The new requirements in the CSRD would however be more proportionate and well balanced if they were better adapted to the size and circumstances of reporting entities.
The European Commission’s proposal on sustainability reporting, the Corporate Sustainability Reporting Directive (CSRD), aims to improve the flow of sustainability information in the business world. The directive is intended is to make corporate sustainability reporting more consistent to enable financial companies, investors, and the public to use comparable and reliable sustainability information.
The Confederation of Swedish Enterprise welcomes initiatives that support investment that contribute effectively to sustainable development. The business sector, in Sweden and abroad, is playing a key role in enabling us to meet our climate policy commitments and the implementation of Agenda 2030. It is in the business sector that a large part of this transition needs to take place. If we are to succeed, it is therefore essential that companies have the necessary conditions to undertake their sustainability work.
The Confederation notes that stricter reporting requirements will increase the administrative burden on business and thus demand that companies spend more time and resources on complying with the regulations. The CSRD proposal is more comprehensive than the current EU reporting requirements and implies an expansion of both the range of companies that have to submit sustainability reports and the scope of the content that has to be reported. Therefore, reporting companies face an even heavier burden than the already onerous reporting requirements. This will in particular pose a challenge for smaller companies that have more limited operations and fewer stakeholders. The Confederation believes that the new requirements in the CSRD would be more proportionate and well balanced if they were better adapted to the size and circumstances of reporting entities.EUHållbarhetsrapporteringSustainability