Non-EU companies should be permitted to refer to their existing impact disclosures when reporting in line with EU requirements under Article 40a of the CSRD, GRI has argued in its response to EFRAG’s ongoing consultation on the draft ESRS-40a standards.
According to a GRI analysis, its suite of standards cover 97% of the disclosure requirements and 79% of the datapoints set out in the exposure draft. It also notes that most in-scope companies report using GRI standards – as 84% large Chinese companies, 77% large Japanese companies and 77% large Swiss companies already do so.
GRI recommends that companies should be allowed “to refer to reporting that is based on global perimeters and supported by assurance, digitalisation readiness, and other conditions outlined in the ESRS 40-a”.
It also calls for guidance on the level of interoperability between ESRS-40a and international standards, and to require all in-scope entities to report on all the impacts linked to their global operations and supply chains.
GRI CEO Robin Hodess stated: “We want to see a system that works for companies and delivers meaningful, comparable information for stakeholders, including investors. That’s why acknowledging established global reporting practices is essential to achieving that ambition.”
“Let’s ensure that ESRS-40a strengthens corporate transparency in ways that are practical and effective,” she added.