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On December 20, EFRAG published Technical adjustments to the list of datapoints in the Implementation Guidance 3 (IG 3 Excel Workbook), with a list of datapoints added/removed or amended in IG 3, as a result of clarifications and corrections collected so far. EFRAG plans to provide an updated version of the IG 3 Excel Workbook that will reflect these clarifications and corrections, in the spring of 2025, after the first cycle of ESRS reporting including clarifications stemming from possible additional Q&As that might be raised during the reporting season. ❗ EFRAG takes this opportunity to reiterate and emphasize the message that IG3 List of datapoints is there to support the definition of the content of the ESRS sustainability statement, but should not be used in an automatic compliance check-list. Its use cannot be decoupled from the overall materiality exercise. For topical disclosures, only datapoints that relate to material matters are to be considered in the analysis and reported if the undertaking concludes that their inclusion is needed, following paragraph 34 of ESRS 1. The final number of datapoints in the ESRS sustainability statement will critically depend on the specific circumstances of the undertaking, such as ✔️ which matters are considered material, ✔️ how many policies, targets and actions the undertaking has in place for material matters (they are to be reported only if they are in place), ✔️ how many dimensions are applicable for disaggregation (e.g. number of countries of operations, etc.).  As a reminder, it is worth noting that the number of datapoints identified through IG3 is related to: ⭕ the treatment of narrative information (more than 50%), for which the ESRS provide a detailed structure of content in order to foster relevance and comparability; ⭕ the onboarding of information (approx. 15%) required under other EU regulations (SFDR, Pillar III, Benchmarking, EU Climate Law). Download the IG 3 Technical adjustments here: https://lnkd.in/d_Zd3Eub --- Stay tuned for more CSRD and ESRS insights. ✅ Adopt a streamlined, digital and taxonomy-centric ESRS report preparation with www.cleeritesg.com #getCSRDready, #CSRD, #ESRS, #CSDDD, #ESG, #Strategy, #Governance, #SustainabilityReporting, #Digitalisation, #CleeritESG

On December 19, EFRAG released new Explanations on its Q&A platform, answering five environmental questions to support preparers and others in the implementation of the ESRS. These Explanations will later be added to the next major update to the Compilation of Explanations expected to be released in Spring 2025.    ⭕ E4 – Biodiversity and ecosystems If the topic ‘biodiversity and ecosystems’ has been identified as material for the undertaking’s upstream (or downstream) value chain only – and not for the company’s own operations, the undertaking: ➡️ (DP 16.a) would not disclose the information list of material sites since this datapoint refers to own operations only ➡️ (DP 16.b) would be required to disclose the information whether it has identified material negative impacts with regards to land degradation, desertification or soil sealing, as this datapoint applies not only to impacts connected to the undertaking’s sites in its own operations ➡️ (DP 16.c) would not disclose the information whether it has operations that affect threatened species, since this datapoint refers to own operations and not to operations in the upstream or downstream value chain. ➡️ In addition, the DR E4-5 “Impact metrics related to biodiversity and ecosystems change” only reflects own operations, as no coverage of the value chain is required. (IG 2 Value chain specifies in its ‘VC coverage map of ESRS Set 1’ on page 44) ⭕ E1 – Climate Change (financial institutions) Scope 3, category 15 (Investments) targets for the lending portfolio are considered value chain information. When only targets in intensity value are available, in the first three years of reporting, a financial institution may limit the information on value chain targets to the information available in-house, which might include data already collected for Pillar 3 reporting. Download the December 2024 explanations here: https://lnkd.in/diNJ5RCC --- Stay tuned for more CSRD and ESRS insights. ✅ Adopt a streamlined, digital and taxonomy-centric ESRS report preparation with www.cleeritesg.com #getCSRDready, #CSRD, #ESRS, #CSDDD, #ESG, #Strategy, #Governance, #SustainabilityReporting, #Digitalisation, #CleeritESG

Merry Christmas from Team Cleerit! Joyeuses Fêtes ! God Jul! 

