeVqGP

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Thank you, Catherine Weetman, for the opportunity to join you on The Circular Economy Podcast recently. It was a pleasure to discuss the finer points in more detail around circularity, transparency and sustainability and how Digital Product Passports (DPPs) will help shape a more sustainable and circular economy. Discussing the EU’s new regulations while also getting a chance to talk through my reasoning for how and why #DPPs can enable businesses to curb their environmental footprint and enhance supply chain resilience and compliance, was great fun. One thing is clear, for EU and multinational businesses, supply chain sustainability is fast becoming a significant legal, financial and reputational risk. One that can no longer be ignored. Looking forward to continuing the conversation and working toward a more circular future. https://lnkd.in/epmqxrhJ #CircularEconomy #DigitalProductPassports #AveryDennison

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Key Sustainability Reporting Frameworks & Their Reporting Periods: Start preparing now: 1. Global Reporting Initiative (GRI) Annual 2. SASB Standards Annual (updates from January 1, 2024) 3. Taskforce on Nature-related Financial Disclosures (TNFD) Annual (final recommendations in September 2023) 4.ESRS: Annual (requirements effective from 2024) CSRD Institute 5. IFRS Annual 6. United Nations Global Compact (UNGC) Club, AUD Annual (focus on progress reports) 7. WDI**: Annual 8. CDP Annual 9. EcoVadis Annual 10. S&P Global: Annual Understanding these frameworks helps organizations enhance sustainability practices, transparency, and accountability. #Sustainability #ESG #Transparency

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Many companies will be required or will choose to disclose information about sustainability-related matters using both #ISSB Standards and #ESRS.      The ISSB bilaterally engaged with the European Commission and EFRAG, in parallel to the development of the ISSB Standards and ESRS.      This engagement focused on:   ⏩ Where disclosure requirements could be aligned and alignment of definitions ⏩ Where disclosure requirements were unique to either set of standards; and ⏩ How to align key concepts.      Due to this work, the IFRS Foundation, the European Commission and EFRAG achieved a high degree of alignment of climate-disclosure requirements in ESRS and ISSB Standards. Alignment helps reduce duplication in reporting, complexity and fragmentation, to help provide decision-useful sustainability-related information for investors.    However, compliance with one set of standards does not automatically ensure compliance with the other.      👉 Find out more about the high-degree of alignment, particularly on climate, and how to comply with both sets of standards in the ESRS–ISSB Standards Interoperability Guidance:  https://lnkd.in/dE5KNHeZ        #IFRSsustainability #ISSBstandards #interoperability

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How to define your IMPACT as a circular startup? CLOSWAP recently joined the Impact Business Modeling System™ & The Circularity Hub Hub program. With the impeccable guidance of Richard Georg Engström , we have managed to lay out a LOGICAL impact vision 👀 ❗ Our learnings summarised: ! Rule nr1: the more problems you identify, the more solutions you can bring, consequently making your business more functional and traceable. ! Rule nr2: Identify your... ...Negative effect: for CLOSWAP it would be “CO2 emissions from production” ...Change needed: “create less clothes” ...Required activities: “build platform for swapping” ...Commercial units: “ 1 decision made in government to help circular initiatives” (there can be multiple) ...Impact units: 33kg of CO2 reduced from production of 1 Tshirt ------- In your opinion, do startups require an impact blueprint?  Read CLOSWAP’s planned impact for 2025 in the comments;)

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We work on whole systems .. we ask the right questions in the right places. Circularity is simple in concept and complex in practice .. Join our Academy if you are a professional trying to navigate this work inside your business/ job or in your consulting .. https://lnkd.in/eESKXTA7

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DOUBLE MATERIALITY GUIDELINES APPROVED EFRAG's sustainability technical expert group (TEG) has approved the draft materiality assessment implementation guidance (MAIG) with some amendments to last year's. New sections in the document, as well as a FAQ, address considerations for groups and subsidiaries. Group materiality assessments with inputs from a wide variety of subsidiaries may require different methodologies. Accordingly, aggregation may not be appropriate for all sustainability matters, for example social issues, and the ESRS Delegated Act did not require aggregation and group thresholds for all sustainability issues. In addition to clarifying the approach to supportable and objective evidence compared to other inputs, and the gross vs. net impact approach for environmental matters, other changes have been made to the document. ESRS 2 requires disclosures on how and how frequently management is informed about material impacts, risks, and opportunities in the MAIG. The draft MAIG will now go to the sustainability reporting board of EFRAG for final deliberations and approval.

