On Friday 20 June, the European Financial Reporting Advisory Group (EFRAG) estimated that a reduction of more than 50% in the number of datapoints could be achieved in its progress report on the simplification of the European Sustainability Reporting Standards (ESRS) for companies, as part of the ‘omnibus’ package (see EUROPE 13662/23).
This estimate, which takes as a reference the number of mandatory datapoints published in the third implementation guide, remains provisional, EFRAG said.
The Group has identified six key levers for reducing the administrative burden: - simplify the Double Materiality Assessment; - improve the readability and/or conciseness of sustainability statements and their inclusion into corporate reporting as a whole; - critically modify the relationship between minimum disclosure requirements and topical specifications; - improve the understandability, clarity and accessibility of standards; - introduce other suggested measures to reduce the administrative burden; - improve interoperability.
In the letter accompanying the report, addressed to the European Commissioner for Financial Services, Maria Luís Albuquerque, EFRAG raises the issue of the duration of the public consultation which, in accordance with the deadline set for the delivery of its technical advice, is expected to be very short and to take place at an inopportune time. “If the European Commission were able to revise the deadline, EFRAG would be able to offer stakeholders more time and comfort to provide useful feedback”, he stressed.
To read the report, go to https://aeur.eu/f/hi5 (Original version in Frenh by Anne Damiani)