European Union

Overview

The EU’s CSRD is rewriting the global rulebook. Covering more than 50,000 companies—including 10,000+ non-EU firms—it demands detailed, assured disclosures and will shape climate reporting norms for a generation.

Who Does This Affect?

• 50,000+ companies including EU businesses, listed firms, and 10,000+ non-EU companies with EU operations

Why Is This Being Introduced?

• To meet investor, civil society, and regulatory demands under the European Green Deal

What's Required?

• ESRS-aligned reporting on 10 sustainability areas

• Climate-specific requirements: mitigation/adaptation policies, Scope 1–3 emissions, transition plans

• External assurance (limited → reasonable)

When Is This Happening?

• Begins FY 2024, phased until FY 2028

Where is Reporting Submitted?

• Annual reports per Member State transposition

Where is Reporting Submitted?

• CSRD Overview: https://finance.ec.europa.eu/capital-markets-union-and-financial-markets/company-reporting-and-auditing/company-reporting/corporate-sustainability-reporting_en

• ESRS Standards: https://www.efrag.org/lab3