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Just because you know the rules doesn't mean you can play the game. Understanding #SustainabilityPolicy is one thing. Knowing how to adopt an holistic compliance approach is another: 📈 Early Policy adopters are already seeing tailwinds, such as EU #Taxonomy-aligned activities attracting investment. 🛡️ However, most businesses are simply feeling some pain approaching sustainability compliance for the first time [#CSRD Fatigue is real] 😵‍💫 And to be fair: should we expect sustainability professionals to be leading compliance management topics anyway? With 2BPolicy I combine my sustainability and compliance background to help retailers and brands confidently take their first swing at #ESG compliance. Let me know if you need some help. 📸 CottonBro Studio

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Impact Europe and the national advisory boards for impact investing of France, the Netherlands, Belgium, Italy and Spain, are calling on EU politicians and decision-makers to put impact at the heart of EU policies.. This morning, the group unveiled its Impact Manifesto at the European Parliament in Brussels. The document outlines a set of concrete policy actions to enable the work of impact investors. FAIR - Label Finansol, Netherlands Advisory Board on Impact Investing, Impact Finance Belgium, Social Impact Agenda per l'Italia - Global Steering Group for Impact Investment Italy NAB SpainNAB. #impactinvesting #impactecosystem #EUpolicy

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🎯 Fostering circular economy through open innovation: Insights from multiple case study 💡 Open innovation is key to advancing the circular economy. By sharing knowledge and resources, businesses can reduce waste and create sustainable products. The article by Francesco Antonio Perotti, Augusto Bargoni, Paola De Bernardi and Zoltan Rozsa shows how collaboration among diverse stakeholders can foster innovation and effectively address environmental challenges. 🌐 Read more about how open innovation drives the circular economy on Tondo's blog! #circulareconomy #openinnovation

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🌍 Sustainability reporting professionals, this is for you! 🌍 Presenting the Draft EFRAG IG 1: Materiality Assessment Implementation Guidance. Developed by EFRAG this document is designed to support large companies in implementing the materiality assessment required by the European Sustainability Reporting Standards (hashtag #ESRS). 🔍 Key Highlights: - Detailed explanation of the double materiality concept and its application. - Step-by-step guidance on performing materiality assessments. - Criteria and thresholds for assessing impact and financial materiality. - Integration with other reporting frameworks like Global Reporting Initiative (GRI) and International Sustainability Standards Board (ISSB) standards. - FAQs addressing common questions about impact materiality, financial materiality, and stakeholder engagement. This guidance is essential for companies aiming to ensure robust and compliant sustainability reporting. 📥 Download the Guidance hashtag #Sustainability #ESG #ESRS #MaterialityAssessment #EFRAG #SustainableBusiness #Compliance

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The EU is rolling out a wave of new sustainability regulations impacting the lifecycle of textile products. Understanding how these regulations connect - from design to disposal - is crucial for businesses to adapt and thrive. ♻️   In our latest Point of View - published today - we delve deeper into this topic, exploring how regulations are creating new opportunities, the impact on businesses strategies and operating models, and outlining key questions Boards should be asking as they navigate the circular transformation of their companies.   https://lnkd.in/e4TM-Wte. Let's discuss! What strategies are you implementing to prepare for the EU's circular economy regulations? 🤔 We have already had some great conversations with businesses and look forward to continuing the discussion. Magdalena Puźniak-Holford | Adithya Subramoni | Cecilia Dall'Acqua | Paule Abrego Candelario | Federica Gradassi | David Strachan

