In April 2021, the EU proposed the Corporate Sustainability Reporting Directive (CSRD), which would amend and significantly expand the existing EU requirements for sustainability reporting. In February 2022, the EU released targeted revisions to these proposals, including deferring the effective date.
Company type |
Effective date | Year of initial application |
---|---|---|
Companies subject to the existing Non-Financial Reporting Directive (NFRD) |
January 1, 2024 |
2025 (i.e. companies would have to issue their 2024 sustainability report in 2025) |
Large companies not currently subject to the NFRD |
January 1, 2025 |
2026 |
Small and medium-sized listed companies (includes small and non-complex credit institutions and captive insurance entities) |
January 1, 2026 |
2027 |
These are some of the primary changes from the original proposals issued by the EC in April 2021:
Effective dates deferred
Expectation of reasonable assurance standard within six years
Some relief for smaller companies
Impact on US companies
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