A statement from more than 90 organisations, including numerous investors, has criticised EU Commission President Ursula von der Leyen’s recent Omnibus proposal. The statement, coordinated by European law firm Frank Bold and the World Wide Fund for Nature (WWF), has called on EU leaders to instead focus on streamlining and simplifying its sustainability reporting standards. The statement said the organisations are “deeply concerned” over the “misrepresentation of EU sustainability reporting as a threat to competitiveness”. The omnibus proposes to simultaneously modify several pieces of sustainability-focused legislation – namely the EU taxonomy for sustainable economic activities, Corporate Sustainability Reporting Directive (CSRD), and Corporate Sustainability Due Diligence Directive – to reduce perceived sustainability reporting burdens facing corporates. The statement warned, however, that the “one-sided representation” of the omnibus seems to pursue a “full deregulatory agenda” rather than a simplification of EU sustainability reporting standards to support its objectives and companies in their sustainable transition towards “more resilient and competitive” business models. The statement also stressed that legal certainty for companies must “take precedence over short-sighted political reactions”, with a key concern of revising the rules being the potential costs incurred by companies already preparing their CSRD-aligned disclosures ahead of the directive entering into force early next year. “Undermining EU sustainability reporting risks undoing years of progress in transparency and accountability,” said Maria van der Heide, Head of EU Policy at ShareAction, one of the statement’s signatories. “Instead of rolling back regulations, EU policymakers should focus on making compliance simpler and clearer, giving businesses the stability they need to lead the green and social transition. Sustainability reporting is not a burden – it’s the foundation of Europe’s strategy to protect its people, planet, and global competitiveness.”
📢 Legal certainty > legislative ping-pong.
90+ organisations urge EU leaders to protect the sustainability reporting framework, promoting smart implementation and providing the legal certainty companies need to thrive.
🔍 https://t.co/tzTd2oFW1N pic.twitter.com/DzL9yHzJtr
— WWF EU (@WWFEU) December 12, 2024
