Navigating the Transitioning with the Latest EU CSRD & ESRS Delegated Act

The European Union (EU)’s Corporate Sustainability Reporting Directive (CSRD), implemented in January 2023 and now integrated into the national laws, extends beyond its initial focus on the financial sector and publicly traded companies. The European Sustainability Reporting Standards (ESRS) provide the foundation for sustainability reporting across Europe. By mandating detailed disclosures, the ESRS pushes companies within and outside Europe to reevaluate their sustainability strategies and align with global best practices. Given the complexity of the CSRD/ESRS regulations and the challenges of reporting value-chain KPIs, companies should start preparing for ESG reporting now. This includes developing their KPI reporting gradually and establishing or expanding ESG governance structures to ensure successful project management and readiness for the initial report.