Retreat of European Mandatory Sustainability Reporting: What Value Remains for Companies Removed from the CSRD’s Scope?

Unofficial AI-generated summary based on the public title and abstract. Not an official translation.

🔬研究者:Provides a conceptual framework for understanding the value of sustainability reporting beyond regulatory compliance.

🏢実務担当者:Highlights how double materiality and ESRS reporting can serve as internal management tools even when not mandatory.

🏛政策担当者:Informs policy design by showing that stakeholder demand and management benefits may justify voluntary or scaled-back reporting regimes.

The Corporate Sustainability Reporting Directive (CSRD) represents one of the most ambitious attempts to mandate and standardize sustainability reporting globally (Directive (EU) 2022/2464, 2022). The directive envisioned a phased implementation, beginning with large public-interest entities reporting in 2025 and gradually including additional companies. However, during the first year of reporting, the European Commission introduced an Omnibus simplification package, reducing the CSRD’s scope by approximately 90%. Consequently, many companies that have already reported or prepared will no longer be subject to the requirements. This perspective argues that such companies will continue to face demand for sustainability information from key external stakeholders. Additionally, reporting under the accompanying European Sustainability Reporting Standards (ESRS), particularly through double materiality assessments and different disclosure requirements, can support sustainability performance management internally. Sustainability reporting should therefore not only be viewed as a regulatory burden but also as a management tool for navigating an increasingly uncertain future.

• openalex https://doi.org/10.55845/jos-2026-22285first seen 2026-08-07 05:09:09