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As resource use is at the centre of the triple planetary crisis with resource extraction and processing accounting for over 55% of global greenhouse gas emissions, implementation of the circular economy is critical to achieve net-zero and other sustainability objectives. Read here how banks can support

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𝗔 𝟳-𝗦𝘁𝗲𝗽 𝗔𝗽𝗽𝗿𝗼𝗮𝗰𝗵 𝘁𝗼 𝗠𝗮𝘀𝘁𝗲𝗿𝗶𝗻𝗴 𝘁𝗵𝗲 𝗖𝗦𝗥𝗗 𝗠𝗮𝘁𝗲𝗿𝗶𝗮𝗹𝗶𝘁𝘆 𝗔𝘀𝘀𝗲𝘀𝘀𝗺𝗲𝗻𝘁 🌿📊 The Corporate Sustainability Reporting Directive (CSRD) is here, and it's fundamentally changing the way companies report on their sustainability performance. A key component of the CSRD is the Double Materiality Assessment (DMA), a mandatory exercise for companies to identify which sustainability issues are most important to the organisation and its stakeholders by evaluating their impact on environmental and social factors (inside-out perspective), as well as how these factors influence the organisation (outside-in perspective). 🌍🤝 But conducting a Materiality Assessment can be a challenge. 💡 TAUW has developed a proven 7-step approach to the CSRD materiality assessment that is designed to be clear, efficient, effective and aligned with the EFRAG Guidelines. ➡ Learn more about TAUW's approach to the CSRD materiality assessment: https://lnkd.in/gVs6rYVX #CSRD #SustainabilityReporting #MaterialityAssessment #CorporateSustainability #alivingambtion

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Can’t agree more with these words: “true sustainability lies in corporate #strategy and leadership that create lasting #value for #society and the #environment. Only an integrated and conscious approach can #transform sustainability into a #competitive #advantage rather than a mere obligation”.

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The European Sustainability Reporting Standards (ESRS), part of the EU’s Corporate Sustainability Reporting Directive (CSRD), will soon be mandatory for companies operating in the EU. ESRS standardizes ESG reporting, focusing on climate, biodiversity, human rights, and governance, enhancing transparency and comparability. For sustainability professionals, mastering ESRS is essential for ensuring compliance, driving organizational change, and aligning with global standards like GRI. As sustainability becomes increasingly central to corporate strategy, ESRS knowledge provides a competitive edge, making it a critical skill for those leading sustainability efforts in their organizations. The **European Sustainability Reporting Standards (ESRS)** are highly relevant to Bangladesh's Ready-Made Garment (RMG) and textile sector due to the industry’s strong ties with European markets. Here’s why ESRS is crucial for this sector: 1. **Export Market Dependency**: The EU is one of the largest importers of Bangladesh's RMG products. With ESRS becoming mandatory, European buyers will increasingly expect Bangladeshi suppliers to meet stringent sustainability criteria related to environmental impact, labor rights, and corporate governance. 2. **Meeting Global Standards**: As global demand shifts towards sustainable products, compliance with ESRS helps Bangladeshi manufacturers remain competitive in international markets by demonstrating responsible practices in climate action, waste reduction, and worker welfare. 3. **Supply Chain Transparency**: ESRS emphasizes transparency, making it critical for suppliers to provide detailed sustainability data. By adopting ESRS guidelines, Bangladeshi factories can build trust with European brands and ensure long-term business relationships. 4. **Future-Proofing**: Embracing ESRS prepares Bangladesh’s RMG and textile sector for upcoming global regulatory trends, enhancing their ability to stay competitive and attractive to international buyers prioritizing sustainability. Tapu Saha Sustainability and compliance professional. 10.09.24 Dhaka #Sustainability #ESRS #SustainabilityReporting #GRI #TextileIndustry #BangladeshRMG #SustainableFashion #CorporateSocialResponsibility #CSR #GreenManufacturing #LEEDCertified #ESG #SupplyChainSustainability #EnvironmentalStandards #SustainableDevelopment #WorkerSafety #SustainablePractices #RMGIndustry #GlobalStandards

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