Chiara Buongiovanni’s Post

The Omnibus Simplification Package, to be released on February 2025, represents the EU’s effort to streamline sustainability reporting but without compromising the EU’s rigorous requirements for corporate transparency and environmental responsibility By revisiting regulations such as the Corporate Sustainability Reporting Directive (CSRD), Corporate Sustainability Due Diligence Directive (CSDDD), and the EU Taxonomy, the package aims to simplify compliance without compromising the EU’s sustainability goals. Highlights: 1️⃣Streamlined SME reporting to ease the burden on smaller businesses. 2️⃣Alignment with global standards like ISSB for consistency across markets. 3️⃣A shift to quality over quantity, removing redundant data collection. While some critics argue that these reforms could undermine the Green Deal’s original ambitions, others emphasize the need to reduce regulatory fatigue to encourage broader business adoption. As environmental strategist Toussaint Toussaint points out, “Simplification is vital, but we must tread carefully. This package must not sacrifice environmental progress for bureaucratic efficiency.” For companies already progressing on their CSRD journey, now is the time to strengthen governance to ensure accountability, refine processes to identify inefficiencies, and invest in technology to remain adaptable in the face of these upcoming changes. As we approach this shift, proactive organizations will be best positioned to navigate the changes effectively. #Sustainability #CSRD #ESG #EUGreenDeal #SustainabilityReporting Some sources: Responsible Investor: https://lnkd.in/e7mEbAKb FT https://lnkd.in/e4KVRqU6?

👉The EU has confirmed that it is considering adding more sustainability laws to its planned ‘omnibus’ package, and that it may be the first of an “omnibus fleet. “As regards [to] our simplification omnibus, the primary focus is on sustainability reporting,” said Valdis Dombrovskis, who recently became commissioner for the economy and productivity, implementation and simplification. The original plan was to simplify three of the EU’s flagship sustainability rules: the Corporate Sustainability Reporting Directive (CSRD), Corporate Sustainability Due Diligence Directive (CS3D), and Taxonomy Regulation. “But we are also looking at a possibility to include other elements in this omnibus,” said Dombrovskis. Over the weekend, the European People’s Party issued a statement saying CSRD and CS3D are “proving to be excessive and burdensome, with immense trickle down effects for European SMEs”. It said the two rules, along with the Taxonomy Regulation and the Carbon Border Adjustment Mechanism #CBAM, should be suspended for “at least” two years. “In that time, an omnibus regulation should limit the scope of these laws to the largest companies with more than 1000 employees, eliminate the indirect effect to SMEs, align legislative overlaps that currently lead to double reporting and significantly reduce the #reporting obligations for large companies by at least 50%,” the letter said. https://lnkd.in/dVvfHbdG

The European Commission outlined details of its upcoming simplification Omnibus proposal in a draft of its “competitiveness compass” report seen by Responsible Investor. The report – due to be published on 29 January – says the Commission will deliver an “unprecedented simplification effort”, which will begin with the “first simplification Omnibus, including far-reaching simplification in the fields of sustainable finance reporting, sustainability due diligence and taxonomy”. #omnibus #CSRD #CSDDD #taxonomy https://lnkd.in/eB-uUigy

OMNIBUS UPDATE "The primary focus is on sustainability reporting... But we are also looking at a possibility to include other elements in this omnibus," said Valdis Dombrovskis, who recently became commissioner for the economy and productivity, implementation and simplification. He didn't provide further details, but said there was broad support for a “serious and comprehensive” reduction in requirements - and pressure from politicians and business is building to bring in everything from the #SFDR and #CBAM, to energy-related rules. #omnibus #csrd #cs3d #taxonomy https://lnkd.in/eK2b59k4

The UK Government has revealed its next steps on the adoption of the International Sustainability Standards Board (ISSB) standards. We outline the changes and what it could mean for #financial #services firms. https://bit.ly/4bNUBVb #ESG #sustainability #regulation #ISSB

The UK Government has revealed its next steps on the adoption of the International Sustainability Standards Board (ISSB) standards. We outline the changes and what it could mean for #financial #services firms. https://bit.ly/4bNUBVb #ESG #sustainability #regulation #ISSB

This is what happens when business don’t understand sustainability and only sees it as cost. Sustainability is about being sustainable, economics at the core, and environmental and social matters allawys considered as essencial in a living system.

Sustainability Reporting is key however is current CSRD framework really the way ? German ministries are challenging for simplification and time extensions .

**European Commission publishes update on Omnibus Regulation** Earlier today, the EC published its "Competitiveness Compass for the European Union", reiterating its desire to deliver “an unprecedented simplification effort”. The EC's first “Simplification Omnibus package”, which will be discussed in more detail in February 2025, will cover the possible consolidation of the #CSRD, #Taxonomy and #CS3D. Laura Houët and I provide an overview of the implications of the Competitiveness Compass for #sustainability #reporting in the EU in our latest update. https://lnkd.in/e-NYVSrc

Leaked letter from several German Ministries to EU Commissioners regarding #CSRD. They push very hard for two things: (1) significant reduction of CSRD reporting requirements and (2) postpone CSRD application deadline by two years. Some highlights: ➡️ "A significant reduction in the content of CSRD reporting requirements is needed in order to avoid unnecessary burden for businesses [....]." ➡️ CSRD reporting requirements should be reduced "at the top of the value chain and by stating clearly that companies should not send out information requests to SMEs in their value chain covering periods before 2027 [...]." ➡️ "In order to significantly reduce bureaucracy while enabling corporate responsibility, it should be envisaged to postpone the CSRD application deadline by two years for those companies subject to first reporting as of financial year 2025 or later and to increase the sustainability reporting thresholds concerning net turnover, balance sheet total and employees." This provides a lot of additional uncertainty to businesses and is very disappointing. It shows that there is a real chance that the planned omnibus may turn out to be politically "captured" to push through more substantive changes to Green Deal regulations. The letter contains an Appendix with very specific suggestions for changes (e.g. increase threshold for CSRD to 1,000 employees). Given that Germany is a heavyweight in the EU, these suggestions will not go unnoticed in the context of the upcoming omnibus proposal. Thanks to Philippe Diaz for making me aware of this. #sustainability, #esg