Legal & Regulatory News

European Commission proposes to delay sector-specific ESRS and ESRS for non-EU companies

On 17 October 2023, the European Commission (EC) published a proposal (the Proposal) to the European Parliament and Council to delay the adoption of sector-specific European Sustainability Reporting Standards (ESRS) and ESRS for non-European companies under the Corporate Sustainability Reporting Directive (CSRD) by two years.

The CSRD currently requires the EC to adopt certain measures by 30 June 2024, namely: -

• Sector-specific ESRS; and
• ESRS to be used by non-EU companies operating in the EU.

If the Proposal is approved, the adoption of such measures would not occur until 2026. The EC’s reasoning for the proposal is to allow for stakeholders to adapt to the first set of sector agnostic ESRS, adopted 31 July 2023. This also forms part of the Commission’s long-term aim of reducing the burden of reporting requirements by 25%.

Click here to read the proposal.

Click here to read the European Commission 2024 work programme.