🌍 EFRAG releases a series of educational videos on the Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME), delivered to the European Commission on December 17, 2024. These videos offer: 1️⃣ An introduction to the VSME, covering its objectives, due process, and key principles  2️⃣ A deep dive into the Basic Module 3️⃣ A deep dive into the Comprehensive Module and future plans for the VSME Ecosystem    Click here to watch the videos on our Youtube channel: https://lnkd.in/ggsBvyzw   Whether you're new to the VSME or seeking detailed insights, these expert-led videos are your go-to resource! 🌱   #Sustainability #EFRAG #VSME #SMEs #ESG #SustainableBusiness #EducationalVideos #SME #Standards

EFRAG delivers the Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME) to the European Commission! 🌍📊 This new standard supports ESG reporting for SMEs, addressing market needs and reducing uncoordinated data requests. A major step to ease sustainability reporting while boosting access to financing and supporting the green transition. You can access the VSME Standard and the related documents here: 🔗https://lnkd.in/dP5yYbD4   Many thanks to the EFRAG SRB and EFRAG SR TEG, EFRAG Staff, the EFRAG VSME Community, along with all the stakeholders that contributed to the development of the Standard. #SustainabilityReporting #SMEs #ESGStandards #GreenTransition #EFRAG

On December 16, the European Commission decided to take action against SWEDEN for failing to bring its legislation in line with the CSRD (Directive (EU) 2022/2464): “The CSRD introduces new rules for the reporting of sustainability information by companies. These rules apply from financial years beginning on or after 1 January 2024, depending on the company size. The national transposing measures adopted by Sweden require companies to start reporting information for financial years beginning on or after 1 July 2024. This is not in line with the CSRD as Sweden delays the application of sustainability reporting requirements by half a year. By introducing this delay, Sweden risks creating an unlevel playing field between EU companies in different Member States. The Commission is therefore sending a reasoned opinion to Sweden, which now has two months to respond and address the shortcomings raised by the Commission. In the absence of a satisfactory response, the Commission may decide to refer the case to the 🧑⚖️ Court of Justice of the European Union.” Source: https://lnkd.in/d59sMVks #getCSRDready, #CSRD, #Sweden

The EU CSRD transposition pace is picking up. 17 member states have now completely (15) or partially (2) implemented CSRD into national law, while another 7 have drafts in process, of which 4 are well advanced. Only 3 member states – Austria, Malta and Portugal – have (to our knowledge) not started the implementation process. --- Stay tuned for more CSRD and ESRS insights. ✅ Adopt a streamlined, digital and taxonomy-centric ESRS report preparation with www.cleeritesg.com #getCSRDready, #CSRD, #ESRS, #CSDDD, #ESG, #Strategy, #Governance, #SustainabilityReporting, #Digitalisation, #CleeritESG

