The CSRD requires companies to report on their material risks, opportunities and impacts relating to environmental, social and governance (ESG) matters.
The centerpiece of the Directive is the introduction of 12 mandatory European Sustainability Reporting Standards developed by the European Financial Reporting Advisory Group (EFRAG), which total 95 Disclosure Requirements (DR) with 1,086 possible Datapoints (DP). Some DR can be phased in and some are voluntary.
The 12 European Sustainability Reporting Standards (ESRS)
This table outlines the 12 European Sustainability Reporting Standards (ESRS) and the disclosure requirements for each.
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Cross-cutting standards
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Topical standards – expanding on disclosure requirements mandated by ESRS 2
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Basic guiding principles
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Mandatory disclosure requirements
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Subject to materiality assessment
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Environment
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Social
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Governance
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|
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ESRS 1 - General requirements
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ESRS 2 - General disclosures
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ESRS E1 - Climate change
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ESRS E2 - Pollution
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ESRS E3 - Water and marine resources
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ESRS E4 -Biodiversity and ecosystems
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ESRS E5 - Resource use and circular economy
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ESRS S1 - Own workforce
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ESRS S2 - Workers in the value chain
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ESRS S3 - Affected communities
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ESRS S4 - Consumers and end users
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ESRS G1 - Business conduct
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Disclosure requirements (DR)
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N/A
|
16
|
12
|
7
|
6
|
8
|
7
|
19
|
7
|
7
|
7
|
8
|
|
Data points (DP)
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N/A
|
99
|
64
|
38
|
18
|
61
|
35
|
106
|
57
|
55
|
55
|
25
|
|
Sub-data points (SDP)
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N/A
|
89
|
111
|
5
|
32
|
67
|
38
|
90
|
45
|
44
|
41
|
41
|
|
Required by other EU legislation
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N/A
|
8
|
69
|
2
|
6
|
6
|
2
|
17
|
10
|
7
|
7
|
4
|
|
Required
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N/A
|
179
|
174
|
40
|
36
|
73
|
58
|
153
|
76
|
78
|
73
|
52
|
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Optional
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N/A
|
25
|
13
|
10
|
20
|
63
|
22
|
62
|
33
|
28
|
30
|
22
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For HR teams, the S1-Own Workforce Standard of CSRD will be where most will focus their attention, which covers 17 Disclosure Requirements. Four of these (S1.10, S1.11, S1.15 and S1.16) will necessitate the most upfront work in our experience. Our article CSRD: An approach for human resources explains this in more detail.