On December 6, EFRAG released 64 new Explanations to support preparers and others in the implementation of the ESRS. Included in the November compilation is the mapping of sustainability matters in paragraph AR 16 of ESRS 1 with the Disclosure Requirements in topical standards (ID 177): ➡️ https://lnkd.in/dgDjscdY Other useful clarifications in the November 2024 compilation include:   ⭕ GLOBAL - instructions ID 1048 – DP(s) related to a non-material DR for a metric ID 526 + ID 1021 – Non-material DP … related to a material and non-material topic ID 1297 – Level of disaggregation needed ID 1019 – Sustainability matter expected to become material in the future ID 923 – Phase-in provisions for entity specific disclosure ID 1144 – Phase-in 750 employees: Calculation of average ID 1090 – Length of transitional provisions for early adopters ID 1136 – Targets without policy   ⭕ ESRS 2 ID 1072 – ESG expertise of governance bodies in GOV-1 ID 935 – Definition of current vs anticipated financial effects   ⭕ GOVERNANCE ID 800 – Distinguish between convictions or fines for corruption and for bribery   ⭕ SOCIAL 💚 S1 Own Workforce ID 271 – Difference between work-related accident and work-related injury ID 339 – Estimates and use of secondary data for social protection DP ID 430 – Definition of gender ID 689+ ID389 – Gender Pay Gap; Gender ID 453 – Parental leave metric ID 550 – Disclosure of discrimination / harassment cases found inconclusive ID 473 – Restrictions on data collection of employees due to national regulations ID 730 – Social protection by type of employee   ⭕ SOCIAL 💚 Other ID 1026 – Definition of end-users - difference between S2 and S4   ⭕ ENVIRONMENT ID 968 – Ecolabel - an external body   🌿 CLIMATE (E1) ID 893 – Conversion factor fossil fuels ID 1126 – Heating values and geographical location of undertaking   🌿 POLLUTION (E2) ID 472 – Definition of major incidents and deposits (for E2.40.b) ID 1060 – Pollution, affected communities’ consultations ID 619 – Air emissions in ESRS E2 versus ESRS E1 ID 713 + ID 928 – Microplastics, definition   🌿 WATER (E3) ID 456 – Policies on water treatment ID 676 – Water metrics in the value chain   🌿 BIODIVERSITY (E4) ID 952 + ID 953 – Material metrics on Biodiversity ID 1115 + ID 1172 – Number and area of sites near or in biodiversity-sensitive areas   🌿 WASTE (E5) ID 283 – Waste incineration  - disposal or recovery operation ID 400 – Calculating recycled waste ID 408 – Categorisation of waste streams Read more here > https://lnkd.in/dxPMZ6ef --- Stay tuned for more CSRD and ESRS insights. ✅ Adopt a streamlined, digital and taxonomy-centric ESRS report preparation with www.cleeritesg.com #getCSRDready, #CSRD, #ESRS, #CSDDD, #ESG, #Strategy, #Governance, #SustainabilityReporting, #Digitalisation, #CleeritESG

Yesterday (6/12), EFRAG released the finalized mapping of sustainability matters in paragraph AR 16 of ESRS 1 to the ESRS Disclosure Requirements in topical standards (ID 177). The tables are available in the enclosed document. The following can be noted: ⭕ Sustainability matters in ESRS 1 paragraph AR 16 are often interrelated. Based on the facts and circumstances of an undertaking, the materiality of a specific subtopic or sub-subtopic of a topical ESRS can trigger reporting requirements in other topical ESRS. ⭕ The subtopics of Energy and Climate Change Mitigation are closely linked. The datapoints in the Disclosure Requirement E5-1 Energy Consumption and mix cover aspects (energy use) linked to climate change mitigation. Therefore they are connected to Climate Change Mitigation. ⭕ The metrics in S1-6, S1-7 and S1-17 are mapped to the Own Workforce directly, as they provide contextual information that supports the understanding of the information reported in the other ESRS S1 disclosures and these form the basis for calculation of other metrics. They are to be considered when defining what to report in relation to any subtopic/sub-subtopic. ⭕ The metrics in S1-8, S1-9, S1-10, S1-11, S1-12 and S1-14 are also all related to the topic of ESRS S1 Own Workforce as a whole, as they address fundamental rights. ⭕ Only the metrics in S1-13 (Training and skills development), S1-15 (Work-life balance), and S1-16 (Gender equality and equal pay for work of equal value) are mapped to a sub-sub-topic alone. ✅ www.cleeritesg.com    #getCSRDready, #CSRD, #ESRS, #CSDDD, #ESG, #Strategy, #Governance, #SustainabilityReporting, #Digitalisation, #CleeritESG Source: https://lnkd.in/gfqMMFhx

Förbereder du DMA-revision och skarp hållbarhetsrapportering enligt ESRS för räkenskapsår 2025, och undrar vad som krävs för att komma i mål?   🌿 Välkommen till detta utbildningsinriktade webbinarium på svenska, den 10:e december kl. 12-14:00. Webbinariet är kostnadsfritt och syftar till att förmedla kunskap till dig som arbetar med hållbarhetsrapportering och styrning i ett företag som omfattas av CSRD.   Antalet platser är begränsat och registrerade med de rollerna kommer att prioriteras. Vi tackar för din förståelse.   👉 Om du inte redan har fått en inbjudan via e-post, och är intresserad av att delta, är du välkommen att kontakta oss på info@cleerit.com eller med DM här på LinkedIn. Välkommen! Leila Hellgren Sara Lissdaniels Max Bäck Katarina Sivander #getCSRDready, #CSRD, #ESRS